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Rights Issue

4) The Holly Corporation has a new rights offering that allows you to buy one share of stock with 4 rights and $25 per share. The stock is now selling ex-rights for $30. The price rights-on is:

Please place in Excel.

Solution Preview

Please see the attached Excel File for format and formulas:

4) The Holly Corporation has a new rights offering that allows you to buy one share of stock with 4 rights and $25 per share. The stock is now selling ...

Solution Summary

Calculates the rights-on price of a stock.

$2.19