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Hello dear tutor
My question is about convertible loan(as a complex instrument) as follows:
In calculating the debt part,I heared that we must always assume that the loan is redeemed at par…..
I want ro know is it correct?
I mean if in the qusetion,examiner said that the loan is redeemed at premium(for example a 30m loan will be redeemed at 31m),should we use 31m for calculation of debt part or according to that assumption we must use 30m?
Thanks alot
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