WCF - Introduction

WCF interview questions and answers

🙌 One of the MOST common questions you’ll get in an investment banking interview is: “Walk me through a DCF.” 🙋‍♀️ If you are still unsure on how to answer it, here’s a simple way to break it down: ✅ Project out cash flows for 5 - 10 years depending on the stability of the company ✅ Discount these cash flows to account for the time value of money ✅ Determine the terminal value of the company - assuming that the company does not stop operating after the projection window ✅ Discount the terminal