C. Ebay, Inc. went public in September of 1998. The following information on shares outstanding was listed in the final prospectus filed with the SEC. In the IPO, the Ebay issued 5,500,000 new shares. The initial price to the public was $20.00 per share. The final first-day closing price was $55.88. If the investment bankers retained $2.50 per share as fees, what was the net proceeds to Ebay? What was the market capitalization of new shares of Ebay (5 Marks) D. Consider two firms, Ying Corporation and Yang Corporation. Both corporations will either make $50 million or lose $20 million every year with equal probability. The only difference is that firms' profits are perfectly negatively correlated. That is, any year Yang Corporation earns $50 million, Ying Corporation loses $20 million, and vice versa. Assume that the corporate tax rate is 34%. What are the total expected after-tax profits if the two firms' when they are two separate firms? What are the expected after-tax profits if the two firms are combined into one corporation called Ying-Yang Corporation, but are run as two independent divisions? (Assume it is not possible to carry back or forward any loses)