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Question
The Bread Basket needs to raise $38 million to expand its operations nationally. The company will sell new shares of common stock using a general cash offering. The underwriters charge a 7.65 percent spread, the administrative costs are $395,000, and the offer price is $26 per share. How many shares of stock must be sold for The Bread Basket to receive the total funds it desires?
A. 1,599,059 shares
B. 1,638,311 shares
C. 1,647,222 shares
D. 1,814,141 shares
E. 1,833,333 shares
Answer
This answer is hidden. It contains 116 characters.
Related questions
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Which one of the following statements is correct?
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B. The longer the cash cycle, the more cash a firm typically has available to invest.
C. A firm would prefer a negative cash cycle over a positive cash cycle.
D. Decreasing the inventory period will also decrease the payables period.
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Which one of the following statements is true, all else constant?
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