Please choose thebestanswer to the following question from the four choices below:

Q. The primary difference between early stage, venture capital investing and later stage, private equity investing is:

Group of answer choices

Early stage, venture capital investing has produced higher returns historically compared to later stage, private equity investments.

Institutional investors participate in later stage, private equity investing but do not participate in early stage, venture capital investing.

Early stage, venture investing involves investing in companies that are unprofitable and consuming cash, while later stage, private equity investing involves investing in companies that are profitable and can support some debt in their capital structure.

Later stage, private equity investing is riskier than early stage, venture capital investing