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A company has 12m shares in issue, with market value 3.10 each. The company decides to make a one-for-ten rights issue at 2.00 per share.

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A company has 12m shares in issue, with market value 3.10 each. The company decides to make a one-for-ten rights issue at 2.00 per share. What will be the value of rights per pre-existing share? (ignore issue costs) Select one alternative: 40p O 10p 30p 20p

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