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use the following information for the next question also. Assume that a venture capitalist has identified a specific start up company that he is interested

use the following information for the next question also. Assume that a venture capitalist has identified a specific start up company that he is interested in cacking. Folloing discussions with the entrepreneur it is agreed that the company should be valued at $800,000 before the financing takes place. The company needs to raise $400,000, and the inverstor offers to make the investment. Assuming that the funds are invested in ordinary shares, the post-financing valuation is

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