C One year goes by The Team decided to make their startup more scalable To achieve that goal, they realize that they need to secure venture capital funding A local VC firm, Garage Capital, is interested in investing in eEdu GC proposed the following terms for their investments 25 equity stake for $1 million in investment 2X liquidation preference with full participation rights Two board seats to form a five members board along with Alice, Bob, and Carlos Standard preferred shareholder rights for Garage Capital 6 Construct the revised pro forma capitalization table if eEdu were to receive funding from Garage Capital (3 pints) Name Paid in Capital of shares Ownership Alice Bob Carlos Garage Capital Total 7 What is eEdus pre and post money valuation for GCs investment round (2 points) 8 How much is Alices ownership worth on paper (1 point) 9 Another year goes by eEdu receives an acquisition proposal by a large online education company for $10 million in cash If eEdu accepts the proposal, how much would Alice, Bob, Carlos, and Garage Capital get in cash (2 points)

Question

C  One year goes by  The Team decided to make their startup more scalable  To achieve that goal, they realize that they need to secure venture capital funding  A local VC firm, Garage Capital, is interested in investing in eEdu  GC proposed the following terms for their investments  25  equity stake for $1 million in investment 2X liquidation preference with full participation rights Two board seats to form a five members board along with Alice, Bob, and Carlos Standard preferred shareholder rights for Garage Capital 6  Construct the revised pro forma capitalization table if eEdu were to receive funding from Garage Capital  (3 pints) Name Paid in Capital   of shares Ownership   Alice Bob Carlos Garage Capital Total 7  What is eEdus pre  and post money valuation for GCs investment round  (2 points) 8  How much is Alices ownership worth on paper  (1 point) 9  Another year goes by  eEdu receives an acquisition proposal by a large online education company for $10 million in cash  If eEdu accepts the proposal, how much would Alice, Bob, Carlos, and Garage Capital get in cash  (2 points)

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C. One year goes by. The Team decided to make their startup more scalable. To achieve that goal, they realize that they need to secure

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Name	Paid in Capital	# of shares	Ownership %
Alice
Bob
Carlos
Garage Capital
Total