DOLLORAMA GOT 400k shares outstanding. consider all of its outstanding 4-month warrants, have exercise price of $47 were exercised, the total number of shares outstanding be 520k. dOLLORAMA is trading at $48 and will either increase 8% or decrease 25% in 4 months.
DOLLORAMA GOT 400k shares outstanding. consider all of its outstanding 4-month warrants, have exercise price of $47 were exercised, the total number of shares outstanding be 520k. dOLLORAMA is trading at $48 and will either increase 8% or decrease 25% in 4 months.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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![DOLLORAMA GOT 400k shares outstanding.
consider all of its outstanding 4-month
warrants, have exercise price of $47 were
exercised, the total number of shares
outstanding be 520k. dOLLORAMA is trading
at $48 and will either increase 8% or decrease
25% in 4 months.
Lets say that risk-free interest rate 3%/month
,calculate the value of the warrant?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F71f3696e-ced2-4f2e-9589-09144adc6054%2F1349496e-9b5b-449b-9386-8e41cfbe1e6c%2F39iaqur_processed.jpeg&w=3840&q=75)
Transcribed Image Text:DOLLORAMA GOT 400k shares outstanding.
consider all of its outstanding 4-month
warrants, have exercise price of $47 were
exercised, the total number of shares
outstanding be 520k. dOLLORAMA is trading
at $48 and will either increase 8% or decrease
25% in 4 months.
Lets say that risk-free interest rate 3%/month
,calculate the value of the warrant?
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