Exam (elaborations)
Entrepreneurial Finance
- Course
- Institution
- Book
Entrepreneurial Finance
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
More summaries for
-
SOLUTION MANUAL For Entrepreneurial Finance, 7th Edition by J. Chris Leach, Ronald W. Melicher, Chapters 1 - 16, Complete With CAPSTONE CASES
-
Entrepreneurial Finance
-
Entrepreneurial Finance
Seller
Follow
kushboopatel6867
Reviews received
Content preview
SOLUTION MANUAL For Entrepreneurial Finance, 7thEdition by J. Chris Leach, Ronald W. Melicher
1. The rapid-growth stage directly follows the startup stage - ANSWER: false
2. An initial public offering provides a venture with a source of bridge financing. -
ANSWER: false
One principle of entrepreneurial finance is "risk and expected reward go hand in
hand." - ANSWER: true
4. Entrepreneurial opportunities can occur only when there are societal changes in
the world. - ANSWER: false
5. The entrepreneurial process involves: developing opportunities, gathering
resources, and managing and building operations, all with the goal of creating value.
- ANSWER: true
6. Technological change may be the most important source of entrepreneurial
opportunities. - ANSWER: true
7. "Crises and "'bubbles'" and "emerging economies and global change" are
considered to be sources of entrepreneurial opportunities. - ANSWER: true
8. An entrepreneur is an individual who thinks, reasons, and acts to convert ideas
into commercial opportunities and to create value. - ANSWER: true
9. The sharing economy is a(n): - ANSWER: a. developing societal megatrend
10. Which of the following statements is correct? - ANSWER: b. the early-maturity
stage is the final stage of a new venture's life cycle
11. Founder and venture investor shares that are sold to the public after the initial
public offering to the public is called a: - ANSWER: b. secondary stock offering
12. The goal of the entrepreneurial process is to: - ANSWER: d. create value
13. The last three stages of a successful venture's life cycle occur in the following
order: - ANSWER: c. survival, rapid-growth, early-maturity
14. The type of financing that occurs during the development stage of a venture's life
cycle is typically referred to as: - ANSWER: a. seed financing
, 15. Which stage in the venture life cycle is characterized by creating and building
value, obtaining additional financing, and examining opportunities? - ANSWER: c.
rapid-growth stage
16. Which of the following is not a source of entrepreneurial opportunities referred
to in this textbook? - ANSWER: b. political changes
17. Obtaining bank loans, issuing bonds, and issuing stock is characteristic of which
type of financing during a venture's life cycle - ANSWER: d. seasoned financing
18. Mezzanine financing is associated with which of the following life cycle stages? -
ANSWER: d. rapid-growth stage
19. The first component of a sound business model is the need to generate
revenues. - ANSWER: true
20. A sound business model should provide a plan to generate revenues, make
profits, and produce free cash flows. - ANSWER: true
21. A sound business model is a plan to generate investor interest, make profits, and
grow asset investments. - ANSWER: false
22. A SWOT analysis is an examination of the strengths, weaknesses, opportunities,
and threats to determine the business opportunity viability of an idea. - ANSWER:
true
23. Best practices of high-growth, high-performance firms applied in the marketing
practices area include "developing new products or services that are considered to
be the best." - ANSWER: true
24. A SWOT analysis focuses on strengths (S), worries (W), opportunities (O), and
threats (T). - ANSWER: false
25. Free cash flow to equity is the cash flow from producing and selling a product or
providing a service. - ANSWER: false
26. Asset intensity and asset turnover are calculated as revenues divided by total
assets. - ANSWER: false
27. Best practices of high-growth, high-performance firms applied in the financial
practices area include "preparing detailed monthly financial plans for the next year
and annual financial plans for the next five years." - ANSWER: true
28. A venture opportunity screening guide, called the VOS Indicator™, is used to
screen venture opportunities for potential attractiveness. - ANSWER: true
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller kushboopatel6867. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $17.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
82871 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now