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You are negotiating with your underwriters in a firm commitment offering of 10 million primary shares. You have two options: set the IPO price at

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You are negotiating with your underwriters in a firm commitment offering of 10 million primary shares. You have two options: set the IPO price at $20.00 per share with a spread of 6%, or set the price at $19.40 per share with a spread of 4%. Which option raises more money for your firm? The net price to the firm of the first option is \$ (Round to the nearest cent.)

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