RunFast Inc The Company Will Offer 600 Shares in the IPO

question 66

Essay

RunFast Inc.wants to go public.It decides to do so via a Dutch auction underwriting.It receives the
following bids: $$\begin{array} { l l c } \hline \text { Bidder } & \text { Quantity } & \text { Price (EUR) } \\\hline \text { A } & 100 \text { shares } & 10 \\\hline \text { B } & 100 \text { shares } & 20 \\\hline \text { C } & 300 \text { shares } & 12 \\\hline \text { D } & 150 \text { shares } & 14 \\\hline \text { E } & 200 \text { shares } & 16 \\\text { F } & 100 \text { shares } & 8 \\\text { G } & 50 \text { shares } & 6 \\\text { H } & 200 \text { shares } & 10 \\\hline \text { I } & 500 \text { shares } & 15 \\\hline \text { J } & 100 \text { shares } & 12 \\\hline\end{array}$$ The company will offer 600 shares in the IPO.How many shares will the highest bidder get, if allocation is done on the basis of the ratio of shares offer to shares bid at the offer price?

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Definitions:

Contract Negotiation

The process of discussing and coming to mutual agreements on the terms and conditions of a contract between two or more parties.

Parietal Cells

Cells located in the lining of the stomach wall that secrete gastric acid (HCl) and intrinsic factor, vital for digestion and absorption of nutrients, respectively.

Pepsinogen

The inactive enzyme precursor of pepsin, secreted by the stomach wall and converted to the active enzyme in the presence of hydrochloric acid.

Omega-3 Fatty Acids

Essential fatty acids found in salmon and other fatty fishes, walnuts, and certain vegetable oils (e.g., canola, soybean); studies suggest that omega-3 fatty acids help lower triglycerides and blood pressure, and have other health benefits.