Completed Exam | Wall Street Prep
2025 LBO Modeling Exam from Wall Street Prep [ACTUAL EXAM] LATEST VERSION [QUESTIONS
AND ANSWERS] WITH PRACTICE EXAM DETAILED AND VERIFIED FOR GUARANTEED PASS-
LATEST UPDATE 2025 GRADED A
[DESCRIPTION]
Get the latest and most up-to-date LBO Modeling Exam from Wall Street Prep, featuring real questions
and answers from the actual test. Includes:
• Comprehensive practice exam
• Fully verified solutions
• Detailed explanations for each question
• Step-by-step LBO modeling walkthroughs
• Updated for 2025 with the latest industry standards
Graded “A” for accuracy and reliability, this resource is designed to help you guarantee a passing score
by preparing with authentic, exam-style material. Perfect for investment banking, private equity, and finance
professionals seeking mastery in LBO modeling.
Back to Course | Exit to Learning Dashboard
Review: Wall Street Prep Certification Exam
Question 1
Which one of these are generally NOT considered to be a pre-tax non-recurring (unusual or infrequent) item?
Restructuring expenses
One-time write offs
Extraordinary gains/losses
Gains/losses on sale of assets
Question 2
Which of the following statements is FALSE about Depreciation and Amortization (D&A)?
D&A may be classified within cost of goods sold
D&A may be classified as a separate line item on the income statement
D&A may be classified within interest expense
D&A may be classified within operating costs
Question 3
Company X’s current assets increased by $40 million from 2007 to 2008, while the company’s current liabilities increased by $25
million over the same period. The cash impact of the change in working capital was:
A decrease of $15 million
An increase of $15 million
An increase of $40 million
https://www.wallstreetprep.com/completed-exam/?wsp_selection=6121&course_id=9978 1/13
, Completed Exam | Wall Street Prep
An increase of $25 million
Question 4
The final component of an earnings projection model is calculating interest expense. The calculation may create a circular reference
because:
Interest expense affects net income, which affects free cash flow, which affects the amount of debt a company pays down, which,
in turn, affects the interest expense, hence the circular reference
Interest expense affects net income, which affects working capital levels, which affects short-term debt levels, which, in turn, affects interest
expense, hence the circular reference
Interest expense affects projected debt levels, which affects projected net income, which, in turn, affects projected interest expense, hence
the circular reference
None of the above
Question 5
A 10-Q financial filing has all of the following characteristics EXCEPT:
Issued 4 times per y ear
Unaudited
Provides less detail regarding stock options and debt schedules than a 10-K
Provides the most up-to-date financial information for the firm
Question 6
Depreciation expense found in the SG&A line of the income statement for a manufacturing firm would most likely be attributable to
which of the following?
Computers used by the accounting department
Manufacturing equipment
https://www.wallstreetprep.com/completed-exam/?wsp_selection=6121&course_id=9978 2/13
2025 LBO Modeling Exam from Wall Street Prep [ACTUAL EXAM] LATEST VERSION [QUESTIONS
AND ANSWERS] WITH PRACTICE EXAM DETAILED AND VERIFIED FOR GUARANTEED PASS-
LATEST UPDATE 2025 GRADED A
[DESCRIPTION]
Get the latest and most up-to-date LBO Modeling Exam from Wall Street Prep, featuring real questions
and answers from the actual test. Includes:
• Comprehensive practice exam
• Fully verified solutions
• Detailed explanations for each question
• Step-by-step LBO modeling walkthroughs
• Updated for 2025 with the latest industry standards
Graded “A” for accuracy and reliability, this resource is designed to help you guarantee a passing score
by preparing with authentic, exam-style material. Perfect for investment banking, private equity, and finance
professionals seeking mastery in LBO modeling.
Back to Course | Exit to Learning Dashboard
Review: Wall Street Prep Certification Exam
Question 1
Which one of these are generally NOT considered to be a pre-tax non-recurring (unusual or infrequent) item?
Restructuring expenses
One-time write offs
Extraordinary gains/losses
Gains/losses on sale of assets
Question 2
Which of the following statements is FALSE about Depreciation and Amortization (D&A)?
D&A may be classified within cost of goods sold
D&A may be classified as a separate line item on the income statement
D&A may be classified within interest expense
D&A may be classified within operating costs
Question 3
Company X’s current assets increased by $40 million from 2007 to 2008, while the company’s current liabilities increased by $25
million over the same period. The cash impact of the change in working capital was:
A decrease of $15 million
An increase of $15 million
An increase of $40 million
https://www.wallstreetprep.com/completed-exam/?wsp_selection=6121&course_id=9978 1/13
, Completed Exam | Wall Street Prep
An increase of $25 million
Question 4
The final component of an earnings projection model is calculating interest expense. The calculation may create a circular reference
because:
Interest expense affects net income, which affects free cash flow, which affects the amount of debt a company pays down, which,
in turn, affects the interest expense, hence the circular reference
Interest expense affects net income, which affects working capital levels, which affects short-term debt levels, which, in turn, affects interest
expense, hence the circular reference
Interest expense affects projected debt levels, which affects projected net income, which, in turn, affects projected interest expense, hence
the circular reference
None of the above
Question 5
A 10-Q financial filing has all of the following characteristics EXCEPT:
Issued 4 times per y ear
Unaudited
Provides less detail regarding stock options and debt schedules than a 10-K
Provides the most up-to-date financial information for the firm
Question 6
Depreciation expense found in the SG&A line of the income statement for a manufacturing firm would most likely be attributable to
which of the following?
Computers used by the accounting department
Manufacturing equipment
https://www.wallstreetprep.com/completed-exam/?wsp_selection=6121&course_id=9978 2/13
