|Name: _________________________||Period: ___________________|
This test consists of 15 multiple choice questions and 5 short answer questions.
Multiple Choice Questions
1. What did the winning investment bank distribute to potential buyers to get a sale?
(a) A prospectus.
(b) A deed of sale.
(c) A graph booklet.
(d) A pitch book.
2. Who developed the pitch book?
(a) Analysts and associates.
(b) Repressed junior vice presidents.
(c) Angry managing directors.
(d) Associates under the guidance of vice presidents.
3. The summer between an MBA program is _________.
(a) Critical for finding a job.
(b) Critical for discovering if one wants to live in New York City.
(c) A time to see family before starting the school year.
(d) A very relaxing time.
4. According to Troob and Rolfe, creating a pitch book was __________.
(a) Very interesting.
(b) Tedious punishment.
(c) The best part of their job.
(d) Useful for the rest of their careers.
5. What is discounted cash flow analysis?
(a) Profit margins are used to pump up the future value of a company.
(b) A way to count money.
(c) An invented way of undervaluing a company.
(d) The means of discounting items that are for sale.
6. What do growing businesses need to expand?
(c) Gains and losses.
7. What do top investment banking firms usually seek?
(a) More money.
(b) Smart graduates.
(c) Graduates from priemer business grad schools.
(d) Eager, investment bankers from other companies.
8. This job in investment banking has no hopes for advancement. Employees are paid huge salaries but for two or three years live under harsh, abusive conditions until they can go back to school for their MBA degrees.
(b) Vice President.
(d) Managing director.
9. Who decides the value of a business?
(a) The buying company.
(b) Managing director or senior vice president.
(c) Presidents and senior vice presidents.
(d) The owner of the selling company.
10. What unlikely venue did recruiters take Troob and Rolfe?
(a) A wine tasting.
(b) A strip club.
(c) A barbeque restaurant.
(d) A toy store.
11. What kind of man was Ed Stanley?
(a) A rich man with lovely life and a number of golf courses.
(b) An upper level associate with lots of money.
(c) An ugly rich old man.
(d) The head of the marketing department.
12. Although the training was fun, what feel did Rolfe and Troob have concerning their new jobs?
(a) Rolfe and Troob were nervous about what the new job might entail.
(b) They were both extremely excited.
(c) An impending feeling of doom.
13. How did these people communicate with the associates in the Bullpen?
(a) Over the phone.
(b) By mail messenger.
(c) On instant message.
(d) Over email.
14. If a deal is brokered between a managing director and a client, what did this mean for associates and analysts?
(a) Company outings.
(b) A very large work load.
(c) Kissing up to the managing director with praise.
(d) Celebrating and drinking.
15. If the associate or analyst does not come up with enough support for the valuation, what happened to them?
(a) They were suspended without pay.
(b) They were fired.
(c) Forced to take a demotion.
(d) They were reprimanded.
Short Answer Questions
1. In theory, what were analysts supposed to provide?
2. How much money to junior vice presidents make per year?
3. What did many recruiters like to do while traveling?
4. The turn over rate in this position is extremely high. Many believe the position will be less abusive. Employees expect to quickly move up from this position, but are unable to.
5. What did investment banking begin as?
This section contains 569 words
(approx. 2 pages at 300 words per page)