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Templates & Mindset · 5 min read
Interview Glossary & Acronym Cheat Sheet
Every framework acronym and interview term, defined in one place.
Interview prep is full of acronyms and jargon that everyone assumes you already know. Here's a plain-language reference for the terms you'll meet across behavioral, product, consulting, finance, and admissions interviews. Bookmark it and skim before any round.
Answer frameworks
- •STAR — Situation, Task, Action, Result. The default structure for behavioral answers.
- •SOAR — Situation, Obstacle, Action, Result. A STAR variant for achievement stories.
- •CAR — Context, Action, Result. A shorter, punchier behavioral structure.
- •CIRCLES — a product-design framework: Comprehend, Identify user, Report needs, Cut, List solutions, Evaluate, Summarize.
- •RICE — Reach, Impact, Confidence, Effort. A prioritization scoring method.
- •AARRR — Acquisition, Activation, Retention, Referral, Revenue. A product funnel metrics model.
- •HEART — Happiness, Engagement, Adoption, Retention, Task success. A feature-quality metrics framework.
Consulting & business terms
- •MECE — Mutually Exclusive, Collectively Exhaustive. A structure with no overlaps and no gaps.
- •Hypothesis-driven — starting from a proposed answer and testing it, rather than exploring everything.
- •Market sizing / guesstimate — estimating a number from structured assumptions.
- •Profitability tree — breaking profit into revenue and cost, then their drivers.
- •PEI — Personal Experience Interview, McKinsey's structured fit round.
Finance terms
- •DCF — Discounted Cash Flow. Valuing a business by discounting projected cash flows to today.
- •WACC — Weighted Average Cost of Capital. The blended discount rate for a DCF.
- •EV — Enterprise Value. The value of the whole business (equity plus net debt).
- •EBITDA — Earnings Before Interest, Taxes, Depreciation, and Amortization. A common profitability proxy.
- •LBO — Leveraged Buyout. Acquiring a company using significant borrowed money.
- •Comps — comparable companies or transactions used for relative valuation.
Process & admissions terms
- •ATS — Applicant Tracking System. Software that screens resumes before a human sees them.
- •JD — Job Description. The posting listing the role's requirements.
- •DAF — Detailed Application Form (UPSC), the basis for many interview questions.
- •WAT — Written Ability Test, a timed essay used by some MBA programs.
- •GD — Group Discussion, a moderated group round used in admissions and some hiring.
- •SOP — Statement of Purpose, the essay behind fellowship and grad-school interviews.
Put the frameworks to work
Open the interactive Framework Library and practice with fill-in templates.
Put the frameworks to work →