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please help A company needs to raise $75 million (this is the gross amount before costs come off) through an IPO. The company takes the
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A company needs to raise $75 million (this is the gross amount before costs come off) through an IPO. The company takes the advice of its underwriter and sets the IPO market price at $8.30 per share. The shares are underwritten at $7.40 per share. The out-of-pocket expenses are 5470,000 in total. Upon the success of the IPO, the closing price at the end of the first trading day is $9.80 per share. 1. Calculate the number of shares sold in the share offering. Do not include unit. Do not use comma separators. Eg. 123456 (1 mark) 2. Calculate the total underwriting spread in dollars. Round your answer to the nearest dollar. Do not include S. Do not use comma separators. Eg. 123456 (1 mark) 5 3. Calculate the total underpricing of all shares sold in the share offering, Round your answer to the nearest dollar. Do not include 5. Do not se comma separators. Eg. 123456 (1 mark) 4. Calculate the total cost for the IPO. Round your answer to the nearest dollar. Do not include $. Do not use comma separators. Eg. 123456 (1 mark)Step by Step Solution
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