The convertible preference shares are converted into:

Participative preference shares
debentures
redeemable preference shares
equity shares

The correct answer is D. equity shares.

Convertible preference shares are a type of preference share that can be converted into equity shares at a predetermined price. This gives investors the option to convert their shares into equity shares if they believe that the value of the equity shares will increase in the future.

Participative preference shares are a type of preference share that entitles the holder to a share of the company’s profits in addition to the fixed dividend. This means that the holder of a participative preference share can earn a higher return than the holder of a regular preference share if the company is profitable.

Debentures are a type of loan that a company issues to raise money. Debentures are usually secured by a charge on the company’s assets, which means that the lender can take possession of the assets if the company defaults on the loan.

Redeemable preference shares are a type of preference share that the company can redeem at a predetermined price. This means that the company can buy back the shares from the shareholders at a specified price, usually after a certain number of years.

In conclusion, the correct answer is D. equity shares.

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