Match Group went public in November 2018. The company sold 19,833,333 shares at $15.2 per share. The underwriting spread was $2.26 a share, and the direct expenses were $0.37 a share. a. What was the percentage underwriting spread? (Enter your answer as a percent rounded to 1 decimal place.) Underwriting spread percentage b. How much did the company raise after all expenses? (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Company raised c. On its first day of trading the stock closed at $19.54. Calculate the total dollar cost of underpricing. (Enter your answer in dollars not millions. Round your answer to the nearest dollar.)
Match Group went public in November 2018. The company sold 19,833,333 shares at $15.2 per share. The underwriting spread was $2.26 a share, and the direct expenses were $0.37 a share. a. What was the percentage underwriting spread? (Enter your answer as a percent rounded to 1 decimal place.) Underwriting spread percentage b. How much did the company raise after all expenses? (Enter your answer in dollars not millions. Round your answer to the nearest dollar.) Company raised c. On its first day of trading the stock closed at $19.54. Calculate the total dollar cost of underpricing. (Enter your answer in dollars not millions. Round your answer to the nearest dollar.)
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 55E: Rebert Inc. showed the following balances for last year: Reberts net income for last year was...
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