Question: Return to question Problem 15-6 Underwriting spread [LO15-2] Solar Energy Corp. has $6 million in earnings with four million shares outstanding. Investment bankers think the

Return to question Problem 15-6 Underwriting spread [LO15-2] Solar Energy Corp.

Return to question Problem 15-6 Underwriting spread [LO15-2] Solar Energy Corp. has $6 million in earnings with four million shares outstanding. Investment bankers think the stock can justify a P/E ratio of 22. Assume the underwriting spread is 15 percent. What should the price to the public be? (Do not round intermediate calculations and round your answer to 2 decimal places.) Answer is complete but not entirely correct. Price $ 37.06 X

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