HW: VF Ch$02$ VC Players

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$1.2\mathrm{.}1$ Suppose that a $$200$M VC fund has a management fee of $2\mathrm{.}5$ percent

per year for the first five years, with a reduction of $0\mathrm{.}25$ percent $(25$ basis

points$)$ in each year thereafter. All fees are paid on committed capital,

and the fund has a $10-$year life. What are the lifetime fees and

investment capital for this fund?