Modeling Tests
Wondering if anyone can shed some light on modeling tests and the level of accuracy expected in PE recruiting. Say you get everything right but you mess up a couple things, which flow through the rest of the model so accordingly your numbers are off, but they’re all in the same ballpark as the correct solution. Something minor like forgetting about the interest earned on your cash balance, as an example - wouldn’t completely wreck the model or anything, but you’d be off. Is this considered “passing” or are you expected to model everything properly and if it’s off at all, you’ve done it wrong? I’m doing a lot of practice models but I rarely end up with the perfect solution, although I’m almost always 95% correct. Is this enough to get dinged or am I okay?
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