Apple stock is currently trading for $36 per share, there are 10 million shares outstanding and I own currently own 15% of the outstanding shares. Apple is planning a $100 million SEO; 80% of the shares will be new or primary shares and the other 20% are secondary shares. Apple expects the stock price to drop 3% upon announcing the SEO. Assuming that I did not buy or sell any shares in the SEO, then what percentage of Apple will I own after the SEO?

a.

10.0%

b.

11.1%

c.

12.2%

d.

15.0%

e.

None of the above.