Venture Capitalists: Select all that apply 1. Generally invest in secure established firms 2. Provide funds to start up firms and businesses that cannot secure financing from conventional sources such as banks and investment companies 3. Are often referred to as Angel Investors and Corporate Ventures 4. Are often referred to as Underwriters Given the following information about the capital structure of a firm, calculate its Cost of Capital (weighted average cost of capital, or WACC). Please show your calculations. The firms Debt = $300,000, interest rate of 8.0% The firms Equity = $700,000, return/dividend rate of 5.0% The firms Income Tax Rate = 21% WACC (%): ____________________________________ The capital structure of a business consists of: (select one) a. Its working capital, debt, and common stock b. Its shareholders equity and long-term debt c. Its total liabilities and current assets d. Its total assets minus its total liabilities When preferred stock is issued by a company, the holders of the preferred shares have preferential rights to vote and receive dividends from the company. True/False