A. Which of the following statements is most accurate concerning the venture capital industry?

VCs all prefer early stage investments.

VCs are prevented (by law) from investing prior to Series A.

VCs all prefer late stage investments because of the risks involved.

VCs may prefer any stage investment (from early seed stages to late mezzanine stage investments).

B. Venture capital.

is inherently evil

is a fairly recent phenomena (from the last several decades)

is when an individual invests in a company that they have interest in

is sponsored by government growth programs

C. Angel investors typically invest.

more than $1 million

less than $250,000

more than $10 million

more than $5 million

D. When calculating company value using DCF analysis, what is a typical discount rate used by an investor evaluating a small, privately held pre-revenue company?

The same as the S&P 500 average

Less than 5%

Anything between 30% and 80%

Between 5% and 10%