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CAT: 98.4
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P1: Where are you joining us from?
Me: Mumbai, Maharashtra
P1: asked me about some politician
Me:I wasn't aware so said not sure
P1: Okay seems politics is not your strong suit, no problem, are you working?
A: yes, talked about my startup and the business model
P1: Seemed content, it's good you seem passionate when you speak, good personality trait
Me: thank you
P1: okay you did finance?
Me: yes
P1: I am an operations professor, P2 is finance, he will ask you about finance
P2: some term I didn't hear properly
Me: sir can you give me some reference, I'm sure I can explain
P2: how do companies get funds, why would you ever give away equity
Me: answered properly about debt/equity, why both are imp for example you can't give away equity for fulfilling short term cash crunch or working capital, debt comes into play then, combination of both are necessary, that's why there's a thing called debt/equity ratio which talks about the balance, spoke about how some industries are capital intensive, coal, production, finance, heavy rnd based companies etc who have to take a lot of debt hence higher d/e ratio, how other companies have lower but at the end both are necessary.
P2: Do countries take debt? What's the difference between company debt and country
Me: spoke about how one comes uncer microfinance and other macro, how even countries have to talk debt just like companies and how it doesn't speak about financial health for example US has the highest amount of external debt and yet it is probably the biggest super power etc..
P1: last question before we log off,
Vaccum Or vacuum