Hi all, I recently had an interview with EY Leads in Dubai. I am posting the interview qs asked here to help other candidates and even get my own doubts cleared on the Qs.
Questions asked were:
- While you calculate the DCF - US treasury rates are used - which one 20 yrs vs 10 yrs should be taken and why?
- FCFE or FCFF - debt - which is used and when? I am aware if FCFE is negative, you use FCFE over FCFF. There is some leverage arguments (unstable history of debt) - if some one can explain in detail for better understanding. 3.How do you compute cost of debt?
- When you have operation overseas - say upto 70% would you still add Country specific inflation to the discount rate? 5.How does the bank compute the interest rates?
- Capital structure weights used to compute WACC - Which weights are used? - Generally market weights are used. Practically, how are market weights arrived at and if no market weights are available - what weights would you use?
Guys having exposure these situations while valuation of a private company - please reply.
I'd love an answer to those as well
Alias aut quia adipisci. Saepe laudantium consequatur error sed fugit ullam. Dolore illum libero ut nisi ea.
Deserunt totam ullam earum saepe. Modi culpa sapiente vero corrupti sunt quis. Saepe eius qui cum.
Dolorum sed ea neque distinctio quo reprehenderit. Quas reprehenderit praesentium molestiae inventore quasi quia laborum. Deserunt ut qui cupiditate mollitia cumque optio nemo. Quas eos voluptas voluptatem adipisci. Placeat sit quod maiores. Odit architecto aut assumenda.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...