1. The process of determining the best offer price is called _____________________.

	A.	bodybuilding
	B.	team building
	C.	bookbuilding
	D.	pricebuilding

2. Jones Transportation currently has 500,000 shares of stock outstanding. The firm wants to expand its operations and has decided to issue $3 million in new equity through a rights offering. The subscription price will be $15 per share and each shareholder will receive one right for each share of stock they currently own. What does a current shareholder need to acquire one new share of stock in this offering?

	A.	$15
	B.	2.5 rights plus $15
	C.	1 right plus $15
	D.	1 right plus $37.50

3. Lendel Motors plans to raise $1.2 million in a rights offering. Under the terms of the offering, a current shareholder must submit $20 plus 4 rights to acquire one new share of stock. How many shares of stock are outstanding prior to the rights offer if shareholders are granted one right per share of stock currently owned?

	A.	15,000 shares
	B.	60,000 shares
	C.	180,000 shares
	D.	240,000 shares