Question: If the firm commitment price is $ 1 5 and one million shares are sold in the primary market for $ 1 5 . 5

If the firm commitment price is $15 and one million shares are sold in the primary market for $15.50 and then resold in the secondary market for $15.75, what is the underwriter's profit/loss?
A) $750,000.
B)-$750,000.
C)-$500,000.
D)0
E) $500,000.

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