The Most Common Method for a Private Equity Investor to Get

question 20

Multiple Choice

The most common method for a private equity investor to get a return is:

• A) Receiving a regular dividend on earnings from the company.
• B) Outright sale to another company.
• C) Partial sale to another company.
• D) An initial public offering.

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Definitions:

Independent Variable

A variable in an experiment that is manipulated or changed by the researcher to observe its effects on the dependent variable.

Experimental Group

A group of subjects in an experiment who are exposed to the independent variable to assess its effect, compared to a control group.

Smallest Unit

The fundamental, indivisible particle or component of a system, often referring to cells in biology or atoms in chemistry.

Life

The condition that distinguishes animals and plants from inorganic matter, including the capacity for growth, reproduction, functional activity, and continual change preceding death.