Determine lajolla securities profit on the offering

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Reference no: EM131328351

LaJolla Securities Inc. specializes in the underwriting of small companies. The terms of a recent offering were as follows

Number of shares	2 million
Offering Price	$ 25 per share
Net Proceeds	$ 45 million

LaJolla Securities' expenses, associated with the offering, were $500,000. Determine LaJolla Securities' profit on the offering if, immediately after the offering began, the secondary market price of each share was as follows:
a. $23 per share

b. $25 per share

c. $28 per share

Reference no: EM131328351

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