Stock Warrants Multiple Choice Questions and Answers PDF

MCQ 1: The current market price of common stock is $15 and the conversion rate received on conversion is $320 to calculate:

1. 3800
2. 2800
3. 4800
4. 5800

MCQ 2: According to marketability feature, the bonds which are attached to stock warrants have:

1. decreased floatation
2. increased floatation
3. increased marketability
4. decreased marketability

MCQ 3: A financial guarantee ensure that the lander will be paid:

1. principle and interest
2. debt and cash
3. capital and profit
4. cash and interest

MCQ 4: The firms that attach bonds to the stock warrants are usually:

1. less discounted
2. more risky
3. less risky
4. more discounted

MCQ 5: If the price at which stock is purchased exceeds the market value then the stock warrants will:

1. be exercised
2. not be exercised
3. be discounted
4. not be discounted