Equity Allocation
The inputs required for a black scholes
What is risk-free rate, volatility, time to exit, dividend yield, strike price, and spot price?
Goodwill represents
What is the difference between fair value of its net identifiable intangible and tangible assets and the purchase price?
A SAFT is an acronym for a crypto specific investment
What is Simple Agreement for Future Tokens?
Differences between CAPM and Build-up WACC
What is beta from comparable companies (CAPM) and the industry risk premium (Build-Up)?
The scenarios for an OPM vs a current value method
What is OPM used for complex capital structures and CVM is used for imminent liquidity event, dissolution, or simple capital structures?
Methodology used to value trade names
What is relief from royalty?
Most commonly used valuation approach used for valuing crypto related investments
What is the market approach?
The use of an exit multiple in the DCF
What is when the company is not at a mature state and is assumed to be sold in the future?
The difference between the implied equity value from a backsolve and the post-money valuation
The three discount rates used in a PPA and the thing they represent
What is WACC (discount rate for the company), WARA (the weighted average return on the assets acquired), and IRR (the discount rate represented for the purchase price)?
GPC multiples besides EV/Rev and EV/EBITDA
What is Price/Earnings and Price/Book?
The way to incorporate a conversion multiplier (more than 1.0x)
What is adjusting the price at which the preferred shares convert to common and the number of shares that will convert to common?
Methodology used to value the primary asset in a PPA
What is multi-period excess earnings method (MPEEM)?
The two OPM models used to determine the DLOM for locked tokens
What is geometric average asian put and black scholes?
Discounts applied to a controlling, marketable company
What is discount for lack of marketability (DLOM), discount for lack of control (DLOC), and discount for lack of voting rights (DLVR)?
Difference between participating preferred vs non-participating preferred
What is the non-participating preferred stock gets either their liquidation preference or the pro-rata share of proceeds if they had converted to common?
Intangible assets excluded when the private company council (PCC) alternative election is taken
What is customer relationships and non-compete agreements?
The two most common consensus mechanism to secure a crypto protocol
What is proof of work and proof of stake?
Formula for gordon growth
Cash flow / (WACC - growth rate)