For short-answer questions, provide your answers and
explanations. For numerical questions, it is important to show your
work.
In March 2020, Snow Fun, Inc., made a rights issue at a
subscription price of $10 a share. One new share can be purchased
for every 3 shares held. Before the issue, there were 12 million
shares outstanding, and the share price was $15.
(1) What is the total amount of new money raised?
(2) What is the expected stock price after...