prtk.nayak
Par 100 posts (V.I.P)
1. Venture capital firms prefer to invest in:
a. High potential ventures
b. Conventional small businesses
c. Privately held middle market firms
d. All of the above
2. Early stage financing is typically:
a. easier to obtain than expansion financing
b.called seed or start up capital
c. where venture capitalists are highly involved
d. used as working capital to support initial growth
3. The valuation approach that gives the lowest value of the business is:
a. book value
b. liquidation value
c. present value of future cash flows
d. Earnings approach
4. The best source of funds for first stage financing is the:
a. Private venture capital companies
b. informal risk capital market
c. small business investment companies
d.public equity market
5. The informal risk capital market is made up of:
a.angels
b.stockbrokers
c. venture capitalists
d.both a and b
6.In most cases, the venture capitalist:
a. does not seek control of the company
b. expects a seat on the board of the directors
c. expects the management team to run the daily operations
d. all of the above
7. In marketing an investment, the venture capitalist uses which of the following as part of his criteria:
a. First rate product
b. Unique product/market opportunity
c. Strong Management
d. Both b and c
8. The due diligence of the venture capital process includes:
a. outlining the principal terms
b. a detailed review of the company's history
c. preparation of an investment memorandum
d. a preliminary study of the business plan
9. The largest percentage of venture capital funding is invested in:
a. seed capital
b. start up capital
c. expansion funds
d. acquisition funds
10. Which factor in valuing your company is the most important?
a. Future earnings capacity
b. Book value
c. Outlook of the company
d. Market price of similar companies' stocks
a. High potential ventures
b. Conventional small businesses
c. Privately held middle market firms
d. All of the above
2. Early stage financing is typically:
a. easier to obtain than expansion financing
b.called seed or start up capital
c. where venture capitalists are highly involved
d. used as working capital to support initial growth
3. The valuation approach that gives the lowest value of the business is:
a. book value
b. liquidation value
c. present value of future cash flows
d. Earnings approach
4. The best source of funds for first stage financing is the:
a. Private venture capital companies
b. informal risk capital market
c. small business investment companies
d.public equity market
5. The informal risk capital market is made up of:
a.angels
b.stockbrokers
c. venture capitalists
d.both a and b
6.In most cases, the venture capitalist:
a. does not seek control of the company
b. expects a seat on the board of the directors
c. expects the management team to run the daily operations
d. all of the above
7. In marketing an investment, the venture capitalist uses which of the following as part of his criteria:
a. First rate product
b. Unique product/market opportunity
c. Strong Management
d. Both b and c
8. The due diligence of the venture capital process includes:
a. outlining the principal terms
b. a detailed review of the company's history
c. preparation of an investment memorandum
d. a preliminary study of the business plan
9. The largest percentage of venture capital funding is invested in:
a. seed capital
b. start up capital
c. expansion funds
d. acquisition funds
10. Which factor in valuing your company is the most important?
a. Future earnings capacity
b. Book value
c. Outlook of the company
d. Market price of similar companies' stocks