(Choose1answer)
An investor invests $2.5 million on $5 million post-money valuation in a participating Preferred Stock. The company subsequently sells for $10 million. What is the ownership of the Preferred investor and how much of the $10 million will the investor receive?
A. 33%; $3.3 million.
B. 50%; $6.25 million.
C. 50%; $5 million.
D. 33%; $5 million.
Eatt 3
