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Question on rights offering

Rights Offerings: Borkin, Incorporated is proposing a rights offering. Currently, there are 560,000 shares outstanding at $85 each. There will be 65,000 new shares offered at $84 each. Calculate each of the following:

The new market value of the company.
The number of rights that are associated with one of the new shares.
The ex-rights price.
The value of a right.

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Question on rights offering

Reference No:- TGS0554093

Have a Question? (oR Write a Review)

Recent Questions Asked Finance Basics

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Solution Preview :

Prepared by a verified Expert

Finance Basics: Question on rights offering

Reference No:- TGS0554093

Recent Questions Asked Finance Basics

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