Question

__________ provide financing to new or emerging companies with high profit potential, for example, Uber Car Service. In return, these organizations expect a share of ownership in return for the financing they provide.
a. Venture Capital firms
b. Investment Banks
c. Commercial Banks
d. Hedge Funds

Answer 1

Answer:

A)Venture capital firms

Explanation:

Venture capital is a form of financing which is a private equity that is offered by Venture capital firms(investors, investment banks) to start up companies. The investors usually gives this to companies with have long-term growth potential. It should be noted that Venture capital firms provide financing to new or emerging companies with high profit potential.

An instance is made in the question which is an Uber Car Service. In return, these organizations expect a share of ownership in return for the financing they provide.