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Wyatt Oil has 8 million shares outstanding and is about to issue 1 0 million new shares in an IPO. The IPO price has been

Wyatt Oil has 8 million shares outstanding and is about to issue 10 million new shares in an IPO. The IPO price has been set at $15 per share, and the underwriting spread is 6%. The IPO is a big success with investors, and the share price rises to $35 on the first day of trading. The total cost to the firms original investors due to the market imperfections from the IPO is closest to:
A. $489 million
B. $280 million
C. $210 million
D. $141 million
E.105$ million

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