Mercer Investment Analyst Interview Questions and Answers

EBITDA and FCF are important financial metrics for credit analysis. FCF can be derived from EBITDA by adjusting for non-cash expenses and changes in working capital.

• EBITDA measures a company's operating performance before interest, taxes, depreciation, and amortization.

• FCF measures the cash generated by a company's operations that is available for distribution to investors.

• To derive FCF from EBITDA, you need to adjust ...read more

Term loan is a general purpose loan while project finance is a specific loan for a particular project.

• Term loan is a loan provided for general business purposes while project finance is a loan provided for a specific project.

• Project finance is secured by the assets and cash flows of the project while term loan is secured by the general assets of the borrower.

• Project finance is usually for a longer term than term loan.

• P...read more

Banking products include savings accounts, checking accounts, loans, credit cards, and investment accounts.

• Savings accounts: earn interest on deposited funds

• Checking accounts: used for daily transactions and bill payments

• Loans: borrowed funds with interest to be paid back over time

• Credit cards: allow users to make purchases on credit with interest

• Investment accounts: used to invest in stocks, bonds, and other securitie