# Question

Assume there are 20 shares outstanding. Compute the value of the warrant and the share price for each of the following situations.

a. Warrants for 2 shares expire in 5 years and have a strike price of $15.

b. Warrants for 15 shares expire in 10 years and have a strike of $20.

a. Warrants for 2 shares expire in 5 years and have a strike price of $15.

b. Warrants for 15 shares expire in 10 years and have a strike of $20.

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