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Please explain how each one works especially with the Caps. Thank you.

2. Preferred Stock Tiger Services, Inc. has received 5 Term Sheets from different VC firms, all of which have different structures Tiger Management believes their business has prepared projections which indicate a high and low range for the EXIT VALUE for the entire Company in five years. The high range is $50mm and the low range is $20mm. Please calculate the value that would be received by the VC firms under both the high and low range of values: 2 exit Amount $5,000,000 $5,000,000 Value at EXIT Type of Security $50mm $20mm Participating Preferred conv.into 50% no cap 5+22.5=27.5 5 + 75 = 12.5 Convertible Preferred - conv. Into 50% 25 10 Participating Preferred - conv. Into 50% with 2x cap 25 10 Participating Preferred - conv. Into 50% with 4x cap 5+7.5 12.5 25 $5,000,000 $5,000,000 2. Preferred Stock Tiger Services, Inc. has received 5 Term Sheets from different VC firms, all of which have different structures Tiger Management believes their business has prepared projections which indicate a high and low range for the EXIT VALUE for the entire Company in five years. The high range is $50mm and the low range is $20mm. Please calculate the value that would be received by the VC firms under both the high and low range of values: 2 exit Amount $5,000,000 $5,000,000 Value at EXIT Type of Security $50mm $20mm Participating Preferred conv.into 50% no cap 5+22.5=27.5 5 + 75 = 12.5 Convertible Preferred - conv. Into 50% 25 10 Participating Preferred - conv. Into 50% with 2x cap 25 10 Participating Preferred - conv. Into 50% with 4x cap 5+7.5 12.5 25 $5,000,000 $5,000,000