Top 100 Finance and Accounting Interview Questions

How do we calculate income tax?

Do you think operating profit can be more than the gross profit?

Can you describe how Private Banking works?

Can you differentiate between current assets & fixed assets?

What is the difference between revenue and profit?

Do you invest in stock markets?

For a big MNC, What documents are covered in the Financial Statement?

Have you heard about investment banking?

How do you record sundry allowances in accounts?

How many different accounting standards are there?

In which language was accountancy first established?

Suppose you have a balance sheet of an SME company, how will you decide whether to finance the
company or not?

Tell me something about double entry book keeping.

Tell us about accounts and taxation.

What are the different types of taxes?

What is capital budgeting?

What is the difference between book value and market value?

What is finance?

What is ICWA, balance sheet?

What is Fixed Cost, Variable Cost and Break Even point?

What is Income tax?

What is Indirect tax?

What is India's Foreign Exchange Reserve?

What is Investment Banking?

What is liquidity?

What is Marginal Costing?

Situation-Based Interview

What is market capitalization?

What is PE ratio?

What is the difference between Options and Futures?

Who invented Double Entry Book Keeping?

What is the internal rate of return formulae

What is the Net Present Value formula?

What is the relation between income statement and balance sheet?

What is the role of an auditor?

What is turnover?

What is value of firm?

What is working capital account?

Which accounting standard do we follow?

Why is P&L account not known as profit and loss account?

Why profit is shown on liability side of the balance sheet?

How do you do breakeven analysis?

Importance of interviews

How will you determine the discount rate?

What is the full form of GAAP?

What is direct tax?

What is excise duty?

What is the concept of Comparative Cost Advantage?

Does dividend reduce profits?

Does depreciation reduce profit?

What is Current Ratio?

What is the Ideal Current Ratio?

What is Capital and Revenue Expenditure?

Where does Goodwill appear in a Balance Sheet? Why?

Can depreciation be on fixed assets only?

As depreciation is to fixed assets, what is the same analogous to debtors?

What is the fundamental accounting equation?

What is statutory audit?

Can you name some of the accounting firms?

What is the difference between finance and accounts?

What is the difference between shares and debentures?

What do you mean by a private limited company?

What do you mean by a listed company?

What is 'Capital Reserve'?

Explain the process of dissolution of a partnership firm?

Why are some accounting systems called double accounting systems?

What is a journal?

What is the purpose of maintaining a subsidiary journal.

What do you understand by Imprest amount in a petty cash book?

What is a petty cash book?

What is a bank reconciliation statement?

What is weighted average cost of capital?

What are the various methods of capital budgeting?

What is the difference between a horizontal and vertical merger?

What is the difference between an amalgamation and merger?

Tell me something about nonperforming assets.

What according to you is minority interest?

What do you understand by Cost plus Contract?

What do you think is the Escalation clause in contract costing?

What according to you are the advantages of introducing a costing system in an industrial
organization?

What is idle time and could you also explain its causes?

Please comment on this "Limitations of financial accounting have made the management realize the
importance of cost accounting."

What according to you is sunk cost?

Could you differentiate between integral and non integral system of accounting?

Essentially what is the difference between allocation and apportionment of overheads?

How would you treat scrap and defective items in cost accounts?

What according to you is reconciliation of cost and financial accounts and why is it necessary?

What do you mean by issue of shares at premium? Also how else can you issue shares?

What are future maintainable profits?

Could you discuss ABC analysis for material control?

How is ‘bonus payable to employees’ treated in cost accounts?

Could you tell me the difference between time keeping and time booking?

Tell me about a situation when companies cannot issue shares on discount? What exactly are the
conditions for issue of shares at a discount?
What according to you is the meaning of minimum subscription?

What do you mean by rebate on bills discounted?

Furthermore, how would you treat it in the books of the bank?

Comment on "Evolution of cost accounting is the outcome of deficiencies in the financial accounting
system."

What according to you are the advantages of "Integrated Accounts"?

"A company is an artificial person created by law with a perpetual succession and common seal."
Comment on the statement.