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Stacy's Coffee is asking for an investment of $600,000 from your venture capital firm. Stacy's Coffee estimates the terminal value of the company four years

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Stacy's Coffee is asking for an investment of $600,000 from your venture capital firm. Stacy's Coffee estimates the terminal value of the company four years from now to be $6,579,000. Because this investment is very risky, you want to earn a return of at least 40% per year on your investment. What is the Post-Money Valuation? What is your venture capital firm's desired fraction of ownership in the firm? 25.09% 10.59% 35.04% 40% Suppose that the founders want 150,000 shares. How many shares would your venture capital want? 50,240 100,000 80,894 50,000 What is the value per share? $7.42 $12 $6 $35.02 Suppose that the founders of Stacy's Coffee decide that they need $2,000,000 and they want to raise this capital in two rounds. At t=0, your venture capital firm invests $1,000,000, and at t=2, Vulture Ventures invest $1,000,000. Both investors want to earn a return of 40% per year on investment. What is Vulture Venture's desired ownership fraction at t=2 ? What is investor 1 's desired ownership fraction at t=0 ? 40% 25% 59.41% 83.17% Question 8 0.3pts What is the price per share at t=0 ? Assume that the founders still want 150,000 shares. $32.55 $1.35 $10 $4.56 What is the price per share at t=2 ? $1.68 $2.64 $8.31 $10

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