A company needs to raise $40 million to finance a project.

Vendor: CIMA
Product: F3
Update on: Jan 9, 2026
Questions: 393

CIMA F3 Question Answer

A company needs to raise $40 million to finance a project. It has decided on a right issue at a discount of 20% to its current market share price.

There are currently 20 million shares in issue with a nominal value of $1 and a market price of $10.00 per share.

1 new share for every 25 existing shares

1 new share for every 4 existing shares

1 new share for every 5 existing shares

1 new share for every 20 existing shares

CIMA F3 Summary

Price: $52.5 ~~$149.99~~