Aventure capital firm wants to invest $5 million in rosita corp., a startup biotechnology firm. rosita is expected to go public in 5 years. earnings will be negligible until year 5, but are projected to be $8 million in year 5. comparable biotech firms are trading at p/e ratios of 15 on average. rosita has 500,000 shares of stock outstanding. the vc firm will apply a discount rate of 50% to the investment. how many shares of stock should the vc firm be given for its $5 million investment? what should be the price per share? what are the implied pre-money and post-money valuations?

You would like to compare your firm's cost structure to that of your competitors. however, your competitors are much larger in size than your firm. which one of these would best enable you to compare costs across your industry? common-size income statement. pro forma balance sheet. statement of cash flows. common-size balance sheet

How can a company salesperson with product development

Ethics refers to fundamental principles of right and wrong; ethical behavior is behavior that is consistent with those principles. hrm decisions should be ethical, but the evidence suggests that is not always the case. many ethical issues in the workplace involve hrm. in the context of ethical human resource management, hr managers must view employees as having basic rights. in this activity, you will look at the four principles for ethical behavior and the basic rights employees should expect in the work environment. hr managers must view employees as having basic rights, for such a view reflects ethical principles embodied in the u.s. constitution and bill of rights. organizations often face situations in which the rights of employees are affected. ethical, successful companies act according to four principles: emphasizing mutual benefits, employees assuming responsibility for the actions of the company, companies having a sense of purpose or vision that employees value, and emphasizing fairness.