Melissa founded her company using $100,000 of her own money,issuing herself 50,000 shares of stock.An angel investor bought an additional 30,000 shares for $75,000.She now sells another 30,000 shares to a venture capitalist for $450,000.What percentage of the firm does Melissa now own?

Question

Quizplus · Accepted Answer

Melissa initially owned 50,000 shares. After selling 30,000 shares to an angel investor and another 30,000 shares to a venture capitalist, the total shares are 50,000 + 30,000 + 30,000 = 110,000 shares. Melissa's ownership is 50,000 / 110,000 = 45.45%, which rounds to 45%.

Melissa Founded Her Company Using $100,000 of Her Own Money,issuing