If your firms share price rises from $12 to $15/share after the VC investment, and your firm pays a dividend of $1 per share, what was the rate of return to the VC?

A) 26.67% B) -13.33% C) 33.33% D) 16.67%

Your firm decides to issue two classes of common stock upon receiving VC funding. Class A has 5 million shares with 10 votes per share. Class B has 5 million shares with 1 vote per share. If your agreement sets the dividends per share as equal for both class A and B stock, then Class A shareholders have ____________ of the votes and _________ of the dividends.

A) 90.91%; 90.91% B) 90.91%; 50.00% C) 50.00%; 50.00% D) 83.33%; 33.33%