On 1 January 2010, an entity issued EUR 400,000 of 7 per cent bond at par. Interest on this loan stock is payable on 31 December each year. The stock is due for redemption at par on 31 December 2013 but may be converted into ordinary shares on that date instead. Assuming that the market rate of interest to be used in discounted cash flow calculations is 9 per cent p.a., calculate the liability component and the equity component of this bond.