What is meant by Market Capitalization. I understand some parts of it, but...?

Question

Ok, lets say that we have a company XYZ, which decides to have an IPO and release 25% of its worth. SO if shares trade at $10 each and there are 25 shares in the market, is the market capitalization 25 * $10 = $ 250 or rather $ 1000, taking into account the amount that is privately held?

Answer 1

it's 1,000.

If the company is releasing 25% of it's shares, that means 75% of the  shares are being held by the insiders. Basically the outstanding shares X market value of the stock equals your market cap.