Dean Drones Ltd., based in Hong Kong, has 1 million shares outstanding. The firm is planning on
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Dean Drones Ltd., based in Hong Kong, has 1 million shares outstanding. The firm is planning on issuing an additional 100,000 shares at an offer price of $5 by way of crowdfunding. They have engaged a crowdfunding company which has agreed to a commission of 4% of the amount raised. Dean Drones has also planned to sell another 25,000 shares to a venture capitalist, who will only invest if the crowdfunding is successful. However, he will pay 75% of the offer price. How much cash will Dean Drones raise from these share sales?
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Related Book For
Principles Of Managerial Finance Brief
ISBN: 9781292267142
8th Global Edition
Authors: Chad J. Zutter, Scott B. Smart
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