Consider a VC valuation of a young logistic firm, Monkey Delivery Pte Ltd. The firm, which is currently loss-making, is expected to generate a positive EBITDA of $1 million in five years (t = 5). Monkey Delivery is seeking $300,000 equity funding from a VC investor, who is expecting to exit the investment in 5 years with a target return of 50% and exit V/EBITDA valuation of 6x. Monkey Delivery, which is 100%-equity financed, has 500,000 common shares outstanding. What is the percentage equity ownership that Monkey Delivery must sell to the VC investor for its $300,000 investment (based on post-money valuation)? (Note: the VC's 50% target return includes compensation for both default and liquidity risks).

	A.	5%
	B.	29%
	C.	23%
	D.	50%
	AND.	38%