4. ABC company just announced a rights offer. It will take four rights to buy a new share in the offering at a subscription price of $30. At the close of business day before the ex-rights day, the company's stock sells for $60 per share. The next morning you notice that the stock sells for $54 per share and the rights sell for $5 each. (20 points) (a) What is the ex-right price? (b) What is the value of a right? (c) Are the stock and/or rights correctly priced on the ex-right day? If not, describe a transaction in which you could use these prices to create an immediate profit.