4 questions reported in Caterpillar interviews, organised by the group that asks them. Every question carries a model answer and graded feedback on your own attempt.
Questions
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Hard
Model builds
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Capital structure, covenant headroom, FX and interest rate hedging. 2 questions
Treasury teams support contracts where counterparties want payment assurance without an immediate cash deposit.
Explain the difference between a letter of credit and a bank guarantee. Why might a supplier ask for one, and what should treasury check before issuing it?
A standard numerical follow-up after discussing transaction exposure.
A US company must pay €10m in three months. The three-month EUR/USD forward rate is 1.0800 dollars per euro. How would you hedge it, what dollar cost do you lock, and what happens if spot settles at…
Project selection, returning capital and measuring per-share value. 2 questions
A simple calculation question that reveals whether candidates understand a common but incomplete investment screen.
A project costs $100m and generates $25m of annual cash flow. Its payback period is four years. Is that enough to approve it?
An offer-level judgement question on protecting a business while selectively investing through a downturn.
Demand has fallen 20%, cash is tightening and the CEO wants to cut every discretionary project. How would you frame the capital-allocation decision?
Write your answer, get it graded on technical accuracy, completeness and communication, and see exactly which mechanic you missed.
Company tags reflect where a question type is commonly reported in interviews. They are not sourced from, endorsed by, or affiliated with Caterpillar.