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DJ's Stock Currently Sells for $32 a Share

Question 14

Multiple Choice

DJ's stock currently sells for $32 a share.The firm has a rights offer outstanding for new equity shares with each current share receiving one right.To purchase one new share,you must submit two rights and $28.What is the ex-rights stock price?


A) $29.02
B) $31.64
C) $29.45
D) $30.67
E) $30.36

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