Management would like to get the companys MCC below 8.5%. They are planning to sell $26,000,000 in bonds and use the proceeds to buy back common stock. (Assume the bonds are sold for par value, the terms/rates are the same as existing bonds, and common stock can be bought back at the current price of common stock.) This will result in a decrease of common shares outstanding (rounded to the nearest dollar) and increase in the number of bonds.

Will this strategy achieve managements goal? What will the MCC be afterward?