How do promoters get diluted when raising money?
1 Answer(s)
Binny
Since this is a quiz question I wont be able to give the answer but I will try my best to explain the steps -
Day 1 - 60%
After 15% to employees = .60 * (1-.15) = A
After 10% dilution = A * (1-.1) = B
After 25% dilution = B * (1-.25) = C
After 30% dilution = C * (1-.3) = Answer
Jan 26 2013 09:39 AM
Day 1 - 60%
After 15% to employees = .60 * (1-.15) = A
After 10% dilution = A * (1-.1) = B
After 25% dilution = B * (1-.25) = C
After 30% dilution = C * (1-.3) = Answer