"Company B, is a private company that designs, manufactures and distributes certain consumer products. in this fiscal year, Company B had revenues of $88 Millions of USDS and earnings of $45 of Millions of USDS. Company B has filed a registration statement with the SEC for its IPO. If the industry average Price/Earnings ratio and Price/Revenues ratio for the recent fiscal year were 20 and 0.9 respectively. Estimate the IPO orice for Company B using the Price/Earnings ratio and assuming that they will issue 22 Million shares." QUESTION 6 "Compary B4 is a private company that designs, manufactures and distributes certain consumer products. In this fiscal year, Company B had revenues of $88 Millions of USDS and earnings of $45 of Millions of USDS. COMpany B has filed a registration statement with the SEC for its 1PO, if the industry average Price/Earnings ratio and Price/Revenues ratio for the recent fiscal year were 20 and 0.9 respectively. Estimate the IPO price for Company 8 using the Price/Revenues ratio and assuming that they will issue 22 Million shares." QUESTION 7 "Consider the situation faced by the CFO of a company with a market capitalization of 5600 Millions of USD, e.g. the firm has 30 million shares outstanding so the shares are trading at $20 per share. The CFO needs to raise $300 Millions of USDS and announces a rights issue. Each exisung shareholder is sent 8 right for every share he or she owns. The CFO has not decided how many rights will be required to purchase a share of new stock. At the current price per share, what is the maximum amount of rights the CFO can require stockhoiders for purchasinn a share of new stock and so be able to raise the $300 Millions of uSDs