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    Conversion Price for Chocolate Factory's Convertible Debentures

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    Chocolate Factory's convertible debentures were issued at their $1,000 par value in 2007. At any time prior to maturity on February 1, 2027, a debenture holder can exchange a bond for 25 shares of common stock. What is the conversion price, Pc?

    a. $40.00

    b. $42.00

    c. $44.10

    d. $46.31

    e. $48.62

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    https://brainmass.com/business/finance/conversion-price-for-chocolate-factory-s-convertible-debentures-297506

    Solution Summary

    The solution explains how to calculate the conversion price.

    $2.19

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