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A potential investor is seeking to invest $500,000 in a venture, which currently has 1,000,000 million shares held by its founders, and is targeting a

A potential investor is seeking to invest $500,000 in a venture, which currently has 1,000,000 million shares held by its founders, and is targeting a 50% return five years from now. The venture is expected to produce half a million dollars in EBITDA per year at year 5. It is known that a comparable venture recently produced $1million in EBITDA and went public for $10 million valuation. What is the value of the venture in year five using x Comps (direct capitalization)? Group of answer choices $500,000 $5,000,000 $1,000,000 $100,000

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