What was the market price of a share of stock before a rights issue if one share of new stock could be purchased at $100 for every four shares that were previously owned? The stock price after the successful rights issue was $200.
A) $150
B) $225
C) $241
D) $250 4x + 100 = $200 x 5
4x/4 = 900/4
Correct Answer:
Verified
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