All of the Following Statements Are Correct Except

question 82

Multiple Choice

All of the following statements are correct except:

• A)Venture capitalists usually are members of partnerships that consist of thousands of general partners.
• B)The typical venture capital partnership manages between $50 billion and $100 billion in assets.
• C)It is common to organize a venture capital fund as a publicly listed corporation.
• D)At the end of a fund's life, cash and securities are typically donated to charitable causes.
• E)None of the above statements are correct.

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Definitions:

Noncash Assets

Assets that cannot be easily converted into cash, such as real estate, equipment, and intellectual property.

Liquidated

The process of converting assets into cash or paying off liabilities in the process of closing or restructuring a business.

Capital Balances

The amount of money in a company's accounts that represents the capital contributed by the owners or shareholders.

Capital Interest

The stake that a particular investor holds in the equity of a firm, often represented by the share of the company's capital owned by the investor.