Problem 15-6 Calculating Flotation Costs [LO3]
8.
Required proceeds=(84,000,000+SEC filing fee and associated administrative expenses)/(1-spread)
=(84,000,000+850,000)/(1-0.07)
=91236559.1
Hence required shares needed=91236559.1/50
=1824731 shares(Approx).
Problem 15-6 Calculating Flotation Costs [LO3] 8. The Whistling Straits Corporation needs to raise $84 million...
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