8. Blaine and Company is the managing investment banker for a major new underwriting.

The price of the stock to the investment banker is $24 per share. Other syndicate members may buy the stock for $24.30. The price to the selected dealers group is $24.90, with a price to brokers of $25.32. The price to the public is $25.60.

a. If Blaine and Company sells its shares to the dealer group, what will be the percentage return?

b. If Blaine and Company performs the dealer’s function also and sells to brokers, what will be the percentage return?

c. If Blaine and Company fully integrates its operation and sells directly to the public, what will be the percentage return?