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XYZ, Inc., has issued 13 million new shares of stock. An investment bank agrees to underwrite these shares on a best efforts basis. The investment
XYZ, Inc., has issued 13 million new shares of stock. An investment bank agrees to underwrite these shares on a best efforts basis. The investment bank is able to sell 10.3 million shares for $29 per share, and it charges XYZ $0.770 per share sold.
a. | How much money does XYZ receive after commission? (Enter your answer in dollars not in millions. Do not round intermediate calculations.) |
b. | What is the profit to the investment bank? (Enter your answer in dollars not in millions. Do not round intermediate calculations.) |
c. | What is the stock price of XYZ? |
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