1. The owner of Gator airlines wishes to take her stock public for the rst time by selling 3 million shares. The underwriter determines that the true value will be $15 with probability .4 and $8 with probability .6. There are a group of uninformed investors who are willing to buyr 5 million shares as long as they expect to at least break even on average. They also assess the probability of the true value of the shares being $15 with probability .3, and $8 with probability .6. There is a group of informed investors who always know whether the true value is $15 or $8. They are willing to order 2 million shares if the offer price is less than the true value. Calculate the highest offer price at which the errtire issue will always sell