ABC Ventures has raised their $100M fund, ABC Ventures I, with management fees computed based on committed capital. These fees are 2.5 percent per year for all 10 years. Given this description, what are the lifetime fees and investment capital for this fund? O lifetime fees $35M; investment capital -$75M lifetime fees-$25M; investment capital -$75M O lifetime fees $25M: investment capital -$8OM O lifetime fees $20M; investment capital -$80M

Essentials Of Investments
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ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
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ABC Ventures has raised their $100M fund, ABC Ventures I, with management fees computed based
on committed capital. These fees are 2.5 percent per year for all 10 years. Given this description,
what are the lifetime fees and investment capital for this fund?
o lifetime fees $35M; investment capital -$75M
o lifetime fees-$25M; investment capital -$75M
O lifetime fees $25M: Investment capital -$8OM
lifetime fees $20M; investment capital -$80M
Transcribed Image Text:ABC Ventures has raised their $100M fund, ABC Ventures I, with management fees computed based on committed capital. These fees are 2.5 percent per year for all 10 years. Given this description, what are the lifetime fees and investment capital for this fund? o lifetime fees $35M; investment capital -$75M o lifetime fees-$25M; investment capital -$75M O lifetime fees $25M: Investment capital -$8OM lifetime fees $20M; investment capital -$80M
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