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A Stock Is Trading Ex Rights; the Market Price Per

Question 129

Multiple Choice

A stock is trading ex rights; the market price per share of the common stock is $80; the subscription price is $62; and the number of rights is 5. Calculate the approximate value of a right.


A) $3.60
B) $2.00
C) $3.00
D) $2.50

Correct Answer:

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