10. Total Marks 20% You are appraising a Venture Capital Start-Up and have gathered below info: The start up will require two rounds of financing: an investment of CHF 5 million today followed by a second round investment of CHF 3 million in four years' time. The discount rate used to use is 35% prior to the second round of financing and 25% thereafter. You estimate that the company will be worth approximately CHF 60 million in seven years' time, and original Start up entrepreneurs of the company have expressed a desire to continue to hold 100,000 shares in the company. A. What is the Value of the firm immediately after the second round of financing? B. What is the value of the firm immediately after the first round of financing? C. What is the fractional VC ownership required for the first round of financing? D. Which of the following values is closest to the price per share at the time of first round financing? 10. Total Marks 20% You are appraising a Venture Capital Start-Up and have gathered below info: The start up will require two rounds of financing: an investment of CHF 5 million today followed by a second round investment of CHF 3 million in four years' time. The discount rate used to use is 35% prior to the second round of financing and 25% thereafter. You estimate that the company will be worth approximately CHF 60 million in seven years' time, and original Start up entrepreneurs of the company have expressed a desire to continue to hold 100,000 shares in the company. A. What is the Value of the firm immediately after the second round of financing? B. What is the value of the firm immediately after the first round of financing? C. What is the fractional VC ownership required for the first round of financing? D. Which of the following values is closest to the price per share at the time of first round financing