219 B/s 0.78 5:12 PM Given the following case, answer questions 21 to 25 below: Wandou Inc. is a leading Chinese manufacturing company that provides a wide range of home, office and garden future. It wants to expand its business internationally. The proposed expansion would require the firm to raise about $15 million in new capital. Because Wandou currently has a debt aatio of 45% and because current shareholders already have all their personal wealth invested in the company, they would like to sell common stock to the public to raise the 15 million. However, the current shareholders want to retain voting control. The estimated pre-IPO value of equity of the company is about 565 million and there are 65 million of existing shares of stock held by current shareholders. The investment bank will charge a spread. 21. To net $15 million, what is the total value of stocks that must be sold (approximately)? * $13.950 million $6.750 million $15.850 million $16.129 million None of the above 22. What percentage of shares will O 183 B/s 101% 178 5:13 PM 22. What percentage of shares will the new investors require? * 20.16% 18.87% O 17.89% 16.98% None of the above 23. How many shares will the new investors require (approximately)? * O 1,641,414 shares 1,416,276 shares 1,850,450 shares 1,960,753 shares None of the above 48.9 K/s 078) 5:13 PM 24. What is the estimated offer price per share? * $8.50 $9.75 $4.77 $9.01 None of the above 25. What is the total post-IPO value of equity?* $80 million $78.95 million $86.23 million $75 million None of the above Daca 219 B/s 0.78 5:12 PM Given the following case, answer questions 21 to 25 below: Wandou Inc. is a leading Chinese manufacturing company that provides a wide range of home, office and garden future. It wants to expand its business internationally. The proposed expansion would require the firm to raise about $15 million in new capital. Because Wandou currently has a debt aatio of 45% and because current shareholders already have all their personal wealth invested in the company, they would like to sell common stock to the public to raise the 15 million. However, the current shareholders want to retain voting control. The estimated pre-IPO value of equity of the company is about 565 million and there are 65 million of existing shares of stock held by current shareholders. The investment bank will charge a spread. 21. To net $15 million, what is the total value of stocks that must be sold (approximately)? * $13.950 million $6.750 million $15.850 million $16.129 million None of the above 22. What percentage of shares will O 183 B/s 101% 178 5:13 PM 22. What percentage of shares will the new investors require? * 20.16% 18.87% O 17.89% 16.98% None of the above 23. How many shares will the new investors require (approximately)? * O 1,641,414 shares 1,416,276 shares 1,850,450 shares 1,960,753 shares None of the above 48.9 K/s 078) 5:13 PM 24. What is the estimated offer price per share? * $8.50 $9.75 $4.77 $9.01 None of the above 25. What is the total post-IPO value of equity?* $80 million $78.95 million $86.23 million $75 million None of the above Daca