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How to use this AlumnEye test
 This test is based on the BCG Potential Test but it has been designed by
AlumnEye
 It is therefore useful to prepare BCG interviews, as well as McK/Bain
interviews and any strategy consulting firm interviews
 The actuel BCG potential test:
– Calculator is allowed (but not on this practice test)
– Timing: 45 minutes, 23 questions
– Score: +3 per good answer, 0 for no answer, -1 per wrong answer
– Screen: left-hand side are the questions, right-hand side are the documents
 AlumnEye test:
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– All the other conditions are similar to BCG potential test
– Documents & data of any slide can be used in every question
 Get yourself a pen, a notepad, a clock, and do not cheat – NO
CALCULATORS ALLOWED !

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THE TEST

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AlumnEye Potential Test
Question 1/3 Doc 1 of 3
How much represents
the wine label market? WineLabelCo
a. 8,125 bn €
b. 0,8125 bn € Our client Wine label market
c. 16,250 bn € § Our client is WineLabelCo, a wine § The world wine production has
d. 1,625 bn € label company been 260 MhL this year
§ It produces labels for wine bottles § 75% of the production is in glass
exclusively bottle, of which 75% is bottled in
§ WineLabelCo wants to increase its 75cL bottles and the rest in half
profits and has asked for our help size bottles (37,5cL)
§ Half of the bottles have 2 labels
(front and back), the other half
having 3 labels (front, back, top)
§ All labels price roughly at 0,1€
AlumnEye© 2014 – All rights reserved. 19

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We are looking at the
CAGR between 2002 WineLabelCo
and 2012 for the
adhesive label market
(abbr. A) and the dry French wine label market
(bn€)
label market (abbr. D). 1,8
Which of the following 1,6

19%
1,4
is true ?
1,2
a. A<D 1
20%
Adhesive label
18% market share
b. A ≈ D (2 digit) 0,8 Dry label
81% market share
0,6
c. A>D 82%
80%
0,4
d. Not enough data 0,2
to answer. 0
2002 2004 2012

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What is the answer to
your PL’s last question? WineLabelCo
a. 2013
b. 2014 Email from Project leader Attached pieces
c. 2015 “We want to know if investing in

new equipment for adhesive label Cumulated Equipment cost
d. It will never be printers is profitable. I asked the 3
M€
client about one particular piece of

profitable equipment, and here are the charts
2
2,2
2,4 2,6
2,8
1,8 2,0
we received from the client. Both 1
1,3 1,5 1,6
1,2
graphs are not fully aligned (the top 0
one has been adjusted with a 10% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
yearly discount rate, whereas the
bar graph has not been). Could you Yearly expected return
M€
reformat those graphs and tell me 0,5
if the investment is profitable for 0,4
this piece of equipment assuming 0,3
the 10% discount rate is the right 0,2
one, and if yes, when ? See you this 0,1
0
afternoon!” 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

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ANSWERS

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Correct answers
 Question 1: answer a.
 Question 2: answer c.
 Question 3: answer b.

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Question 1/3 Solution
How much represents
the wine label market? Calculation
a. 8,125 bn €
b. 0,8125 bn € § 75% of production in bottle : 195 MhL
c. 16,250 bn € § # full bottles = (Total volume in bottle) x (percentage in full
bottle)/(Volume of full bottle)
d. 1,625 bn €
è# full bottles = (195x102x106)x0.75/0.75 = 195x108
§ Similarly, # half bottles = (195x108)x(0.75/3)/(0.75/2)
Noting that 65x3 = 195, then # half bottles = 130x108
§ Then #bottles = 325x108, of which half have 2 labels and the
other half 3 amounting to a total of 81.25 billion labels
§ For a total market of 8.125 bn€

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We are looking at the
CAGR between 2002 Calculation
and 2012 for the
adhesive label market
(abbr. A) and the dry Total label market
2002
1
2010
1,2
label market (abbr. D). Percentage adhesive 18% 20%
Percentage dry 82% 80%
Which of the following Amount adhesive 0,18 0,24
0,82 0,96
is true ? Amount dry
a. A<D § To compare the CAGR one must compare A=(0.24/0.18)1/8-1

and D=(0.96/0.82)1/8-1, which is the same as comparing
b. A ≈ D (2 digit) 0.24/0.16 = 3/2 and 0.96/0.82 = 48/41
c. A>D § Therefore, A>D
d. Not enough data
to answer.

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What is the answer to
your PL’s last question Calculation
?
a. 2013 § The depreciation factor has to be computed for each year
b. 2014 according to (1-factor)#years
c. 2015 § Then each yearly return has to be adjusted with the depreciation,
and only then can we calculate the cumulated yearly returns and
d. It will never be compare it to the cumulated cost.
profitable
2011 2012 2013 2014 2015
Depreciation factor 1,00 0,90 0,81 0,73 0,66
Yearly return not adjusted 0,5 0,5 0,5 0,5 0,5
Yearly return adjusted 0,50 0,45 0,41 0,36 0,33
Cumulated return adjusted 0,50 0,95 1,36 1,72 2,05
Cumulated cost adjusted 1,2 1,3 1,5 1,6 1,8

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BREAK INTO CONSULTING

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AlumnEye© 2015– All rights reserved – Practice your

Forum Online AlumnEye

 We provide financial & consulting training for the most

AlumnEye© 2015– All rights reserved – Practice your

AlumnEye© 2015– All rights reserved – Practice your

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AlumnEye© 2014 – All rights reserved. 19

AlumnEye© 2015– All rights reserved – Practice your

Which of the following 1,6

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c. 2015 “We want to know if investing in

client about one particular piece of

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AlumnEye© 2015– All rights reserved – Practice your

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AlumnEye© 2014 – All rights reserved. 22

AlumnEye© 2015– All rights reserved – Practice your

a. A<D § To compare the CAGR one must compare A=(0.24/0.18)1/8-1

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AlumnEye© 2014 – All rights reserved. 24

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