Hot Keys: What's a Mouse For?

A friend of mine recently interviewed with a boutique investment bank and a section of the interview included a 1 hour financial modeling exercise. How well prepared are you to build, format, and forecast the income statement of a public company? Do you know the keyboard shortcuts necessary to complete this task in under an hour?

During my internship this summer, the full-time analysts explained to us that using the mouse makes work less efficient and ultimately slower. We were challenged to use only our keyboards and to never use the mouse. Thankfully I was prepared because I had been practicing keyboard shortcuts for some time prior to the internship. I extend that same challenge to you; never use the mouse when you can use Hot Keys. You'll never regret it.

I've taken a list of Excel 2003 Hot Keys from DealMaven and have posted them below. Most banks haven't upgraded to Microsoft Office 2007 so focus on learning these.

Excel Shortcut Keys
Command Name	Keystroke	Category	Priority	Comments
File New	( Ctrl n ) / Alt fn	Files	5
File Open	( Ctrl o ) / Alt fo / Ctrl F12	Files	5
File Close	Alt fc	Files	5
File Save	( Ctrl s ) / Alt fs	Files	5
File Save As	F12 / Alt fa	Files	5
File Print	( Ctrl p ) / Alt fp	Printing	5
File Set Print Area	Alt fts	Printing	5
Insert Page Break	Alt ib	Printing	5
File Clear Print Area	Alt ftc	Printing	5
File Page Setup	Alt fu	Printing	5
File Print Preview	Alt fv	Printing	5	Use Esc to exit print preview mode
Edit Undo	( Ctrl z ) / Alt eu	Commands	5
Edit Redo (Reverse Undo)	( Ctrl y ) / Alt er	Commands	5
Repeat Last Command	F4 / ( Ctrl y ) / Alt Enter	Commands	5	Use F4 while outside Formula Bar
Enter/Exit Cell Formula Bar	F2	Formulas	5	You can use Esc to exit Formula Bar as well
Absolute/Relative Reference	F4	Formulas	5	Use F4 while in Formula Bar
Sum Formula	Alt =	Formulas	5
Insert Function (Function Wizard)	Shift F3	Formulas	5
Insert Defined Name in Formula	F3	Formulas	2
Insert Function Arguments	Ctrl Shift A	Formulas	1
New Line in Cell Entry	Alt Enter	Formulas	3	Use while in Formula Bar
Delete Remainder of Entry	( Ctrl Delete )	Formulas	3	Use while in Formula Bar
Finish Entry	Enter	Formulas	5	Moves selection depending on Excel user preferences (Shift Enter moves selection in opposite direction
Finish Entry and Move Right	Tab	Formulas	5
Finish Entry and Move Left	Shift Tab	Formulas	5
Fill Selection With Entry	Ctrl Enter	Formulas	3
Calculate Formulas	F9	Formulas	4
Move Up	Up Arrow	Navigation	5
Move Down	Down Arrow	Navigation	5
Move Left	Left Arrow	Navigation	5
Move Right	Right Arrow	Navigation	5
Quick Move Up	Ctrl Up Arrow	Navigation	5
Quick Move Down	Ctrl Down Arrow	Navigation	5
Quick Move Left	Ctrl Left Arrow	Navigation	5
Quick Move Right	Ctrl Right Arrow	Navigation	5
Move To Column A	Home	Navigation	3
Move To Last Used Column	End, Enter	Navigation	3
Move To Cell A1	( Ctrl Home )	Navigation	3
Move To Bottom Right Cell	( Ctrl End )	Navigation	3
Page Up	Page Up	Navigation	5
Page Down	Page Down	Navigation	5
Page Left	Alt Page Up	Navigation	3
Page Right	Alt Page Down	Navigation	3
Next Worksheet	( Ctrl Page Down )	Navigation	5
Previous Worksheet	( Ctrl Page Up )	Navigation	5
Next Workbook	Ctrl Tab / Ctrl F6	Navigation	5
Previous Workbook	Ctrl Shift Tab / Ctrl Shift F6	Navigation	5
Go To...	F5 / ( Ctrl g ) / Alt eg	Navigation	5
Highlight Up	Shift Up Arrow	Selecting	5
Highlight Down	Shift Down Arrow	Selecting	5
Highlight Left	Shift Left Arrow	Selecting	5
Highlight Right	Shift Right Arrow	Selecting	5
Quick Highlight Up	Ctrl Shift Up Arrow	Selecting	5
Quick Highlight Down	Ctrl Shift Down Arrow	Selecting	5
Quick Highlight Left	Ctrl Shift Left Arrow	Selecting	5
Quick Highlight Right	Ctrl Shift Right Arrow	Selecting	5
Select To Column A	Shift Home	Selecting	1
Select To Last Used Column	End, Shift Enter	Selecting	1
Select To Cell A1	( Ctrl Shift Home )	Selecting	1
Select To Bottom Right Cell	( Ctrl Shift End ) / ( End, Shift Home )	Selecting	1
Extend Selection Page Up	Shift Page Up	Selecting	1
Extend Selection Page Down	Shift Page Down	Selecting	1
Extend Selection Page Left	Shift Alt Page Up	Selecting	1
Extend Selection Page Right	Shift Alt Page Down	Selecting	1
Select Row	Shift Spacebar	Selecting	5
Select Column	Ctrl Spacebar	Selecting	5
Select Region Around Active Cell	( Ctrl Shift * )	Selecting	1
Select All (Entire Worksheet)	( Ctrl a ) / Ctrl Shift Spacebar	Selecting	3
Set/Clear Selection Anchor	F8	Selecting	3
Only Select Active Cell	Shift Backspace	Selecting	1
Move Down Within Selection	Enter	Navigation	3
Move Up Within Selection	Shift Enter	Navigation	3
Move Left Within Selection	Tab	Navigation	3
Move Right Within Selection	Shift Tab	Navigation	3
Move Clockwise Within Selection	( Ctrl . )	Navigation	1
Next Region Within Selection	Ctrl Alt Right Arrow	Navigation	1
Previous Region Within Selection	Ctrl Alt Left Arrow	Navigation	1
Delete Selection	Alt ed	Clear/Delete	5
Clear Everything Within Selection	Alt eaa	Clear/Delete	5
Cut	( Ctrl x ) / Alt et	Cut/Copy/Move/Paste/Insert	5
Copy	( Ctrl c ) / Alt ec	Cut/Copy/Move/Paste/Insert	5
Paste	( Ctrl v ) / Alt ep	Cut/Copy/Move/Paste/Insert	5
Paste Special - Formulas	Alt esf Enter	Copy/Paste	5	Copies formulas and nothing else
Paste Special - Formats	Alt est Enter	Copy/Paste	5	Copies formats and nothing else
Paste Special - Values	Alt esv Enter	Copy/Paste	5	Copies values and nothing else
Copy Right (Excel)	( Ctrl r )	Copy/Paste	5
Copy Down (Excel)	( Ctrl d )	Copy/Paste	5
Copy Value From Cell Above	( Ctrl Shift " )	Copy/Paste	3
Copy Formula From Cell Above	( Ctrl ' )	Copy/Paste	3
Insert (Copied) Cells	Alt ie	Cut/Copy/Move/Paste/Insert	5
Insert Row	Alt ir	Insert New	5
Insert Column	Alt ic	Insert New	5
Copy/Move Sheet	Alt em	Cut/Copy/Move/Paste/Insert	3
Insert Worksheet	Alt iw / Shift F11	Insert New	3
Insert Chart Sheet	F11	Insert New	1
Edit Delete Sheet	Alt el	Clear/Delete	3
Highlight Direct Cell Precedents	( Ctrl [ )	Auditing	3
Highlight Direct Cell Dependents	( Ctrl ] )	Auditing	3
Highlight Indirect Cell Precedents	( Ctrl { )	Auditing	3
Highlight Indirect Cell Dependents	( Ctrl } )	Auditing	3
Show Precedent Arrows	Alt tut	Auditing	3	Refers to direct precedents
Show Dependent Arrows	Alt tud	Auditing	3	Refers to direct dependents
Display Cell Formulas (Toggle)	( Ctrl ` )	Auditing	3
Find	( Ctrl f ) / Alt ef / Shift F5	Auditing	4
Replace	( Ctrl h ) / Alt ee	Auditing	4
Edit Links	Alt ek	Auditing	3
Window Freeze/Unfreeze	Alt wf	View	5
Window Split	Alt ws	View	5
Split Window Toggle	F6	View	3
View Zoom	Alt vz	View	4
View Page Breaks	Alt vp	View	3
View Normal	Alt vn	View	3
Insert Name (Define)	Alt ind / Ctrl F3	Other	5
Insert Comment	Alt im / Shift F2	Other	3	Use Shift F2 to edit comments as well
Edit Clear Comments	Alt eam	Other	3
Insert Hyperlink	( Ctrl k ) / Alt ii	Other	2
Insert Current Date	( Ctrl ; )	Other	3
Insert Current Time	( Ctrl Shift : )	Other	3
Bold	( Ctrl b )	Formatting - Font	5
Italics	( Ctrl i )	Formatting - Font	5
Underline	( Ctrl u )	Formatting - Font	5
Strikethrough	( Ctrl 5 )	Formatting - Font	1
Border Outline	( Ctrl Shift & )	Formatting - Borders	3
Remove Borders	( Ctrl Shift _ )	Formatting - Borders	3
Cell Formatting Dialog Box	( Ctrl 1 ) / Alt oe	Formatting	5
Edit Clear Formats	Alt eaf	Formatting	3
Column Autofit	Alt oca	Formatting - Rows/Columns	5
Row Autofit	Alt ora	Formatting - Rows/Columns	2
Column Width	Alt ocw	Formatting - Rows/Columns	4
Row Height	Alt ort	Formatting - Rows/Columns	4
Column Standard Width	Alt ocs	Formatting - Rows/Columns	1
Group Rows/Columns	( Alt Shift Right Arrow )	Hiding	3
Ungroup Rows/Columns	( Alt Shift Left Arrow )	Hiding	3
Hide Rows	( Ctrl 9 )	Hiding	3
Hide Columns	( Ctrl 0 )	Hiding	3
Unhide Rows	( Ctrl Shift 9 )	Hiding	3
Unhide Columns	( Ctrl Shift 0 )	Hiding	3
Restore Window Size	Ctrl F5	Windows	3
Minimize Window	Ctrl F9	Windows	3
Maximize Window	Ctrl F10	Windows	3
Close Window	Ctrl F4 / ( Ctrl w )	Windows	4
Next Application	Alt Tab	Windows	5
Previous Application	Alt Shift Tab	Windows	5
Close Application	Alt F4	Windows	4
Windows Start Menu	Ctrl Esc	Windows	5
Spelling Check	F7	Other	3
Tools Options	Alt to	Other	4
Activate/Deactivate Menu Bar	F10 / Alt	Other	5	Use arrows or menu accelerators to move through menu options
Show Right Click Menu	Shift F10	Other	4
Next Toolbar	Ctrl Tab	Other	3
Previous Toolbar	Shift F10	Other	3
Show/Hide Standard Toolbar	Ctrl 7	Other	1
Run Macro	Alt F8	Other	3
Visual Basic Editor (Toggle w/ Excel)	Alt F11	Other	1
Help	F1	Other	5
Help (Context Sensitive)	Shift F1	Other	3

How do the Financial Statements Flow Together?

Understanding how the three core financial statements interplay is fundamental to your success in investment banking interviews. Below is a brief description of the three statements and how they connect to one another. Following the explanation you will find a few sample interview questions.

Income Statement
Net income--the bottom line--flows from the Income Statement to Retained Earnings on the Balance Sheet. It also becomes the first line of Cash from Operations on the Cash Flow Statement. You can think of the Income Statement as a cumulative record over a period of time.

Balance Sheet
The name of this statement describes its purpose; the Balance Sheet always balances. This financial statement acts as a record for a firm's assets and all the claims against those assets. The remaining value is called Stockholder's Equity. The Cash balance which is the first line item under Current Assets at the top of the Balance Sheet is taken from the Ending Cash on the Cash Flow Statement. The Balance Sheet, unlike the Income Statement, is not a cumulative record over time; it is a snapshot of one moment in time.

Cash Flow Statement
The Cash Flow Statement connects the three financial statements together. The statement begins with Net Income from the Income Statement and the Ending Cash balance at the bottom Cash Flow Statement flows to Cash and Cash Equivalents at the top of the Balance Sheet.

Practice Interview Questions:

Which financial statement is most important?

The answer to this question depends on who is asking but generally the Cash Flow Statement is most crucial. An analyst in Lev Fin (Leveraged Finance) at a bulge bracket in New York explained to me that the Cash Flow Statement defines a firm's financing options. Whether it be a leveraged buyout, dividend distribution, or a restructuring, the Cash Flow Statement tells financiers what their options are. Cash is King!
___________________________________________________________________
If you could only have two of the three core financial statements, which two would you take?

Even though the Cash Flow Statement ties the three statements together, the most important items from the Cash Flow Statement can be derived from the Income Statement and the Balance Sheet. I would take the Income Statement and the Balance Sheet.
___________________________________________________________________
How do the three financial statements flow together?

For this question you should restate the descriptions mentioned above in an abbreviated fashion. Practice this several times out loud and while mock interviewing.

Overcoming Toubled Times

This is a question someone left on an earlier post. We love seeing your questions and comments; we're happy to help answer any questions our readers have.

From Anonymous:

I would love to hear your thoughts on how to survive if looking for a finance job now... let's face it... if you are beginning the journey in i banking right now... there are a ton of more qualified people to take your spot. What advice do you have for these people?

Thanks!
---

Dear Anonymous,

Your question is certainly valid as hiring in finance, specifically in investment banking, is down significantly. From everyone I've talked to, many bulge bracket investment banks over-hired from their summer 2008 analyst classes and aren't taking many additional first year full-time hires. This isn't to say that there are no openings available, because there are. Students are still being hired out of college as first year analysts. Things are more competitive than ever and that's why we're here to give you the special sauce so you can knock your interviews out of the park.

If you are a junior, you should be focusing on landing that summer internship. Once you have a summer internship under your belt you are a shoo-in.

When you suggest that there are "a ton of more qualified people taking your spot", I believe you're referring to the thousands of first and second year analysts who have been laid off during the last year. I can't disagree with the numbers, there are more people now chasing fewer finance jobs compared to the recent past. I will point out, however, that analysts who have been laid off aren't necessarily more qualified than you. An unemployed analyst might have better excel skills and might be a more knowledgeable formatting monkey than you are, but you have one advantage over him or her; you are a fresh piece of clay ready to be kneaded and molded that doesn't already have the inevitable scars from analyst work.

It isn't fair to consider the unfortunate analyst bystander who is laid off because his or her bank went under as damaged goods. Not everybody believes that analysts who have been laid off have baggage. But the reality is that some people believe that more liabilities are attached when a firm hires someone who has been laid off by a competitor. I'm speaking in generalities here and do so knowing full well that I am potentially talking about myself.

In short, opportunities exist for graduating seniors today. If you're not finding traction with bulge brackets then explore opportunities with boutiques. If that doesn't work, look for corporate opportunities. Be urgent and commit your efforts with renewed zeal. You can achieve success.