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A US corporation sold a warrant with an exercise price of $125. The market price was $100. Later, the market price changed to $150 and
A US corporation sold a warrant with an exercise price of $125. The market price was $100. Later, the market price changed to $150 and the warrant is exercised. Does the corporation issue the new shares at $125, or does it issue more shares at the current market price ($150) and take the loss?
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy
10th Canadian Edition Volume 2
1118300858, 978-1118300855
