1. What is a basis point? 2pt 2. What is a point? 1pt 3. What are the...
Question:
1. What is a basis point? 2pt
2. What is a point? 1pt
3. What are the four (4) key components to Debt? 4pt
4. What is a VC? 1pt
5. What is a "tranche" of funding? 2pt
6. What are the Three (3) F's? 1pt
7. What is a Black Swan? 2pt
8. Illustrate the Structure of a VC or PE firm (rectangle, triangle, circle). 6pt
9. What is an "LP"? 2pt
10. What are the three (3) components of RISK? 3pt
11. What is the most expensive capital you can raise: Debt or Equity? 1pt
12. Why? 3pt
13. Illustrate the Yield Curve and describe what is meant by the "probability of default". 10pt
14. Is risk dynamic or static? 1pt
15. Fill in the blanks: Smart money thinks differently, it says Low ______ = High _______!. It also says that Diversification is a minimization of ____________! 3pt
16. An exit strategyis how to obtain liquidity. T or F 2pt
17. A PE fund typically invests into Cash Flow positive companies? T or F 2pt
18. A VC firm invests into companies with a "finite amount of air." T or F 2pt
19. The S & P 500 returned 24% in 2023, hypotheticallyyour investments generated investment returns of 28% in 2023. What was the "Alpha"? 2pt
20. If we "Harvest cash flow" from company we are saying we are receiving a Dividend? T or F 2pt
International Financial Reporting and Analysis
ISBN: 978-1408075012
5th edition
Authors: David Alexander, Anne Britton, Ann Jorissen