IBM Graduate Student Interview Questions and Answers

Price-to-earnings (P/E) ratio is used to evaluate the share.

• P/E ratio compares the current market price of a share to its earnings per share (EPS).

• It helps investors determine if a stock is overvalued or undervalued.

• A high P/E ratio may indicate that the stock is overvalued, while a low P/E ratio may indicate that the stock is undervalued.

• For example, if a company has a P/E ratio of 20, it means that investors are will...read more

Accruals are revenues earned but not yet received, while deferrals are payments received but not yet earned.

• Accruals are recorded as accounts receivable on the balance sheet.

• Deferrals are recorded as accounts payable on the balance sheet.

• Examples of accruals include interest income and sales revenue.

• Examples of deferrals include prepaid rent and unearned revenue.

• Accruals and deferrals are important for accurate financi...read more

Accounts refer to financial records that track the flow of money in and out of a business or individual's finances.

• Accounts are used to keep track of financial transactions such as income, expenses, assets, and liabilities.

• There are different types of accounts such as checking, savings, credit, and investment accounts.

• Accounts are typically organized in a chart of accounts which categorizes them by type and purpose.

• Exa...read more

RTR process refers to Record to Report process which involves all activities from recording transactions to preparing financial statements.

• RTR process is a crucial part of accounting and finance operations.

• It involves recording financial transactions, reconciling accounts, and preparing financial statements.

• The process ensures accuracy and completeness of financial data.

• It includes activities like journal entries, gene...read more

Current ratio includes all current assets, while quick ratio only includes liquid assets.

• Current ratio measures a company's ability to pay off its current liabilities with its current assets.

• Quick ratio is a more conservative measure of liquidity, as it only includes assets that can be quickly converted to cash.

• Current ratio formula: Current assets / Current liabilities

• Quick ratio formula: (Current assets - Inventory) ...read more

A software company incurs various costs including development, marketing, infrastructure, and maintenance.

• Development costs for creating and updating software

• Marketing costs for promoting the software

• Infrastructure costs for hosting and maintaining servers

• Maintenance costs for fixing bugs and providing customer support

I have experience working as a financial analyst in the past.

• I have worked as a financial analyst for XYZ Company for 3 years.

• During my time at XYZ Company, I was responsible for financial planning, budgeting, and forecasting.

• I conducted financial analysis to identify trends, risks, and opportunities for improvement.

• I prepared financial reports and presentations for senior management.

• I also collaborated with cross-func...read more

I am a financial analyst with expertise in financial modeling, data analysis, and risk assessment.

• I have a strong background in finance and accounting.

• I am skilled in using financial software and tools such as Excel and Bloomberg.

• I have experience in conducting financial research and analyzing market trends.

• I have successfully developed financial models to support investment decisions.

• I am detail-oriented and have exce...read more

I have a strong background in finance and a proven track record of delivering accurate and insightful financial analysis.

• I have a Bachelor's degree in Finance and have completed internships at reputable financial institutions.

• I have advanced skills in financial modeling and data analysis, which I have successfully applied in my previous roles.

• I have a keen eye for detail and a strong ability to identify trends and patt...read more

Genpact is a leading global professional services firm with expertise in finance and accounting.

• Genpact has a strong reputation in the financial services industry.

• They have a proven track record of delivering high-quality financial analysis.

• Genpact offers a wide range of opportunities for career growth and development.

• Their global presence provides exposure to diverse markets and industries.

• Genpact values innovation an...read more

Collateral management involves the process of monitoring and controlling assets provided as security for a loan or financial transaction.

• It is a risk management practice used by financial institutions to mitigate credit risk.

• Collateral can include various types of assets such as cash, securities, real estate, or inventory.

• The purpose of collateral management is to ensure the value and quality of the collateral, as well...read more

Strengths: Strong analytical skills and attention to detail. Weaknesses: Lack of experience in financial modeling and public speaking.

• Strength: I have strong analytical skills, which allow me to effectively analyze financial data and make informed decisions.

• Strength: I pay great attention to detail, ensuring accuracy in financial analysis and reporting.

• Weakness: I have limited experience in financial modeling, but I am...read more

Three difficult times in professional/personal life and how I dealt with them

• Losing my job during a company downsizing - I focused on updating my skills and networking to find new opportunities

• Dealing with a personal illness - I sought medical treatment, followed the doctor's advice, and leaned on my support system for emotional support

• Going through a difficult breakup - I prioritized self-care, sought therapy to proce...read more