Which of the Following Statements Is FALSE

question 9

Multiple Choice

Which of the following statements is FALSE?

• A) The general partners work for and run the venture capital firm; they are called venture capitalists.
• B) An important consideration for investors in private companies is their exit strategy-how they will eventually realize the return from their investment.
• C) When a company founder decides to sell equity to outside investors for the first time, it is common practice for private companies to issue common stock rather than preferred stock to raise capital.
• D) Institutional investors such as pension funds, insurance companies, endowments, and foundations manage large quantities of money.

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Definitions:

Ethical Standards

The principles that govern the behavior of individuals and organizations, guiding them in what is considered right or wrong.

Scientific Experiments

A method of inquiry in the natural sciences involving observations, the formulation of hypotheses, and conduct of experiments to test these hypotheses.

Quantitative Researchers

Scientists who specialize in the study of phenomena via numerical data and statistical analysis.

Surveys And Questionnaires

Research tools used for collecting data from a predefined group of respondents to gain information and insights on various topics of interest.