4. Three years ago, you founded your own company. You invested $100,000 of your own money and...

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4. Three years ago, you founded your own company. You invested $100,000 of your own money and received 5 million shares of Series A preferred stock. Your company has since been through three additional rounds of financing.

Round Price ($)
Number of Shares Series B 0.50 1,000,000 Series C 2.00 500,000 Series D 4.00 500,000

a. What is the pre-money valuation for the Series D funding round?

b. What is the post-money valuation for the Series D funding round?

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Fundamentals Of Corporate Finance

ISBN: 9781292018409

3rd Global Edition

Authors: Berk, Peter DeMarzo, Jarrad Harford

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