DRK, Inc., has just sold 250,000 shares in an initial public offering. The underwriter's explicit fees were $150,000. The offering price for the shares was $30, but immediately upon issue, the share price jumped to $31.00. a. What is the total cost to DRK of the equity issue? Answer is complete but not entirely correct. Total cost $ 1,344,000 b. Is the entire cost of the underwriting a source of profit to the underwriters? Yes No