Scott's company decided that they would like to sell more common stock via a rights offering. Scott's company has the following characteristics:

Current # of shares outstanding = 12,000,000 (with an additional 1,500,000 through a rights offering)

Each of Scott's existing shareholders will receive one right for each share currently held. Each right will allow each shareholder to purchase 0.125 shares (for each right held).

Scott's company has done well and its shareprice went from $23 to $50 per share (where it currently trades). The subscription price of the right is $45.

What is the theoretical value of the right using therights oncase.