Jeremy Founded a Company

question 97

Multiple Choice

Jeremy founded a company. He issues 200,000 Class A preference shares for his own $100,000 investment. He then goes through three further rounds of investment, as shown below: Round Price Number of Shares Class B $1.00 500,000 Class C $1.50 300,000 Class D $2.25 400,000 What is the post-money valuation for the Class D funding round?

• A) $3.15 million
• B) $1.95 million
• C) $2.025 million
• D) $2.85 million

---

Definitions:

Square

A geometric figure with four equal sides and four right angles, or the mathematical operation of multiplying a number by itself.

Calculate

To determine mathematically the amount or number of something.

Result

The outcome or consequence of an action, experiment, or process.

Numerator

The top number in a fraction that indicates how many parts of the whole or group are being considered.