Which of the following does NOT give rise to potential common shares?
? a. Non-convertible preferred shares
? b. Convertible preferred shares
? c. Convertible debt
? d. Options / warrants
On November 1, 2023, Ohio Co. issued 12,000, $1,000 par value, 6% convertible bonds. Each bond is convertible into 15 common shares. Ohio's tax rate is 30%. No bonds were converted in 2023. What is the interest expense avoidable, net of tax for Ohio's year ending DECEMBER 31, 2023?
? a. $720,000
? b. $504,000
? c. $120,000
? d. $84,000