Which of the following is not true about venture capitalists?

A. They provide financial support for entrepreneurial ideas.
B. They are a critical link between entrepreneurial ideas and market reality.
C. They issue shares of the IPO.
D. They share in the risks and rewards of entrepreneurial ideas.


Answer: C

Economics

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If R2ur = 0.6873, R2r = 0.5377, number of restrictions = 3, and n- k- 1 = 229, F statistic equals:

A. 21.2 B. 28.6 C. 36.5 D. 42.1

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In Figure 1.9, the slope of the line between points L and M is

A. 1.20. B. 0.75. C. 0.80. D. 0.67.

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Which of the following policies by the Federal Reserve is likely to increase the money supply?

A. Reducing reserve requirements B. Selling government bonds C. Increasing the discount rate D. Increasing interest on reserves

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Refer to Scenario 9.5 below to answer the question(s) that follow. SCENARIO 9.5: Investors put up $520,000 to construct a building and purchase all equipment for a new restaurant. The investors expect to earn a minimum return of 10 percent on their investment. The restaurant is open 52 weeks per year and serves 900 meals per week. The fixed costs are spread over the 52 weeks (i.e. prorated weekly). Included in the fixed costs is the 10% return to the investors and $1,000 per week in other fixed costs. Variable costs include $1,000 in weekly wages and $600 per week for materials, electricity, etc. The restaurant charges $3 on average per meal. Refer to Scenario 9.5. In the short run, if the restaurant shuts down, its losses will equal its ________ costs of ________.

A. variable; $1,600 B. fixed; $1,000 C. total; $3,600 D. fixed; $2,000

Economics