Corporate Finance
3rd Edition
ISBN: 9780132992473
Author: Jonathan Berk, Peter DeMarzo
Publisher: Prentice Hall
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Question
Chapter 23, Problem 13P
a.
Summary Introduction
To determine: The expected total amount that a firm raised from the IPO.
Introduction:
When a company sells its share publically in an open market for the first time, it is known as initial public offering (IPO) or going public. It is undertaken by business to raise capital of expansions of their business.
b.
Summary Introduction
To determine: The market value of the firm after the IPO.
c.
Summary Introduction
To determine: The share price in the particular situation.
d.
Summary Introduction
To determine: The total cost to the original investors due to market imperfection from the IPO.
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Check out a sample textbook solutionChapter 23 Solutions
Corporate Finance
Ch. 23.1 - Prob. 1CCCh. 23.1 - Prob. 2CCCh. 23.2 - Prob. 1CCCh. 23.2 - Prob. 2CCCh. 23.3 - List and discuss four characteristics about IPOs...Ch. 23.3 - Prob. 2CCCh. 23.4 - Prob. 1CCCh. 23.4 - What is the average stock price reaction to an...Ch. 23 - Prob. 1PCh. 23 - What are the advantages and the disadvantages to a...
Ch. 23 - Prob. 3PCh. 23 - Suppose venture capital firm GSB partners raised...Ch. 23 - Prob. 5PCh. 23 - Prob. 6PCh. 23 - Prob. 7PCh. 23 - Prob. 8PCh. 23 - Prob. 9PCh. 23 - Prob. 10PCh. 23 - Prob. 11PCh. 23 - Prob. 12PCh. 23 - Prob. 13PCh. 23 - Prob. 14PCh. 23 - Prob. 15PCh. 23 - Prob. 16PCh. 23 - Prob. 17P
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