Question: Given the following information, and using the VC method of valuation, Required ROR by investor(s): 35% Net income in four years: $ 3.2 m Expected

Given the following information, and using the VC method of valuation,

Required ROR by investor(s): 35%

Net income in four years: $ 3.2 m

Expected P/E ratio in four years: 14 times.

Determine the % of the company that needs to be given up for $1.5 m investment.
 

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