In the previous problem, if the OSC filing fee and associated administrative expenses of the offering are

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In the previous problem, if the OSC filing fee and associated administrative expenses of the offering are $900,000, how many shares need to be sold?


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The Cresthaven Horses Corporation needs to raise $85 million to finance its expansion into new markets. The company will sell new shares of equity via a general cash offering to raise the needed funds. If the offer price is $16 per share and the company’s underwriters charge an 8 percent spread, how many shares need to be sold?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Fundamentals of Corporate Finance

ISBN: 978-0071051606

8th Canadian Edition

Authors: Stephen A. Ross, Randolph W. Westerfield

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