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34. Suppose that your firm require net proceeds of $45 million from a new equity issue to finance its growth during the next two years.
34. Suppose that your firm require net proceeds of $45 million from a new equity issue to finance its growth during the next two years. The firm has arranged for a local investment banker to handle the equity issue. The arrangement calls for your firm to pay flotation costs equal to 6 percent of the total amount of the issue. Your firm also needs an additional $620,000 to cover other fees. How much equity must your firm issue to finance its future growth
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