Question
A private equity fund investments $20 million in Project A that they exit in 12 months with $40 million. They invest $25 in Project B
A private equity fund investments $20 million in Project A that they exit in 12
months with $40 million. They invest $25 in Project B and exit in 12 months with $25
million. The carried interest rate is 11.00%. Calculate the carried interest.
A. $7.15
B. $2.20
C. $2.20
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Survey Of Economics, Principles, Applications, And Tools
Authors: Arthur O'Sullivan, Steven M. Sheffrin, Stephen J. Perez
5th Edition
0132556073, 978-0132556071
