题干 :
At the start of the meeting, Riley states that he is unfamiliar with private equity and would like to understand some of the basic attributes of buyout funds and venture capital investments.
- Jenkins says, “Buyout funds typically invest in companies with stable cash flows and high working capital requirements. Furthermore, buyout funds acquire most portfolio companies through proprietary transactions with entrepreneurs.”
- Childress adds, “Venture capital investments are primarily funded with equity rather than debt. Risk assessment can be difficult, and the target companies exhibit low cash burn rates.”
问题:
Q. Which of Jenkins’s descriptions of the attributes of buyout funds is most likely correct?
- Her description of the method of acquisition
- Her description of working capital requirements
- Her description of cash flows
解释中提到
buyout funds typically invest in companies with low working capital requirements
这是为什么那,被buyout fund 投资的公司往往应该有 high working capital requirements,原因是需要有钱去还债吖,为什么我的理解与答案相反?