Question

Britt raises money from wealthy individuals and institutional investors, and invests them in a variety of promising new companies. In exchange, he will become part owner of those businesses.

Britt is a(n) _____.

a) underwriter
b) venture capitalist
c) entrepreneur
d) angel investor

Answer 1

b) venture capitalist

Step-by-step explanation:

-Underwriter: is a financial institution that commits to buy the shares that are not sold when new shares are issued.

-Venture capitalist: is an investor that provides financing for organizations that have a growth potential in exchange for equity. The capital comes from a fund in which the venture capitalist manages money from other people.

-Entrepreneur: is a person that creates and manages a business.

-Angel investor: is a person that uses its own funds to provide capital for new businesses in exchange for equity.

According to this, Britt is a venture capitalist.