You are the CFO of a firm that is worth 10 million and you want to issue new shares. To protect current shareholders you issue one right per share. There are 100 shares outstanding. If every shareholder converts, which of the following conversion scheme will raise more money:

Group of answer choices

The amount raised does not depend on the conversion method.

New share = 5 rights + 5

New share = 10 rights + 5

New share = 1 rights + 2