Hiromi has invented a nanogel that can heal burns more quickly than conventional wound dressings. She is seeking an investor to further develop and market her product. She offers an interested investor a 30% share of her company in return for a $600,000 investment. How much does Hiromi feel her company is worth?
A) $2,000,000
B) $20,000,000
C) $18,000,000
D) $1,800,000

Question

Quizplus · Accepted Answer

If the investor's $600,000 investment represents a 30% share, the company's total value is calculated as $600,000 / 0.30 = $2,000,000.

Hiromi Has Invented a Nanogel That Can Heal Burns More