Textbook Chapter Cross-Reference
This index maps every function in the library to its corresponding chapter in the Startup Valuation textbook.
Chapter 2: Mathematical Foundations
Probability Theory
| Function |
Module |
Description |
expected_value_discrete |
probability |
E[X] = Σ xᵢ × P(X=xᵢ) |
expected_value_continuous |
probability |
E[X] = ∫ x × f(x) dx |
joint_probability |
probability |
P(total) = Π Pᵢ |
probability_weighted_value |
probability |
E[V] = Σ pᵢ × Vᵢ |
portfolio_expected_return |
probability |
E[R] = Σ pᵢ × Rᵢ |
poisson_probability |
probability |
P(X=k) = e⁻λ·λᵏ/k! |
Time Value of Money
| Function |
Module |
Description |
present_value |
tv |
PV = C/(1+r)ᵗ |
net_present_value |
tv |
NPV = Σ Cₜ/(1+r)ᵗ |
annuity_present_value |
tv |
PV = C×[(1-(1+r)⁻ⁿ)/r] |
Risk-Adjusted Discount Rates
| Function |
Module |
Description |
capm |
capm |
E(Rᵢ) = Rf + βᵢ(E(Rm) - Rf) |
portfolio_beta |
capm |
βp = Σ wᵢβᵢ |
startup_adjusted_capm |
capm |
CAPM + size + startup premiums |
portfolio_variance |
capm |
Var(Rp) = ΣΣ wᵢwⱼCov(Rᵢ,Rⱼ) |
Chapter 3: Core Valuation Models
| Function |
Module |
Description |
scorecard_valuation |
core |
V = V_avg × Σ(wᵢ × sᵢ) |
berkus_valuation |
core |
V = Σ vᵢ (max $500K per factor) |
risk_factor_summation |
core |
V = V_base + Σ(rᵢ × $250K) |
vc_method_post_money |
core |
Post = Terminal/ROI |
vc_method_pre_money |
core |
Pre = Post - Investment |
terminal_value_multiple |
core |
TV = Revenue × Multiple |
Chapter 4: Advanced Techniques
| Function |
Module |
Description |
black_scholes |
advanced |
C = N(d₁)S - N(d₂)Ke⁻ʳᵀ |
binomial_tree |
advanced |
u, d, p factors + tree valuation |
binomial_valuation |
advanced |
High-resolution binomial (steps=50) |
monte_carlo_valuation |
advanced |
Simulation with distributions |
scenario_analysis |
advanced |
E[V] = Σ pᵢ × Vᵢ |
ltv_cac_valuation |
advanced |
(LTV/CAC) × Market Size × 0.1 |
Chapter 5: Market Comparables
| Function |
Module |
Description |
pe_ratio |
comparables |
P/E = Market Cap / Net Income |
ps_ratio |
comparables |
P/S = Market Cap / Revenue |
ev_ebitda |
comparables |
EV/EBITDA |
ev_revenue |
comparables |
EV/Revenue |
regression_adjusted_multiple |
comparables |
Multiple = β₀ + β₁g + β₂M + ... |
target_valuation_multiple |
comparables |
Valuation = Multiple × Metric |
Chapter 11: Industry-Specific Frameworks
SaaS
| Function |
Module |
Description |
arr |
saas |
Annual Recurring Revenue |
mrr |
saas |
Monthly Recurring Revenue |
cac |
saas |
Customer Acquisition Cost |
ltv_saas |
saas |
LTV = (ARPU × GM) / Churn |
net_revenue_retention |
saas |
NRR = Revenue_end / Revenue_start |
cac_payback_period |
saas |
CAC / (MRR × GM) |
magic_number |
saas |
Net New ARR / S&M Expense |
rule_of_40 |
saas |
Growth + Profit ≥ 40% |
saas_revenue_multiple_valuation |
saas |
ARR × Multiple |
Biotech
| Function |
Module |
Description |
rnPV |
biotech |
Risk-adjusted NPV |
decision_tree_ev |
biotech |
EV = Π pᵢ × Terminal Value |
peak_sales |
biotech |
Population × Penetration × Price |
pipeline_valuation |
biotech |
Σ(Peak × Multiple × P_success)/(1+r)ⁿ |
overall_success_probability |
biotech |
P_total = Π P_stage |
Fintech
| Function |
Module |
Description |
payment_revenue |
fintech |
Volume × Take Rate |
max_loan_portfolio |
fintech |
Equity / Capital Ratio |
network_effects_value |
fintech |
Value ∝ Users^α |
lending_fintech_valuation |
fintech |
Loan Book × ROE × P/E |
payment_processor_valuation |
fintech |
DCF of payment revenue |
neobank_valuation |
fintech |
Customers × LTV × P/E |
Marketplace
| Function |
Module |
Description |
gmv |
marketplace |
Gross Merchandise Value |
take_rate |
marketplace |
Revenue / GMV |
liquidity |
marketplace |
Successful / Total Attempts |
gmv_multiple_valuation |
marketplace |
GMV × Multiple |
network_value |
marketplace |
k × Users^α |
buyer_retention |
marketplace |
Repeat Buyers / Period 1 Buyers |
network_density |
marketplace |
Actual / Potential Connections |
Hardware
| Function |
Module |
Description |
trl_adjusted_valuation |
hardware |
Market × Share × Margin × Multiple × (1-TRL) |
gross_margin_hardware |
hardware |
(ASP - COGS) / ASP |
break_even_volume |
hardware |
Fixed Costs / (ASP - Variable Cost) |
probability_weighted_dcf |
hardware |
E[V] = Σ pᵢ × Vᵢ |
Chapter 12: International Valuation
| Function |
Module |
Description |
purchasing_power_parity |
international |
Eₜ = E₀ × (1+π_f)/(1+π_d) |
interest_rate_parity |
international |
F = S × (1+r_f)/(1+r_d) |
currency_adjusted_dcf |
international |
PV = Σ[CFₜ^local/Eₜ]/(1+r_USD)^t |
country_risk_premium |
international |
Sovereign Spread |
country_risk_premium_damodaran |
international |
Default Spread × (σ_equity/σ_bond) |
adjusted_capm_international |
international |
r = Rf + β×MRP + CRP |
after_tax_cash_flow |
international |
Pre-Tax × (1-T_local) × (1-T_withhold) |
sum_of_parts_valuation |
international |
Σ V_market × P(success) |
Chapter 13: Stakeholder Perspectives
| Function |
Module |
Description |
single_round_dilution |
stakeholders |
Ownership × (1 - Investment/Post) |
multi_round_dilution |
stakeholders |
Π(1 - Investmentᵢ/Postᵢ) |
acquisition_value |
stakeholders |
Standalone + Synergies - Integration |
opm_common_stock |
stakeholders |
Black-Scholes for common stock |
pwerm |
stakeholders |
Σ pᵢ × CommonValueᵢ |
common_stock_discount |
stakeholders |
(Preferred - Common) / Preferred |
liquidation_value |
stakeholders |
Σ(Asset × Recovery Rate) |
venture_debt_dilution |
stakeholders |
Warrant Coverage × Loan / Post |
risk_adjusted_synergy |
stakeholders |
PV of risk-adjusted synergies |
intrinsic_option_value |
stakeholders |
max(FMV - Strike, 0) × Shares |
probability_weighted_employee_value |
stakeholders |
E[V] across exit scenarios |
vesting_adjusted_value |
stakeholders |
Vested + Σ(unvested × vest × retention) |
cash_equity_breakeven |
stakeholders |
Salary tradeoff analysis |
max_asset_based_loan |
stakeholders |
Collateral-based loan calculation |
Chapter 14: Emerging Topics
| Function |
Module |
Description |
safe_conversion_discount |
emerging |
Series A × (1 - Discount) |
safe_conversion_cap |
emerging |
SAFE conversion with valuation cap |
safe_expected_value |
emerging |
Expected value across cap/discount |
equation_of_exchange |
emerging |
MV = PQ → Token Value |
nvt_ratio |
emerging |
Market Cap / Daily Volume |
protocol_value |
emerging |
TVL × Multiple |
esg_adjusted_discount_rate |
emerging |
r = base + risk - opportunity |
esg_premium_valuation |
emerging |
Base × (1 + ESG × premium) |
esg_discount_valuation |
emerging |
Base × (1 - risk × discount) |
metcalfes_law |
emerging |
V = k × n² |
modified_metcalfes |
emerging |
V = k × n^α |
network_density_valuation |
emerging |
Users × Connections × Value |
remote_cost_savings_npv |
emerging |
Savings / r (perpetuity) |
data_moat_value |
emerging |
DCF of data advantage |
remote_first_premium |
emerging |
Base × (1 + savings + talent + productivity) |