A firm is about to raise debt capital with a new bond issue. They could issue a 10 year bond with a 5% annual coupon with no special features or covenants. Alternatively, they could issue a 10 year bond that is convertible into common equity and has several restritive covenants. Which of the following most accurately describes the coupon rate on the convertible bond?

A. it could be more or less than 5%., B. there's no way to estimate the likely coupon rate., C. it will likely be exactly equal to 5%., D. it will likely be less than 5%.