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The following facts apply to a convertible bond making semiannual payments: Conversion price $ 39 /share Coupon rate 2.8 % Par value $ 1,000 Yield
| The following facts apply to a convertible bond making semiannual payments: |
| Conversion price | $ | 39 | /share |
| Coupon rate | 2.8 | % | |
| Par value | $ | 1,000 | |
| Yield on nonconvertible debentures of same quality | 3 | % | |
| Maturity | 20 | years | |
| Market price of stock | $ | 38 | /share |
| What is the minimum price at which the convertible should sell? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
| Minimum price | $ |
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