Which of the Following Is True About Warrants

question 40

Multiple Choice

Which of the following is true about warrants?

• A) As the market value of a warrant increases,so does the premium.
• B) A rising share price is usually followed by an increase in the price of the warrant.
• C) Warrants guarantee a return for the holder.
• D) Warrant premiums are independent of the market price of shares.

---

Definitions:

Relationship Era

A period in marketing focusing on creating and maintaining long-term relationships with customers for sustained business success.

Individual Customers

Clients or consumers who purchase goods or services for personal use, as opposed to organizational or business clients.

Geriatric Division

A dedicated branch of a healthcare institution or service focused on the medical care and treatment of elderly patients.

Pharmaceutical Company

An enterprise that develops, produces, and markets drugs or pharmaceuticals for use as medications.