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NEW QUESTION: 1

A. Option D
B. Option C
C. Option A
D. Option B
Answer: C

NEW QUESTION: 2



A. Option D
B. Option C
C. Option A
D. Option B
Answer: D

NEW QUESTION: 3
Which of the following statements about venture capital investments is least accurate?
A. Venture capital returns tend to be higher when there are fewer venture capitalists in the market.
B. Venture capitalists typically invest in countercyclical industries so that returns tend to be high during periods of weak equity markets.
C. The venture capital market is probably not efficient.
Answer: B
Explanation:
Venture capital returns depend upon financial markets. In periods of strong equity markets, venture capital investment returns (like most other investments) tend to be high. Venture capital markets are small and there is generally not a lot of information available about the companies. Studies show that venture capital returns are high when less venture capital funds are raised. The returns tend to be lower during periods when large amounts of venture capital are raised. Like many other investments, the time to invest is when few people want to invest.