I spoke with an IB professional last night that told me I have one week to freshen up my knowledge on IB things. At the end of the week I have to call him and he is going to quiz me before putting me through to some recruiters.

So I have a few questions I was hoping some of the monkeys here can help me with. I purchased and reviewed the behavioral guide from WSO a few months back. So I am mainly focusing on the technical area.

I have been reviewing definitions and the basic concepts to understand DCF, LBO, EBITDA, and waterfall modeling.

How in depth should my knowledge go on those subjects?

I have knowledge and understanding about most of the ratios and equations used with these modeling techniques. I know the clear difference between EBIT and EBITDA and the purpose / reason EBITDA is used over EBIT.

This thread came in handy when understanding the difference between the two and why EBITDA is used. //www.wallstreetoasis.com/forums/ebitda-vs-operating...

I have also used references such as http://www.investopedia.com/articles/06/">ebitda.asp#axzz1miEfLNov
to better understand EBITDA.

DCF is pretty simple or am I missing something?
Between school, and this http://www.wikicfo.com/Wiki/Discounted%20Cash%20Fl...
I feel that I have a strong basic understanding of DCF

LBO is almost as easy as DCF to understand on a basic level, or in other words why its used, basic functionality and equations/ratios that go with it.

I want to see what help I can get here then I plan to buy the technical guide this week before my "interview"

Thanks for everyone and anyone that can help.
I check back here frequently and I check my e-mail, [email protected], every second as it goes to my phone

Comments (6)


Reading this book will be more than enough prepare. You can get the pdf version for free just google it.

Investment Banking Interview Course


Reading this book will be more than enough prepare. You can get the pdf version for free just google it.

You can read this straight through if you set your mind to it. It's actually an easy and fairly short read because a lot of the pages are taken up with models and it will give you an overview of the M&A process as well as LBO.


Jec : Thank you I will read it over as much as I can.

Does everyone else feel the same that this would be more than enough to be prepared ?


Know what WACC is and how to calculate it.

Know how to calculate Cost of Equity (unlever / relever)


@Whiskey5: Alright if thats not in the book I will go the extra route to make sure I am up to snuff with that. I have a good basic understanding of WACC and the calculation. I have to learn unlever and relever cost of equity though.

@JEC: I will make sure I read it through. If I have the chance I will try to read it multiple times. before friday. I am dedicating every day after work to studying for this interview. If I can ace it with the guy I am speaking with friday it opens the doors to recruiters. I will make sure I do whatever it takes and will take EVERY piece of feedback I get here. I would also appreciate interview questions I may get if anyone knows any.

Thanks So far guys I have already downloaded the book and will read it through fully tomorrow as my entire day is dedicated to it, and more.


I wish i could shove my dick so far up your dick that it creates a gaping vagina, because that's who you are.
Just tell them that you're a ginormous douche-canoe with a gaping vagina. They'll understand.

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