Business, 21.05.2020 04:02, dezmarcus

You founded Efficiency Mart eight 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 for a $1,000,000 investment. 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. Required:a. What is the price per share of this funding round?b. What is the value of the whole firm after this investment (the post-money valuation)?c. Assuming that this is the venture capitalist's first investment in your firm, what percentage of the firm will the venture capitalist own? What percentage of the firm will you own after this investment?d. How much money will you gain from founding this firm after this round of financing? Ignore time value of money when you answer this question.

Answers: 1

Show answers

Other questions on the subject: Business

Business, 22.06.2019 02:30, kseniyayakimno

Luc do purchased stocks for $6,000. he paid $4,000 in cash and borrowed $2,000 from the brokerage firm. he bought 100 shares at $60.00 per share ($6,000 total). the loan has an annual interest rate of 8 percent. six months later, luc do sold the stock for $65 per share. he paid a commission of $120 and repaid the loan. his net profit was how much? pls

Answers: 3

continue

Business, 22.06.2019 10:30, jeieiejej

Zapper has beginning equity of $257,000, net income of $51,000, dividends of $40,000 and investments by stockholders of $6,000. its ending equity is

Answers: 2

continue

Business, 22.06.2019 16:30, AriaMartinez

Corrective action must be taken for a project when (a) actual progress to the planned progress shows the progress is ahead of schedule. (b) the technical specifications have been met. (c) the actual cost of the activities is less than the funds received for the work completed. (d) the actual progress is less than the planned progress.

Answers: 2

continue

Business, 22.06.2019 19:00, whitbol

The demand curve determines equilibrium price in a market. is a graphical representation of the relationship between price and quantity demanded. depicts the relationship between production costs and output. is a graphical representation of the relationship between price and quantity supplied.

Answers: 1

continue

Do you know the correct answer?

You founded Efficiency Mart eight years ago. You initially contributed $200,000 of your own money an...