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Hi sir i came across this statement, in one of the questions. “HR Ltd has decided it needs to raise at least $1m, net of issue costs to finance a new product ”
Net of issue costs means after deducting issue costs right ? But why the calculations are performed in such a way that it means before deducting issue costs ?
It depends on the exact wording of the question and you have not said which question you are referring to.
If they need $1M for the investment and it is net of issue costs, then they will actually need to raise a bit more than $1M in order to be left with $1 for the investment.
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