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ANSWER PART 3 ! ! Batman Enterprises has just completed an initial public offering. The firm sold 2 , 4 0 0 , 0 0
ANSWER PART Batman Enterprises has just completed an initial public offering. The firm sold new shares the primary offering In addition, existing shareholders sold shares the secondary issue The new shares were offered to the public at $ per share and underwriters received a spread of $ a share. The legal, administrative, and other costs were $ and were split proportionately between the company and the selling stockholders.
ow much money did the company receive before paying its proportion of the direct costs?
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Suppose that on the first day of trading, the price of Batman's stock is $ per share. What is the cost to the firm from the underpricing?
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Given that the company receives $ from the issue before paying the direct costs and that the cost from underpricing is $ what are the total costs of the issue to the firm as a percentage of the funds raised the total amount paid by investors for the company's portion of the shares Enter your answer as a percentage. Do not include the percentage sign in your answer.
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