Complete the Following Using the Terms Listed

question 73

Multiple Choice

Complete the following using the terms listed.
-_____ raise money from wealthy individuals and institutional investors,and invest these funds in small,start-up companies.

• A)Venture capitalists
• B)private placements
• C)factoring
• D)capital investment analysis
• E)debt capital
• F)equity capital
• G)financial plan
• H)leveraged buyout
• I)private equity funds
• J)divestiture
• K)Marketable securities
• L)financial manager
• M)tender offer
• N)Trade credit
• O)leverage
• P)capital structure
• Q)Asset intensity
• R)bonds
• S)spin-off
• T)Hedge funds
• U)Inventory control
• V)dividends
• W)debt-to-equity (D/E)
• X)compensating balances
• Y)shareholder's equity

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Definitions:

Licensing Agreement

A legal contract between two parties, where one party gives the other permission to use its brand, patent, or proprietary information under agreed terms.

Fees for Service

Charges imposed for specific services provided by professionals or organizations, often based on the service's complexity or the time required to perform it.

Earned Income

Income generated from the sale of goods and services, distinguishing it from donations or grants in nonprofit organizations.

Feasibility Study

An analysis conducted to assess the practicality and potential success of a proposed project or venture, considering factors like economic, technological, legal, and scheduling constraints.