BSCM
What is the association's mission statement?
to conceive the word “Finance” in its broadest sense
Why is the cost of debt multiplied by (1-t) in the calculation of WACC?
Because interest expense on debt is tax-deductible. This creates a tax shield: companies pay less in taxes when they use debt financing, effectively reducing the real cost of debt.
What is the largest leveraged buyout (LBO) in history, and which firms led the acquisition?
$55 billion take-private of Electronic Arts (EA)
The main buyers were: PIF, Silver Lake, and Affinity Partners.
In which year was America discovered?
1492
A father is currently three times as old as his son. In 15 years, the father will be twice as old as the son. How old are they now?
Father: 45
Name the 3 BSCM presidents right before Pilu
Edoardo Miccio, Giulio Pampaloni, Alessandro Maraldi
How do you calculate Levered free cash flow / Free cash flow to equity (FCFE)?
Net income + D&A - Capex - Change in NWC + Change in debt
or
FCFO - interests + tax shield (i*t) + Change in debt
What is the ECB Deposit Facility Rate?
2%
Which city is nicknamed “The Eternal City”?
Rome
You have three boxes labeled “Dark,” “Brown,” and “White.” Each box contains only one type of chocolate, but all labels are wrong. What is the fewest number of boxes you must open to determine the contents of all three boxes?
1 box
Which employer currently has the most BSCM alumni?
J.P. Morgan
You hold two bonds — one issued by Afghanistan and one by the United States — with the same coupon structure and same maturity. If the yield on both increases by 1%, which bond’s price falls more, and why?
Both bonds’ prices fall, but the U.S. bond falls more because, starting from a lower yield it has higher duration, making it more sensitive to interest rate changes.
What is the industry that generated the most M&A fees in H1 2025?
Financial Institutions Industry
Which team has won the most Champions League titles in football history?
Real Madrid
Three lightbulbs are installed in a room with no windows. You're standing outside the room, in front of three switches, each of which controls one of the lightbulbs. So, if you only have one chance to enter the room, how are you supposed to figure out which switch controls which lightbulb?
Two switches (designated as A and B) should be turned on for a few minutes and then turned off. Then, using switch B, turn one of them off and walk into the room. Switch A is in charge of controlling the brightness of the light. Make contact with the other two bulbs (they should be off). Switch B is in charge of controlling the one that is still warm. Switch C is responsible for controlling the third bulb (which is both off and chilly).
Who is the current member that has been in BSCM the longest (excluding Pampa...)?
Elena di Ceglie
What is a dividend recapitalization in the context of an LBO? And if equity investors receive the same total cash amount, why might their IRR differ if part of it is paid out via dividend recaps over time instead of only at final exit?
A dividend recapitalization is when an LBO company takes on additional debt to pay a dividend to equity holders before exit.
Even if the total payout is the same, earlier distributions increase IRR because of the time value of money and reduced capital at risk.
Therefore, IRR is higher with dividend recaps over time than if all cash is received only at exit.
What happened to Burgez recently?
It was sold at auction for €1.3 million to Obicà Mozzarella Bar during judicial liquidation.
What’s the only country in the world whose flag is not rectangular or square?
Nepal
You have 10 blue socks and 10 red socks in a drawer. If you pick two at random without looking, what’s the probability they’re the same color?
9/19 = 47.4%
Name 2 founders of BSCM (only first name)
Gianluigi, Vincenzo, Francesco, Jurgen
A company with a P/E of 22x acquires a target trading at a P/E of 20x. The acquiror chooses to finance the purchase using only debt at an 8% interest rate, with an effective tax rate of 30%, and you may assume no synergies, fees, or other effects. Will this deal be accretive or dilutive to the acquiror’s EPS, and why?
The deal is dilutive. In a debt-financed transaction, you compare the target’s earnings yield to the acquiror’s after-tax cost of debt. The target’s yield is 5.0%, while the after-tax cost of debt is 5.6%. Since the financing cost is higher, the deal reduces EPS.
What luxury Italian brand faced a short-seller attack recently over alleged violations of EU sanctions and use of Russia to offload inventory, causing its shares to drop nearly 17% in a single day?
Brunello Cucinelli
What is the national animal of Scotland?
Unicorn
How many squares can be created in an 8x8 chess board (including combinations of smaller squares)
204
1x1 squares: 8x8 = 64
2x2 squares: 7x7 = 49
3x3 squares: 6x6 = 36
4x4 squares: 5x5 = 25
5x5 squares: 4x4 = 16
6x6 squares: 3x3 = 9
7x7 squares: 2x2 = 4
8x8 squares: 1x1 = 1