NX Spirit is seeking financing from venture capitalists. The founder of NX Spirit expects to sell the company for $30 million in five years. NX Spirit decides to first raise $2 million and then raise the remaining $1.5 million after two years. The founder also decides that, whatever valuation he would get, he wants to own 2 million shares. Assume that the WACC for comparable business is 20%. The survival probability is 65% for each year during the first two years and 85% for each year during the remaining three years.

What is the discount rate to apply considering survival risk for each year?