Exhibit 61
Use the Information Below for the Following Problem(S)

question 59

Multiple Choice

Exhibit 6.1
Use the Information Below for the Following Problem(S)
$\begin{array}{ccccc}\text { Stock } & \mathbf{R}_{\text {it }} & \mathbf{R}_{\text {mt }} & \mathbf{a}_{\mathbf{i}} & \text { Beta } \\\hline \mathrm{C} & 12 & 10 & 0 & 0.8 \\\mathrm{~F} & 10 & 80 & 0 & 1.1\end{array}$
R_it = return for stock i during period t
R_mt = return for the aggregate market during period t
-Refer to Exhibit 6.1.What is the abnormal rate of return for Stock E when you consider its systematic risk measure (beta) ?

• A) 2.0%
• B) 1.2%
• C) 4.0%
• D) -1.05%
• E) -8.5%

Identify the typical expected holding periods for venture capital investments.

Grasp the reasons why investors stage their capital commitments.

Understand the valuation methods for private companies and their implications.

Appreciate the importance of legal and accounting advice in the deal-making process.

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Definitions:

Client-Centered Therapist

A psychological approach focusing on empowering individuals by fostering a non-judgmental, empathetic therapy environment.

Unconditional Positive Regard

A concept in client-centered therapy proposing that therapists should accept and support clients without judgment or condition, fostering a therapeutic environment conducive to self-improvement.

Misconceptions

False beliefs or ideas widely held by people based on incorrect interpretations or misunderstanding of facts.

Cognitive Therapy

A form of psychotherapy that aims to alter maladaptive thinking patterns, thereby changing behavior and emotional state.