Question: Which statement is FALSE? A. Convertible bonds allow holders to swap bonds for fixed number of stocks anytime before maturity at the holders option. B.

Which statement is FALSE?

A. Convertible bonds allow holders to swap bonds for fixed number of stocks anytime before maturity at the holders option.

B. Puttable bonds allows holder to force the issuer to buy the bond back at a stated price, reverse of call provision.

c. Both convertible bonds and callable bonds grant options to bondholders (investors), therefore, both of these bonds will have higher prices than bonds without these specifications.

D. Both convertible bonds and puttable bonds grant options to bondholders (investors), therefore, both of these bonds will have higher prices than bonds without these specifications.

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