Question
Silterra Company is proposing a right offering.There are 100,000 outstanding shares at $30 each.The company is seeking an additional funds of $400,000 and the subscription
Silterra Company is proposing a right offering.There are 100,000 outstanding shares at $30 each.The company is seeking an additional funds of $400,000 and the subscription price is set at $20 per share.
Find ex-rights price.
Find the value of a right.
Find the new market value of a company.
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International Financial Management
Authors: Geert Bekaert, Robert Hodrick
3rd edition
1107111820, 110711182X, 978-1107111820
