An entrepreneur first started his business with $100,000. Later, a venture capitalist (VC) agrees to invest $300,000

Fantastic news! We've Found the answer you've been seeking!

Question:

An entrepreneur first started his business with $100,000. Later, a venture capitalist (VC) agrees to invest $300,000 to sustain the growth. In return, this VC will take up a 50% equity position in the firm. How much is this business worth now?

Related Book For answer-question

International Marketing And Export Management

ISBN: 9781292016924

8th Edition

Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr

See More Books

Posted Date: Feb 20, 2024 06:16 AM

See More Questions

Googles ease of use and superior search results have propelled the search engine to its num- ber one status, ousting the early dominance of competitors such as WebCrawler and Infos- eek. Even later...
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
Planning is one of the most important management functions in any business. A front office managers first step in planning should involve determine the departments goals. Planning also includes...
please solve it in details with clear explanation for each step John made a deposit of 4400 into a fund at the beginning of each year for 16 years. At the end of 16 years, he began making semiannual...
Keon Inc. produces large industrial machinery. Keon has a machining department and a group of direct labourers called machinists. Each machinist is paid $50,000 and can machine up to 500 units per...
A product item for RMO is not the same as an inventory item. A product item is something like a mens leather hunting jacket supplied by Leather R Us. An inventory item is a specific size and color of...
It has been reported that 30 percent of all couples who adopt a child because of troubles conceiving a child eventually do conceive a child after the adoption, suggesting that adoption makes...
Incremental analysis involves the accumulation of information concerning a single course of action. Do you agree? Why?
Suppose you borrowed $12,000 at a rate of 9.6% and must repay it in 5 equal installments at the end of each of the next 5 years. How much interest would you have to pay in the first year?
a) Boston Computers factors $850,000 of receivables to Safety Factors, Inc. Safety Factors assesses a 3.5% service charge on the amount of receivables sold. b) Limeade Boutique accepted a Visa card...
You will identify a problem or issue in your present or past workplace, or in your community. The assignment objective as provided in Unit 4, is to propose a solution to the problem or issue, and to...
What are factoids and can you give an example of how they are used today?
What are the benefits of Artificial Intelligence in healthcare?
Under line sensory words. The Big Mac is a juicy, delicious burger that will leave you feeling satisfied. The bun is soft and fluffy, and the beef is cooked to perfection. The secret sauce is the...
How can the historical legacies of these two countries feed stereotypes and prejudice? What is a contemporary example? Why is it important to understand the potential influence of historical...
Integrate. Where n is your arid number for example if your arid number is 19-arid-1234 then n=1234. ?
The packaging division of a company having considered several alternative package designs for the company's new product has finally brought down their choices to two designs of which only one has to...
In August 2010, Britains GlaxoSmithKline PLC (GSK) was facing the possibility that its highly profitable diabetes drug Avandia would have to be withdrawn from the US market. Sales of Avandia had...
Explain how the Internet may be a valuable source for information, for even the smallest-sized exporter.
Introduction In 2010, New United Motor Manufacturing, Inc., a unique and highly successful joint venture between Americas General Motors and Japans Toyota, went out of business. NUMMI, as the...
Elm City is considering a replacement for its police radio. The benefits and costs of the replacement are shown below. What is the replacement's benefit/cost ratio if the effective annual interest...
True or False: OMB's Circular No. A-94, Revised is the definitive document for benefit-cost analysis.
A library shelving system has a first cost of $\$ 20,000$ and a useful life of 10 years. The annual maintenance is expected to be $\$ 2,500$. The annual benefits to the library staff are expected...

An entrepreneur first started his business with $100,000. Later, a venture capitalist (VC) agrees to invest $300,000

Question:

Expert Answer:

To determine the value of the business after the VC investment we can ... View the full answer

International Marketing And Export Management

Students also viewed these finance questions