The number of shares that has to be sold. Introduction: The publically traded companies incur certain costs at the time of issuing new securities; it also includes various expenditures like registration fees, legal fees, and underwriting fees. Thus, these costs are referred to as the flotation costs.

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Chapter 15, Problem 6QP

Summary Introduction

To find: The number of shares that has to be sold.

Introduction:

The publically traded companies incur certain costs at the time of issuing new securities; it also includes various expenditures like registration fees, legal fees, and underwriting fees. Thus, these costs are referred to as the flotation costs.

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