Easy Private Credit & Debt Practice Questions
146 free easy-difficulty Private Credit & Debt questions, drawn live from KomFi's calibrated bank. Build the foundation first: these test the core mechanics every harder question assumes.
- What is the fund's TVPI (Total Value to Paid-In) multiple?
- If the current SOFR rate drops to 0.25%, what is the all-in interest rate the borrower must pay?
- What is the Dividend Coverage ratio?
- What is the blended interest rate paid by the borrower?
- What is its current Debt-to-Equity (Leverage) ratio?
- A borrower's credit agreement includes a 'Negative Pledge'.… — Is this allowed?
- A BDC (Business Development Company) is required to distribu… — What is the primary benefit of this structure
- An investor is reviewing a fund's performance and sees a DPI… — What does this suggest about the fund's lifecy
- If the fund's net TVPI is only 1.15×, what is the most likely explanation?
- What is the blended interest rate margin the borrower pays on the total facility?
- What is the sponsor's Money Multiple (MOIC) on their initial equity investment?
- What is the Enterprise Value?
- A lender is determining the maximum debt capacity for an LBO… — What is the maximum supportable debt based on
- If the investor hedges the currency risk using forward contracts, what is the approximate expected USD return?
- If management achieves a 6.0x Money Multiple (MOIC) on their personal investment, while the PE Sponsor achieve
- If the sponsor uses $360 million in total debt, what is the entry Net Debt / EBITDA leverage multiple?
- Using the simplified rule IRR ≈ Multiple^1/n - 1, what is the required Money Multiple (MOIC) to achieve this?
- What is the implied 'Equity Multiple' of the entry capital structure?
- A private credit fund is evaluating a 'Unitranche' loan for… — What is the borrower's experience in this trans
- A fund manager is valuing a senior loan to a private mid-mar… — Under ASC 820, how is this asset categorized?
- Which structure should they prefer?
- Which group is the fulcrum?
- A loan is priced at SOFR + 600 bps with a 1.0% floor. If the current SOFR rate is 0.5%, what is the total inte
- If Term SOFR is currently 0.75% and the loan was issued with a 2.0% Original Issue Discount (OID) over a 5-yea
- What is the Sponsor's Money Multiple (MOIC)?
- What is the company's 'covenant headroom' in EBITDA terms?
- If US short-term rates are 5.0% and Euro short-term rates are 3.5%, what is the approximate hedged USD return
- Is the company in default?
- A credit agreement includes a 75% 'Excess Cash Flow Sweep'.… — How much of this cash must be used to prepay th
- A loan agreement specifies that the borrower's Total Leverag… — How should this covenant be classified?
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