Mathematics · Aptitude & Commercial Mathematics
An investor holds Compulsorily Convertible Preference Shares (CCPS) with a 1x non-participating liquidation preference in a startup. The initial investment was 2 million rupees for a 20% stake. If the startup is acquired for 10 million rupees, how much will the investor receive upon liquidation?
- 110 million rupees
- 21.6 million rupees
- 34 million rupees
- 42 million rupees✓
Correct answer
2 million rupees
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