Mitsi Inventory Systems, Inc., has announced a rights offer. The company has announced that it will take three rights to buy a new share in the offering at a subscription price of $39. At the close of business the day before the ex-rights day, the companys stock sells for $60 per share. The next morning, you notice that the stock sells for $52 per share and the rights sell for $3 each.

A) What price should the stock sell for ex-rights? (Do not round intermediate calculations and round your answer to 2 decimal places. (e.g., 32.16))

B) What is the value of the rights? (Do not round intermediate calculations.)

C) Are the rights underpriced or overpriced?