Question

 Bruce Wayne is going public with his new business. Berkman Investment Bank will be his banker and is doing a best efforts sale with a 4.2 % commission fee. The SEC has authorized Wayne 5,160,000 shares for this issue. He plans to keep 1,150, 000 shares for​ himself, hold back an additional 210,000 shares according to the​ green-shoe provision for Berkman Investment​ Bank, pay off Venture Capitalists with 450,000 ​shares, and sell the remaining shares at ​$15.67 a share. Given the bids at the auction​ (shown on the table​ here:,,distribute the shares to all bidders using a​ pro-rata share​ procedure, and assume Berkman Investment Bank takes its​ green-shoe shares. What is the total cash flow to Wayne after the​ sale? To Berkman Investment​ Bank?

Bidder	Quantity Bid
Gotham Pension Fund	1, 840,000
Clark Kent Investors	1,040,000
Central City Insurance	560,000
Arthur Curry	400,000
Barry Allen	280,000
Total	4,120,000

How many shares does Gotham Pension​ get?

How many shares does each company get?

Answer 1