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please help me . ... ... The Andersons own two shares of Magic Tricks Corporations common stock. The market value of the stock is $62.
please help me . ... ...
The Andersons own two shares of Magic Tricks Corporations common stock. The market value of the stock is $62. The Andersons atso have $50 in cash. They have just recelved word of a nghts offering. One new share of stock can be purchased at $50 for each two shares currently owned (based on two rights). Note: Do not round intermediate calculations and round your answers to the nearest whole dollar. a. What is the value of a right? b. What is the value of the Andersons' portfolio before the rights offering? (Portfolio in this question represents stock plus cash) c-1. Compute the diluted value (ex-rights) per share. c.2. If the Andersons participate in the rights offering, what will be the value of their portfolio, besed on the diluted value (ex-rights) of the stock? d. If thiey selt their two rights but keep their stock at its diluted value and hold on to their cash, what will be the volue of their portfolio Step by Step Solution
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