RATIONALE FOR CONFLICTS IN FINANCIAL THEORY AND PRACTICE: THE CASE OF CONVERTIBLE BONDS
Bruce C. Payne
(Professor of Finance, University of Southwestern Louisiana.)
Janet D. Payne
(Assistant Professor of Finance, University of Southwestern Louisiana.)
Nancy C. Rumore
(Instructor of Economics, University of Southwestern Louisiana.)
253
Abstract
Contrary to theory, financial managers constantly attempt to exploit timing to offer securities that are the least costly to existing shareholders. The purpose of this study is to illustrate the difference between theory and practice and to offer some rationale for this difference.
Citation
Payne, B.C., Payne, J.D. and Rumore, N.C. (1994), "RATIONALE FOR CONFLICTS IN FINANCIAL THEORY AND PRACTICE: THE CASE OF CONVERTIBLE BONDS", Studies in Economics and Finance, Vol. 15 No. 2, pp. 86-103. https://doi.org/10.1108/eb028714
Publisher
:MCB UP Ltd
Copyright © 1994, MCB UP Limited