Youngwood's Wants to Raise $3

Youngwood's wants to raise $3.2 million for an expansion project by issuing new equity shares.Management estimates the issue will cost the firm $246,000 for direct issue costs.The underwriting spread is 7.75 percent and the issue price is $14 per share.How many shares of stock must be sold if the firm is to receive sufficient funds for the expansion?

A) 265,219 shares
B) 266,822 shares
C) 266,150 shares
D) 265,345 shares
E) 264,807 shares