PACKAGE DEAL OF WALL STREET QUESTIONS WITH COMPLETE SOLUTION

Investment Banking Question and answers rated A+ What's in a pitch book? - correct answer 1. Bank "credentials" (similar deals they've done to "prove" their expertise). 2. Summary of a company's options ("strategic alternatives" in banker-speak). 3. Valuation and appropriate financial m...

Investment Banking Study Guide Question and answers 100% correct IB Advice Do not act desperate concise, competent and confident - Why banking should be because financial modeling and have an etrenpurial tone. - Deals: who was the buyer why was it a good strategic fit what was our role - More c...

Investment Banking Question and answers verified to pass Walk through the 3 financial statements. - correct answer 1. Income Statement - companies revenue and expenses; ends with Net Income 2. Balance Sheet - company's assets (Cash, Inventory, and PP&E), liabilities (Debt and Accounts Payable), ...

Real Estate Financial Modeling Question and answers correctly solved why does real estate trade with positive pricing - correct answer due to real estates ability to attract cash flows, the value of real estate is not the physical structure itself, but rather the net rents (leases) the structure a...

Real Estate Modeling Questions with complete solution Hold/Sell Analysis - unlevered - correct answer 1. build out a table of the entire hold period 2. First column is just the acquisition price + closing costs 3. Next for first year take sum of a. CF before debt service b.NOI/exit cap rate ...

Sociology of Wall Street Key Concepts Question and answers rated A+ For what purposes are stocks primarily used? (Hint: they're almost never used to raise capital for the corporation issuing the stock.) - correct answer -Stocks allow founders/owners to transfer ownership (and cash out) -Stocks...

SOCIOLOGY OF WALL STREET Question and answers rated A+ How has financialization contributed to U.S. income inequality? - correct answer 1. Greater financialization in industries decreases labor's share of income - Financialization accounts for more than half of the decrease in labor's share of...

THE Investment Banking Question and answers already passed [(I.) Josh's Suggested Answer - The Foundation ~ Behavioral {1}] "Tell me about yourself in 2 to 3 minutes." Walk me through your resume. What brings you here today? Give me a background of how you got here. - co...

The Woulds of Wall Street Questions with complete solution Short Run vs. Long Run - correct answer Short run: The scale of operation remains fixed, with the quantity of capital and production processes considered as given or fixed. Business decisions are confined to adjusting the quantity of labo...

Wall St Mastermind IB Question and answers 100% correct Income Statement - correct answer Revenue -- COGS (Cost of Goods Sold) Gross Profit -- Operating Expenses Operating Income (EBIT) -- Interest Expense + Interest Income Pretax Income -- Taxes Net Income ÷ Share Count EPS Balance...

Wall St Question and answers already passed Potential reasons to acquire another company * Value Creation from Revenue and Cost Synergies Ownership of Technology Assets (IP, Patents, Proprietary Technology) * Talent Acquisitions (New Skilled Employees) * Expansion in Geographic Reach or into New ...

Wall Street 101 Question and answers already passed Among the following Country indexes, which Index gives the best value on a current P/E basis? IBOVESPA Based solely on PEG Ratio ,which of the following Stocks in the Fast Food Industry is the most attractive? YUMC Based on Analysts' T...

Wall Street 400 Question and answers already passed I realize it's still early in your career - you haven't even graduated yet - but have you given any thought to your long-term plans? Do you think you'll stick with investment banking? - correct answer If you're interviewing for an Analyst pos...

Wall Street Exam Question and answers verified to pass Insider trading occurs when - correct answer someone has information not available to the public which they use to profit from trading in stocks Mortimer and Randolph Duke, the two corrupt, septuagenarian brothers who run a - correct answe...

Wall Street Mojo IB Questions and answers verified to pass Tell me about the three most important financial statements and what is their significance - correct answer The three main financial statements are the Income Statement, Balance Sheet and Cash Flow Statement. Speaking about their significa...

Wall Street Oasis Question and answers correctly solved What is EBITDA - correct answer EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a good metric for evaluating a company's profitability. It is sometimes used as a proxy for free cash flow because it wi...

Wall Street Oasis Questions with complete solution Link between cash flow statement and income statement - correct answer C/F connections to I/S 1. Net Income is the first line of the statement of cash flow in the indirect method 2. Adjust for non-cash items (i.e., depreciation, amortization,...

Wall Street Oasis Question and answers rated A+Common Connections of the 3 Financial Statements (3) - correct answer 1. Net Income flows from the IS into cash flow from operations on the CF Statement. 2. Net income minus dividends is added to retained earnings from the prior period's Balance S...

Wall Street Oasis Technical Guide Question and answers already passed 10-K - correct answer a public written synopsis of a company's strategy and results for a fiscal year. It includes a company's BS, IS, CFS, letter to shareholders, etc. 10-Q - correct answer public quarterly report that i...

Wall Street Oasis Question and answers already passed What does private equity do? - correct answer Buys pieces (equity) of companies with the goal of selling the equity within 3-7 years for a profit Who are LPs typically? - correct answer Endowments, pension funds, sovereign wealth funds, we...

Wall Street Prep Question and answers verified to pass Income Statement - correct answer Revenue -> Gross Profit -> EBIT -> Pretax Profit -> Net Income -> EBITDA -> Adjusted EBITDA Gross Profit - correct answer Revenue - COGS EBIT - correct answer [Revenue - COGS]...

Wall Street Prep Accounting Course Question and answers correctly solved Net Revenue - correct answer income minus commission, taxes, or other expenses related to income Cost of Goods Sold - correct answer the amount of money a firm spent to buy or produce the products it sold during the per...

Wall Street Prep Acing the Qualitative Finance Interview Questions with complete solution when interviewing with analysts they will be grumpy, so dont act TOO confident about workload, associates may ask more technical questions, MD - try to make them like you, if they do they have total power of ...

Wall Street Prep Question and answers rated A+Floating exchange ratio - correct answer Acquirer doesn't like this. Target likes it because they know the value they're getting for their company. What's unknown is the number of shares of the acquirer they will receive. Most deals are what type...

Wall Street Prep Question and answers already passed Valuation - correct answer Process of determining the "right" value of a business, several approaches used, influenced by objectives of those doing the valuation How do you value a company? - correct answer There are a number of ways, mai...

Wall Street Prep Excel Question and answers verified to pass Which of the following keys IS NOT a way to trace precedent cells? - correct answer Ctrl Alt [ Please select the answer that best describes the shortcut to Split (not freeze) an excel sheet into just two panes (top and bottom) To ...

Wall Street Prep Premium Exam Question and answers correctly solved Enterprise Value Operating Assets-Operation Liabilities (measures only value of core operations) Operating Assets All assets besides cash & other investment assets Operating Liabilities All liabilities except for deb...

Wall Street Prep Red Book Question and answers rated A+ What is the primary purpose of US GAAP? - correct answer SEC authorizes the FASB to determine the accounting rules. Under FASB, financial statements are required to be prepared in accordance with US GAAP. What are the main sections of a 10...

Wall Street Prep Redbook Accounting Question and answer 100% correct What are some of the most common margins used to measure profitability? Gross Margin: The percentage of revenue remaining after subtracting just COGS, the direct costs associated with the company's revenue generation (e.g., direc...

Wall Street Prep Redbook Valuation Questions and answers verified to pass Could you explain the concept of present value and how it relates to company valuations? The present value concept is based on the premise that "a dollar in the present is worth more than a dollar in the future" due to the ...

Wall Street Prep Redbook Question and answers already passed What is the primary purpose of US GAAP? - correct answer In the US, the Securities and Exchange Commission ("SEC") authorizes the Financial Accounting Standards Board ("FASB") to determine the set of accounting rules followed by publ...

Wall Street Question and answers correctly solved Last year, T-bills returned 2% while your investment in large-company stocks earned an average of 5%. which one of the following terms refers to the difference between these two rates of return? - correct answer Risk Premium Standard deviation i...

WallStreet 400 Questions with complete solution Explain the Income Statement and Provide Major Line Items - correct answer The income statement gives the company's revenue and expenses over a period of time. Final line item in Net income. Major Line Items: - COGS, SGA, Operating Income, Pretax...

WSO Technical Interview Guide Question and answers 100% correct 10-K Annual Financial report required to be filed with the SEC for any company with publicly traded securities in the US - strategy & results for fiscal year, - includes: letter to shareholders, management info & compensation, manage...