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    Jacobs and Company has warrants outstanding, which are selling at a $3 premium above intrinsic value. Each warrant allows its owner to purchase one share of common stock at $25. If the common stock currently sells for $28, what is the warrant price?
    $6
    $10
    $12
    $14

    © BrainMass Inc. brainmass.com March 4, 2021, 10:41 pm ad1c9bdddf
    https://brainmass.com/business/warrant-pricing/convertibles-warrants-derivatives-353312

    Solution Summary

    The solution explains how to determine the warrant price.

    $2.49

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