1) Alco Metals just sold 2.5million shares through an IPO offering. The shares were offered at $25.50 a share and all shares were sold. The firm received a total of $67,250,000 for this issue. What was the spread?
2) In a recent IPO, the Sausage Co. offered 1.4 million shares of stock at an offer price of $16 a share. The underwriting was conducted on a best efforts basis with a spread of 7.0 percent. The Sausage Co. received a total of $20,079,868.00 in sale proceeds. How many shares were sold?
3) A best efforts IPO underwriting consisted of 2.2 million shares at an offer price of $17 a share. The underwriter's fee was set at 6.65 percent. How many shares were sold if the issuer received $31,926,260.10?
4) A price-weighted index consists of stocks A, B and C which are priced at $38,,$21,and $26 a share, respectively. The current index divisor is 2.7. What will the next index divisor be if stock B undergoes a 3-for-1 stock split?
5) A price-weighted index consists of stocks A, B and C which are priced at $27,$11,and $18 a share, respectively. The current index divisor is 2.24. If stock B undergoes a 1-for-3 reverse stock split, the new index divisor will be: