What is the theoretical value of a warrant when the current price of the stock is $10 and the exercise price is $8? The exchange ratio is three shares for each warrant.

Name: What is the theoretical value of a warrant when the current price of the stock is $10 and the exercise price is $8? The exchange ratio is three shares for each warrant.
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The theoretical value of a warrant can be calculated as [(Current Price of Stock - Exercise Price) * Exchange Ratio]. Here, it is [(10 - 8) * 3] = 2 * 3 = $6.

What Is the Theoretical Value of a Warrant When the Current