Problem:
Deere and Bros. is a broker that brings new issues of small firms to the public market. Their most recent deal for Dextra, Inc., had the following characteristics: Number of shares: 1,200,000 Proceeds to Dextra: 13,330,000 Price to public: $20 per share; The legal fees were $152,000, printing costs were $56,000, and all the other expenses were $71,000.
Required:
Question: What is the profit or loss for Deere and Bros.?