years. 4. [Multiple Financing Rounds] Ratchets.com anticipates that it will need $15 million in venture capital to achieve a terminal value of $300 million in five A. Assuming it is a seed-stage firm with no existing investors, what annualized return is embedded in its anticipation? B. Suppose the founder wants to have a venture investor inject $15 million in three rounds of $5 million at times 0, 1, and 2 with a time 5 exit value of $300 million. If the founder anticipates returns of 70 percent, 50 percent, and 30 percent for rounds 1, 2, and 3, respectively, what percent- age of ownership is sold during the first round? During the second round? During the third round? What is the founder's Year 5 ownership percentage? C. Assuming the founder will have 10,000 shares, how many share will be issued in rounds 1, 2, and 3 (at times 0, 1, and 2)? D. What is the second-round share price derived from the answers in Parts B and C