Calculate the payoff of fully exercising warrants given the following: 900,000 existing shares are outstanding (n); 100,000

Question:

Calculate the payoff of fully exercising warrants given the following: 900,000 existing shares are outstanding (n); 100,000 warrants (m) are outstanding and are exercisable at $10 (X). The firm is valued at $10 million (V) before the warrants are exercised. Calculate the payoff to warrant holders and the dilution factor.