Use the Information for the Question(s)below

question 79

Multiple Choice

Use the information for the question(s) below.
You founded your own firm two years ago. You initially contributed $250 000 of your own money and in return you received 2.5 million shares of stock. Since then, you have sold an additional 1.25 million shares of stock to angel investors. You are now considering raising capital from a venture capital firm. This venture capital firm would invest $5 million and would receive 2 million newly issued shares in return.
-After the venture capitalist's investment, the post-money valuation of your shares is closest to:

• A)$12.5 million
• B)$10.0 million
• C)$9.4 million
• D)$8.5 million

---

Definitions:

Signal Transduction

Signal transduction is the process by which a cell responds to external signals, converting them into cellular responses through a complex series of events.

Enzyme-Linked Receptor

A type of cell surface receptor that, upon binding to its ligand, activates an intrinsic enzymatic activity, leading to a cellular response.

Extracellular Kinases

Enzymes found outside of cells that play critical roles in various signal transduction pathways, affecting processes from growth to programmed cell death.

MAP Kinase

An enzyme that plays a critical role in signaling pathways, involved in cell processes like division, differentiation, and response to external stress.