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Wellington Jumbo Crab's stock currently sells for $70 per share with 1 million shares outstanding. The company wants to raise new equity using rights offer.

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Wellington Jumbo Crab's stock currently sells for $70 per share with 1 million shares outstanding. The company wants to raise new equity using rights offer. To purchase a new share, a stockholder must remit $30 and four rights. How much fund would the company raise with the offering? $0.25 million $1 million $7.5 million $1.25 million

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