Stanfield Inc.needs to raise $12.5 million in capital.The company's investment bankers recommend an offer price (or gross proceeds) of $15 per share; and Stanfield will receive $14 per share.How many shares of stock will Don's need to sell in order to receive the $12.5 million they need? Calculate the underwriter's spread on the issue.

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The Answer of Stanfield Inc.needs to raise $12.5 million in capital.The company's investment bankers recommend an offer price (or gross proceeds) of $15 per share; and Stanfield will receive $14 per share.How many shares of stock will Don's need to sell in order to receive the $12.5 million they need? Calculate the underwriter's spread on the issue.