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Prahm Corp. wants to raise $3.2 million via a rights offering. The company currently has 420,000...

Prahm Corp. wants to raise $3.2 million via a rights offering. The company currently has 420,000 shares of common stock outstanding that sell for $35 per share. Its underwriter has set a subscription price of $20 per share and will charge the company a spread of 6 percent.

If you currently own 5,000 shares of stock in the company and decide not to participate in the rights offering, how much money can you get by selling your rights?
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