Sir i didnot understand part a because they are calculating just like dvm growth
Sir i didnot understand that question part a caluation and part b
Ask the Tutor ACCA FM
dec 2014 par co
8y ago#1You must watch my free lectures - because I go through all of this in my lectures (and you cannot expect me to type them all out here!).
To get the market value of convertibles you first need to know whether or not the investors are expecting to convert and so you need to know what they expect the share price to be. The share price will grow at the same rate as the dividends.
I do explain all of this in the lectures!
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