Calculating flotation costs

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Reference no: EM131579961

Calculating Flotation Costs: The Elkmont Corporation needs to raise $52.5 million to finance its expansion into new markets. The company will sell new shares of equity via a general cash offering to raise the needed funds. If the offer price is $21 per share and the company's underwriters charge a spread of 7.5 percent, how many shares need to be sold?

Reference no: EM131579961

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