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Question
Estimate a venture's cash flow expected next year based on the following information: current year's net sales = $400,000; terminal value = $500,000; constant future growth rate = 10%; and venture investors' required rate of return = 20%.
a. $80,000
b. $40,000
c. $50,000
d. $60,000
Answer
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Related questions
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In SEC v. Ralston Purina (1953), the U.S. Supreme Court took an important step toward defining a public offering for the purposes of Section 4(2) of the Securities Act of 1933.
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Registration rights embedded in a venture's securities grant certain classes of shareholders the right, under certain circumstances, to have their securities registered with the SEC.
a. True
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Q:
In which of the following credit programs does the SBA borrow money to be lent to Small Business Investment Companies (SBICs) and guarantee payment to investors?
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Which of the following types of crowdfunding involves soliciting funds from a large number of small investors in exchange for an equity position in the venture requesting the funding?
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Q:
Arranging for partial ownership as a component of the expected return to a lessor is known as:
a. venture leasing
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Q:
In which of the following credit programs does the SBA approve a loan and guarantee up to 85% of loan value?
a. 7(a) loan
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Q:
Commercial banks, credit unions, and/or financial services firms are lenders in which of the following SBA credit programs?
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b. CDC/504 loan
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b. teaser rates afford initial low cost borrowing
c. balance transfers occur at below-prime rates
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The Small Business Administration was created by an act of Congress in 2003.a. Trueb. False
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b. public pension funds
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The beginning of professional venture capitalists is considered to have begun with the establishment or formation of:
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Q:
When screening possible investments, a venture capital firm might issue a SLOR, which stands for:
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d. "senior letter of reference"