Accounting

Simple guide to the most essential documents in finance.

Master the balance sheet equation: what a company owns vs. what it owes. Core building blocks for all financial analysis.

Master the balance sheet: assets, liabilities, equity, and the accounting equation. Essential for IB interviews and valuation.

Learn what cash means in finance, what counts as cash and cash equivalents, and why it matters for valuation and financial analysis.

Master the cash flow statement: operating, investing, and financing activities explained for investment banking interviews.

Master D&A: how depreciation and amortization work, their formulas, impact on cash flow, and why they matter in valuation and M&A.

Cut through tax noise and get the exact DTA/DTL logic that actually gets tested in banking interviews.

EBIT measures operating profit before financing costs and taxes. Learn the formula, components, and why bankers use it for valuation.

EBITDA explained: formula, calculation, and why bankers use it. Learn the earnings metric that drives deal valuations.

Master the income statement, balance sheet, and cash flow statement—the three financial statements every banker must know cold.

Master the income statement: revenue, expenses, and the path to net income. Essential for IB interviews and valuation.

Master gross, operating, and net profit margins—the three profitability ratios that reveal how efficiently a company converts revenue into profit.

Net income explained: the bottom line profit after all expenses, taxes, and interest. Formula, components, and interview anchors.

Revenue defined: the starting point of every financial statement. Learn what counts, how it's recognized, and why it matters in finance.

Working capital measures short-term liquidity. Learn how to calculate it, interpret it, and explain why it matters in DCF and M&A.