Green Tractor needs to raise $30 to expand their distribution network. They will selling equity for...
Green Tractor needs to raise $30 to expand their distribution network. They will selling equity for cash to raise this money. If the underwriting spread they will pay is 8.8%, and they will have to pay $2 million in filing fees, how many dollars of equity do they need to sell?
Homework Answers
Suppose Gross Proceed from sale of equity is $X. Net Proceed to company can be computed with following equation:
Thus, Green Tractor need to sell $35,087,719.30 of equity to get $30,000,000.
Hope this will help, please do comment if you need any further explanation. Your feedback would be highly appreciated.
Add Answer to:
Green Tractor needs to raise $30 to expand their distribution
network. They will selling equity for...
Green Tractor needs to raise $43 to expand their distribution network. They will selling equity for...
Green Tractor needs to raise $43 to expand their distribution network. They will selling equity for cash to raise this money. If the underwriting spread they will pay is 6.3%, and they will have to pay $3 million in filing fees, how many dollars of equity do they need to sell?
Question 2 1 pts Green Tractor needs to raise $22 to expand their distribution network. They...
Question 2 1 pts Green Tractor needs to raise $22 to expand their distribution network. They will selling equity for cash to raise this money. If the underwriting spread they will pay is 5.2%, and they will have to pay $2 million in filing fees, how many dol lars of equity do they need to sell?
A company is planning a new plant and needs to raise (net of underwriting cost) $14.25...
A company is planning a new plant and needs to raise (net of underwriting cost) $14.25 million to finance it. The company plans to raise the money through a general cash offering priced at an offer price of $5 a share. The underwriters charge a 5 per cent spread. How many shares does the company have to sell to achieve its goal (in millions to three decimal places)? (Hint: required amount/(1-spread) = issue amount) Select one: a. 3.000 b. 15.789...
The Elkmont Corporation needs to raise $63.8 million to finance its expansion into new markets. The...
The Elkmont Corporation needs to raise $63.8 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 $22 per share and the company's underwriters charge a spread of 7.5 percent. The SEC filing fee and associated administrative expenses of the offering are $1,450,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
The Sullivan Co. needs to raise $78 million to finance its expansion into new markets. The...
The Sullivan Co. needs to raise $78 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 $31 per share and the company's underwriters charge a spread of 7 percent. The SEC filing fee and associated administrative expenses of the offering are $1,425,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
Item 5 Item 5 The Elkmont Corporation needs to raise $63.8 million to finance its expansion...
Item 5 Item 5 The Elkmont Corporation needs to raise $63.8 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 $22 per share and the company’s underwriters charge a spread of 7.5 percent. The SEC filing fee and associated administrative expenses of the offering are $1,450,000. How many shares need to be sold? (Do not round intermediate calculations and...
The Educated Horses Corporation needs to raise $40 million to finance its expansion into new markets....
The Educated Horses Corporation needs to raise $40 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 $30 per share and the company's underwriters charge an 8 percent spread. If the SEC filing fee and associated administrative expenses of the offering are $1,080,000, how many shares need to be sold? (Do not round your intermediate calculations.) O 1,488,406 O...
The Elkmont Corporation needs to raise $63.8 million to finance its expansion into new markets. The company will sell n...
The Elkmont Corporation needs to raise $63.8 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 $22 per share and the company's underwriters charge a spread of 7.5 percent. The SEC filing fee and associated administrative expenses of the offering are $1,450,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
A company is planning a new plant and needs to raise (net of underwriting cost) $18.6 million to finance it. The company...
A company is planning a new plant and needs to raise (net of underwriting cost) $18.6 million to finance it. The company plans to raise the money through a general cash offering priced at an offer price of $4 a share. The underwriters charge a 7 per cent spread. How many shares does the company have to sell to achieve its goal (in millions to three decimal places)? (Hint: required amount/(1-spread) = issue amount) Select one: a. 5.000 b. 21.505...
The Scandrick Corporation needs to raise $80 million to finance its expansion into new markets. The...
The Scandrick Corporation needs to raise $80 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 $35 per share and the company’s underwriters charge a spread of 5 percent. If the SEC filing fee and associated administrative expenses of the offering are $600,000, how many shares need to be sold? (Do not round intermediate calculations and enter your answer...
Question 2 1 pts Green Tractor needs to raise $22 to expand their distribution network. They will selling equity for cash to raise this money. If the underwriting spread they will pay is 5.2%, and they will have to pay $2 million in filing fees, how many dol lars of equity do they need to sell?
The Elkmont Corporation needs to raise $63.8 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 $22 per share and the company's underwriters charge a spread of 7.5 percent. The SEC filing fee and associated administrative expenses of the offering are $1,450,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
The Sullivan Co. needs to raise $78 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 $31 per share and the company's underwriters charge a spread of 7 percent. The SEC filing fee and associated administrative expenses of the offering are $1,425,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
The Educated Horses Corporation needs to raise $40 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 $30 per share and the company's underwriters charge an 8 percent spread. If the SEC filing fee and associated administrative expenses of the offering are $1,080,000, how many shares need to be sold? (Do not round your intermediate calculations.) O 1,488,406 O...
The Elkmont Corporation needs to raise $63.8 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 $22 per share and the company's underwriters charge a spread of 7.5 percent. The SEC filing fee and associated administrative expenses of the offering are $1,450,000. How many shares need to be sold? (Do not round intermediate calculations and enter your answer in...
Most questions answered within 3 hours.
-
Homework: Create a Class.... from scratch
Design , implement and test a class that can be...
asked 6 minutes ago -
A project has a service life of five years with the initial
investment outlay of $200,000....
asked 2 minutes ago -
Employee develop involves longer term training and opportunities
that while not immediately needed on a current...
asked 2 minutes ago -
Why is the reticulum the affected compartment of the
stomach?
Group of answer choices
It has...
asked 4 minutes ago -
(Print distinct numbers) C++
Write a program that reads in 10 numbers and displays distinct
numbers...
asked 4 minutes ago -
A 3.0275 g sample of KHP (a primary standard, 1:1 acid:base,
FM=204.23 g/mol) is titrated with...
asked 10 minutes ago -
1. You need to make an aqueous solution of
0.165 M barium acetate for an
experiment...
asked 10 minutes ago -
Let X be a discrete random variable with the following PMF.
Px(k) =
1/4 for k...
asked 14 minutes ago -
ONLY use the information provided here on the
firm's Mission Statement. Written assessment must include
(1)...
asked 23 minutes ago -
2 Aliases
2a: Create an alias, numberfiles, which prints the number of
files in the current...
asked 31 minutes ago -
Hi so I'm currently using MIT App Inventor to create a app and I
wanted to...
asked 27 minutes ago -
Create a truth table for a 4-bit input where the output will be
a 1, if...
asked 30 minutes ago