1. A company requires funds to expand, and decides to issue a rights offering. You have gathered the following information:
2. 
   
3. Number of shares outstanding 11,000,000 
4. 
   
5. Market price per share $28.00 
6. 
   
7. New shares to be issued 1,100,000 
8. 
   
9. Subscription price per share $25.00 
10. 
    
11. Required : 
12. How many rights are required to buy each share? What should the ex-rights price of a share be? How many shares can you purchase by exercising your rights? (round all to 2 decimal places)