=+P17–11 Conversion (or stock) value Find the conversion (or stock) value for each of the four $1,000-par-value convertible bonds given in the following table. X MyLab Convertible bond name Conversion ratio Current market price of stock A 25 $30.00 B 20 29.75 C 15 38.25 D 9 55.50 Bond Par value Coupon rate

(paid annually)

Interest rate on equal-risk straight bond Years to maturity A $1,000 6% 7.0% 20 B 1,000 7 8.5 14 C 1,000 8 10.0 30 D 1,000 9 10.5 25