Breaking Into Wall Street Investment Banking Interview Guide Pdf 2021 -

Concrete reasons for choosing that specific firm.

“Company A (P/E 20x) buys Company B (P/E 10x) with 100% cash. Accretive or dilutive?” → Accretive. Cash has a cost (~5% pre-tax), but B’s earnings yield = 10%, so cash yield < B’s yield → accretive. Concrete reasons for choosing that specific firm