Question
An online medical advice company just completed an IPO with an investment bank on a firm-commitment basis. The firm issued five million shares of common
An online medical advice company just completed an IPO with an investment bank on a firm-commitment basis. The firm issued five million shares of common stock, and the underwriting fees were $2.60 per share. The offering price was $24.70 per share.
What were the total proceeds from the common-stock sale?
How much money did the company receive?
How much money did the investment bank receive in fees?
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Financial Management Theory And Practice
Authors: Eugene Brigham, Michael Ehrhardt, Jerome Gessaroli, Richard Nason
3rd Canadian Edition
017658305X, 978-0176583057
