You need to choose between making a public offering and arranging a private placement. In each case, the issue involves $9 million face value of 10 year debt You have the following data for each: A public issue. The interest rate on the debt would be 7.9%, and the debt would be issued at face value. The underwriting spread would be 1.7%, and other expenses would be $70,000. A private placement. The interest rate on the private placement would be 8.4%, but the total issuing expenses would be only $20.000. Required: a-1. Calculate the net proceeds from public issue. a-2. Calculate the net proceeds from private placement. b-1. Calculate the PV of the extra interest on the private placement. b-2. Other things being equal, which is the better deal? Complete this question by entering your answers in the tabs below. Req ai and a2 Reg b1 and b2