In determining control,'potential voting rights':
A) include those rights embedded in such instruments as share call options and share warrants.
B) which are currently exercisable should be taken into account.
C) even if they are not currently exercisable should be taken into account.
D) include those rights embedded in such instruments as share call options and share warrants and which are currently exercisable.

Question

Quizplus · Accepted Answer

Potential voting rights include those rights embedded in instruments such as share call options and share warrants, and these should be taken into account, especially if they are currently exercisable. Therefore, option D, which includes both of these factors, is the best choice.

In Determining Control,'potential Voting Rights