Accounting Interview Question Set 12
Categories: Accountancy
How does Inventory Write-Down Affect the three Statements?
In the balance sheet, the assets account of inventory is reduced by the amount of the write-down so is the shareholder’s equity. The income statements are hit with an expense that is either COGS or a separate line item for the amount of the write-down. On income statements, the write-down is added back to CFO as its non-cash expense but must not be double-counted within the changes of non-cash capital.
Explain the Revenue Recognition and Matching Values?
The revenue recognition principle dictates the method and timing by which revenue is recorded and recognized as an item within the financial statements supported certain criteria (e.g., transfer of ownership). The matching principle dictates that the timing of expenses be matched to the period in which they are incurred, as opposed to when they are paid.
If you were CFO of our Business, What Would Keep you up at Hours of Darkness?
Step back and give a complex impression of the business’s current economic position, or companies in that industry overall. Highlight something on each of the three statements. Income statement: growth, margins, profitability.
- Balance sheet: liquidity, property assets, credit metrics, liquidity fractions.
- Cash flow statement: short-term and long-term income outline, needing to improve money or return capital to stakeholders.
Why Prefer to Account as a Profession?
Accounting is chosen as a profession because:
- Become a neighbourhood of an in-depth network of execs.
- Accept or experience a challenging role.
- Explore new opportunities.
- Offers all types of career options.
What are the talents needed to figure as an accountant?
Skills needed to figure as an accountant are:
- Excellent at math
- Strong analytical skills
- Structured work style
- Aptitude for technology
Mention some Accounting Software?
The best accounting software is:
- Fresh Books
- NetSuite ERP
- Tipalti
- Free Agent
- Zoho Books
- Sage Business Cloud Accounting
- Sage 50cloud
- Tally
Mention the Difference Between SAP Memory and ABAP Memory
SAP Memory may be a global user-related memory that extends beyond the limit of transaction.
ABAP Memory may be a memory area within each main session and may be accessed by programs using the import-export statement.
What’s Microsoft Accounting Professional?
Microsoft Accounting Professional is an accounting application that gives reliable and fast processing of accounting transactions. It also helps with financial analysis.