when a company issues stock or shares to the public for the first time, it is referred to as Initial public offering performance When the demand for an initial public offering (IPO) of securities excited the number of securities bound, the offering is deemed to be Oversubscribed Underworbed WAC T. is going public and ring 100,000 shares of common stock. The cated in the 1Po will find the company proposed antion Dutch auctions used to allocate thares in the WAC IPO. The following table shows the number of shares regented by potential investere in each row bidder Nidder Bidder Number of shares Requested Price per Share 50.000 363 100,000 60 350.000 200,000 250.000 300,000 Hidders bide 6 WAC Inc. is going public and issuing 500,000 shares of common stock. The capital raised in the IPO will fund the company's proposed expansion. A Dutch auction is used to allocate shares in the WAC IPO. The following table shows the number of shares requested by potential investors in each row, Bids Bidder Price per Share $62 sidder 60 Bidder #3 Number of Shares Requested 50.000 100,000 150,000 200,000 250,000 300,000 58 Bidder #4 56 Bidder #5 54 Bidder 6 52 What should be the firm's IPO offer price? $56 $54 555 557 Grd Now Save & Continue