Which One of the Following Statements Concerning Venture Capitalists Is

question 51

Multiple Choice

Which one of the following statements concerning venture capitalists is correct?

• A)Venture capitalists assume management responsibility for the firms they finance.
• B)Exit strategy is a key consideration when selecting a venture capitalist.
• C)Venture capitalists limit their services to providing money to start-up firms.
• D)Most venture capitalists are long-term investors in a firm.
• E)A venture capitalist normally invests in a new idea and finances that idea until the newly-formed firm can issue an IPO.

---

Definitions:

Low-Income Developing

A term used to describe countries with lower levels of income and economic development in comparison to global averages.

Annual Per Capita Income

The average income earned per person in a given area in a specified year, calculated by dividing the area's total income by its population.

Democratic Republic

A form of government in which representatives elected by the people make and enforce laws and policies, but the head of state is usually a president.

Low-Income Developing

Refers to countries with low levels of income per capita, often characterized by limited economic development and facing challenges in poverty, health, and education.