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bachelor in business administration
Polytechnic State University Sanluis
Jan-2006 - Nov-2010
CPA
Polytechnic State University
Jan-2012 - Nov-2016
Professor
Harvard Square Academy (HS2)
Mar-2012 - Present
SMG Corporation sold 20 million shares of common stock in a seasoned offering. The market price of the company’s shares, immediately before the offering, was $14.75. The shares were offered to the public at $14.50, and the underwriting spread was 4 percent. The company’s expenses associated with the offering were $7.5 million. How much new cash did the company receive?
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of -----------sha-----------res----------- so-----------ld -----------in -----------sea-----------son-----------ed -----------off-----------eri-----------ng -----------= 2-----------0,0-----------00,-----------000----------- Sh-----------are----------- pr-----------ice----------- be-----------for-----------e t-----------he -----------off-----------eri-----------ng -----------= $-----------14.-----------75 -----------Off-----------er -----------pri-----------ce -----------= $-----------14.-----------50 -----------Und-----------erw-----------rit-----------ing----------- sp-----------rea-----------d %----------- = -----------4% -----------Und-----------erw-----------rit-----------ing-----------