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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)