Multiple Choice
Simone founded her company using $200,000 of her own money, issuing herself 300,000 shares of stock. An angel investor bought an additional 100,000 shares for $150,000. She now sells another 400,000 shares of stock to a venture capitalist for $2 million. What percentage of the firm does Simone now own?
A) 11%
B) 23%
C) 38%
D) 41%
Correct Answer:
Verified
Correct Answer:
Verified
Q36: The firm commitment process is the most
Q37: What are venture capital firms?
Q38: How do the transaction costs of IPO
Q39: As part of the registration statement, the
Q40: What are some of the disadvantages of
Q42: How does IPO pricing puzzle financial economists?
Q43: David found a company and goes through
Q44: The offer price of shares in an
Q45: An entrepreneur founded his company using $200,000
Q46: Which of the following statements is FALSE?<br>A)