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Accounting Interview Question:
Accounting for VC money in financials
Submitted by: AdministratorIt depends on the form in which the money comes in. If it was invested as equity (either Common or Preferred Stock), it shows up on the balance sheet as Paid in Capital. If it came in as debt (such as bridge loan, secured note, etc.) it shows up as debt that must be repaid by the company.
Submitted by: Administrator
Submitted by: Administrator
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