Similar to a stock option, a warrant is a contract between two parties that gives one the right to buy the other's stock at a set price, over a specified period of time. Once the warrant is exercised by the holder. he/she get shares of stock in the issuing party's A. time deposit B. saving deposit C. company D. country Forwards can be A. only shorting or settled in cash. B. only longing C. delivered D. not exercised

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter20: Hybrid Financing: Preferred Stock, Warrants, And Convertibles
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25. Similar to a stock option, a warrant is a contract between two parties that gives one the right to buy the
other's stock at a set price, over a specified period of time. Once the warrant is exercised by the holder.
he/she get shares of stock in the issuing party's
A. time deposit
B. saving deposit
C. company
D. country
26. Forwards can be
A. only shorting
or settled in cash.
B. only longing
C. delivered
D. not exercised
Transcribed Image Text:25. Similar to a stock option, a warrant is a contract between two parties that gives one the right to buy the other's stock at a set price, over a specified period of time. Once the warrant is exercised by the holder. he/she get shares of stock in the issuing party's A. time deposit B. saving deposit C. company D. country 26. Forwards can be A. only shorting or settled in cash. B. only longing C. delivered D. not exercised
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