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Winter's Edge needs $45 million to finance a new facility and new snow removal equipment. The management has met with underwriters who feel that the
Winter's Edge needs $45 million to finance a new facility and new snow removal equipment. The management has met with underwriters who feel that the firm could sell additional shares of stock at $26 a share with an 8% underwriting spread. The estimated issue costs are $475,000. How many shares of stock will Winter's Edge need to sell if they choose firm commitment underwriting for their new facility and equipment? 1,749,038 shares 1,871,471 shares 1,901,129 shares 1,948,718 shares 2,053,219 shares
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