Service charge so the total commission is 2995 a

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service charge, so the total commission is $29.95.a. Suppose that your total transaction costs for selling the 1,200 sharesof Twitter in December were $59.95. What was the bid/ask spread forTwitter at the time your trade was executed?b. Given that Twitter is listed on the NYSE, do your total transaction costsfor December seem reasonable? Explain why or why not.
c. When your February statement arrives in the mail, you see that yourtotal trans-action costs for buying the 1,200 shares of Twitter were$47.95. What was the bid/ask spread for Twitter at the time your tradewas executed?d. What are your total round-trip transaction costs for both selling andbuying the shares, and what could you have done differently to reducethe total costs?You could have executed thetrade yourself to save 29.95fee.
bid/ask spread)+broker commission.05 bid/ask spread.07 bid/spreadc and d are incorrect. Doublecheck your formulas.
a. Calculate the total proceeds for Netshoes’ IPO.188250000b. Calculate the dollar amount of the underwriting fee for Netshoes’ IPO.A Brazilian company calledNetshoes completed its IPO on April 12, 2017, and listedon the NYSE. Netshoes sold 8,250,000 shares of stock toprimary market investors at an IPO offer price of $18,with an underwriting dis-count of 6.5%. Secondarymarket investors, however, were paying only $16.10 pershare for Netshoes’ 31,025,936 shares of stockoutstanding.c. Calculate the net proceeds for Netshoes’ IPO.Initial public offeringA Brazilian company calledNetshoes completed its IPO on April 12, 2017, and listedon the NYSE. Netshoes sold 8,250,000 shares of stock toprimary market investors at an IPO offer price of $18,with an underwriting dis-count of 6.5%. Secondarymarket investors, however, were paying only $16.10 pershare for Netshoes’ 31,025,936 shares of stockoutstanding.
d. Calculate market capitalization for Netshoes’ outstanding stock.16.1
e. Calculate IPO underpricing for Netshoes’ IPO.
f. Explain the IPO underpricing for Netshoes.The underwriters overvalued the
$148,500,000.0018*6.5=1.17$9,652,500.0031025936 $499,517,569.60e stock compared to what the secondary market was willing to pay.
Complete the following problems from Chapters 1 and 2 in Principles of Managerial Finance:1. The Role of Managerial Finance: P1-1; P1-3; P1-4; P1-52. The Financial Markets: E2-4; P2-1; P2-2; P2-4Use Excel and the Chapters 1-2 Excel resource found at the end of each chapter of the textbook (if needed).Please show all work for each problem. Formatting for presentation of numbers and use of formulas should bYou are not required to submit this assignment to LopesWrite.
be clear, succinct, and properly labeled.
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Term
Spring
Professor
ProfessorWhite
Tags
Finance, Bankruptcy, Debt, Netshoes

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