User Account

All Pages

Money valuation in the second stage

Assignment Help Macroeconomics
Reference no: EM131049236

An entrepreneur invested $500,000 of his own money in a "theme" restaurant, The Mad Cow. It becomes wildly successful and he sought out a VC to assist with opening a chain of these restaurants. After the first stage of funding the VC had a 43% ownership stake in The Mad Cow. In the second stage of financing the VC contributed $32 million. The VC's ownership stake after the second stage increased to 62%. What is the after-the-money valuation in the second stage?

Reference no: EM131049236

Questions Cloud

What benefits do businesses gain by offering wireless intern : Then determine what the draw is for the business to provide such a service. 3) What benefits do businesses gain by offering wireless Internet access?
Case problem with sample answer : Case Problem with Sample Answer A West Virginia bank ran its asset value from $100 million to $1 billion over seven years by aggressively marketing subprime loans. The Office of the Comptroller of the Currency, a federal regulator, audited the ban..
Managerial economics-a problem solving approach : Spend 2 or 3 hours observing the organization in which you are employed. During the observation, identify internal and external interactions of the organization. You can talk to stakeholders who might have information relating to external interact..
Compute present value of net non-recurring investment : Sancore Inc. decided to invest in a project costing $35,000. It is assumed that all of $8,000 working capital will be recovered at the end of the project, which is four years. The opportunity cost of capital is 10%. Compute the present value of net n..
Money valuation in the second stage : It becomes wildly successful and he sought out a VC to assist with opening a chain of these restaurants. After the first stage of funding the VC had a 43% ownership stake in The Mad Cow. In the second stage of financing the VC contributed $32 mill..
What annual rate of return is implied : What annual rate of return is implied on a $2,500 loan taken next year when $5,250 must be repaid in year 6? (Do not round intermediate calculations. Round your final answer to 2 decimal places.)
Short-term assets and short-term debt-paying ability : Prepare an evaluation that compares the financial performance of two companies of your choice Part 1: Liquidity Ratios Review the ratios related to the liquidity of short-term assets and short-term debt-paying ability. Select which liquidity ratios w..
What is the affective annual rate : A firm sells its $1,110,000 receivables to a factor for $1,076,700. The average collection period is 1 month. What is the effective annual rate on this arrangement? What is the affective annual rate?
Yield to maturity of the bond : A municipal bond with a coupon rate of 5.80 percent sells for $4,900 and has six years until maturity. What is the yield to maturity of the bond?

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd