Assume X denotes the random variable for the number of days that the stock price increases.
X ~ Bin(30, 0.3) therefore, E(X) = 30 x 0.3 = 9 and V(X) = 30 x 0.3 x (1 - 0.3) = 6.3.

A fixed rate in U.S. dollar swapped for floating rate in U.S. dollar is just a plain vanilla interest rate swap. Hence, this structure would not involve a currency swap and it would not constitute a correct answer.

The policy statement does not worry about the emotional reactions or risks related to exceptional or strong performance (the investor should be so lucky!). The policy statement should address the following issues:
What are the risks of an adverse financial outcome?What are the emotional reactions to an adverse financial outcome?How knowledgeable is the investor to investments and markets?What other capital or income sources does the investor have? How important is the portfolio to the overall financial position?What legal restrictions may affect the investment needs?What unanticipated consequences of interim fluctuations in portfolio value may affect investment policy?

By issuing convertible bonds a firm must immediately recognize a long-term liability increasing its leverage. Only if and when bonds are converted does debt get reclassified as equity in the distant future.