Fence Place Diary Company (FPD)has a 15-Year Maturity Bond Outstanding

Fence Place Diary Company (FPD) has a 15-year maturity bond outstanding that is currently convertible into 50 shares of FPD common stock.FPD common stock currently sells for $25 a share and the coupon rate (SEMIANNUAL coupons) for the bond is 5%.If the yield on a similarly rated convertible bond (on The New York Calendar Corp.) is 5%,then what should be the correct price of the FPD convertible bond?

A) $750.00
B) $1,000
C) $1,250
D) either a or b