Chapter $15$: Underwriting Spread Solar Energy Corp. has $\backslash (\backslash$$ $4\backslash )$ million in earnings with four million shares outstanding. Investment bankers think the stock can justify a P$/$E ratio of $21.$ Assume the underwriting spread is $5$ percent. What should the price to the public be$?$ Trump Card Co$.$ will issue stock at a retail $($public$)$ price of $\backslash (\backslash$$ $32\backslash ).$ The company will receive $\backslash (\backslash$$ $29\mathrm{.}20\backslash )$ per share. a$.$ What is the spread on the issue in percentage terms? b$.$ If the firm demands receiving a new price only $\backslash (\backslash$$ $2\mathrm{.}20\backslash )$ below the public price suggested in part $\backslash ($ a $\backslash ),$ what will the spread be in percentage terms? c$.$ To hold the spread down to $2\mathrm{.}5$ percent based on the public price in part a$,$ what net amount should Trump Card Co$.$ receive?