In a recently announced rights offer, Gregory Limited (GRG Ltd) made an offer to its existing shareholders to subscribe for two new ordinary shares at $24 (per share) for every five shares already held. Just before the rights offer announcement, GRG Ltd traded at $28 per ordinary share. \begin{tabular}{l|l|} \hline What is the theoretical value of one right? (Note: round your & Choose... \\ answer to two decimal places) & $0.67 \\ \hline What is the value of the right per each ordinary share held by an & $120.00 \\ existing shareholder? (Note: round your answer to two decimal & $2.50 \\ places) & $24.00 \\ Shareholder Mr Baz Pickett owns 20 ordinary shares in GRG Ltd & $4.00 \\ before the rights offer announcement. Mr Pickett intends to & $2.86 \\ participate in this offer and will subscribe for all shares he is & $1.00 \\ entitled to. & $10.00 \\ \hline What is the total amount Mr Pickett will need to pay for the new & $0.13 \\ ordinary shares he intends to buy via this rights offer? & $3.50 \\ \hline \end{tabular}