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A 4% annual coupon convertible bond has 14 years to maturity, a $1,000 par value and is priced at $1,620. This bond can be converted

image text in transcribed A 4% annual coupon convertible bond has 14 years to maturity, a $1,000 par value and is priced at $1,620. This bond can be converted into 20 shares of common. The common currently sells for $63 per share and pays a $0.20 quarterly dividend per share. Similar bonds that are not callable yield 5.25%. What is this bonds investment value? $926.76 $843.12 $998.07 $878.22

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