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Problem 18-6 Convertible Bonds (LO2, CFA5) A convertible bond has a coupon of 7 percent, paid semiannually, and will mature in 18 years. If the

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Problem 18-6 Convertible Bonds (LO2, CFA5) A convertible bond has a coupon of 7 percent, paid semiannually, and will mature in 18 years. If the bond were not convertible, it would be priced to yield 6 percent. The conversion ratio on the bond is 25 and the stock is currently selling for $38 per share. What is the minimum value of this bond? (Do not round intermedinte calculations. Round your answer to 2 decimal places.) Minimurn value $ 1.109.00

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