2nd round- out of the blue questions

Just had a final round this past weekend...

I didn't get any curveballs but I know a few people did. We were talking after the interviews and a few said they got questions like "How many traffic lights are there in Manhattan?" or the famous "how many ping pong balls can you fit in a 747?".

Others said they had a lot of technical stuff like explaining the financial statements and valuation methods. Hope that helps. Good luck!

So what would be the answer to these trick questions about traffic lights and ping pong balls? i know that most banks just want to see how you deal with curve balls, unexpected situations and pressure. they also want to see how you continue the interview after not being able to answer these questions... but just for to know, is there a definite answer to these questions?

they want to know your thought process, not just how you respond to unexpected situations.

they don't care about the answer, as long it is reasonable. if you come up with 1000 ping pong balls, they will know you are an idiot.

There's never a definite answer, just stick to a process.

Assuming you can ask Qs and then make some reasonable assumptions, talk out loud and keep the math in round simple numbers so U don't trip yourself up. Example,

What's the total area of Manhattan in sq. miles? Interviewer: Approximately 400 sq. miles

What's the general grid size? Interviewer: 10 mi. uptown x 4 mi. crosstown (Hey just guessing based on SF is at least 7 x 7, but Manhattan is narrower etc.)

Areas in Manhattan are pretty dense so we should assume there's a traffic light positioned at every block and if 10 blocks is a mile.... hmmm

100 blocks uptown and 40 blocks crosstown

Most intersections have at least two traffic lights, 20% have at least four... (whatever)

2 x .80(140) + 4 x .20(140) = 336 traffic lights

[Alright, what did I mess up?]

10mi* 4mi does not equal 400 square miles.

If 10 blocks is a mile then you're talking 4000 blocks altogether, no?

Like I should know my audience, right? S/have double checked my 0s before posting!

At least you gently corrected me vs. Prospie. He would have been way harsh :-)

In the Manhattan question don't forget...

if you take the area of Manhattan and start assuming X blocks per mile etc. you need to subtract the area of central park.

Basically they want you to work through the problem out loud and explain how you'd solve the problem. I've heard these questions asked at UBS, Morgan Stanley, and Goldman Sachs.

Something like 12-14 blocks equal a mile in Chicago. In comparison, NY has smaller streets, can't be 20 blocks. Not a chance.

All it takes is a quick google search to find that 20 blocks in Manhattan is approximately 1 mile...

http://www.nycvisit.com/content/index.cfm?pagePkey=308

Via your link above... 10 crosstown blocks = 1 mile :-)

"20 uptown/downtown blocks and 10 crosstown blocks equal approximately one mile Manhattan total area in square miles: 22.7 Manhattan length: 13.4 miles (21.5 km) long Manhattan widest point: 2.3 miles (3.7 km) Manhattan narrowest point: 0.8 miles (1.3 km) at narrowest point New York City total area in square miles: 301"

Haha good point

If it takes 7 people and a total of 13 posts to figure that one out, I sure as hell hope I'm not asked that question!

You should phone a friend if your asked the Manhattan question.

Good Luck!

Candidates at BB's should be allowed at least 1 phone should they get stumped during interviews.

Finding someone smart who knows the answer is as good as KNOWING the answer, if not better!

One of you fella's that work at a BB should drop that into a suggestion box :-)

why do you consider that question out of the blue? Everyone knows IB questions can be fit/technical/or the brain teasers like your example.

Depending on what you have on your resume I would be more prepared for technical questions. If you have a technical questions be prepared to answer questions about doing a DCF, WACC, unlevering beta, how to value companies etc

If you have no/limited financial experience expect more questions about higher level thinking. What is investment banking? How does banking work? How is value created?

Good point aadpeps!

If you can show BBs that you know people who can figure those questions out, that shows you can be resourceful.

Also, it shows off your networking and people skills damnit!

If you can convince the interviewer from that point of view..THAT'S MONEY RIGHT THERE! (at least it should anyway)

Are you guys totally serious about the phone option?

Agreed, one of the more idiotic comments that I have come across...hope it was a joke. If you are a finance major and need to use a "life line" circa Who Wants to be a Millionaire to answer simple questions like walk through a DCF, then you have no place in banking. Most banking interviews follow very similar formats so its not too hard to figure out most questions you will be asked.

bobcat and patrick bateman, I do appreciate your comments about my crack on the "phone option".

Yes, it was only a joke.

I certainly hope candidates are self confident enough to come up with their own answeres in such interviews.

What if your not a finance major, can you use a "life line" then. (e.g. engineering major or mathematics major) According to your post, then it would be appropriate.

Please advise. You seem to know a lot about finance.

With the most respect.

if you are not a finance major...then you better get a book and figure the basics out before the interview

It's sad how people lost any hope of sense of humor... I would surely hate working next to you 16 hrs a day, if you don't understand harmless humor.

what a bunch of douchebags

write the answers on your black pants in blood, then bring a blacklight to the interview

your not given paper for these right?

depends on the interview. some ask you to generally step through the theory of DFC, WACC etc and others will give you a written test. all depends on the bank

don't forget the definition of a discount factor