Mathematics, 07.03.2020 03:10, webbjalia04
You are an entrepreneur starting a biotechnology firm. If your research is successful, the technology can be sold for $30 million. If your research is unsuccessful, it will be worth nothing. To fund your research, you need to raise $2.0 million. Investors are willing to provide you with $2.0 million in initial capital in exchange for 50%
of the unlevered equity in the firm.
a. What is the total market value of the firm without leverage?
b. Suppose you borrow $1.0 million. According to MM, what fraction of the firm's equity will you need to sell to raise the additional $1.0
million you need?
c. What is the value of your share of thefirm's equity in cases
(a)
and
(b)?
Answers: 1
Mathematics, 21.06.2019 17:20, maricruzisfye
Which of the following pairs of functions are inverses of each other? o a. f(x)=x72+8 and 96-9 = 7/x+2) =8 o b. f(x)= 6(x - 2)+3 and g(x) - *#2-3 o c. $4) = 5(2)-3 and 90- 4*: 73 o d. f(x) = 6)-12 and 910 – +12
Answers: 1
Mathematics, 21.06.2019 22:00, lkarroum3733
1) prove that 731^3−631^3 is divisible by 100 2) prove that 99^3−74^3 is divisible by 25
Answers: 2
You are an entrepreneur starting a biotechnology firm. If your research is successful, the technolog...
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