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Talltree is considering a $12M Series B investment in Newco with the structure of 5M shares of common plus RP with $10M APP and a

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Talltree is considering a $12M Series B investment in Newco with the structure of 5M shares of common plus RP with $10M APP and a 2x liquidation preference. The flounder and employees have claims on 10M shares of common, and the Series A investors, EBV, have 10M shares of CP with $6M APP. Series B has a liquidation preference to Series A. Both Talltree and EBV receive carried interest of 20 percent and charge management fees of 2 percent per year for all 10 years. Compute the partial valuation equation for the Series A investors (EBV). Compute the partial valuation equation for the Series A investors (EBV) under this structure. A. partial valuation (Series A under Structure 1) = C (26) + 2/5 * C (35) B. partial valuation (Series A under Structure 1) -C (20) - C(26) + 2/5 * C (35) C. partial valuation (Series A under Structure 1) =C(20)-C (28) + 3/5 * C (35) D. partial valuation (Series A under Structure 1) = C (10) - C (26) + 2/5 * C (30) Talltree is considering a $12M Series B investment in Newco with the structure of 5M shares of common plus RP with $10M APP and a 2x liquidation preference. The flounder and employees have claims on 10M shares of common, and the Series A investors, EBV, have 10M shares of CP with $6M APP. Series B has a liquidation preference to Series A. Both Talltree and EBV receive carried interest of 20 percent and charge management fees of 2 percent per year for all 10 years. Compute the partial valuation equation for the Series A investors (EBV). Compute the partial valuation equation for the Series A investors (EBV) under this structure. A. partial valuation (Series A under Structure 1) = C (26) + 2/5 * C (35) B. partial valuation (Series A under Structure 1) -C (20) - C(26) + 2/5 * C (35) C. partial valuation (Series A under Structure 1) =C(20)-C (28) + 3/5 * C (35) D. partial valuation (Series A under Structure 1) = C (10) - C (26) + 2/5 * C (30)

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