Upper 6 Module 3

The MOST appropriate form of financing during the rapid growth stage of a venture is

• first-round financing

• start-up or seed financing

• public and seasoned financing

• second-round or mezzanine financing

During which stage of a venture‟s life cycle may first-round external financing be utilized?

• Survival

• Maturity

• Start-up

• Rapid growth

Which valuation method may become subjective if the shares for a company are NOT traded on the stock market?

• Income capitalization

• Book value (balance sheet value)

• Price earning (multiple earnings value)

• Discounted future earnings (discounted cash flow)

Which method is NOT an income valuation method?

• Income capitalization

• Book value (balance sheet value)

• Price earning (multiple earnings value)

• Discounted future earnings (discounted cash flow)

The process of buying and selling via the internet is called

• E-commerce

• E-marketing

• E-banking

• E-communication

Which of the following products are NOT suitable for online selling?

• CDs

• Books

• Fresh vegetables

• Financial services

Which of the following statements is NOT a feature of business ventures?

• Ventures are sown.

• Ventures can be grown.

• Ventures are harvested.

• Ventures can be exported

At which stage of the venture life cycle does the entrepreneur create the capacity to possess the product or service?

• Start-up

• Innovation

• Venture growth

• New venture development

Which of the following is a factor to consider before launching into E-commerce?

• Location

• Nationality

• Bandwidth

• Data mining

Which of the following venture valuation methods takes the time value of money into account?

• Book value

• Price earnings

• Payback period

• Discounted future earnings