Question
Three years ago, you founded your own company. You invested $100,000 of your money and received 5 million shares of Series A preferred stock. Since
Three years ago, you founded your own company. You invested $100,000 of your money and received 5 million shares of Series A preferred stock. Since then, your company has been through three additional rounds of financing. Round Price ($) Number of Shares Series B 0.50 1,000,000 Series C 2.00 500,000 Series D 4.00 500,000 a. What is the premoney valuation for the Series D funding round? b. What is the postmoney valuation for the Series D funding round? c. Assuming that you own only the Series A preferred stock (and that each share of all series of preferred stock is convertible into one share of common stock), what percentage of the firm do you own after the last funding round? Comment
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