Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A venture capital company buys 400,000 shares of a start-up's stock for $6.40 million. If the company has 2.3 million shares outstanding prior to the

image text in transcribed
A venture capital company buys 400,000 shares of a start-up's stock for $6.40 million. If the company has 2.3 million shares outstanding prior to the purchase, what is the company's pre-money value? What is its post-money value? (Do not round intermediate calculations. Enter your answers in millions rounded to 2 decimal places.) Answer is complete but not entirely correct. Pre-money value S 30.40 million million Post-money value $ 36.80

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

Agricultural Finance

Authors: Charles Moss

1st Edition

0415599075, 978-0415599078

More Books

Students also viewed these Finance questions

Question

Explain what companies are doing to reduce health-benefit costs.

Answered: 1 week ago

Question

Identify the types of informal reports.

Answered: 1 week ago

Question

Write messages that are used for the various stages of collection.

Answered: 1 week ago