1. Do you know what are trade bills?
We know that all types of transactions need to be documented. The trade bills are the documents, generated against each transaction.
2. Tell me what is trial balance in accounting?
In accounting, trial balance is an accounting report that lists the balances in each of an organization's general ledger accounts. This is done at the end of posting journal entry to ensure that there are no posting errors.
GAAP means Generally Accepted Accounting Principle; it is a framework of accounting, standards, procedures & rules determined by the professional accounting industry and practiced by publicly traded U.S companies all over the U.S.A.
4. Tell us depreciation and its types?
By depreciation we mean that a value of an asset is decreasing as it is in use. It has two types such as “Straight Line Method” and “Written Down Value Method”.
5. Tell me what is “deposit in transit”?
A deposit in transit is a checks and cash that have been received and recorded by an entity, but which have not yet been entered in the records of the bank where the funds are deposited.
6. Explain different branches of accounting?
There are three branches of accounting named as “Financial Accounting”, “Management Accounting” and “Cost Accounting”.
7. Tell me how can you explain the basic accounting equation?
We know that accounting is all about assets, liabilities and capital. Therefore, the accounting equation is:
Assets = Liabilities + Owners Equity.
8. Explain dual aspect term in accounting?
As the name implies, the dual aspect concept states that every transaction has two sides. For example, when you buy something, you give the cash and get the thing. Similarly, when you sale something, you lose the thing and gets the money. So this getting and losing is basically two aspects of every transaction.
9. Explain what is account receivable?
A short term amounts due from buyers to a seller, who have purchased goods or services from the seller on credit is referred as account receivable.
10. Explain what makes a successful account manager?
Speak confidently when answering questions where success is the subject. You do not have to gush and describe every possible aspect you can think of. Talk about a few key concepts, like communication and negotiation skills, market research and customer prospecting, etc. You will make an even better impression if you give an example from your own professional life to demonstrate your idea.
11. Do you know compound journal entry?
A compound journal entry is just like other accounting entry where there is more than one debit, more than one credit, or more than one of both debits and credits. It is essentially a combination of several simple journal entries.
12. Explain me the difference between public and Private Accounting?
Public accounting is a type of accounting that is done by one company for another company. Private accounting is done for your own company.
13. Explain have you ever prepared MIS reports and what are these?
Yes, I have prepared few MIS reports during my previous jobs. MIS reports are created to identify the efficiency of any department of a company.
14. Tell me what is Your Track Record for Consistently Achieving Your Targets?
An interviewer expects an account manager to be efficient in knowing how to meet targets within deadlines. He may ask the candidate about his track record for achieving targets. With this question, he gives the candidate an opportunity to provide examples of goals and strategies to achieve them. The interviewer may look for the candidate's strong communication skills as a vital tool in the candidate's examples.
15. Tell me what is working capital?
Working capital is a financial metric that calculates the resources available to the company to finance its day-to-day operations. It is typically calculated by deducting current liabilities from current assets.
16. Do you know marginal Cost?
Suppose you have to produce an additional unit of output. The estimated cost of additional inputs to produce that output is actually the marginal cost.
17. Tell me how can you define departmental accounting?
It is a type of accounting in which separate account is created for departments. It is managed separately as well as shown independently in the balance sheet.
18. Explain me scrap value in accounting?
It is the residual value of an asset. The residual value is the value that any asset holds after its estimated life time.
19. Explain me what Makes a Successful Account Manager?
An interviewer asks a candidate about her opinion of a successful account manager to understand the characteristics that the candidate believes would make her a success. The candidate should identify three or four key concepts as examples of her own experiences such as communication skills, effective negotiation skills, and strengths in market research. She should sound confident in answering this question.
20. As you know any other accounting application?
Yes, I am familiar with CGram Software, Financial Force, Microsoft Accounting Professional, Microsoft Dynamics AX and Microsoft Small Business Financials.
21. Tell me what would you say are the most important qualities of an account manager?
This question tests your confidence, self awareness, and independence. Do not be afraid to speak your mind confidently. The ability to work independently and make decisions is crucial if you are an account manager. This in turn requires being organized and self motivated, with the ability to work with many customers at once. This means outstanding customer service skills.
22. Explain things that fall under intangible asset?
Things that fall under intangible asset are,
☛ Patents
☛ Copyrights
☛ Trademarks
☛ Brand names
☛ Domain names, and so on.
23. Explain what is Bank Reconciliation?
A bank reconciliation is a process done by a company to ensure that the company's records (check register, balance sheet, general ledger account, etc.) are correct and that the bank's records are also correct.
24. Do you know balancing in accounting?
Balancing means to equate both sides of the T-account i.e. the debit and credit sides of a T-account must be equal/balanced.
25. Explain me the difference between accounting and Auditing?
Accounting is all about recording daily business activities while auditing is the checking that whether all these events have been noted down correctly or not.
26. Tell us do you have any idea about Service Tax or Excise?
It is a kind of hidden tax that is included in the service provided by the service provider and paid by the service receiver.
27. Explain me where a cash discount should be recorded in journal entry?
A cash discount should be recorded in journal entry as a reduction of expense in “cash account”.
28. Explain me what is assets minus liabilities?
Assets minus liabilities is equal to owners' equity or stockholders equity.
29. Explain which account is responsible for interest payable?
Account which is responsible or affected by the interest payable is “Current liability account”
30. Do you know partitioning in accounting?
It is a kind of groups made on the basis of same responses by a system.
31. Tell me what do you think is bank reconciliation statement?
A reconciliation statement is prepared when the passbook balance differs from the cashbook balance.
32. Tell me in balance sheet, where do you show TDS?
It is shown on the assets section, right after the head current asset.
33. Do you know what is balance sheet?
It is a statement that states all the liabilities and assets of the company at certain point.
It is the abbreviation of Institute of Chartered Accountants in India.
35. Tell me deferred taxation is a part of which equity?
Deferred taxation is a part of owner's equity.
