Match the Term with Its Definition

question 51

Essay

Match the term with its definition.
a.Build-up LBO
b.Business broker
c.Bust-up LBO
d.Double taxation
e.Employee Stock Ownership Plan
f.Harvesting
g.Initial public offering
h.Leveraged buyout
i.Management buyout
j.Opportunity cost of funds
k.Private equity recapitalization
l.Seller financing
-An infusion of equity from private investors that allows an entrepreneur to cash out a portion of his investment while possibly continuing to operate the business

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Definitions:

Average Variable Cost

The total variable cost of production divided by the quantity of output produced, reflecting the average cost of each unit of output on variable factors.

Exclusive Right

A legal entitlement granting someone the sole authority to engage in a certain activity or use a specific property.

Profit

The financial gain obtained when the total revenues generated from selling goods or services exceed the total costs and expenses to produce them.

Exclusive Right

Exclusive Right is a legal entitlement that grants the holder the sole privilege to perform, use, or sell a particular service, product, or piece of intellectual property.