An Investor Has Offered $150,000 for 20% of the Company

question 22

Multiple Choice

An investor has offered $150,000 for 20% of the company.The company has a pre-money valuation of $350,000.Should the entrepreneur consider the offer?

• A)No; the investor is asking too great a percentage.
• B)Yes; the investor is asking for less than the value of the investment.
• C)No; the investor is not offering enough for the value of the company.
• D)It cannot be determined.

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Definitions:

Retrieval Cues

Stimuli or prompts that help in the recall of information stored in memory.

Infant Amnesia

The phenomenon in which older children and adults are unable to recall memories from the first few years of life, theorized to be due to the development of the hippocampus and other memory-related brain structures.

Explicit Memory Tests

Assessments that measure the recall of specific information, requiring conscious effort to retrieve memories.

Implicit Memory Tests

Assessments designed to measure unconscious memory processes, often through the recall of learned skills or conditioned responses.