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BullishTrader

04/12/10 3:37 PM

#14705 RE: anytinvestor10 #14704

or is it a straight out conversion where the cost basis in this example is still 8 cents?



You had the answer all along.

BT
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dollars2bhad

04/12/10 3:40 PM

#14706 RE: anytinvestor10 #14704

kinda like this...if a farmer has two apples and a grocery store owner has two apples and they were to sell all four apples for the same price at the same time to the same person for .08each then you would be rest assured that the apple was indeed worth .08each. Now to be given the promise of an apple pie as a result of buying the apples would mean that the apples are now intrinsically worth more when in fact they are still only worth .08...see my point? That should clear things up...