Question: Part 2 to my earlier question Module 12 - Competency Evaluation A potential investor is seeking to invest $1,500,000 in a venture, which currently has
Module 12 - Competency Evaluation A potential investor is seeking to invest $1,500,000 in a venture, which currently has 2,000,000 shares held by its founders, and is targeting a 40% return four years from now. The venture is expected to produce $2,200,000 in income per year at year 4. It is known that a similar venture recently produced $1,500,000 in income and sold shares to the public for $17,500,000. 10) What is the new number of shares for the first round investor? (round up to whole shares) 11) What is the new price per share for the first round investor? (round to 5 decimal places) 12) What is the pre-money valuation for the first round investor? (whole $'s) 13) What is the post-money valuation for the first round investor? (whole $'s)
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