3. Western Aluminum has decided to raise $100 million by issuing convertible securities. (a) Under what circumstances would Western Aluminum prefer a mandatory convertible preferred stock issue over a conventional optionally converting convertible debt issue? (b) Suppose Western Aluminum decides to issue the mandatory convertible. Assuming its share price on the date of issuance is $30 and the conversion premium is 20%, how many shares will Western Aluminum have to deliver to investors if its share price at maturity is (x) $32; (y) $50?