What is pre-money valuation and post-money valuation

Assignment Help Financial Management
Reference no: EM131314815

Company raises 40 on 60. VC takes standard participating preferred. Co. is acquired for $160 two years later. a) What is pre-money valuation? b) What is post-money valuation? c) How much does VC own?

Reference no: EM131314815

Questions Cloud

Michael porter competitive advantage of nations : According to Michael Porter's Competitive Advantage of Nations, some of the industries where British companies have an international advantage are: advertising, auctioneering of antiques and artwork, distilled alcoholic beverages, hand tools, and ..
Discuss about the weighted average cost of capital : Discuss about the Weighted Average Cost of Capital.Companies are valued in different ways. One way to determine what the market value of a company is by using the Weighted Average Cost of Capital, or WACC.
Do you recommend reporting the crime to law enforcement : What is the significance of you being qualified as an expert witness - How is it different from being a simple fact witness? Explain thoroughly and are private companies required to report crimes to law enforcement?
What is its times interest earned ratio : Its basic earning power (BEP) ratio is 15%, and its return on assets (ROA) is 5%. What is its times-interest-earned (TIE) ratio.
What is pre-money valuation and post-money valuation : Company raises 40 on 60. VC takes standard participating preferred. Co. is acquired for $160 two years later. What is pre-money valuation? What is post-money valuation? How much does VC own?
Maximize profit for upcoming growing season : 1) Formulate the above problem as a linear program in order to maximize profit for the upcoming growing season, ( just formulate, don't solve). 2) Solve using the simplex method, and state the optimal solution. Attach a coputer printout.
What are some of economic and safety consequence of ip theft : What are some of the economic and safety consequences of IP theft. Research examples for us, such as counterfeit computer software, fake medicine and counterfeit auto parts?
Describe how the system was compromised : Describe the system, describe what you view the weakest link of the system to be and why, and describe how the system was compromised.
The first option consists of all equity financing : AA Tours is comparing two capital structures to determine how to best finance its operations. The first option consists of all equity financing. The second option is based on a debt-equity ratio of 0.45. What should AA Tours do if its expected earnin..

Reviews

Write a Review

Financial Management Questions & Answers

  What is the book value of assets today

Klingon Widgets, Inc., purchased new cloaking machinery three years ago for $7.2 million. The machinery can be sold to the Romulans today for $4.05 million. Klingon's current balance sheet shows net fixed assets of $3.5 million, current liabilities o..

  What are the incremental free cash flows associated

Daily enterprise is purchasing a $10.2 million machine. It will cost $47,000 to transport and install the machine. The machine has a depreciation life of five years using straight line depreciation and will have no salvage value. What are the increme..

  Bond with the features

You own a bond with the following features: 7 years to maturity, face value of $1000, coupon rate of 4% (annual coupons) and yield to maturity of 5.8%. If you expect the yield to maturity to remain at 5.8%, what do you expect the price of the bond to..

  Advise about investments

We have two individuals whom we have to advise about investments. The one is a twenty three year old who has gotten a job in investment banking and is receiving 150 k annually. The other is an eighty year old woman, Ms. Brown, who has $10 million in ..

  About the reduce working capital

Your firm is contemplating the purchase of a new $605,000 computer-based order entry system. The system will be depreciated straight-line to zero over its five-year life. It will be worth $65,000 at the end of that time. You will save $235,000 before..

  Using the proceeds to purchase another stock with beta

You have a $2 million portfolio consisting of a $100,000 investment in each of 20 different stocks. The portfolio has a beta of 1. You are considering selling $100,000 worth of one stock with a beta of 0.8 and using the proceeds to purchase another s..

  What is its cost of common equity

The future earnings, dividends, and common stock price of Carpetto Technologies Inc. are expected to grow 8% per year. Carpetto's common stock currently sells for $28.00 per share; its last dividend was $2.50; and it will pay a $2.70 dividend at the ..

  What is the firms cost of equity

Chelsea fashions is expected to pay an annual dividend of $0.80 a share next year. the market price of the stock is $22.40 and the growth rate is 5%. what is the firm's cost of equity?

  Essential aspect of healthcare financial management

An essential aspect of healthcare financial management for any medical facility is the year-end closing. What are the primary accounts that must be addressed in the year-end closing process? List these accounts, and briefly describe the procedure for..

  The pre-tax salvage value of an asset is equal

The pre-tax salvage value of an asset is equal to the: A. book value if straight-line depreciation is used. B. book value if MACRS depreciation is used. C. market value minus the book value. D. book value minus the market value. E. market value.

  Calculate the firms earnings per share

Calculate the firms earnings per share (EPS) for each year, recognising that the number of shares issued has remained unchanged since the firm's inception. Comment on the EPS performance in view of your response to question 1a.

  High school student with after-school job-interest eaarnings

Which 1040 form should each of the following individuals use? a high school student with an after-school job and interest earnings of $480 from savings accounts. a college student who, because of ownership of property, is able to itemize deductions r..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd