Question 27 1 pts This is the cap table for a startup AFTER two rounds of financing (After Series A and Series B) by a single VC investor: Series A - January 2014 Series B - January 2016 shares % value shares 1% value Founder 16,300,000 6396 56,300,000 $5,300,000 $2.5% $25,200,000 Investor 3,000,000 30% $3,000,000 5,000,000 41.7% $20,000,000 Options 700,000 17% $700,000 700,000 5.8% $2,800,000 Total 10,000,000 100% $10,000,000|12,000,000 100% $48,000,000 EXIT: By June 2018, the company shows a net annual profit of $40M and is acquired for a multiple of 6 times profit. Employees have a 4 year linearvesting schedule with options vesting on an annual basis (there is effectively a cliff each year) What is the cash-on-cash return for the investor assuming that there were no Participating Preference terms in the investment