Question: Starware Software was founded last year to develop software for gaming applications. The founder initially invested $ 8 0 0 comma 0 0 0 and
Starware Software was founded last year to develop software for gaming applications. The founder initially invested $ comma and received million shares of stock. Starware now needs to raise a second round of capital, and it has identified a venture capitalist who is interested in investing. This venture capitalist will invest $ million and wants to own of the company after the investment is completed.
a How many shares must the venture capitalist receive to end up with of the company? What is the implied price per share of this funding round?
b What will the value of the whole firm be after this investmentthe postmoney valuation
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