Essentials of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
Essentials of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate)
9th Edition
ISBN: 9781259277214
Author: Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Bradford D Jordan Professor
Publisher: McGraw-Hill Education
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Chapter 15, Problem 5QP
Summary Introduction

To find: The number of shares that has to be sold.

Introduction:

The publically-traded companies incur certain costs at the time of issuing new securities; that would include various expenditures like registration fees, legal fees, and underwriting fees. These costs are referred to as the flotation costs.

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