Match the term with the correct definition. Pre-money valuation Post-money valua
ID: 2780168 • Letter: M
Question
Match the term with the correct definition.
Pre-money valuation
Post-money valuation
Explicit forecast period
Net operating working capital (NOWC)
A.
Current assets less surplus cash minus current liabilities, or net working capital less surplus cash
B.
The period in which forecasts for financial statements are made explicitly
C.
The present value before receiving additional investment
D.
The present value including an additional investment
Pre-money valuation
Post-money valuation
Explicit forecast period
Net operating working capital (NOWC)
A.
Current assets less surplus cash minus current liabilities, or net working capital less surplus cash
B.
The period in which forecasts for financial statements are made explicitly
C.
The present value before receiving additional investment
D.
The present value including an additional investment
Explanation / Answer
Pre-money valuation - C - The present value before receiving additional investment
Post-money valuation - D - The present value including an additional investment
Explicit forecast period - B - The period in which forecasts for financial statements are made explicitly
Net operating working capital (NOWC) - A - Current assets less surplus cash minus current liabilities, or net working capital less surplus cash