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In 2001, Sony. Inc makes a rights issue at a subscription price of $5 a share. One new share can be purchased for every four

In 2001, Sony. Inc makes a rights issue at a subscription price of $5 a share. One new share can be purchased for every four shares held. Before the issue there were 9 million shares outstanding, and the share price was $7.8

A) What is the expected stock price after the rights are issued?

b) What was the value of the right to buy one new share?

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