DTCC Interview Questions and Answers for Experienced

Amortization is the process of spreading out a loan into smaller, regular payments over a period of time.

• It is used to pay off a debt over time with regular payments

• Each payment includes both principal and interest

• The amount of interest decreases over time as the principal is paid off

• Examples include mortgages, car loans, and student loans

WASO is Wake After Sleep Onset, TSO is Total Sleep Time, and EPS is Earnings Per Share.

• WASO is the amount of time spent awake after initially falling asleep.

• TSO is the total amount of time spent sleeping, including both REM and non-REM sleep.

• EPS is a financial metric that represents the portion of a company's profit allocated to each outstanding share of common stock.

• WASO and TSO are commonly used in sleep studies, whi

The financial statements (BS, IS, CF) have common elements such as assets, liabilities, equity, revenue, expenses, and cash flows.

• Assets: resources owned by the company

• Liabilities: obligations owed by the company

• Equity: residual interest in the assets of the company

• Revenue: income generated by the company

• Expenses: costs incurred by the company

• Cash flows: inflows and outflows of cash

A stock split increases the number of shares outstanding and decreases the price per share, but does not affect the market capitalisation.

• Stock split does not affect the total value of the company

• Market capitalisation remains the same after a stock split

• Stock split increases the number of shares outstanding and decreases the price per share

• For example, if a company has 1 million shares outstanding and the stock splits ...read more

Cash flow statements have three main components: operating activities, investing activities, and financing activities.

• Operating activities: cash inflows and outflows from the company's core business operations.

• Investing activities: cash inflows and outflows from buying or selling long-term assets.

• Financing activities: cash inflows and outflows from borrowing or repaying debt, issuing or buying back stock, and paying di...read more

EPS is calculated by dividing the company's net income by the number of outstanding shares.

• EPS = Net Income / Outstanding Shares

• Net Income is the company's total earnings after expenses and taxes

• Outstanding Shares are the total number of shares issued by the company

• EPS is an important metric for investors to evaluate a company's profitability

• Higher EPS indicates better profitability and potential for higher dividends

I am looking for a job in another company because I am seeking new challenges and opportunities for growth.

• Seeking new challenges and opportunities for growth

• Want to expand my skill set and knowledge

• Interested in working with a different team or in a different industry

• Looking for better work-life balance or company culture

• Want to explore different career paths

I have a diverse background with experience in finance, consulting, and project management.

• Bachelor's degree in Finance from XYZ University

• Worked as a financial analyst at ABC Company for 3 years

• Managed multiple consulting projects for various clients

• Led a team of 5 in implementing a new project management system

• Completed certifications in project management and Six Sigma

Option trade is a contract between two parties giving the buyer the right, but not the obligation, to buy or sell an underlying asset at a specified price on or before a specified date.

• Option trade is a type of derivative contract

• It involves buying or selling the right to buy or sell an underlying asset at a predetermined price

• The buyer of an option pays a premium to the seller for the right to exercise the option

• Optio...read more

Call buyers expect the price of the underlying asset to rise, while call sellers expect it to fall.

• Call buyers have the right to buy the underlying asset at a predetermined price, so they expect the price to rise above that level.

• Call sellers have the obligation to sell the underlying asset at a predetermined price, so they expect the price to stay below that level.

• Call buyers' losses are limited to the premium they pa...read more