LBO Modeling Exam//Wall Street Prep Premium//Latest 2024 version
9 views 0 purchase
Course
LBO Modeling
Institution
LBO Modeling
LBO Modeling Exam//Wall Street Prep Premium//Latest 2024 version
What is generally not considered to be a pre-tax non-recurring
(unusual or infrequent) item? ️️correct answerExtraordinary gains/losses
what is false about depreciation and amortization ️️correct answer-D&A...
LBO Modeling Exam//Wall Street
Prep Premium//Latest 2024
version
What is generally not considered to be a pre-tax non-recurring
(unusual or infrequent) item? ✔️✔️correct answer-
Extraordinary gains/losses
what is false about depreciation and amortization ✔️✔️correct
answer-D&A may be classified within interest expense
Company X's current assets increased by $40 million from
2007-2008 while the companies current liabilities increased by
$25 million over the same period. the cash impact of the change
in working capital was ✔️✔️correct answer-a decrease of 15
million
the final component of an earnings projection model is
calculating interest expense. the calculation may create a
circular reference because ✔️✔️correct answer-interest
expense affects net income, which affects FCF, which affects
the amount of debt a company pays down, which, in turn
affects the interest expense, hence the circular reference
, a 10-q financial filing has all of the following characteristics
except ✔️✔️correct answer-issued four times a year.
Depreciation Expense found in the SG&A line of the income
statement for a manufacturing firm would most likely be
attributable to which of the following ✔️✔️correct answer-
computers used by the accounting department
A company has the following information:
• 2013 retained earnings balance of $12 billion
• Net income of $3.5 billion in 2014
• Capex of $200 million in 2014
• Preferred dividends of $100 million in 2014
• Common dividends of $400 million in 2014
What is the retained earnings balance at the end of 2014?
✔️✔️correct answer-15 billion
in order to find out how much cash is available to pay down
short term debt, such as revolving credit line, you must take
✔️✔️correct answer-beginning cash balance + pre-debt cash
flows - min. cash balance - required principal payments of LT
and other debt
If a company has projected revenues of $10 billion, a gross
profit margin of 65%, and projected SG&A expenses of $2billion,
what is the company's operating (EBIT) margin? ✔️✔️correct
answer-45%
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller derrickkariuki. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $8.49. You're not tied to anything after your purchase.
