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Which of the Following Phenomena Would Be Most Likely to Occur

question 21

Multiple Choice

Which of the following phenomena would be most likely to occur if the project team did NOT have clear and commonly understood project goals?


Definitions:

Cram-Down Round

A financing round typically at a lower valuation, in which existing shareholders have their shares diluted if they do not participate.

Founders' Ownership

The proportion of a company's equity that is owned by its original creators or founders.

Dilution

A reduction in the ownership percentage of a share of stock caused by the issuance of new shares.

Share Price

The market price of a single share of a company's stock, reflecting the value investors place on the company.

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