When Commercial Paper Is Appropriate
Corporate treasury interviews use this to distinguish cheap funding from dependable liquidity.
What is commercial paper, and when should a company use it rather than a revolver or long-term debt?
11 questions reported in General Electric 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
Built in the spreadsheet grid
Capital structure, covenant headroom, FX and interest rate hedging. 4 questions
Corporate treasury interviews use this to distinguish cheap funding from dependable liquidity.
What is commercial paper, and when should a company use it rather than a revolver or long-term debt?
A corporate treasury analyst is asked for a same-day liquidity recommendation before a potentially disruptive weekend.
It is 4:30pm Friday. Your treasurer asks whether to draw the revolver before the weekend after a customer payment slips. Work through the inbox updates and draft the recommendation for the CFO.
A corporate treasury inbox escalation requiring prioritisation of cash, funding, and stakeholder actions.
You are the treasury analyst for an acquisitive public company after a delayed receivables cycle and an upcoming debt maturity tighten liquidity. Rank the actions as new information arrives, then send…
Senior treasury interviews use this to test whether the candidate can turn a macro shock into concrete financing actions.
How would you stress test a company's liquidity, and what actions would you take if the downside case shows a shortfall in nine months?
Project selection, returning capital and measuring per-share value. 3 questions
A first-round question on how corporate finance teams screen investment proposals.
What is a hurdle rate, and should every project at a company use the same one?
A senior analyst case assessing whether a portfolio review recommendation considers cash, stranded costs and opportunity cost rather than headline multiples.
A conglomerate can sell a non-core division for $600m. The division generates $55m of annual EBITDA, requires $25m of capex and uses $80m of working capital. How would you decide whether to sell it?
A CFO case in which a cost programme must improve near-term liquidity without impairing the recovery.
A company must improve cash flow by $80m this year after demand softens. The CEO proposes an across-the-board 10% operating-expense cut. How would you build a better plan?
Adjacency analysis, competitive response and where advantage actually comes from. 3 questions
Used in corporate strategy roles where uncertainty is high and point forecasts are misleading.
How would you build scenarios for a three-year strategic plan?
A senior strategy case that tests capital discipline when an initiative has visible sponsorship but weak evidence.
A three-year growth initiative has consumed $30m. It has $8m of annual revenue, negative $6m of annual contribution profit, and management says the next $15m will unlock scale. How would you recommend…
Corporate strategy interviews use this as the counterpart to the acquisition question.
A diversified company asks you to review its portfolio and recommend divestments. What framework do you use?
Driver-based forecasts, variance analysis and forecast accuracy. 1 question
An FP&A inbox simulation turning an overnight miss into an executive recommendation.
At 7:30am the CFO forwards preliminary monthly results: “Revenue is fine, EBITDA missed by $4m. I need the cause, full-year impact and action before the 8:00 call.” Work through the files and draft…
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 General Electric.