PLEASE ANSWER ALL QUESTIONS

A company is going public at $16 and will use the ticker xyz. The underwriters will charge a 7 percent spread. The company is issuing 23 million shares, and insiders will continue to hold an additional 46 million shares that will not be part of the IPO. The company will also pay $2 million of audit fees, $3.5 million of legal fees, and $700,000 of printing fees. The stock closes the first day at $20. Answer the following questions: a. At the end of the first doy, what is the market copitalization of the compony? Enter your answer in millons, for example, an answer of $1,2 million should be entered as 1,2, not 1,200,000. Do not round intermediate calculations. Alound your answer to coe decimal place. milition b. What are the total costs of the offering? Include underpricing in this caiculation. Enter your answer in millions. For exampie, an answer of 31.2 million should be entered as 1.2. not 1,200,000. Do not round intermediste calculations. flound your answer to one decimal ploce. 5 milition