You don't need edit access, you can duplicate the file

Use the sheets tab to look at other questions

1. Techniques used for valuation

2. Inputs used in DCF technique
3. What do u mean by EV/Sales multiple
4. What do you mean by precedent transaction comps
5. What are pro forma financials
6. Your current job profile

Q1. Describe Debt Service Coverage Ratio. Why is EBITDA used in as a numerator while calculating DSCR? What if EBIT or Net Income is used as a numerator while calculating DSCR.
Q2. What are the types of Ratios?
Q3. List the Liquidity Ratios. Why is 2:1 the ideal current ratio?
Q4. What is Capital Budgeting?
Q5. Name the techniques used in Capital Budgeting
Q6. Differentiate between Payback method and Discounted Payback Method
Q7. What is NPV?
Q8. What is IRR? What is the formula for calculating IRR?
Q9. Define FCFF. Differentiate between FCFF and FCFE
Q10. Why interest is not deducted while calculating FCFF?
Q11. Define Enterprise Value. How to calculate it?
Q12. What is Market Capital?
Q13. Define excess cash. How does a company differentiate between Normal cash & Excess Cash?
Q14. What types of debt are included in EV?
Q15. Why are debt and excess cash deducted while calculating EV?
Q16. What are Unfunded Pension Liabilities? Why do they form a part of debt?
Q17. Define Minority Interest. State the reason for its inclusion in EV
Q18. What is EBITDA? As an investor would you consider EBITDA or Net Profit for judging a potential investment?

Ques 1 WACC and its calculation

Ques 2 Cost of other components of capital
Ques 3 EV and EV multiples
Ques 4 Which of the following will you choose to invest your money and Y : -Net Income
-EBIT
-EBITBA

Ques 5 What is ESOPs , share repurchase and stock splits

Ques 6 What is terminal Value
Ques 7 Which is the best approach DCF or Relative Valuation and there definition
HR Round
Walk me through your CV
CV questions – What kind of work was handled by you while article ship.
Did you continue your college alongwith. As at that point of time, it was fairly allowed to continue.
Would you continue your CA further?
Why did you leave Vaish Associates

Q.1 What is WACC?

Q.2 What is Cost of Equity?
Q.3 What is the logic of valuing of cost of equity through CAPM ?
Q.3 What is Risk free return ?
Q.4 Why do you take risk free return of 10 year bond..why not any other period?
Q.5 What is risk free return in India?
Q.6 What is risk premium?
Q.7 What is Beta?
Q.8 How would you find the cost of Equity of Uber which is a unlisted company and a private company. What would be risk premium in this case?
Q.9 While taking peer group Beta, would you take effect the capital structure of peer group. How would you go about to find the cost of equity. ( Very basic question fairly confused )
Q.10 Why do you take median of the Beta of the peer group ? Why cant you take Mean?. Would it actually make any difference if median is taken instead of Mean.
Q.11 write an Essay on any non-finance topic.

Manager Round
Walk me through your CV
Q.1 what is Wacc
Q.2 what did you learn during the course
Q.3 which deal did you track
Q.4 what was the basics of the deal and how much did Etihad infuse?
Q.5 What is EV? How do you calculate it ?
Q.6 Do you take Share of Associates and Joint Ventures while Calculating the EV?
Q.7 do we take the same while calculation EBITDA?
Q.8 As you said the EBITDA tells the operational efficiency, but don’t you think we should match apple to apple, As share is included in EV and not in EBITDA- ( think about it we’ll discuss it in end)
Q.9 What is FCFE and FCFF
Q.10 company A wants to value a company using FCFF and company B wants to value a company using FCFE. Do u think they would differ in there valuations.
Q.11 Even if FCFF and FCFE are discounted at a different rate and one takes the effect of Debt and other does not, But don’t you think it gives the same value ?( think about it we’ll discuss at the end)
Q.12 Did you prepare any Models?
Q.13 While preparing the real estate models..what options did you consider?
Q.14 what was your approach while evaluating the models
Q.15 Is there anything apart from comparison of IRR to that of expectations that would help you in analyzing the best options?
Q.16 What are your interests?
Q.17 What made you have interest in real estate Valuations?
Q.18 Anything that would like to ask from us.

1.What is
-P/E Ratio
-EPS
-Diluted Weighted no of Shares
-Basic EP
-Beta
-WACC
-Operating Profit
-NOPLAT
-MACROS
-PITCH Books
-Today’s Nifty Rate
-Repo Rate
-Today’s Repo and Reverse Rate
-Sales of company you are tracking
2.How to calculate
-P/E Ratio
-Basic EPS
-WACC
-Beta
-Operating profit
3.Will acquisition of investment effect working capital?
4.How to calculate NOPAT, if you are given PAT?
5.How will you account the profit received from JVs/Associates?
1) What are accrued income and deferred revenue?
2) Explain the CAPM formula to calculate the cost of equity.
3) Explain, risk free rate, risk premium and beta.
4) Formula for FCFF, calculated from EBITDA.
5) How to calculate cost of equity for private companies.
6) Given relationship between 2 stocks and index, calculate the cost of equity of the 2 stocks.
7) How do you calculate beta?
8) How to do DCF valuations for multinational companies.

1.If growth is greater than ke ,how terminal value will be calculated ?

2. Why do we use ebitda multiple instead of ebit multiple.
3. What factors are taken into consideration while selecting comparable companies
4. Fcff using ebitda and without deducting depreciation
5. Why book value of debt is used for wacc and not market value.?
6 calculation of ke,kd,kp
1. Net Income 100, Amortization 20, Interest Expense 15, Principal Payment 150...Calculate Debt Service Coverage Ratio
2. Interest 40, Interest Capitalised 40, EBIT Margin 20%, Sales 10000 Cal Interest Coverage ratio
3. Current assets exceed current liabilities if accounts payable increased then what is the effect:-
a. CR Increase
b. CR decrease
c. WC Increase
d. WC decrease
e. Information not complete
4. Equity 100 mn, Short Term Debt 50, LTD 100, Cash for security and investment 50 revenue 600 what is EV/Sales
5. RFR 7%, Beta 1.2, Rate of return 13%, Market Risk premium 12% is stock
a. Undervalued
b. Overvalued
c. Information not sufficient
6. CMP 20, Dividend 12 Next Year CMP 22 DP Ratio Same as Before What should i pay today to get my Future value of 264 Rate of return is 12%
7. Cost of Debt 8%, Tax rate 40% D/E = 0.8033, Growth rate 7%, Dividend for next year = 10, CMP = 65 Cal. WACC
8. Cash Flow from operations = 500, Interest Exp = 50, Tax rate = 35%, Working Capital = 200, Additional Fixed Asset Growth = 400, cal. FCFF
9. P/S, P/CF, P/E, P/BV which ratio does not give best of the results
10. Can we change the target capital structure each year a. yes b. no
11. What is deferred revenue?
a. Is contingent liability
b. we deferred for following year due to difference between GAAP and tax procedure
12. . PER 15x CMP 60 ROE 12% Shares O/S 50million calculate P/BV
13. Turnover 12000, Long Term Assets 12500 Current Assets 2500, Liabilities 2000 Calculate Asset-turnover ratio
14. If Dividend is 5. There is decline in growth of dividend of 5% for next year and 10% thereafter forever. Calculate the present value. Rate of return is 12%
15. What ratio would you use to calculate the vulnerability of a firm takeover
a. Long Term Liabilities/ EBITDA
b. Net Income/EBITDA
c. Long Term Assets/ EBITDA
16. CMP 16, Intrinsic Value 18, Projected Dividend 0.5, Rate of return 12% what is alpha
17. Under which heading unearned revenues are shown on balance sheet?
18. CMP 47, Book Value Price 50, Marginal tax rate 35%, Preferred dividend 5... what is after tax cost of prefered dividend?
19. Calculate FCFF, CF 100 1st year, CF 200 3rd year....Rate of return 12%...What is NPV?
20. Investment 40000, Cash flow for year 4000, Rate of Return 12% what is profitability Index?
21. DP Ratio = 40%, ROE = 12%, Calculate growth?
22. 12x, 7x, 45x, 10x, 34x calculate the median?
1) Which is more riskier -2.0 beta or 1.2? why?
2) How is FCFF calculated?
3) Explain the DCF valuation method.
4) How will u put a money tag on an IPL team, that is how will u evaluate it?
5) What are the raios used for evaluation? Is P/E ratio one of them?
6) Lets say HUl has a P/E ratio of 15X and Infosys has the same of 29X. In which company would u advice your client to invest? why?
7) How do u calculate WACC?
8) How do u calculate beta?
9) What is the formula for calculation of cost of equity?
10) Why do u discount cash flow in DCF valuation?
11) How would an increase of 100 units in D&A affect the three financial statements
12) Why is the free cash flow calculated from EBIT and not Net Income?
13) Can we use EV/net Income multiple?
Technical Round :-
1. Walk me through your CV
2. Give Broad Idea about DCF
3. Formula to calculate Terminal Value?
4. What all you need while doing DCF?
5. Explain How will you do DCF(Step by Step)?
6 Tell us about multiples?
7 Which industry you follow?
8 Explain in detail, the current affairs of the industry you follow?
9 How do you calculate FCFF?
10 Explain about changes in WC while calculating FCFF?(Broader view)
11 Tell us about Equity research?
Hi xxxx,
Hope you’re doing well!

I recently came across your LinkedIn profile and saw that you are working at a very prestigious investment bank- Goldman Sachs.
Beside being inspired, I thought of approaching you for help.

I am xxxx, pursuing bachelor’s in xxx form xxx College, xxx University. I am really interested in Investment Banking and currently on a hunt for full-time opportunities in this space.
Would you mind sharing my resume with the concerned team or amongst your network? I see an open position at your firm that aligns with my profile.
I am happy to share my resume, but for the sake of brevity, my skill sets are:
• Market Research
• Financial Analysis
• MS Excel/PowerPoint

I really appreciate you taking your time out to read this. Thanks in advance.
Best,
xxxxx