... required $24 2 ,20 2Example 10.5 Return-if-unchanged–ConvertibleProceeds from bond sale $25 3 ,21 8+ Coupon yield ( 77/8% coupon) +1,3 12 − Net investment required 24 2 ,20 2MNet profit $ 12, 328 Return-if-exercised ... yield ( 77/8% coupon) +1,3 12 − Net investment required 24 2 ,20 2Net profit $6,610Return-if-exercised = 6,610 ÷ 24 2 ,20 2 = 2. 73% ( 32. 70%annualized)The net result is that you will have to invest ... Figure 10 .2) . Now thewidget futures contract is up to $20 0, the June 180 call sells for $25 , and theJune 22 0 call sells for $8. Rolling up will cost you $17: buying the June 180at $25 and selling...