Maple Aircraft has issued a 4 3/4% convertible subordinated debenture due 2023. The conversion price is $47.00 and the debenture is callable at 102.75% of face value. The market price of the convertible is 91% of face value, and the price of the common is$41.50. Assume that the value of the bond in the absence of a conversion feature is about 65% of face value. What is the conversion value?
