Assignment:
Barstow industrial supply has decided to raise 427.52 million in additional funding via a rights offering. the firm will issue one right for each share of stock outstanding. the offering consists of a total of $860,000 new shares. the current market price of the stock is $35. currently, there are 5.16 million shares outstanding. What is the value of one right? What formula would process this question and how is it used?
Provide complete and step by step solution for the question and show calculations and use formulas.