Hilton Hotels Corp. has a convertible bond issue outstanding. Each bond, with a face value of $1,000, can be converted into common shares at a rate of 61.2986 shares of stock per $1,000 face value bond (the conversion rate), or $16.3136 per share. Hilton's common stock is trading (on the NYSE) at $15.90 per share and the bonds are trading at $975. a. Calculate the conversion value of each bond. (Round your answer to 2 decimal places. (e.g. 32.16)) b. State whether it is currently profitable for bond holders to convert their bonds into shares of Hilton Hotels common stock. a. Conversion value Exercise the conversion option b On October 5, 2019, you purchase a $10,000 T-note that matures on August 15, 2031 (settlement occurs two days after purchase, so you receive actual ownership of the bond on October 7, 2019). The coupon rate on the T-note is 4.750 percent and the current price quoted on the bond is 105.71875 percent. The last coupon payment occurred on May 15, 2019 (145 days before settlement), and the next coupon payment will be paid on November 15, 2019 (39 days from settlement). a. Calculate the accrued interest due to the setter from the buyer at settlement. b. Calculate the dirty price of this transaction. (For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places. (e.g. 32.16)) a Accrued interest due Dirty price b. Refer to the T-note and T-bond quotes in Table 6-1. a. What is the asking price on the 1.625 percent March 2019 T-bond if the face value of the bond is $10,000? b. What is the bid price on the 0.875 percent May 2017 T-note if the face value of the bond is $10,000? (For all requirements, round your answers to 2 decimal places, (e.g., 32.16)) a. The Ask price b. The Bid price