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Wind Power Corp. has $8 million in earnings with 3 million shares outstanding. Investment bankers think the stock can justify a P/E ratio of 25.

Wind Power Corp. has $8 million in earnings with 3 million shares outstanding. Investment bankers think the stock can justify a P/E ratio of 25. If the underwriting spread is 5 percent. Required:

A. What should the price to the public be? (Round the final answer to 2 decimal places.)

B. What would the firm net? (Round the final answer to 2 decimal places.)

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