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Any tips for how I should prepare for an interview with Square? What's the peer programming interview like?
Write good code, with tests. Be open with your interviewer if you're stuck, pair programming is collaborative. We want people who produce high quality work when working well with others!
For writing tests during the interview, is a testing framework like Junit used?
I went through a similar interview. It's mostly the same as any regular interview except you are on a laptop. Try doing tdd. If you use Java, junit is a good choice.
I found their interview questions generally pretty practical, like implementing a part of a game or an API with certain functions, rather than specific data structure/algorithm questions. The interviewer may jump in on the peer keyboard to help you fix syntax but you're generally coding yourself. You're definitely free to Google documentation or Stack Overflow if you want to.
What do recommend studying?
Take a look at interview questions on Glassdoor for Square. Just generally HackerRank/similar would be useful for practice. Know how to figure out the time/space complexities of the code you're writing.