Problem 13.9

Myriad Biotech plans a $100 million IPO in which the offering price to the public will be $51 per share. The company will receive $47.50 per share. The firms legal fees, SEC registration fees, and other out-of-pocket costs will total $350,000. If the stock price increases 14 percent on the first day of trading, what will be the total cost of issuing the securities? (Round answer to the nearest whole dollar, e.g. 5,275.)

Total cost

$