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Question 15.S-TP.1: Flotation Costs The L5 Corporation is considering an equity ...

Flotation Costs The L5 Corporation is considering an equity issue to finance a new space station. A total of $15 million in new equity is needed. If the direct costs are estimated at 7 percent of the amount raised, how large does the issue need to be? What is the dollar amount of the flotation cost?

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