The firm you founded currently has 13 million shares, of which you own 6 million. You are considering an IPO where you would sell 2 million shares for $16 each. If all of the shares sold are primary shares, how much will the firm raise? What will your percentage ownership of the firm be after the IPO? If all of the shares sold are primary shares, the firm will raise $ million. (Round to one decimal place.) What will your percentage ownership of the firm be after the IPO?
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- - The firm you founded currently has 14 million shares, of which you own 8 million. You are considering an IPO where you would sell 2 million shares for $29 each. If all of the shares sold are from your holdings, how much will the firm raise? What will your percentage ownership of the firm be after the IPO? If all of the shares sold are from your holdings, (Select the best choice below.) A. the firm will raise $25 million from the IPO. B. the firm will raise $350 million from the IPO. c. the firm will raise no money from the IPO. O D. the firm will raise $200 million from the IPO. Your percentage ownership of the firm after the IPO will be%. (Round to one decimal place.)You have started a company and are in luck—a venture capitalist has offered to invest. You own 100% of the company with 4.96 million shares. The VC offers $1.12 million for 820,000 new shares. a. What is the implied price per share? b. What is the post-money valuation? c. What fraction of the firm will you own after the investment?The firm you founded currently has 14 million shares, of which you own 8.68 million. You are considering an IPO where you would sell 2.1 million shares for $25. What is the maximum number of secondary shares you could sell and still retain more than 50% ownership of the firm? How much would the firm raise in that case? The maximum number of secondary shares you could sell is The amount that the firm would raise is $ shares. (Round to the nearest whole number.) (Round to the nearest dollar.)
- You founded a firm that currently has 10 million shares, of which you own 7 million. You are considering an IPO where you would sell 3 million shares for $22 each. If all of the shares sold are secondary, what is the maximum number of secondary shares you could sell and still retain more than 50% ownership of the firm? How much would the firm raise in that case? C What is the maximum number of secondary shares you could sell and still retain more than 50% ownership of the firm? shares. The maximum number of secondary shares you could sell is (Round to the nearest whole number.) How much would the firm raise in that case?You have started a company and are in luck-a venture capitalist has offered to invest. You own 100% of the company with 5.39 million shares. The VC offers $1.06 million for 850,000 new shares. a. What is the implied price per share? b. What is the post-money valuation? c. What fraction of the firm will you own after the investment? a. What is the implied price per share? The implied price per share will be $ per share. (Round to the nearest cent.) b. What is the post-money valuation? The post-money valuation will be $ c. What fraction of the firm will you Your fractional ownership will be million. (Round to two decimal places.) own after the investment? %. (Round to one decimal place.)Your start-up company needs capital. Right now, you own 100% of the firm with 9.99 million shares. You have received two offers from venture capitalists. The first offers to invest $2.99 million for 1.03 million new shares. The second offers $1.95 million for 500,000 new shares. a. What is the first offer's post-money valuation of the firm? b. What is the second offer's post-money valuation of the firm? c. What is the difference in the percentage dilution caused by each offer? d. What is the dilution per dollar invested for each offer? a. What is the first offer's post-money valuation of the firm? The first offer's post-money valuation will be $. (Round to the nearest dollar.)
- You have started a company and are in luck—a venture capitalist has offered to invest. You own 100% of the company with 4.56 million shares. The VC offers $1.03 million for 820,000 new shares. b. What is the post-money valuation? c. What fraction of the firm will you own after the investment?Please use Excel to solve: You have just purchased a share of stock for $20. The company is expected to pay a dividend of $0.50 per share in exactly one year. If you want to earn a 10% return on your investment, what price do you need if you expect to sell the share immediately after it pays the dividend?Answer these two problems with a complete solution.1. You own 25 shares of BDO stock, par value P800.00. If the corporation declares a 5.75% dividend, what is your total dividend that should get?2. If you own a share of stock that costs P1890 and pays an annual dividend of P10.50, what is the rate of income?
- Suppose you purchase one share of the stock of Red Devil Corporation at the beginning of year 1 for $43.00 At the end of year 1, you receive a dividend of $2, and buy one more share for $47.00. At the end of year 2, you receive total dividends of $4 (e., $2 for each share), and sell the shares for $55.00 each. What is the time-weighted return on your investment? (Round your answer to 2 decimal places. Do not round intermediate calculations.) Return 1%1.) You purchase 600 shares of XYZ Corporation at $30 per share using an initial margin of 70%. The stock is now selling for $41 per share and you want to use the excess equity in your account to pyramid. You want to purchase 400 shares of JT Corporation at $122 per share. If the minimum initial margin is 60%, what is the minimum amount of equity that you will have to put up in this transaction? 2. You purchase 500 shares of Johns Incorporated at $50 per share using an initial margin of 60%. Your maintenance margin is 25% and the minimum initial margin is 50%. A. How low can the stock price fall before you receive a margin call? B. If the stock price falls to $21 a share, how much additional equity must you add to your account?You just purchased a share of SPCC for $95. You expect to receive a dividend of $7 in one year. If you expect the price after the dividend is paid to be $115, what total return will you have earned over the year? What was your dividend yield? Your capital gain rate? The total return you will have earned over the year is _____%. (Round to two decimal places.) Your dividend yield will be ____%. (Round to two decimal places.) Your capital gain rate will be _____%. (Round to two decimal places.)