Jaxson Smith is a rapidly growing technology ﬁrm. To fund its next growth phase, the ﬁrm needs to raise $1.2 million. The ﬁrm estimates that it can sell new shares of stock at a price of $55 a share.
The estimate for legal, accounting, and other costs related to the stock issue are $450,000. The
Underwriters' spread is 6.5 percent. How many shares of stock must Jaxson Smith sell to meet its
ﬁnancing need?

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The Answer of Jaxson Smith is a rapidly growing technology ﬁrm. To fund its next growth phase, the ﬁrm needs to raise $1.2 million. The ﬁrm estimates that it can sell new shares of stock at a price of $55 a share.
The estimate for legal, accounting, and other costs related to the stock issue are $450,000. The
Underwriters' spread is 6.5 percent. How many shares of stock must Jaxson Smith sell to meet its
ﬁnancing need?

Jaxson Smith Is a Rapidly Growing Technology ﬁRm