How many new shares must the mitchell company sell in order


The Mitchell Company needs to raise $50 million of new equity capital. Its common stock is currently selling for $50 per share. The investment bankers require an underwriting spread of 3% of the offering price, and the company's legal, accounting and printing expenses associated with the seasoned offering are estimated to be $750,000. How many new shares must the Mitchell Company sell in order to net $50 million?

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Finance Basics: How many new shares must the mitchell company sell in order
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