In this mock interview, you will be asked to analyze the concept of negative working capital and assess whether it is inherently a bad sign. You will explore how different business models, such as companies with subscription services or retail giants like Amazon and McDonald's, might frequently operate with negative working capital due to structural factors like deferred revenue or efficient cash flow management. The focus will be on your ability to connect these examples with financial principles, demonstrating your analytical thinking and understanding of varying business environments.

Feedback will be provided after your explanation to recognize and reinforce the points you articulated effectively. For areas needing further exploration, guiding questions will be posed to lead you toward a comprehensive understanding without explicitly giving away the answers. This interview guides you in making connections between financial concepts and real-world applications, thereby enhancing your preparedness and confidence for actual interviews in the field of accounting.

Working Capital Case

In this interview, you will be given a logic-based problem that involves analyzing a social scenario to deduce a specific numerical conclusion. The setting is a party where you and your roommate are hosting, alongside being joined by 10 other pairs of roommates. During the event, you'll be tasked with determining a particular social interaction metric, given a set of unique conditions regarding handshakes. You'll need to apply logical reasoning and problem-solving skills to understand the pattern of social interactions among attendees. If you need assistance, hints will be provided to guide you. Once you reach a solution, you'll be encouraged to explain your methodology and reasoning. 

Jane Street: Handshakes

Determine expected local maxima in a sequence

In this interview, you will tackle a combinatorial problem involving sequences, designed to assess your understanding of probability and expected values—key components in quantitative finance. You will be asked to determine the expected number of specific positions within a randomly ordered sequence of items, known as local maxima. This requires applying concepts such as linearity of expectation and probability calculations to derive a solution. If you need help along the way, hints are available to guide you. Once you obtain a solution, you'll be able to explain your approach and methodology.

HRT: Local Maxima

In this interview, you will be presented with a probability-based decision-making scenario designed to assess your ability to analyze risk and expected outcomes—skills that are crucial in quantitative finance. You will evaluate a game involving chance and monetary rewards or losses based on the outcome of simultaneous events. Your goal is to determine whether participating in this game is advantageous, using probability theory to calculate the expected value and assess potential gains or losses. Feel free to request hints if you need assistance in solving the problem. Once you reach a conclusion, you will be asked to explain your reasoning and calculations.

SIG: Matching Heads

In this interview, you'll encounter a thought-provoking problem involving moving entities on a finite linear space, designed to test your understanding of motion and interaction principles. You'll need to determine the maximum time required for several agents to vacate a confined area, given their initial distribution and behavior dynamics upon encountering one another. Your task is to employ analytical reasoning to simplify the scenario, taking into account the constraints and symmetries of the problem. If you find yourself needing guidance, feel free to ask for hints. Once you've arrived at a solution, you’ll have an opportunity to discuss your approach and the rationale behind your conclusion.

Optiver: Moving Ants

In this interview, you will be presented with a mathematical challenge that involves exploring a grid-based scenario, which is relevant to understanding patterns and permutations in quantitative finance. You'll need to apply combinatorial thinking and problem-solving skills to identify the number of ways certain conditions can be met on a structured path. This task will test your analytical abilities to reason through constrained movement within defined boundaries. Assistance is available if you require hints to progress. Once you arrive at a solution, you'll have a chance to articulate how you approached and resolved the problem.

Citadel: 2D Paths

Discuss cases of negative shareholder equity

In this mock interview, you will delve into the complexities of shareholders' equity and evaluate scenarios that could lead to it turning negative. By engaging with questions such as whether it is possible to have negative shareholders' equity and what it might signify, you will be encouraged to discuss scenarios such as leveraged buyouts with dividend recapitalizations and consistent financial losses. Instead of focusing solely on the right answer, the interview emphasizes your reasoning and grasp of financial concepts, providing a platform to showcase your analytical skills and understanding of accounting principles.

After you present your response, feedback will highlight the strengths in your explanation and understanding. Any areas not covered completely will be addressed through thought-provoking questions aimed at fostering self-discovery and deeper insights into the subject matter. This interactive and reflective process not only aids in preparing for real-world interviews but also builds your confidence in discussing financial topics critically and competently.

Negative Equity Case

In this mock interview, you will explore your knowledge of the three major financial statements: the Income Statement, Balance Sheet, and Cash Flow Statement. You will be prompted to articulate your understanding of these statements, focusing not on perfection but on your thought process and comprehension of how they connect. This approach aims to provide insight into your grasp of financial concepts and your ability to explain them clearly and cohesively.

Following your response, feedback will be offered that highlights the areas you explained well.  This mock interview will not only helps prepare you for real-world interviews by emphasizing self-discovery and learning but also reinforces your confidence in discussing fundamental accounting principles.

Financial Statements

Explore psychology in financial decisions

In this 30-minute Behavioral Finance interview, you'll delve into the psychology behind financial decisions. You'll start by defining behavioral finance and its significance in investment decisions, and then discuss common cognitive biases, such as overconfidence and loss aversion, that affect investors. You'll also explore how you incorporate behavioral insights into your financial analyses and share real-world examples of behavioral finance impacting market trends. Additionally, you'll discuss how you educate clients or stakeholders about behavioral finance principles and the importance of understanding investor psychology in portfolio management. Throughout the conversation, you'll be encouraged to share specific examples from your experience or studies in behavioral finance, and you'll have ample time to discuss each point.

Behavioral Finance

In this 30-minute Portfolio Management interview, you will be asked to showcase your knowledge and experience in portfolio management strategies. You will be expected to explain the principles of portfolio management, discuss the importance of asset allocation and diversification, and share your experience with portfolio rebalancing and adjustments. Be prepared to delve into how you evaluate portfolio performance, your approach to risk management, and how you incorporate macroeconomic factors into your investment strategy. Throughout the conversation, you will be encouraged to share specific examples from your portfolio management experience, and you will have ample time to discuss each point in detail.

Portfolio Management

In this 35-minute Risk Management interview, you will have the opportunity to showcase your expertise in risk assessment strategies. You will be asked to explain the importance of risk management in finance, discuss various types of risks such as market, credit, and operational risks, and share the frameworks or methodologies you use for risk assessment. Be prepared to explore strategies for identifying and mitigating risks, including hedging, and discuss your experience with stress testing and scenario analysis. Additionally, you will be asked about your approach to communicating risk assessments to stakeholders. Throughout the conversation, be sure to share specific examples from your risk management practices to demonstrate your knowledge and experience.

Risk Management

In this 30-minute Excel for Finance interview, you will have the opportunity to showcase your proficiency in using Excel for financial analysis. You will be asked to discuss your experience with Excel in finance, including your familiarity with advanced functions like VLOOKUP and INDEX-MATCH, as well as your experience creating financial models. Be prepared to provide specific examples of Excel projects you have worked on and to discuss how you use pivot tables for data analysis. You will also be asked about your methods for ensuring data accuracy and integrity, as well as any Excel add-ins or tools you use to enhance your analysis. Throughout the conversation, be prepared to provide thorough and detailed responses to fill the 30-minute duration.

Excel for Finance

Discuss current market trends and impacts

In this 30-minute Market Trends interview, you will be discussing current market trends and their impacts with the interviewer. You will be asked to identify current trends in the financial markets and explain how they influence investment strategies and decision-making. Be prepared to share your experience in analyzing market data and the methods you use to track market trends, such as news, reports, and analytics tools. The interviewer will also ask about any specific trends you anticipate in the near future and how you adapt your strategies based on changing market conditions. Throughout the conversation, be sure to provide specific examples from your analysis of market trends to support your points. By the end of the session, you will have showcased your insights and understanding of market trends, and you will receive feedback on your performance.

Market Trends

In this 25-minute Financial Statements interview, you will be asked to present your understanding of key financial statements, including the balance sheet, income statement, and cash flow statement. You will be expected to explain the importance of each statement, discuss how you analyze them for insights on financial health, and share your experience with ratio analysis, including the key ratios you consider. Be prepared to interpret changes in these statements over time and discuss the tools or software you use for financial analysis. You will also be asked about any challenges you face when analyzing financial statements. Throughout the conversation, be sure to share specific examples from your experience to support your answers.

In this 30-minute Corporate Finance interview, you will be expected to demonstrate your understanding of corporate finance principles. You will be asked to define corporate finance and its core principles, and then discuss the capital structure and its implications for business. Be prepared to share specific examples from your experience on financial management practices you have utilized, and explore investment decisions and their impact on growth. Additionally, you will be asked about risk management strategies in corporate finance and the importance of cash flow management. You will have ample time to discuss each point, and the interviewer will encourage you to share your experiences throughout the conversation.

Corporate Finance

In this 35-minute Valuation Techniques interview, you will be asked to demonstrate your expertise in various valuation methods. You will start by explaining the importance of valuation in finance, and then delve into different valuation techniques such as DCF, comparable company analysis, and precedent transactions. Be prepared to discuss the situations in which you would use each method and share your experience with valuation in real-world scenarios, including any challenges you've faced. You will also explore how market conditions affect valuation and how you assess the assumptions made in a valuation. Throughout the conversation, be sure to provide specific examples from your work to support your answers.

Valuation Techniques

In this Investment Analysis interview, you can expect to dive into your understanding of financial markets and instruments. You'll be asked to analyze various investment opportunities, discussing their potential risks and returns, and explaining how you would approach investment decisions. Your ability to think critically and strategically about investments will be assessed, as well as your knowledge of financial concepts and tools. Be prepared to walk the interviewer through your thought process and justify your investment recommendations.

Investment Analysis

In this 30-minute Financial Modeling interview, you'll have the opportunity to showcase your knowledge and experience in building financial models. You'll start by defining financial modeling and its importance in decision-making, and then discuss common types of financial models, such as discounted cash flow and three-statement models. Be prepared to share your experience with Excel or other modeling software, and explain how you incorporate assumptions and projections into your models. You'll also be asked about your approach to validating your models and ensuring accuracy, as well as the role of sensitivity analysis in financial modeling. Throughout the conversation, be prepared to provide specific examples from your experience and answer follow-up questions to delve deeper into each topic.

Finance mock interviews

Practice with 100+ expert-vetted interviews, get feedback on your performance, and land your dream job.