The following material represents the cover page and summary of the prospectus for the initial public offering of the Pest Investigation Control Corporation (PICC), which is going public tomorrow with a firm commitment initial public offering managed by the investment banking firm of Erlanger and Ritter. Answer the following questions:

a. Assume that you know nothing about PICC other than the information contained in the prospectus. Based on your knowledge of finance, what is your prediction for the price of PICC tomorrow? Provide a short explanation of why you think this will occur.

b. Assume that you have several thousand dollars to invest. When you get home from class tonight, you find that your stockbroker, whom you have not talked to for weeks, has called. She has left a message that PICC is going public tomorrow and that she can get you several hundred shares at the offering price if you call her back first thing in the morning. Discuss the merits of this opportunity.

PROSPECTUS PICC

200,000 shares

PEST INVESTIGATION CONTROL CORPORATION

Of the shares being offered hereby, all 200,000 are being sold by the Pest Investigation Control Corporation, Inc. ("the Company"). Before the offering there has been no public market for the shares of PICC, and no guarantee can be given that any such market will develop.

These securities have not been approved or disapproved by the SEC, nor has the commission passed judgment upon the accuracy or adequacy of this prospectus. Any representation to the contrary is a criminal offense.

This is an initial public offering. The common shares are being offered, subject to prior sale, when, as, and if delivered to and accepted by the Underwriters and subject to approval of certain legal matters by their Counsel and by Counsel for the Company. The Underwriters reserve the right to withdraw, cancel, or modify such offer and to reject offers in whole or in part.
Erlanger and Ritter, Investment Bankers
July 13, 2016
Prospectus Summary
The Company The Pest Investigation Control Corporation (PICC) breeds and markets toads and tree frogs as ecologically safe insect-control mechanisms.
The Offering 200,000 shares of common stock, no par value.
Listing The Company will seek listing on NASDAQ and will trade over the counter.
Shares Outstanding As of June 30, 2016, 400,000 shares of common stock were outstanding. After the offering, 600,000 shares of common stock will be outstanding.
Use of Proceeds To finance expansion of inventory and receivables and general working capital, and to pay for country club memberships for certain finance professors.

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Price to Public Underwriting Discount Proceeds to Company $11.00 $2,200,000 $1.10 $220,000 $9.90 $1,980,000 Total Selected Financial Information (amounts in thousands except per-share data) As of June 30, 2016 Fiscal Year Ended June 30 2016 As Adjusted for This Offerin 2014 2015 Actual Revenues Net earnings Earnings per share $60.00 $120.00 $240.00 Working capital Total assets Stockholders' equity $1,96 3.80 01 15.90 04 511 423 36.10 2,464 23% 09