Ernst and Young Advisory and Blackrock Defined Contribution Analyst Questions | GFC Technical Interv

EY Transaction Advisory Services (SF) – Analyst

What’s the difference between GAAP and IFRS?

  • Different accounting standards

  • GAAP in US, IFRS elsewhere

What is a recent news for GAAP and IFRS?

What might be a reason why a company has 30% (high) revenue growth? (e.g Revlon)

Walk me from Revenue to net income and then uFCF

Difference between revenue and uFCF?

What’s the current ratio and what does it mean?

Is a higher current ratio always better?

What’s the difference between purchasing an equipment, capital lease, and operating lease?

  • Purchasing – buy asset and then depreciate

  • Capital lease – looks like a purchase but you do not own the asset so there are interest payments

  • Operating – doesn’t show up on balance sheet

What is the efficient market hypothesis and what are the 3 forms?

  • Weak – stock price only considers historical information

  • Semi – stock price only consider all public information

  • Strong – all information

What is beta?

Where is beta used?

What is the discount rate?

What is the formula for CAPM?

If there are 2 companies with Beta of 0.5 and other one has beta of 2, what do those mean? Which investment is safer?

Why might a company be willing to pay a premium for another company?

San Francisco Blackrock - Defined Contribution Strategy Analyst (Superday)

Tell me about yourself.

Why Blackrock?

  • Employee and business s