Question 1

SBIC stands for

Accepted Answer

A) small business in capital. 
B) securities, bonds, investment, capital. 
C) small-business investment companies. 
D) sources of business investment companies. 
A) small business in capital. 
B) securities, bonds, investment, capital. 
C) small-business investment companies. 
D) sources of business investment companies. C

Question 2

Social lending sites are different from so-called microlending sites.

Accepted Answer

A) True 
 B)False  True

Question 3

The venture capital pool is rapidly declining due to overfunding.

Accepted Answer

A) True 
 B)False  False

Question 4

According to Forbes, the net worth of the richest _____ Americans was $2.29 trillion ($5.73 billion per person).

Accepted Answer

A) 400 
B) 1,000 
C) 5,000 
D) 100 
A) 400 
B) 1,000 
C) 5,000 
D) 100

Question 5

Which of the following is not a stage of the evaluation process?

Accepted Answer

A) initial screening 
B) evaluation of the business plan 
C) beta-testing 
D) final evaluation 
A) initial screening 
B) evaluation of the business plan 
C) beta-testing 
D) final evaluation

Question 6

Which of the following statements about raising capital is true?

Accepted Answer

A) All capital is raised through formal sources. 
B) All capital is raised through debt sources. 
C) Capital is easy to get. 
D) It often takes a great deal of time to raise capital. 
A) All capital is raised through formal sources. 
B) All capital is raised through debt sources. 
C) Capital is easy to get. 
D) It often takes a great deal of time to raise capital.

Question 7

Which of the following would be most commonly used for long-term financing?

Accepted Answer

A) insurance companies 
B) trade credit 
C) finance companies 
D) leasing companies 
A) insurance companies 
B) trade credit 
C) finance companies 
D) leasing companies

Question 8

The main objective of Regulation D is to

Accepted Answer

A) increase investment in private placement. 
B) regulate new small-business investment. 
C) make it easier and less expensive for small ventures to sell stock. 
D) reduce debt financing by small enterprises. 
A) increase investment in private placement. 
B) regulate new small-business investment. 
C) make it easier and less expensive for small ventures to sell stock. 
D) reduce debt financing by small enterprises.

Question 9

_____ bank loans are made on a discounted value of the receivables pledged.

Accepted Answer

A) Accounts receivable financing 
B) Peer-to-peer 
C) Trade lending 
D) Convertible stock 
A) Accounts receivable financing 
B) Peer-to-peer 
C) Trade lending 
D) Convertible stock

Question 10

Which of the following terms is synonymous with social lending?

Accepted Answer

A) accounts receivable lending 
B) peer-to-peer (P2P) lending 
C) tax lending 
D) government-backed lending 
A) accounts receivable lending 
B) peer-to-peer (P2P) lending 
C) tax lending 
D) government-backed lending

Question 11

Which of the following is not a major trend that has occurred in venture capital over the last few years?

Accepted Answer

A) more innovation 
B) more specialized funding 
C) emerging syndicated deals 
D) stronger small start-up investments 
A) more innovation 
B) more specialized funding 
C) emerging syndicated deals 
D) stronger small start-up investments

Question 12

Which of the following is more likely than the others to be deemed a potential danger of social lending?

Accepted Answer

A) high funding success rate 
B) business plan disclosure 
C) potential tax advantage 
D) regulatory certainty 
A) high funding success rate 
B) business plan disclosure 
C) potential tax advantage 
D) regulatory certainty

Question 13

Corporate venture capital can offer strategic and tactical advice, an operating budget, and credibility but started to decline in 2017, and this trend is expected to continue.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following would be most commonly used for intermediate-term financing?

Accepted Answer

A) insurance companies 
B) trade credit 
C) finance companies 
D) leasing companies 
A) insurance companies 
B) trade credit 
C) finance companies 
D) leasing companies

Question 15

Which of the following is an important question for the entrepreneur to ask when evaluating the venture capitalist?

Accepted Answer

A) How many deals has the firm actually made in this field? 
B) Is the person a close relative? 
C) Is the person wealthy? 
D) Does person have a degree? 
A) How many deals has the firm actually made in this field? 
B) Is the person a close relative? 
C) Is the person wealthy? 
D) Does person have a degree?

Question 16

Informal investors find projects to invest in through

Accepted Answer

A) networks of friends. 
B) business classifieds. 
C) Forbes. 
D) university think tanks. 
A) networks of friends. 
B) business classifieds. 
C) Forbes. 
D) university think tanks.

Question 17

Venture capital in the United States has been highest in which of the following?

Accepted Answer

A) nanotechnology 
B) health care 
C) data mining 
D) food services 
A) nanotechnology 
B) health care 
C) data mining 
D) food services

Question 18

Regulation D defines separate exemptions that are based on the amount of money being raised. Which of the following is not a rule that accompanies these exemptions?

Accepted Answer

A) Rule 503 
B) Rule 504 
C) Rule 505 
D) Rule 506 
A) Rule 503 
B) Rule 504 
C) Rule 505 
D) Rule 506

Question 19

Which of the following is a type of equity financing?

Accepted Answer

A) convertible debentures 
B) common stock 
C) loan with warrants 
D) loan without warrants 
A) convertible debentures 
B) common stock 
C) loan with warrants 
D) loan without warrants

Question 20

Long-term debt is used for

Accepted Answer

A) recurring purchases. 
B) the purchase of property or equipment. 
C) the payment of payroll. 
D) a rainy day fund. 
A) recurring purchases. 
B) the purchase of property or equipment. 
C) the payment of payroll. 
D) a rainy day fund.

SBIC stands for

Social lending sites are different from so-called microlending sites.

The venture capital pool is rapidly declining due to overfunding.

According to Forbes, the net worth of the richest _____ Americans was $2.29 trillion ($5.73 billion per person).

Which of the following is not a stage of the evaluation process?

Which of the following statements about raising capital is true?

Which of the following would be most commonly used for long-term financing?

The main objective of Regulation D is to

_____ bank loans are made on a discounted value of the receivables pledged.

Which of the following terms is synonymous with social lending?

Which of the following is not a major trend that has occurred in venture capital over the last few years?

Which of the following is more likely than the others to be deemed a potential danger of social lending?

Corporate venture capital can offer strategic and tactical advice, an operating budget, and credibility but started to decline in 2017, and this trend is expected to continue.

Which of the following would be most commonly used for intermediate-term financing?

Which of the following is an important question for the entrepreneur to ask when evaluating the venture capitalist?

Informal investors find projects to invest in through

Venture capital in the United States has been highest in which of the following?

Regulation D defines separate exemptions that are based on the amount of money being raised. Which of the following is not a rule that accompanies these exemptions?

Which of the following is a type of equity financing?

Long-term debt is used for

Entrepreneurship Evolutionary Development--Revolutionary Impact

The Entrepreneurial Mind-Set in Individuals: Cognition and Ethics

The Entrepreneurial Mind-Set in Organizations: Corporate Entrepreneurship

Social Entrepreneurship and the Global Environment for Entrepreneurship

Innovation: the Creative Pursuit of Ideas

Assessment of Entrepreneurial Opportunities

Pathways to Entrepreneurial Ventures

Legal Challenges for Entrepreneurial Ventures

Marketing Research for Entrepreneurial Ventures

Financial Preparation for Entrepreneurial Ventures

Developing an Effective Business Plan

Strategic Entrepreneurial Growth

Valuation of Entrepreneurial Ventures

Harvesting Entrepreneurial Ventures

Filters

Exam 8: Sources of Capital for Entrepreneurial Ventures

SBIC stands for

Social lending sites are different from so-called microlending sites.

The venture capital pool is rapidly declining due to overfunding.

According to Forbes, the net worth of the richest _____ Americans was $2.29 trillion ($5.73 billion per person).

Which of the following is not a stage of the evaluation process?

Which of the following statements about raising capital is true?

Which of the following would be most commonly used for long-term financing?

The main objective of Regulation D is to

_____ bank loans are made on a discounted value of the receivables pledged.

Which of the following terms is synonymous with social lending?

Which of the following is not a major trend that has occurred in venture capital over the last few years?

Which of the following is more likely than the others to be deemed a potential danger of social lending?

Corporate venture capital can offer strategic and tactical advice, an operating budget, and credibility but started to decline in 2017, and this trend is expected to continue.

Which of the following would be most commonly used for intermediate-term financing?

Which of the following is an important question for the entrepreneur to ask when evaluating the venture capitalist?

Informal investors find projects to invest in through

Venture capital in the United States has been highest in which of the following?

Regulation D defines separate exemptions that are based on the amount of money being raised. Which of the following is not a rule that accompanies these exemptions?

Which of the following is a type of equity financing?

Long-term debt is used for

Entrepreneurship Evolutionary Development--Revolutionary Impact

The Entrepreneurial Mind-Set in Individuals: Cognition and Ethics

The Entrepreneurial Mind-Set in Organizations: Corporate Entrepreneurship

Social Entrepreneurship and the Global Environment for Entrepreneurship

Innovation: the Creative Pursuit of Ideas

Assessment of Entrepreneurial Opportunities

Pathways to Entrepreneurial Ventures

Legal Challenges for Entrepreneurial Ventures

Marketing Research for Entrepreneurial Ventures

Financial Preparation for Entrepreneurial Ventures

Developing an Effective Business Plan

Strategic Entrepreneurial Growth

Valuation of Entrepreneurial Ventures

Harvesting Entrepreneurial Ventures

Filters