Multiple Choice
Sharp Innovations has warrants outstanding and each entitles the holder to purchase 1 share of common stock at an exercise price of $14 a share. If the current market price of the warrant is $9 and the common stock price is $22, what is the premium over the formula value for the warrants?
A) $1
B) $5
C) $8
D) $2
Correct Answer:
Verified
Correct Answer:
Verified
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