AI and Corporate Finance Flashcards (79 cards)

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1Question

How many sessions does the Kolumpi simulation run across?

Answer

Five sessions.

2Question

What time period do the six monthly decisions in Kolumpi cover?

Answer

January to June of year 1.

3Question

What percentage of the assessment is based on deadlines and participation?

Answer

10%.

4Question

Which assessment component counts for 40% of the grade?

Answer

The final synthesis and presentation.

5Question

What does the red AI regime prohibit during assessments?

Answer

AI during diagnostics, calculations, quizzes, decisions, and presentations.

6Question

What AI use does the orange regime allow?

Answer

Conceptual tutoring without formulas or figures.

7Question

What AI activities are allowed under the green regime?

Answer

Documented strategic criticism and report auditing outside class.

8Question

Which six products does Kolumpi produce?

Answer

Oliplas, Lavplas, Duoplas, Olibox, Lavbox, and Duobox.

9Question

What is the production flow at Kolumpi from base to distribution?

Answer

From olive or lavender soap base and packaging, through cutting and conditioning workshops, to finished products distributed via website, perfumeries, marketplaces, and hypermarkets.

10Question

How many minutes per month does each machine provide at Kolumpi?

Answer

9,100 minutes per month.

11Question

What is the target workshop load formula at Kolumpi?

Answer

Approximately 100% of theoretical consumption divided by workshop capacity.

12Question

How is raw-material stock measured at Kolumpi?

Answer

In days of production.

13Question

How is finished-product stock measured at Kolumpi?

Answer

In days of sales.

14Question

Which eight indicators steer business performance?

Answer

Profitability, cash in days of revenue, raw-material stocks, finished-product stocks, workshops, human resources, customer satisfaction, and innovation.

15Question

What is the cash-in-days-of-revenue indicator's maximal value?

Answer

7 days or less.

16Question

What annual interest rate applies to overdrafts?

Answer

100% per year.

17Question

What is the ideal range for raw-material stock in production days?

Answer

30 to 60 production days.

18Question

What is the main penalty of finished-product stockout?

Answer

It is penalized (negatively impacts business).

19Question

What is the main effect of finished-product overstock?

Answer

It mainly consumes cash.

20Question

What formula defines the seasonality coefficient?

Answer

Coefficient = observed sales divided by trend sales.

21Question

How are corrected sales calculated using the seasonality coefficient?

Answer

Corrected sales = observed sales divided by the coefficient.

22Question

What is the first step in the analytical accounting cascade formula?

Answer

Revenue minus variable costs equals variable-cost margin.

23Question

What does the variable-cost margin rate measure?

Answer

Price sensitivity.

24Question

What does the contribution margin in euros identify?

Answer

Which product contributes most to covering fixed costs.

25Question

What is the formula for minimum additional revenue with added fixed costs?

Answer

ΔCA=ΔCFm\Delta CA=\frac{\Delta CF}{m} where mm is the variable-cost margin rate.

26Question

How do you calculate minimum additional quantity for a single product?

Answer

ΔQ=ΔCFunit variable-cost margin\Delta Q=\frac{\Delta CF}{\text{unit variable-cost margin}}.

27Question

What price reduction and sales increase does Duobox need to preserve total margin?

Answer

Price reduced to €7.20 and sales increased by 15.7%.

28Question

How does Duobox's unit variable-cost margin change after price reduction?

Answer

It decreases from €5.125 to €4.429.

29Question

What is a large language model trained to do?

Answer

Predict the most plausible continuation of a text.

30Question

On what scale is a large language model trained?

Answer

On billions of texts.

31Question

What are the four AI Fluency dimensions in the course?

Answer

Delegation, Description, Discernment, and Diligence.

32Question

What does Delegation mean in AI Fluency?

Answer

Deciding what to entrust to AI and what to retain.

33Question

What must be retained when delegating to AI?

Answer

Hypothesis choices, decisions, and fieldwork.

34Question

What are the steps of professional AI use?

Answer

Describing the task, evaluating output, iterating or rejecting it, verifying, declaring, and assuming responsibility.

35Question

Why must unsupported figures be removed from AI-generated dossiers?

Answer

Because AI hallucination risk is especially high for precise figures, sources, citations, and URLs.

36Question

What does sycophancy cause an AI to do?

Answer

Validate the user's assumptions.

37Question

What does an adversarial prompt ask an AI to do?

Answer

Identify and rank objections.

38Question

What is forbidden regarding personal data in AI tools?

Answer

No real personal data may be entered into AI tools.

39Question

What must be done to interview quotations before using them with AI?

Answer

They must be anonymized before use.

40Question

What tasks does professional AI use delegate to AI?

Answer

Formatting, ideas, and criticism.

41Question

What data restrictions does the course impose on AI input?

Answer

No real personal data and anonymized interview verbatims.

42Question

What are the main steps in a reliable AI workflow?

Answer

Describe task and documents, examine output critically, then re-describe request for 2-4 rounds.

43Question

What elements should effective prompts specify?

Answer

Deliverable, context, examples, reasoning, structure, format, constraints, and self-criticism request.

44Question

What should a prompt instruct the AI to do when lacking knowledge?

Answer

State the lack of knowledge or reliable source instead of inventing an answer.

45Question

What financial paths can a start-up choose for its business model?

Answer

Raise investment, build to sell, or remain profitable through customer revenue.

46Question

Which core investor metric targets an LTV/CAC ratio greater than 3?

Answer

LTV/CAC ratio.

47Question

How is runway calculated in start-up metrics?

Answer

Cash balance divided by burn rate.

48Question

How do you calculate CAC in start-up financial metrics?

Answer

Sales and marketing spending divided by new customers.

49Question

What does the balance sheet show about a company?

Answer

What the company owns and owes at a date.

50Question

What does the income statement show over a period?

Answer

Products minus charges.

51Question

What does the cash flow statement show?

Answer

Money actually entering and leaving the bank account.

52Question

What does the financial triangle require for every decision?

Answer

Analysis through the balance sheet, income statement, and cash flow statement.

53Question

What is amortization's effect on the income statement?

Answer

It is an income-statement charge.

54Question

How does amortization affect the balance sheet?

Answer

It reduces the value of an asset.

55Question

Does amortization involve cash movement after purchase?

Answer

No, it never involves cash movement after the original purchase.

56Question

What are the seven blocks in the assumptions tab?

Answer

Revenue by category, variable costs, fixed costs, payroll, investments and amortization, capital and subsidies, and borrowing.

57Question

How is revenue calculated for each category?

Answer

By multiplying volume by price.

58Question

What drivers influence revenue calculation?

Answer

Actions, audience, conversion, quantities, price, and seasonality.

59Question

How are variable costs expressed in the model?

Answer

Per unit multiplied by quantities sold.

60Question

How do purchases affect cash and inventory?

Answer

Purchases affect cash when bought and inventory when not yet sold.

61Question

What is the formula for monthly principal repayment on a loan?

Answer

Loan amount divided by duration.

62Question

How is monthly interest on a loan calculated?

Answer

Annual rate times remaining principal divided by 12.

63Question

What must every ratio in a submitted report include to count?

Answer

Its calculation components.

64Question

How much soap base and packaging does a standard single soap consume?

Answer

0.15 kg.

65Question

How much soap base does a Duo soap consume for each fragrance?

Answer

0.15 kg of each fragrance.

66Question

What costs are included in variable costs?

Answer

Materials, machine minutes, discounts, and 3% of the catalogue price.

67Question

What is the amount of common fixed costs per month in year 0?

Answer

€287,500 per month.

68Question

How much additional revenue covers an €8,000 monthly advertising cost?

Answer

At least €13,333 of additional revenue.

69Question

What did Deloitte Australia report about a 2025 government report?

Answer

It contained invented academic references and a fabricated judgment citation.

70Question

How much did Deloitte reimburse related to the 2025 government report issue?

Answer

Approximately 290,000 AUD.

71Question

To what legal frameworks does the course link responsible AI use?

Answer

The GDPR and the European AI Act.

72Question

What must be traceable in high-risk AI applications?

Answer

The use of AI.

73Question

Which practices have replaced formulaic prompt tricks?

Answer

Short targeted iterations, persistent workspaces, and context engineering.

74Question

What metrics are important for SaaS companies?

Answer

MRR, NRR, ACV, and pipeline.

75Question

What metrics are important for marketplaces?

Answer

GMV, take-rate, contribution margin, and concentration.

76Question

What is the funding range for business angels in France?

Answer

50,000 to 500,000 euros.

77Question

What funding amounts do seed funds and venture capital provide in France?

Answer

300,000 to 3 million euros or more.

78Question

In a 700-euro loan repayment with 80 euros interest and 620 euros principal, which part is an income-statement charge?

Answer

The 80 euros of interest.

79Question

What must the model include regarding founder salary and revenue justification?

Answer

A founder salary by month 12 and a one-line step plan justifying each revenue amount.

Test yourself with the quiz

Answer 58 questions on AI and Corporate Finance.

1. What is the time structure of the Kolumpi simulation?

2. Which weighting correctly describes the assessment of the Kolumpi simulation?

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