Warrants are generally created when
A) a firm decides to execute a stock split.
B) the issuing corporation decides to sweeten a bond issue.
C) a LEAP expires and automatically converts.
D) a financial institution decides to create them based on market conditions.

Question

Quizplus · Accepted Answer

Warrants are often issued by companies as an incentive to make a bond or preferred stock offering more attractive to investors. They give the holder the right to purchase the company's stock at a specific price before expiration.

Warrants Are Generally Created When