This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: David found a company and goes through the investment rounds shown below:RoundSourcePriceNumber of ... (Read 36 times)

jman1234

  • Hero Member
  • *****
  • Posts: 560
on: Jul 9, 2019
David found a company and goes through the investment rounds shown below:

RoundSourcePriceNumber of Shares
Series ASelf$0.50400,000
Series BAngel$1.00500,000
Series CVenture Capital$1.50300,000
Series DVenture Capital$2.25400,000

He decides to take the company public through an IPO, issuing 2 million new shares. Assuming that he successfully completes the IPO, the net income for the next year is estimated to be $8 million. His banker informs him that the price of shares should be set using average price-earnings ratios for similar businesses, which is 15.0. What will be the IPO price per share?
◦ $20.25
◦ $60.00
◦ $3.40
◦ $33.33
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by jman1234 on Jul 9, 2019

Amiracle

  • Sr. Member
  • ****
  • Posts: 334
Reply #1 on: Jul 9, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 45% of students answer this correctly


jman1234

  • Hero Member
  • *****
  • Posts: 560
Reply #2 on: Jul 9, 2019
Excellent


Amiracle

  • Sr. Member
  • ****
  • Posts: 334
Reply #3 on: Jul 9, 2019
Great! Please up vote :D


« previous next »
 

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

Did you know?

Sildenafil (Viagra®) has two actions that may be of consequence in patients with heart disease. It can lower the blood pressure, and it can interact with nitrates. It should never be used in patients who are taking nitrates.

Did you know?

In 2012, nearly 24 milliion Americans, aged 12 and older, had abused an illicit drug, according to the National Institute on Drug Abuse (NIDA).

Did you know?

A recent study has found that following a diet rich in berries may slow down the aging process of the brain. This diet apparently helps to keep dopamine levels much higher than are seen in normal individuals who do not eat berries as a regular part of their diet as they enter their later years.

The composition of DNA sequences that are found in the nuclear genome of humans The composition of DNA sequences that are found in the nuclear genome of humans
Features found in a long bone. Features found in a long bone.
Sprain. A sprain involves damage to one or more ligaments, and is categorized into three degrees of Sprain. A sprain involves damage to one or more ligaments, and is categorized into three degrees of
Peter Fischli and David Weiss, Der Lauf der Dinge (The Way Things Go). Peter Fischli and David Weiss, Der Lauf der Dinge (The Way Things Go).
Gender differences in activity preference are found across cultures, although the specific ... Gender differences in activity preference are found across cultures, although the specific ...
Single nucleotide polymorphisms (SNPs) are shown in red Single nucleotide polymorphisms (SNPs) are shown in red
Video: Rh blood type and complications during pregnancy & Fertilization

For a complete list of videos, visit our video library