The verbatim co has just gone public under a firm, Ask an Expert

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The Verbatim Co. has just gone public. Under a firm commitment agreement, Verbatim received $21.55 for each of the 6.64 million shares sold. The initial offering price was $23.40 per share, and the stock rose to $29.91 per share in the first few minutes of trading. Verbatim paid $914,000 in legal and other direct costs and $189,000 in indirect costs.

Required:

What was the flotation cost as a percentage of funds raised?

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