Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

1.You just invested 55000$ to acquire a 4% post-money interest in the equity of a company. If you expect a compound annual rate of return

1.You just invested 55000$ to acquire a 4% post-money interest in the equity of a company. If you expect a compound annual rate of return of 20% on investments of their nature, to what total equity value should this business grow in 5 years. The company does not anticipate raising any more capital over the next 5 years.

2.What is the ratio of LTV to CAC for the sale of software sold by a company with the following information?

  • The total cost of obtaining 40 leads that will result in one sale is $2500
  • The total cost of negotiating and finalizing a sale is $1500
  • The annual subscription fee is $5000 paid at beginning of each year.
  • The customer attrition rate is 5% from year 1 to year 2 and 5% from year 2 to year 3
  • Only consider the subscription fee for three years.
  • The margin on the subscription is 100%.
  • The discount rate is 20%.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

University Finances Accounting And Budgeting Principles For Higher Education

Authors: Dean O. Smith

1st Edition

1421427257, 978-1421427256

More Books

Students also viewed these Finance questions

Question

5. List the forces that shape a groups decisions

Answered: 1 week ago

Question

4. Identify how culture affects appropriate leadership behavior

Answered: 1 week ago