Month of Interview:
October
Industry Detail:
Investment Banking
How long did the interview process last?:
Less than 1 month
Student / Prospective Monkey
Group/Division/Type:
Mergers and Acquisitions
What did the interview consist of?:
1 on 1 Interview
Presentation
How did you get the interview?:
Applied Online
What were the most difficult or unexpected interview questions asked?:
Walk me through a dcf model. How are the three financial statements linked? How do you value a private company? What are some of the common valuation multiples and methods you to value a company (private and non private)? How is the mergers and acquisitions market today like? What do you think the mergers and acquisitions market will be like in the Long run? Why this company? Do you have any prior experience in m& a? What do you expect of a typical day in this firm? Name me your strengths and weaknesses
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Overall, how would you describe your interview experience?:
Very Positive
Please describe the interview / hiring process.:
Technical questions regarding financial modeling and valuation methods will be tested. Interview is accompanied with 1 hour case study
Overall, how difficult was the interview?:
Average
Official Undergrad School Name:
Overall Undergrad GPA:
3.3
Undergrad Class Year (or expected):
2018
Degree 1:
BS or BSc or SB
Major 1:
Finance
Varsity Athlete:
No
Millitary Program (ie. ROTC):
No
Race:
Asian
Sex:
Female
Outcome of Interview:
Accepted Offer
Year of Interview:
2018
How did you answer each of these questions (please be specific)?:
Discounted cash flow modeling is the most common method to value a company. Pros: it’s is forward looking as it forecast company’s financial performance and eliminates subjective accounting policies. Cons: requires a lot of assumptions in terms of company’s expected growth. Model is extremely sensitive to changes in assumptions. Hence, assumptions have to be sound. Dcf: all future cash flows are estimated and discounted at the discount rate (WACC) to provide present value. Value of the company is the PV sum of its cash flows and terminal value. Terminal value can be calculated using perpetual growth and exit multiple (EV/EBITDA and EV/EBIT bring the most common)
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