Seth Ames owns 1,000 shares of convertible preferred stock in the XYZ Corporation, with a current market price of $52.00 per share. The preferred stock is convertible to common stock at the rate of 2 shares of common for each share of preferred. After the end of the year, common stock was selling for $32 per share. What would be the current market value of his stock before and after a conversion?*

1 point

$64,000

$6,400

$32,000

$52,000

None of the answers is correct