Determining valuesConvertible bond Craig's Cake Company has an outstanding issue of 22-year convertible bonds with a $1,000 par value. These bonds are convertible into 60 shares of common stock. They have a 12% annual coupon interest rate, whereas the interest rate on straight bonds of similar risk is 14%. a. Calculate the straight bond value of this bond. b. Calculate the conversion (or stock) value of the bond when the market price is $16 per share of common stock. c. What is the minimum market value of the bond? a. The straight value of the bond is $. (Round to the nearest cent.) Determining valuesConvertible bond Craig's Cake Company has an outstanding issue of 22-year convertible bonds with a $1,000 par value. These bonds are convertible into 60 shares of common stock. They have a 12% annual coupon interest rate, whereas the interest rate on straight bonds of similar risk is 14%. a. Calculate the straight bond value of this bond. b. Calculate the conversion (or stock) value of the bond when the market price is $16 per share of common stock. c. What is the minimum market value of the bond? a. The straight value of the bond is $. (Round to the nearest cent.)