What will be the winning auction offer? price

Assignment Help Financial Management
Reference no: EM131297429

Roundtree Software is going public using an auction IPO. The firm has received the following? bids:

Price? ($) Number of Shares

14.60 140,000

14.40 280,000

14.20 540,000

14.00 1,200,000

13.80 1,240,000

13.60 860,000

13.40 440,000

Assuming Roundtree would like to sell 2.16 million shares in its? IPO, what will be the winning auction offer? price?

The price will be ?$ per share. ? (Round to the nearest? cent.)

Reference no: EM131297429

Questions Cloud

What is the current balance of the loan : You parents purchased their home 20 years ago. They financed over 30 years with a 6% fixed rate mortgage with monthly compounding and have been making monthly payments of $1,438.92. What is the current balance of the loan?
What fraction of the firm will you own after the? investment : You have started a company and are in lucklong dash—a venture capitalist has offered to invest. You own 100% of the company with 5.05 million shares. The VC offers $1.15 million for 770,000 new shares. What is the implied price per? share?  What is t..
Change in the bonds price in dollars and percentage terms : A $1,800 face value corporate bond with a 5.15 percent coupon (paid semiannually) has 10 years left to maturity. It has had a credit rating of BB and a yield to maturity of 7.2 percent. The firm recently became more financially stable and the rating ..
What was the percentage? underpricing : Your investment bankers price your IPO at $15.12 per share for 10.6 million shares. If the price at the end of the first day of trading is $16.97 per? share,  what was the percentage? underpricing? how much money did the firm miss out on due to? unde..
What will be the winning auction offer? price : Roundtree Software is going public using an auction IPO. The firm has received the following? bids: Assuming Roundtree would like to sell 2.16 million shares in its? IPO, what will be the winning auction offer? price?
What is the first? offers post-money valuation of the? firm : Your? start-up company needs capital. Right? now, you own 100% of the firm with 9.9 million shares. You have received two offers from venture capitalists. The first offers to invest $2.99 million for 1.05 million new shares. What is the first? offer'..
What is the implied price per share of this funding? round : Starware Software was founded last year to develop software for gaming applications. The founder initially invested $800,000 and received 88 million shares of stock.  How many shares must the venture capitalist receive to end up with 20% of the? comp..
According to the unbiased expectations theories : The Wall Street Journal reports that the rate on 8-year Treasury securities is 1.80 percent and the rate on 9-year Treasury securities is 2.35 percent. According to the unbiased expectations theories, what does the market expect the 1-year Treasury r..
What is its level of inventory : Soaring Eagles Corp. has total current assets of $11,478,000, current liabilities of $5,058,000 and a quick ratio of 0.87. What is its level of inventory?

Reviews

Write a Review

Financial Management Questions & Answers

  Assets should be financed with current liabilities

With regard to the Hedging Principal, which of the following assets should be financed with current liabilities?

  What is the effective annual yield

PK Software has 8 percent coupon bonds on the market with 23 years to maturity. The bonds make semiannual payments and currently sell for 109.25 percent of par. What is the effective annual yield?

  What is the after tax cash flow from sale of the property

A property is sold for 5,100,000 with selling costs of 3% sales price. The mortgage balance at the time of sale is 3,600,000 . The property was purchased 5 years ago for 4,820,000. Annual depreciation allowances of 153,016 have been taken. If the tax..

  Analysis of short-term financing

Rome Airlines is an Italian based firm that needs $350,000. It has no business in England but is considering one year financing with British pounds, because the annual interest rate would be 5 percent versus 10 percent in Italy. Assume that interest ..

  Predictions of the future returns on three mutual funds

Choosing One Portfolio. The following table shows your predictions of the future returns on three mutual funds. Treasury Bills currently earn 4%. To invest all your wealth, you are limited to choosing a portfolio of only one of these three funds alon..

  How long does it take to collect its credit sales

A company reports the following financial information: Inventory $200; Accounts Receivable $304; Cash $104; Prepaid expenses $417; credit sales $1,869. How long does it take to collect its credit sales?

  Evaluate the role and function of finance

Evaluate the role and function of finance, including the presentation and analysis of financial information, in sustaining and contributing towards the competitive advantage of organisations.

  Capital account balance at the beginning of the tax year

Assume the same facts as in Problem 47, and assume that Suz-Anna prepares the capital account rollforward on the partners’ Schedules K–1 on a tax basis. What is Suzy’s capital account balance at the beginning of the tax year? What is Suzy’s capital a..

  What is the projects operating cash flow for the first year

The financial staff of Cairn Communications has identified the following information for the first year of the roll-out of its new proposed service. What is the project's operating cash flow for the first year

  What price will investors be willing to pay for the bond

Xerox wants to issue bonds in order to take advantage of historically low interest rates. The bonds will have a 2.5% coupon rate (interest paid semiannually) and a maturity of 25 years. If market interest rates are at 3% at the time the bonds are iss..

  Why should a firm invest its idle cash

Why should a firm invest its idle cash? How to invest the idle cash and what's credit management? What's the optimal credit policy?

  Forty-year annuity-immediate makes monthly payments

A forty-year annuity-immediate makes monthly payments. During the first year the monthly payments are $100 each. The payments within each year are level; however, the monthly payments in each of the years two through forty are 4% higher than those in..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd