Dusty Corporation is issuing an IPO with an issue price of​ $15 per share that is expected to raise about​ $100 million. Which of the following is likely to be​ true? A.The cost of the IPO to Dusty will be about​ $7 million. B.The price of the stock will be less than​ $15 at the close of the first trading day. C.The stock will perform very well in the three to five years after the issue. D.None of the above is likely to happen

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Dusty Corporation is issuing an IPO with an issue price of​ $15 per share that is expected to raise about​ $100 million. Which of the following is likely to be​ true?

A.The cost of the IPO to Dusty will be about​ $7 million.

B.The price of the stock will be less than​ $15 at the close of the first trading day.

C.The stock will perform very well in the three to five years after the issue.

D.None of the above is likely to happen

.
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