Hi could you please answeer the following question step by step please.

14. Private Placements. You need to choose between making a public offering and arranging a private placement. In each case the issue involves $10 million face value of 10-year debt. You have the following data for each: (L01 5 -4) - A public issue: The interest rate on the debt would be 8.5%, and the debt would be issued at face value. The underwriting spread would be 1.5%, and other expenses would be $80,000. 0 A private placement: The interest rate on the private placement would be 9%, but the total issuing expenses would be only $30,000. a. What is the difference in the proceeds to the company net of expenses? Other things being equal, which is the better deal? . What other factors beyond the interest rate and issue costs would you wish to consider before deciding between the two offers? 0.0\