Use the information for the question(s) below.
You founded your own firm three years ago.You initially contributed $200,000 of your own money and in return you received 2 million shares of stock.Since then,you have sold an additional 1 million shares of stock to angel investors.You are now considering raising capital from a venture capital firm.This venture capital firm would invest $5 million and would receive 2 million newly issued shares in return.
-After the venture capitalist's investment,the post-money valuation of the angel investor's shares is closest to:
A) $12.5 million
B) $4.0 million
C) $5.0 million
D) $2.5 million
Correct Answer:
Verified
Q25: What is the difference between preferred stocks
Q26: Use the information for the question(s)below.
You founded
Q27: Which of the following best describes those
Q29: Use the information for the question(s)below.
You founded
Q30: Which of the following statements is FALSE?
A)The
Q30: In a best-efforts IPO, the underwriter guarantees
Q31: What are venture capital firms?
Q33: At what stage of the IPO process
Q35: Which of the following is NOT a
Q39: The main advantages for a firm in
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents