Question: You are negotiating with your underwriters in a firm commitment offering of 11 million primary shares. You have two options: set the IPO price at

You are negotiating with your underwriters in a firm commitment offering of 11 million primary shares. You have two options: set the IPO price at $25 per share with a spread of 6 %, or set the price at $ per share with a spread of 3% . Which option raises more money for your firm?

The net price to the firm of the first option is $ ___

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