Stock price and value of right

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Reference no: EM131356355

A company’s stock currently sells for $93 per share. Last week the firm issued rights to raise new equity. To purchase a new share, a stockholder must remit $31 and 3 rights.

a. What is the ex-rights stock price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Stock price:

b. What is the price of one right? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Value of right:

Reference no: EM131356355

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