For this question, assume that: (a) DIY Chef triggered CMUVs anti-dilution protection by issuing an additional 100,000 shares of DIY Chef's Series A preferred stock for $0.10 per share; and, (b) CMUV then immediately converted all of its Series A preferred stock to common stock. How many shares of common stock is CMUV entitled to upon its conversion? 4,000,000 shares 4,100,000 shares 40,000,000 shares 80,000,000 shares

DIY Chef (Post Series A Capitalization Table) Shares % Common Stock: Founders: Sierra & Derrick 4,000,000 40% Reserved for Stock Option Plan 2,000,000 20% Series A Preferred Stock: CMU Ventures II, LP 4,000,000 40% Total Capital Stock 10,000,000 100% Use the above capitalization table for DIY Chef and assume that: Founders (Sierra & Darrick) purchased their shares of common stock for $0.001 per share (for a total of $4,000). A venture capital fund managed by Carson and Shanell of CMU Ventures ("CMUV") recently paid $2.00 for each share of its Series A preferred stock (for a total of $8,000,000). Immediately after the Series A financing, CMUV has the right to convert each share of its Series A preferred stock into one share of common stock. The Series A preferred stock has full ratchet" price-based anti-dilution protection. The Series A preferred stock has a ONE times liquidation preference right (i.e., LP = 1X) AND the Series A preferred stock is full participating. The above capitalization table is accurate and complete (i.e., immediately after the Series A financing: (a) there are no other outstanding shares of stock or options to purchase stock; and (b) DIY Chef has not yet issued any shares reserved for its Stock Option Plan). DIY Chef (Post Series A Capitalization Table) Shares % Common Stock: Founders: Sierra & Derrick 4,000,000 40% Reserved for Stock Option Plan 2,000,000 20% Series A Preferred Stock: CMU Ventures II, LP 4,000,000 40% Total Capital Stock 10,000,000 100% Use the above capitalization table for DIY Chef and assume that: Founders (Sierra & Darrick) purchased their shares of common stock for $0.001 per share (for a total of $4,000). A venture capital fund managed by Carson and Shanell of CMU Ventures ("CMUV") recently paid $2.00 for each share of its Series A preferred stock (for a total of $8,000,000). Immediately after the Series A financing, CMUV has the right to convert each share of its Series A preferred stock into one share of common stock. The Series A preferred stock has full ratchet" price-based anti-dilution protection. The Series A preferred stock has a ONE times liquidation preference right (i.e., LP = 1X) AND the Series A preferred stock is full participating. The above capitalization table is accurate and complete (i.e., immediately after the Series A financing: (a) there are no other outstanding shares of stock or options to purchase stock; and (b) DIY Chef has not yet issued any shares reserved for its Stock Option Plan)