The Burst of the Dot Com Bubble Caused Venture Capitalists

question 60

True/False

The burst of the dot com bubble caused venture capitalists to limit their funding of new businesses.

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Definitions:

Borrow

The act of receiving money, goods, or services from a lender or institution under an agreement to return or repay it in the future.

Stock Price

The cost of purchasing a single share of a particular stock on the stock market.

Levered Firm

A company that utilizes debt financing as a significant portion of its capital structure.