A Venture Is Expected to Have an Exit Value of $10,000,000

question 10

Multiple Choice

A venture is expected to have an exit value of $10,000,000 five years from now. If venture investors invest $1,000,000 now, and expect a 20% compounded rate of return on their investment, what portion of the exit value would they need?

• A) 10.5%
• B) 20.1%
• C) 24.9%
• D) 28.8%
• E) 32.5%

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Definitions:

Added Sugars

Sugars and syrups that are added to foods or beverages during processing or preparation.

Soluble Fiber

A type of dietary fiber that dissolves in water to form a gel-like substance, aiding in digestion and helping to lower cholesterol levels.

Dietary Protein

Essential nutrients found in food sources like meat, dairy, legumes, and nuts that are crucial for the building, maintenance, and repair of body tissues.

Acceptable Macronutrient Distribution Ranges

Guidelines recommended by health experts that suggest the proportion of carbohydrates, proteins, and fats people should consume to maintain health and reduce the risk of chronic diseases.