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i need A-C Authorized and avallable shares Aspin Corporation's charter authorizes issuance of 2,200,000 shares of common stock. Currently, 1,100,000 shares are outstanding, and 400,000
i need A-C
Authorized and avallable shares Aspin Corporation's charter authorizes issuance of 2,200,000 shares of common stock. Currently, 1,100,000 shares are outstanding, and 400,000 shares are being held as treasury stock. The firm wishes to raise $39,000,000 for a plant. expansion. Discussions with its investment bankers indicate that the sale of new cormmon stock will net the firm $30 per share. a. What is the maximum number of new shares of common stock that the firm can sell without receiving further authorization from sharaholders? b. Judging by the data given and your finding in part a, do you think the firm will be able to raise the needed funds without receiving further authorization? c. What must the firm do to obtain authorization to issue more than the number of shares found in part a? a. The maximum number of new shares of common stock that the firm can sell without roceiving further authorization is shares; (Round to the nearest whole number.) Step by Step Solution
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