Assume the new investor has renegotiated the terms of the deal and is now willing to invest

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Assume the new investor has renegotiated the terms of the deal and is now willing to invest $1 million for 25% of the company.

Under a full rachet provision, How many free shares will be issued to the original (old) investor?

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Modern Advanced Accounting in Canada

ISBN: 978-1259087554

7th edition

Authors: Hilton Murray, Herauf Darrell

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Posted Date: Apr 03, 2023 12:32 AM

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Assume the new investor has renegotiated the terms of the deal and is now willing to invest

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Expert Answer:

Under a full ratchet provision the conversion price of the old investors shares is adjusted downward ... View the full answer

Modern Advanced Accounting in Canada

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