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The following data refers to a company's issue of convertible bonds: Maturity: 10 years Stock price: $30.00 Par value: $1,000.00 Conversion price: $35.00 Annual coupon:

The following data refers to a company's issue of convertible bonds: Maturity: 10 years Stock price: $30.00 Par value: $1,000.00 Conversion price: $35.00 Annual coupon: 5.00% Straight-debt yield: 8.00% What is the bond's straight debt value?

A. $698.05

B. $1000

C. $664.50

D. $798.70

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