Question $1(1$ point$)$

Angel investors who provide startup funding to fledging firms are usually star athletes and movie stars

looking for high$-$risk, high$-$return investments.

True

False

Question $2(1$ point$)$

When angel investors fund a startup firm, they typically look for $25\%$ to $50\%$ annual returns.

True

False

Question $3(1$ point$)$

Venture capital firms are usually structured as limited partnerships.

True

False

Question $4(1$ point$)$

Since startup funding is so risky, venture capital firms $($VCs$)$ typically form syndicates with other VCs to

share the risks and rewards of their investments.

True

False

Question $5(1$ point$)$

When VCs invest in startups, they provide funding in stages rather than all at once. The startup firms must

meet milestones such as revenue targets before they are eligible to receive additional funding.

True

False