The information applies to the following two questions:

An investment bank agrees to underwrite an issue of 15 million shares of stock for Looney Landscaping Corporation. Suppose that the investment bank agrees to underwrite on a best efforts basis. The investment bank is able to sell 13.5 million shares for $10.00 per share, and it charges Looney Landscaping Corporation $0.325 per share sold. What is the profit to the investment bank?

		$4,387,500
		$22,500,000
		$4,362,500
		$4,853,400

If the investment bank can sell the shares for only $8.50, what is the profit to the investment bank?

		$4,387,500
		$22,500,000
		$4,670,000
		$4,865,000