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Question 1. A form of underwriting: firm-commitment cash offer A company needs to raise $25 million to finance a new project. The company will sell
Question 1. A form of underwriting: firm-commitment cash offer A company needs to raise $25 million to finance a new project. The company will sell new shares of equity via general cash offering to raise the needed funds. Additional fees and administrative expenses associated with the offering are $750,000. The offer price will be $20 per share and the company's underwriters will charge a 10% spread. Q: how many shares need to be sold
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