The Redford Investment Company bought 90 Cinema Corp. warrants one year ago and would like to...

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The Redford Investment Company bought 90 Cinema Corp. warrantsone year ago and would like to exercise them today. The warrantswere purchased at $30 each, and they expire when trading ends today(assume there is no speculative premium left). Cinema Corp. commonstock is selling today for $59 per share. The exercise price is $36and each warrant entitles the holder to purchase two shares ofstock, each at the exercise price. a. If the warrants are exercisedtoday, what would the Redford Investment Company’s dollar profit orloss be? (Do not round intermediate calculations. Input your dollaranswer as a positive value rounded to the nearest whole dollar.) b.What is the Redford Investment Company’s percentage rate ofreturn?

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The Redford Investment Company bought 90 Cinema Corp. warrantsone year ago and would like to exercise them today. The warrantswere purchased at $30 each, and they expire when trading ends today(assume there is no speculative premium left). Cinema Corp. commonstock is selling today for $59 per share. The exercise price is $36and each warrant entitles the holder to purchase two shares ofstock, each at the exercise price. a. If the warrants are exercisedtoday, what would the Redford Investment Company’s dollar profit orloss be? (Do not round intermediate calculations. Input your dollaranswer as a positive value rounded to the nearest whole dollar.) b.What is the Redford Investment Company’s percentage rate ofreturn?