Checkpoint 1 · lesson
EV versus equity value
Prereq
No blocking prerequisite is attached; start by defining the terms in the prompt.
Core
Enterprise Value and Equity Value Bridge market value, net debt, minority interest, associates, and operating assets.
Apply
Use this lesson to answer one interview prompt by stating the concept, naming the dependency, and then applying it to EV ↔ equity without changing the question into unsupported numbers.
Warren
The bridge runs through net debt, not gross debt — and preferred equity and minority interest are claims too. Candidates lose points by stopping at cash and debt.
Resources