The Meadows Corporation needs to raise $62 million to finance its expansion into new markets. The company will sell new shares of equity via a general cash offering to raise the needed funds. The offer price is $50 per share and the company's underwriters charge a spread of 8 percent. If the SEC filing fee and associated administrative expenses of the offering are $675,000, how many shares need to be sold? (Do not round intermediate calculations and enter your answer in shares, not millions, rounded to the nearest whole number, e.g., 1,234,567.) Answer is complete but not entirely correct. 1,352,700 X Number of shares offered
The Meadows Corporation needs to raise $62 million to finance its expansion into new markets. The company will sell new shares of equity via a general cash offering to raise the needed funds. The offer price is $50 per share and the company's underwriters charge a spread of 8 percent. If the SEC filing fee and associated administrative expenses of the offering are $675,000, how many shares need to be sold? (Do not round intermediate calculations and enter your answer in shares, not millions, rounded to the nearest whole number, e.g., 1,234,567.) Answer is complete but not entirely correct. 1,352,700 X Number of shares offered
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
Problem 1PS
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Transcribed Image Text:The Meadows Corporation needs to raise $62 million to finance its expansion into new
markets. The company will sell new shares of equity via a general cash offering to raise
the needed funds. The offer price is $50 per share and the company's underwriters
charge a spread of 8 percent. If the SEC filing fee and associated administrative
expenses of the offering are $675,000, how many shares need to be sold? (Do not
round intermediate calculations and enter your answer in shares, not millions,
rounded to the nearest whole number, e.g., 1,234,567.)
> Answer is complete but not entirely correct.
Number of shares offered
1,352,700 X
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