A VC-backed company has agreed to be acquired. Assume there are three classes of stock: common, Series A preferred, and Series B preferred. Series B is senior to Series A, and Series A is senior to common stock. Seniority grants that the senior class gets its liquidation preference fulfilled before any proceeds are distributed to lower classes. Total investment into the company was as follows:

Series B: $10 million, 1x liquidation preference, non-participating; convertible to common stock on a 1:1 basis

Series A: $3 million, 1x liquidation preference, non-participating; convertible to common stock on a 1:1 basis

Series B investors hold 50% of shares, Series A investors hold 15% of shares, and Common shareholders hold 35% of shares.

The company is acquired for $15 million. How much of the proceeds will go to Series B shareholders, Series A shareholders, and common shareholders, respectively?

$10.67 million (Series B), $3.67 million (Series A), $0.67 million (Common)

$10 million (Series B), $3 million (Series A), $2 million (Common)

$5 million (Series B), $5 million (Series A), $5 million (Common)

$12 million (Series B), $3 million (Series A), $0 million (Common)