20+ HomeTown Interview Questions and Answers

Calculating FCF, EBITDA, adjusted EBITDA, funding FCF deficit, and adjusting debt for off balance sheet leases in research analysis.

• To calculate Free Cash Flow (FCF), subtract capital expenditures from operating cash flow.

• EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is calculated by adding back interest, taxes, depreciation, and amortization to net income.

• Adjusted EBITDA is EBITDA adjusted for non-recurring expenses, gains, or losses.

• To fund FCF de...read more

To write a REST API from scratch, I would follow these steps:

• Define the resources and endpoints

• Choose a programming language and framework

• Implement CRUD operations for each resource

• Use HTTP methods and status codes correctly

• Add authentication and authorization

• Test the API using tools like Postman

• Document the API using tools like Swagger

You get #REF error in Excel when a cell reference is not valid, and you get #VALUE error when a formula includes the wrong type of argument or operand.

• You get #REF error when a formula refers to a cell that is not valid, such as a deleted cell or a cell in a different sheet.

• You get #VALUE error when a formula includes the wrong type of argument, such as text instead of a number, or when an operand is not valid for the function being used.

• For example, if you try to multiply te...read more

Objects in Java can be created in multiple ways, including using new keyword, cloning, deserialization, and reflection.

• Using the 'new' keyword

• Cloning an existing object

• Deserialization from a file or network

• Using reflection to create objects dynamically

1. Shallow copy creates a new object but does not duplicate nested objects. Deep copy creates a new object and duplicates all nested objects. 2. Merging dataframes with different column names requires renaming columns. 3. Regex can be used to find characters and numbers of a specific length. 4. Spark fundamentals involve understanding distributed computing and data processing.

• Shallow copy: new object with same references to nested objects. Deep copy: new object with duplicate...read more

Interface is a contract that defines the methods a class must implement, while abstract class can have both implemented and abstract methods.

• Interface methods are public and abstract by default, while abstract class can have abstract and non-abstract methods.

• A class can implement multiple interfaces but can only inherit from one abstract class.

• Interfaces are used to achieve multiple inheritance in Java, while abstract classes are used to provide a common base for subclasses.

• E...read more

Start bottom up research by identifying specific data points, analyzing them individually, and then synthesizing them into a larger conclusion.

• Identify specific data points or pieces of information relevant to the research topic

• Analyze each data point individually to understand its significance and implications

• Synthesize the individual data points into a larger conclusion or insight

• Use a structured approach to organize and analyze the data, such as creating a framework or mod...read more

Serialization is the process of converting an object into a format that can be easily stored or transmitted.

• Serialization is used to convert complex data structures or objects into a stream of bytes.

• Serialized data can be stored in files, databases, or sent over a network.

• Common serialization formats include JSON, XML, and Protocol Buffers.

Code to find common elements between two arrays

• Iterate through each element of the first array

• Check if the element exists in the second array

• If yes, add it to a new array or print it

Query to delete duplicate rows in a table

• Use GROUP BY clause to group the rows by their unique values

• Use HAVING clause to filter out the groups with count greater than 1

• Use DELETE statement to delete the duplicate rows

INDas stands for Indian Accounting Standards, which are a set of accounting standards notified by the Ministry of Corporate Affairs in India.

• INDas are based on International Financial Reporting Standards (IFRS) to ensure transparency and consistency in financial reporting.

• They are mandatory for certain classes of companies in India, such as listed companies and certain other public companies.

• INDas aim to improve the quality of financial reporting and provide a common accounti...read more

Spring IOC is a container that manages the lifecycle of Java objects. Dependency Injection is a design pattern that allows objects to be loosely coupled.

• Spring IOC is a container that manages the creation and destruction of objects

• Dependency Injection is a design pattern that allows objects to be loosely coupled

• Spring IOC uses Dependency Injection to inject dependencies into objects

• Dependency Injection can be implemented without using Spring IOC

Expected credit loss computation impacts traditional loss provision framework by incorporating forward-looking information and requiring more complex calculations.

• Expected credit loss computation considers future expected credit losses based on historical data, current conditions, and reasonable and supportable forecasts.

• Traditional loss provision framework typically only considers incurred losses based on historical data.

• Expected credit loss computation requires more complex...read more

Top credit risk parameters in banking portfolio

• Probability of Default (PD)

• Loss Given Default (LGD)

• Exposure at Default (EAD)

• Credit Rating of the borrower

• Loan-to-Value ratio (LTV)

• Debt-to-Income ratio (DTI)

Rating agencies assess creditworthiness of companies and governments.

• Rating agencies analyze financial statements and economic data to determine credit ratings

• They assign letter grades to indicate creditworthiness and likelihood of default

• Ratings affect interest rates on bonds and loans, and can impact stock prices

• Agencies like Moody's, S&P, and Fitch are the most well-known in the industry

RWA stands for Risk-Weighted Assets, which measures a bank's assets based on their risk levels. Leverage exposure is the ratio of a bank's assets to its capital.

• RWA is calculated by assigning risk weights to different assets based on their credit risk. For example, cash and government securities have lower risk weights compared to corporate loans.

• Leverage exposure is a measure of a bank's total assets relative to its capital. A higher leverage ratio indicates higher risk.

• Regu...read more

Loans process involves application, approval, disbursement, and repayment.

• Application: Borrower submits application with required documents.

• Approval: Lender reviews application, credit history, and financials.

• Disbursement: Once approved, funds are disbursed to borrower.

• Repayment: Borrower makes scheduled payments with interest.

• Example: A borrower applies for a mortgage loan, lender approves based on credit score, funds are disbursed for home purchase, borrower repays over 30 ...read more

KYC remediation is the process of updating and verifying customer information to ensure compliance with regulations.

• KYC stands for Know Your Customer

• Remediation involves reviewing and updating customer information

• The goal is to ensure compliance with regulations and reduce risk

• Examples of KYC remediation include verifying customer identities and reviewing transaction histories

Loan pricing is determined based on various factors such as creditworthiness, market conditions, and loan term.

• Loan pricing is influenced by the borrower's credit score and financial history.

• Market conditions, such as interest rates and economic outlook, also impact loan pricing.

• The term of the loan, including the length of repayment and type of interest rate (fixed or variable), plays a role in pricing.

• Lenders may also consider the purpose of the loan and the borrower's debt...read more

Syndication of loans involves multiple lenders coming together to fund a single loan.

• Syndication allows for spreading the risk among multiple lenders.

• It can help in funding large loans that may be too risky for a single lender to take on.

• Syndicated loans are common in corporate finance and real estate.

• Lenders may join syndicates to gain exposure to different industries or regions.

The country that starts with the letter 'I' is India.

• India is a country located in South Asia.

• Its capital city is New Delhi.

• It is known for its diverse culture, history, and cuisine.

Dynamic webtables can be handled using techniques like identifying unique attributes, using loops to iterate through rows and columns, and utilizing XPath or CSS selectors.

• Identify unique attributes of the webtable such as class, id, or other attributes to locate and interact with the table

• Use loops to iterate through rows and columns of the webtable to extract data or perform actions on specific cells

• Utilize XPath or CSS selectors to target specific elements within the dynam...read more

Investment banks (IBs) earn money through various services such as underwriting, advisory services, trading, and asset management.

• Underwriting services involve helping companies issue stocks and bonds, earning fees in the process.

• Advisory services include providing financial advice on mergers and acquisitions, earning advisory fees.

• Trading involves buying and selling securities on behalf of clients, earning commissions or spreads.

• Asset management services involve managing cli...read more