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Use the Following Information to Answer the Question(s)below

Question 21

Multiple Choice

Use the following information to answer the question(s) below.
Wyatt Oil has 8 million shares outstanding and is about to issue 10 million new shares in an IPO.The IPO price has been set at $15 per share,and the underwriting spread is 6%.The IPO is a big success with investors,and the share price rises to $35 on the first day of trading.
-The amount that Wyatt Oil raised during the IPO is closest to:


A) $113 million.
B) $141 million.
C) $150 million.
D) $329 million.
E) $350 million.

Correct Answer:

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