Civil Services Examination · வினா 65

With reference to Convertible Bonds, consider the following statements: 1. As there is an option to exchange the bond for equity, Convertible Bonds pay a lower rate of interest. 2. The option to convert to equity affords the bondholder a degree of indexation to rising consumer prices. Which of the statements given above is/are correct?

1. A1 only
2. B2 only
3. CBoth 1 and 2
4. DNeither 1 nor 2