Multiple Choice
Match the term with its definition.
-A leveraged buyout in which the firm's top managers become significant shareholders in the acquired firm
A) build-up LBO
B) business broker
C) bust-up LBO
D) double taxation
E) employee stock ownership plan (ESOP)
F) harvesting (exiting)
G) initial public offering (IPO)
H) leveraged buyout (LBO)
I) management buyout (MBO)
J) opportunity cost of funds
K) private equity recapitalization
L) seller financing
Correct Answer:

Verified
Correct Answer:
Verified
Q22: After harvesting, many entrepreneurs who remain with
Q23: In a harvest situation, the exiting owners
Q24: Match the term with its definition.<br>-A leveraged
Q25: One of the drawbacks of harvesting by
Q26: A build-up leveraged buyout involves<br>A) developing the
Q28: Investors in a startup company are mainly
Q29: Harvesting owners can be paid in cash
Q30: The harvesting of a business should cause
Q31: The availability of a company's harvest options
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