Question

Which of the following entities is specialised in the investments in emerging businesses at the very...

Which of the following entities is specialised in the investments in emerging businesses at the very early stage in small deals? (Only one correct answer.)

Select one:

a. venture capital funds

b. superannuation funds

c. investment banks

d. insurance companies

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

A venture capital fund makes investment in a company during an early stage. This investment is made with an expected return that is very high and an investment horizon of atleast 5 to 8 years. Once the value of the business increases, it is sold off using an IPO or LBO or any other means. Hence, the following entity specialized in the investments in emerging businesses at a very early stage in small deals is-

A. Venture capital funds

Do let me know in the comment section in case of any doubt.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
1.Which of the following statement is not true about interest rate risk? (Only one correct answer.)...
1.Which of the following statement is not true about interest rate risk? (Only one correct answer.) Select one: a. Bond prices are negatively related to interest rate movements. b. Lower coupon bonds have lower interest rate risk. c. Long term bonds have higher interest rate risk than short term bonds. d. Interest rate risk is the uncertainty of how the bond price will change following the interest rate changes. 2.Which one of the following statements best describes two mutually exclusive...
6.Which of the following is (are) the reasons for some people to choose interest only loan?...
6.Which of the following is (are) the reasons for some people to choose interest only loan? (There may be more than one correct answer. You will lose marks by choosing a wrong answer. The minimum mark for the question is zero.) Select one or more: a. The interest only loan provides more tax deductions for investment properties. b. The interest only loan is less expensive over the whole loan term. c. Banks usually apply lower interest rate for interest only...
Which one of the following arguments is correct? Multiple Choice A) Mutual funds provide small investors...
Which one of the following arguments is correct? Multiple Choice A) Mutual funds provide small investors with low-cost diversification. B) Investment banks raise money from depositors and make loans to individuals and businesses. C)An individual can save and invest in a corporation only by purchasing additional shares. D)NEW YORK STOCK EXCHANGE (NYSE) is not considered as financial markets.
31. Which of the following problems would most likely be a concern for life insurance companies...
31. Which of the following problems would most likely be a concern for life insurance companies that are worried about differentiating between good risks and bad risks? A. Adverse selection B. Catastrophe risk C. Longevity risk D. Moral hazard 32.Which of the following statements regarding the capital requirements and regulation of insurance companies is correct? A. Insurance companies are regulated at both the state and federal level. B. The guaranty system for insurance companies consists of a permanent fund created...
In which of the following entities will all persons who participate in management be protected from...
In which of the following entities will all persons who participate in management be protected from liability beyond their investment? 1. C corporation. 2. S corporation. 3. Limited liability company. 4. Limited partnership. Select one: a. 1 only. b. 2 and 3. c. 1 and 4. d. 1, 2, and 3.
Question text Which of the following is not a source of finance for new ventures? Select...
Question text Which of the following is not a source of finance for new ventures? Select one: a. Funds from venture capitalists b. Rights Issue c. Initial public offerings (IPO) d. Loans from banks
11: Money market securities are issued by various entities for the purpose of:      a. bringing in...
11: Money market securities are issued by various entities for the purpose of:      a. bringing in new ownership.      b. raising long-term funding      c. paying taxes.      d. supplying the economy with money. 12: Among the various categories of money market instruments, which one accounts for the smallest "slice" of the money market "pie"?      a. Bankers acceptance      b. U.S. Treasury bill      c. Federal funds and repurchase agreements      d. Commercial paper 13: Of the following institution types, which have been increasing their share...
Q14 Which of the following is nottrue for a private company? Select one: a. It is...
Q14 Which of the following is nottrue for a private company? Select one: a. It is a common form of business structure for large-sized entities. Q24 The triple bottom line approach encourages a focus on which performance areas? Select one: a. Economic, environmental and sustainability b. Economic, social and environmental c. Social, environmental and sustainability d. Economic, social and sustainability b. The company name includes the words 'Pty Ltd'. c. It can have up to 50 shareholders. d. It is...
Which ONE of the following statements is true? Select one: A. A private placement occurs when...
Which ONE of the following statements is true? Select one: A. A private placement occurs when a company sells securities directly to investors such as superannuation funds, commercial banks and wealthy individuals. B. Most private placements involve the sale of equity issues. C. A private placement is arranged and finalised slower than an open public offer. D. The offer price in a private placement is likely to be less than that of an open offer.
Which of the following statements about the cost of equity to not-for-profit businesses is most correct?...
Which of the following statements about the cost of equity to not-for-profit businesses is most correct? A Because such businesses have no shareholders, the cost of equity is zero. B The cost of equity is the return available on short-term investments (marketable securities). C The cost of equity is the greater of the return required to support asset growth or to maintain the desired bond (debt) rating. D A cost-of-equity estimate is not needed, because not-for-profit businesses are not required...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT