A Holder of Rainbow Funds Convertible Bonds with a $1,000

A holder of Rainbow Funds convertible bonds with a $1,000 par and a $1,100 price can convert the bond to 25 shares of common stock. The stock is currently priced at $36 per share. By what percent does the stock price have to rise to make conversion potentially attractive?

A) 10.00%
B) 14.73%
C) 22.22%
D) 23.64%
E) 25.69% [(1100/25) /36] - 1