Question B.4: The founders of TechStartup, Inc. held 3,000,000 shares of common stock that they paid for at incorporation at 0.001 per share (or a total of 3,000 ), and Sandy Hill Ventures invests 2,000,000 to buy 2,000,000 shares of preferred stock (i.e. 1.00 per share). Sandy Hill Ventures received a participating liquidation preference, with liquidation preference at 2x of the investment amount. Now, if TechStartup, Inc. was acquired for 3,500,000, the founders (vs. Sandy Hill Ventures) get a distribution of: A. 500,000( vs. 4,000,000) B. 0 (vs. 3,500,000 ) C. 3,000 (vs. 3,497,000 ) D. 2,100,000 (vs. 1,400,000 ) E. 3,500,000 (vs. 0)