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Home » The joint distribution of $ (Y_(1), Y_(6)) $ has joint density: - Aurero

The joint distribution of $ (Y_(1), Y_(6)) $ has joint density: - Aurero

📅 March 13, 2026 👤 scraface

Mar 13, 2026

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📌 An angel investor puts $250,000 into a startup at a $1 million pre-money valuation. What percentage equity does she receive?

📌 Pre-money valuation = $1,000,000

📌 Investment = $250,000

📌 Equity = $250,000 / ($1,000,000 + $250,000) = 250,000 / 1,250,000 = 0.20 = 20%

📌 A startup increases its value from $500,000 to $2 million in 4 years. What is the compound annual growth rate (CAGR)?

📌 CAGR = (Final / Initial)^(1/t) – 1

📌 = (2,000,000 / 500,000)^(1/4) – 1 = 4^(0.25) – 1

📌 4^(0.25) = √(√4) = √2 ≈ 1.4142

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