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Conversion Ratio |
Also found in: Dictionary/thesaurus, Medical, Legal, Encyclopedia, Wikipedia, Hutchinson | 0.07 sec. |
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Conversion ratio Applies mainly to convertible securities. Relationship that determines how many shares of common stock will be received in exchange for each convertible bond or preferred stock when a conversion takes place. It is determined at the time of issue and is expressed either as a ratio or as a conversion price from which the ratio can be figured by dividing the par value of the convertible by the conversion price.
Conversion Ratio The number of common shares obtainable for each convertible securityshould the investor exercise the convertible option. A higher ratio means that more common shares are available per convertible security. It is calculated using the following formula: Conversion Ratio = Face Value of Convertible Security / Conversion Price. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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Conversion ratio is the next thing you need to check, percentages count a lot here. The next thing you should check in your affiliate program is the conversion ratio. Such a system ensures a higher visitor conversion ratio since the process begins with providing the user with relevant content first before recommending the final product or service solution to their "search" need. |
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