Bolivar Basic Industries (BBI) issued $1,000 face-value convertible bonds three years ago and BBI stock currently sells for $43 per share. The bonds have an original maturity of 10 years (7 years remaining), a coupon rate of 6.2% and make semi-annual coupon payments. The bonds have a yield-to-maturity of 5.6%. The bonds are also convertible to 50 shares of stock and the cost of conversion is 2% of face value ($20). What is the minimum BBI price per share that you would be willing to convert the bonds?

a.

$20.00

b.

$20.40

c.

$20.69

d.

$21.09

e.

None of the above.