1. Scoan Ltd issued 2550 convertible bonds at the beginning of 2018 at par. These have a 3-year term. Their face value was P850 per bond. Interest is payable in arrears at 7% on an annual basis. The bonds are convertible any time until maturity into 213 common shares each bond.

When the bonds are issued, the prevailing market interest rate for similar debt without conversion options is 9%. The relevant discount factors are shown below.

Discount factors	9%	7%
2018	0.914	0,933
2019	0.837	0,871
2020	0.766	0,813

You are required calculate values for the debt and the equity elements. (10)