increase/decrease..

reduce/ magnifies

Suppose ReapingTheBenefits Corp. (RTB) is one of the largest investment banking firms on Wall Street. VisionStone Corp. hired RTB as the underwriter for its IPO. RTB has set the offering price of the share to $35 per share. The underwriters will charge a 5.80% underwriting spread. How many shares must the company sell to net $73,000,000-ignoring any other expenses? (Note: Do not round intermediate calculations. Round your final answer to the nearest whole number.) 3,099,788 shares 2,214,134 shares 2,085,714 shates 2,656,961 shares Consider the case of Linkedin Corp.: In May 2011, Linkedin issued its IPO, which was priced at $45 a share. On the first day of trading, it hit a high of $122.70. After six. months of its IPO, the company's stock was tradino at double the price of its IPO. There are several theories that explain ipo underpricing. One of them is that underpricing the likelihood of oversubscription, which the risk to the underwriter