Bank of America Commercial Credit Analyst Interview Questions and Answers

The balance sheet is a financial statement that provides a snapshot of a company's financial position at a specific point in time.

• The balance sheet consists of three main sections: assets, liabilities, and equity.

• Assets are what the company owns, such as cash, inventory, and property.

• Liabilities are what the company owes, such as loans, accounts payable, and bonds.

• Equity represents the company's net worth, calculated a...read more

The income statement shows a company's revenues, expenses, and profits over a specific period of time.

• Start with total revenue, which includes sales, services, and other sources of income

• Subtract cost of goods sold to calculate gross profit

• Then deduct operating expenses such as salaries, rent, and utilities to get operating income

• Finally, subtract taxes and interest expenses to arrive at net income

• Example: Revenue - Co...read more