Idle Time Gaming, Inc., has reached the point where it needs several million dollars in order to expand and become the international company that it says it wants to be in its strategic plan. After consulting with an investment banker who is willing to underwrite the issue, it learned that investors will purchase the stock for $22/share. Idle Time will receive a smaller amount for each share that is sold.

Question

Quizplus · Accepted Answer

This is true based on the information given in the scenario. The investors will purchase the stock for $22/share and Idle Time will receive a smaller amount for each share that is sold.