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What is the subscription price

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Reference no: EM131837760

Please provide explanation:

Company XYZ is issuing 500,000 new shares in a rights offer. The company wants to ensure that the ex-rights share price is $75. Before the rights offer, the company has two million shares outstanding. If the rights were each priced at $10, what is the subscription price?

Select one:

a. $20

b. $25

c. $30

d. $35

e. $40

Reference no: EM131837760

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