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5. An investor owns a convertible bond with a 3.5% coupon, paid semi-annually. The bond matures in 9.5 years, and is convertible at a

5. An investor owns a convertible bond with a 3.5% coupon, paid semi-annually. The bond matures in 9.5 years, and is convertible at a price of $50 per share. If comparable bonds are yielding 3.8%, and the current market price of the stock is $ 57 per share, what is the conversion value of the bond? A. B. $ 877 $ 1,140 C. $ 1,200 D. $ 1,275 E. $ 1,360 Make your selection: B

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