The Wiley Oakley Co. has just gone public. Under a firm commitment agreement, th

Question

The Wiley Oakley Co. has just gone public. Under a firm commitment agreement, the company received $21.35 for each of the 6.62 million shares sold. The initial offering price was S23.20 per share, and the stock rose to $29.71 per share in the first few minutes of trading. The company paid $912,000 in legal and other direct costs and $187,000 in indirect costs. What is the net amount raised? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g. 1,234,567. Round your answer to the nearest whole number, e.g., 32.) Net amount raised What are the total direct costs? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g., 1,234,567. Round your answer to the nearest whole number, e.g., 32.) Direct costs What are the total indirect costs? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g. 1,234,567 Round your answer to the nearest whole number, e.g. 32.) Indirect costs What are the total costs? (Do not round intermediate calculations. Enter your answer in dollars, not millions of dollars, e.g., 1,234,567. Round your answer to the nearest whole number, e.g., 32.) Total costs What was the flotation cost as a percentage of funds raised? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g.. 32.16.) Flotation cost percentage

Explanation / Answer

Net amount raised $ 141,337,000 6620000*21.35 Direct costs $    12,247,000 6620000*(23.2-21.35) Indirect costs $       1,099,000 912000+187000 Total costs $    13,346,000 12247000+1099000 Flotation cost percentage 8.69% 13346000/(6620000*23.2)

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