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Max Mustermann
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Decks in this class (13)
Understanding Banking Questions
You ve never worked in finance be...,
Let s say i m working on an ipo f...,
How much do you know about the li...
17
cards
“Warren Buffett” Questions
“Warren Buffett” questions are designed to test your sense of business, economics and investing. Even though you won’t be investing as an investment banker, you still must look at a business and tell what’s appealing about it and what might be cause for concern.
Common questions include how you would invest a large sum of money, how you would think about investing in companies, and how you would decide whether or not to start a business of your own. You could also get more general quest
11
cards
“Why Banking?” Questions
After the “Walk me through your resume” question at the beginning of almost every interview, the “Why investment banking?” is the next most important question you’ll get.
It is particularly important for the Career Changer, whether you’re a working professional looking to get in, an MBA student who has worked in a different industry prior to business school, or a college student who hasn’t had finance or business experience.
The 2 most important points to keep in mind:
1. You’
8
cards
“Failure” Questions
When the economy is bad and when banks aren’t giving out many offers, “failure” is common. Maybe it’s your greatest fear about banking, or your Plan B if things don’t work out. Or maybe it’s just answering those awkward questions about why you didn’t get an offer last year, or what you did over the past 6 months besides partying in Thailand.
10
cards
“Outside the Box” Questions
You’re likely to receive a number of “outside the box” questions in interviews, especially if your interviewer is the creative type or if you’ve given “boring” answers in your interview so far.
The main mistake you can make here is taking yourself too seriously. With these questions, the interviewer is trying to get at what makes you “cool” and sets you apart from other people.
So try to have some fun with these.
5
cards
Discussing Transaction Experience
Having transaction experience is a blessing and a curse. It’s great because you sound more credible in your interviews, but it’s an added challenge because you need to know your stuff.
If you’ve worked on deals before, your interviewer will spend a lot of time asking you about what you did, and will often “re-frame” the standard technical questions in the context of your deals instead
The questions, explanations, and sample answers here focus on M&A deals because those are generally
15
cards
Restructuring / Distressed M&A Questions
Interviews for Restructuring / Special Situations / Distressed M&A groups tend to be highly technical and specific to distressed companies.
But most guides have ignored the fact that Restructuring even exists as a division of investment banks. We’re going to fix that.
The questions here cover a broad range of topics, ranging from what Restructuring bankers do to the more technical aspects of debt and transactions with distressed
companies.
41
cards
Accounting Questions & Answers – Basic
Here are the 5 most important Accounting concepts you need to know:
1. The 3 financial statements and what each one means.
2. How the 3 statements link together and how to walk through questions where one or multiple items change.
3. Different methods of accounting – cash-based vs. accrual, and determining when revenue and expenses are recognized.
4. When to expense something and when to capitalize it. Not all expenses are created equal.
5. What individual items on the statements, like Goodwil
33
cards
Accounting Questions & Answers – Advanced
These more advanced questions cover topics like deferred tax assets and liabilities and how to actually project a company’s financial statements in an operating model.
You may get some of these in investment banking interviews, but they’re more common if you’ve had significant finance experience or you’re interviewing for private equity, or
with a more technical group.
15
cards
Enterprise / Equity Value Questions & Answers – Basic
For the most part, Enterprise Value and Equity Value questions are straightforward.
Just make sure you know all the relevant formulas and understand concepts like the Treasury Stock Method for calculating diluted shares.
16
cards
Enterprise / Equity Value Questions & Answers – Advanced
These more advanced questions cover some of the “problems” with the traditional formula for Enterprise Value, as well as details about book value and market value.
You’re not likely to get these in the standard entry-level investment banking interview, but it’s always good to be prepared.
3
cards
Valuation Questions & Answers – Basic
These days, you need to have a better-than-average understanding of Valuation. Forget about just knowing the 3 methodologies – you need to understand how and why they’re used, which ones produce the highest or lowest values and also keep in mind some exceptions to each “rule.”
35
cards
Valuation Questions & Answers – Advanced
These more advanced questions cover industry-specific valuation in more detail, as well as scenarios like IPO valuation, M&A premiums, and future share price analysis that are not likely to come up in entry-level interviews – but which could come up if you’re
going for more advanced positions.
5
cards
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Investment Banking Prep - T.I. 2025
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