Question 1 of 8 <> -/1 View Policies Current Attempt in Progress Carla Vista Biotech management plans a $120 million IPO in which the offering price to the public will be $60 per share. The company will receive $47.50 per share. The firm's legal fees, SEC registration fees, and other out-of-pocket costs will total $550,000. If the stock price increases 14 percent on the first day of trading, what will be the total cost of issuing the securities? Total cost $ eTextbook and Media Save for Later Attempts: 0 of 3 used Submit Answer I!
Question 1 of 8 <> -/1 View Policies Current Attempt in Progress Carla Vista Biotech management plans a $120 million IPO in which the offering price to the public will be $60 per share. The company will receive $47.50 per share. The firm's legal fees, SEC registration fees, and other out-of-pocket costs will total $550,000. If the stock price increases 14 percent on the first day of trading, what will be the total cost of issuing the securities? Total cost $ eTextbook and Media Save for Later Attempts: 0 of 3 used Submit Answer I!
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
Section: Chapter Questions
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Carla Vista Biotech management plans a $120 million IPO in which the offering price to the public will be $60 per share. The
company will receive $47.50 per share. The firm's legal fees, SEC registration fees, and other out-of-pocket costs will total $550,000.
If the stock price increases 14 percent on the first day of trading, what will be the total cost of issuing the securities?
Total cost
$
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