DDP has 120,000 shares of stock outstanding at a market price per share of $52.The firm plans a rights offering of 20,000 shares with an offer price of $46 a share.What will be the ex-rights stock price if each outstanding share is granted one right?
A) $51.10
B) $50.67
C) $51.14
D) $50.54
E) $51.40
Correct Answer:
Verified
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