Match the Term with Its Definition

question 53

Multiple Choice

Match the term with its definition.
-The process used by entrepreneurs and investors to reap the value of their investment in a business when they leave it

• A)build-up LBO
• B)business broker
• C)bust-up LBO
• D)double taxation
• E)employee stock ownership plan (ESOP)
• F)harvesting (exiting)
• G)initial public offering (IPO)
• H)leveraged buyout (LBO)
• I)management buyout (MBO)
• J)opportunity cost of funds
• K)private equity recapitalization
• L)seller financing

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Definitions:

Genetic Drift

A mechanism of evolution that causes allele frequencies to change randomly over time due to chance events.

Mutation

A permanent alteration in the DNA sequence that makes up a gene, leading to variability within populations and potentially to new traits or diseases.

Adaptive Evolution

The method by which populations adapt to their surroundings by evolving genetic characteristics across generations.

Environmental Change

Any alteration in the conditions of an environment, due to natural processes or human activities, that can affect the organisms living within it.