Question: Please do A,B,and C Determining values-Convertible bond Craig's Cake Company has an outstanding issue of 10 -year convertible bonds with a $1,500 par value. These

Please do A,B,and C

Determining values-Convertible bond Craig's Cake Company has an outstanding issue of 10 -year convertible bonds with a $1,500 par value. These bonds are convertible into 75 shares of common stock. They have a 15% annual coupon interest rate, whereas the interest rate on straight bonds of similar risk is 13%. a. Calculate the straight bond value of this bond. b. Calculate the conversion (or stock) value of the bond when the market price is $14 per share of common stock. c. What is the minimum market value of the bond? a. The straight value of the bond is $ (Round to the nearest cent.)

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