Question
A company has 5 million ordinary shares in issue with a market price of 3.00 per share. The company is about to make a rights
A company has 5 million ordinary shares in issue with a market price of 3.00 per share. The company is about to make a rights issue that will give the right to buy one new share for 1.50 for every five shares held. What is the theoretical ex-rights price of the companys shares?
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Survey of Accounting
Authors: Edmonds, old, Mcnair, Tsay
2nd edition
9780077392659, 978-0-07-73417, 77392655, 0-07-734177-5, 73379557, 978-0073379555
