1.)Assume it is Nov 1^st 2022. Calculate the value of this security

2.)Calculate the arbitrage-free value of the bond

3.)This security is convertible into 15.1 shares of common stock on or after 1 November 2023. Explain how you would use a binomial model to find the value of this security.

S&P Bond Rating:		BB-
Instrument ID	Description	Balance Sheet Amt Out (USD)	Current Amt Out (USD)	Coupon Rate	Coupon Type	Issue Date	Maturity Date	Issue Curr	Seniority
ST Debt		0.0	0.0
-	Bank Overdraft	1.4	1.4	-	-	-	-	USD	SNR Unsec
-	Adjustment - Other Current Liabilities	-1.4	-1.4	-	-	-	-	USD	Other
Revolving Credit		0.0	0.0
FDS13ZDW0	Senior Sec. Revolving Credit Facility	0.0	0.0	-	Variable	12/19	12/24	USD	SNR Sec
Notes/Bonds		199.5	199.5
483548AF0	Kaman Corp	199.5	199.5	3.250%	Fixed	05/18	05/24	USD	SNR Conv
Other		-2.0	-2.0
-	Issuance Costs - 3.25% Convertible Bond	-2.0	-2.0	-	-	-	-	USD	Other
	LT Debt Total	197.5
	Current Portion of LTD	0.0
	Net LT Debt Total	197.5
	ST Debt Total	0.0
	Total Debt	197.5	197.5
US Treasury Bond Yields
3-month	3.33%
6-month	4.07%
12-month	4.22
2-year	4.31%
3-year	4.33%
4-year	4.26%
5-year	4.15%
BB- yield	7.28%
BB risk spread	3.50%