Tyreek pitches four investors. They agree to each invest $25,000 and value tyreek's company at $200,000. How much of the company will tyreek still own after the investment?

Respuesta :

The percentage of the company which Tyreek will still own after the investment is 50%

What is investment?

Investment can be defined as an asset acquired to build wealth and save money from the hard earned income or appreciation.

Value of Tyreek's company

= $200,000

Total amount contributed by the four investors

= $25,000 * 4

= $100,000

Let Y represents the percentage of the company which Tyreek will still own after the investment.

Therefore, we have:

Y

= (Total amount contributed by the four investors / Value of Tyreek's company)

= ($100,000 / $200,000)

= 0.5 or 50%

Hence, the percentage of the company which Tyreek will still own after the investment is 50%

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