John Smith Seeks $15 Million from a VC Fund

John Smith seeks $15 million from a VC fund.John and the VC agree that the company should be ready to go public in 8 years.At that time the company should have a net income of $6.75 million.If comparable firms are expected to be trading at a P/E ratio of 25,what will be the company's market capitalization at the time of the IPO?

A) $375 million
B) $168.75 million
C) $126.35 million
D) $254.75 million