Question: 6. IPO Pricing [LO3] In the previous question, how would it affect your thinking to know that the company was incorporated about 10 years earlier,

6. IPO Pricing [LO3] In the previous question, how would it affect your thinking to know that the company was incorporated about 10 years earlier, had only $186 million in revenues in 2010, and had never earned a profit? Additionally, the viability of the companys business model was still unproven.

7. IPO Pricing [LO3] In the previous two questions, how would it affect your thinking to know that in addition to the 9.68 million shares offered in the IPO, Zipcar had an additional 30 million shares outstanding? Of those 30 million shares, 14.1million shares were owned by four venture capital firms, and 15.5 million shares were owned by the 12 directors and executive officers.

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