Question

1- You founded your firm with a contribution of $855000, receiving 1500000 shares of stock. Since...

1- You founded your firm with a contribution of $855000, receiving 1500000 shares of stock. Since then, you sold 1500000 stocks to Angel Investors. Now you are considering raising more capital from a Venture Capitalist. They will invest $8500000 and would receive 4000000 newly issued shares. If this is the VC's first investment in the company, what percentage of the firm will they end up owning?

2- You founded your firm with a contribution of $855000, receiving 1500000 shares of stock. Since then, you sold 1500000 stocks to Angel Investors. Now you are considering raising more capital from a Venture Capitalist. They will invest $8500000 and would receive 4000000 newly issued shares. If this is the VC's first investment in the company, what percentage will you own? Note: Express your answers in strictly numerical terms. F

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