In 2010, Pandora, 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 11 million shares outstanding, and the share price was $9.5.

a. What is the total amount of new money raised? (Round your answer to 2 decimal places.) Total amount of money raised $ million

b. What is the expected stock price after the rights are issued? (Round your answer to the nearest cent.) Expected stock price per share $