Question
1.Oracle Corp is planning to issue stock to finance a new operations facility, the projected cost of the facility is $185 million, additional flotation costs
1.Oracle Corp is planning to issue stock to finance a new operations facility, the projected cost of the facility is $185 million, additional flotation costs are $1,000,000 and the underwriter's fee is 7%.
a.What will be the size of Oracle's stock offering?
b.How many shares of stock will Oracle issue if the stock sells for $80 per share?
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Options Futures and Other Derivatives
Authors: John C. Hull
10th edition
013447208X, 978-0134472089
