The Holders of Xenron Corporation's Bond with a Face Value

Multiple Choice

The holders of Xenron Corporation's bond with a face value of $1,000 can exchange that bond for 35 shares of stock. The stock is selling for $22.00.
-Refer to the above scenario.What is the conversion value of the bond?

A) $25
B) $40
C) $770
D) $1,000
E) No conversion premium is given.