Calculating Costs of Issuing Stock Paige's Purses, Inc. needs to raise $26.40 million to finance plant expansion. In discussions with its investment bank, Paige's learns that the bankers recommend an offer price (or gross proceeds) of $64 per share and Paige's will receive $48.50 per share. What is the underwriter's spread per share on the issue?

a) $64

b) $15.50

c) $0

d) $48.50