Financial Modeling Exam – Wall Street Prep 2026 | Full Exam Solution & Valuation Model

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Financial Modeling Exam Wall Street
Prep 2026




2026 2027 GRADED A+

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Section I — Financial Modeling Basics (1–10)
1. In financial modeling, which statement shows performance over time?
A) Balance Sheet
B) Income Statement
C) Statement of Cash Flows
D) Both B and C
Answer: D

2. The three core financial statements are:
A) Income Statement, Balance Sheet, Cash Flow Statement
B) Balance Sheet, Equity Schedule, Notes
C) Cash Flow Statement, Budget Forecast, Ratio Sheet
D) Income Statement, Journal Entries, KPIs
Answer: A

3. Operating income is also known as:
A) EBITDA
B) EBIT
C) Net Income
D) Free Cash Flow
Answer: B

4. Depreciation expense is a:
A) Cash expense
B) Non-cash expense
C) Asset
D) Liability
Answer: B

5. Forecasting begins with:
A) Revenue drivers
B) Dividends
C) Goodwill
D) Cash balances only
Answer: A

6. Working capital is calculated as:
A) Current Assets – Current Liabilities
B) Assets – Liabilities
C) Equity – Net Debt
D) EBITDA – Capex
Answer: A

7. To link the financial statements, net income flows to:
A) Retained Earnings


2026 2027 GRADED A+