BIG 4 INTERVIEW QUESTIONS

1. What is Assertions? PPE, Inventory Assertions?

2. What is MATERIALITY with example?
3. What is Performance Materiality?
4. Types of Materiality
5. Analytical Procedures and Control Risk
6. Vouching and Verification of Assets and Liabilities
7. Difference between Vouching and Verification
8. Are Bad Debts and Contingent Liabilities are same?
9. Bargain Purchase?
10. Matching Concept
11. Fundamental Accounting Assumptions
12. Substantive Procedures
13. Deferred Tax Liability
14. How to handle Pressure situation?
15. Manage a situation where you managed to handle stressful situation
16. If one situation is given, then how will you do audit?
17. Inventory related accounting
18. Internal Audit
19. Revenue Model as per IFRS, IndAS115
20. Discrepancies on Physical Verification of PPE
21. How materiality will be decided?
22. Detection risk and Inherent risk
23. Question on Articles Experience
a) How you did Stat Audit?
b) What you did in concurrent audit and Bank Stat Audit
c) Etc.,.
24. Verification of PPE, Inventory, Accounts receivables
25. Impairment loss and Depreciation – Factors and Differences
26. Income Tax return – What information will you get from client to file IT
Return?
27. FORM 3CA and 3CB
28. How to know financial status from financial statements?
29. What did you do in Physical Stock Verification?
30. What is Audit?
31. How Auditor uses performance materiality?
32. Debt Covenant
33. Debt Extinguishment
34. What is Contingent Liablity? Where do you know it in financial statements?
35. OCI (Other Comprehensive Income)
36. How to Audit Cash and Bank Balances?
37. How to ensure Completeness and Accuracy of Financial Statements?
38. What are Cut-off procedures?
39. Difference between Test of details and Analytical procedures
40. What is the need for preparation of Cash Flow Statements? Methods of Cash
Flow Statements?
41. Internal Controls
42. Difference between Statutory and Internal Audit
43. Tolerable error
44. Explain process of Audit along with its stages
45. What is your knowledge about Power BI
46. Cash and Bank balance Verification
47. Accumulated depreciation vs Depreciation
48. Capitalization?
49. Difference between V-Lookup and H-Lookup
50. What are Financial Instruments
51. Audit Opinion and its types?
52. What is Financial Lease
53. Risk of Material Misstatements
54. TDS
55. Significant Class of Transactions
56. CARO
57. Schedule III
58. Cash and Cash Equivalents
59. Ind AS 116, 115, 16, 36, 2, 23, 7, 109, 38, 40
60. Journal entry for Provision for Doubtful debts, Bad debts and Deferred
Revenue
61. Pivot Table
62. Difference between Audit Plan and Audit Programme
63. Difference between Test of Controls and Test of Details
64. Key Audit Matter Para (SA 701, 706), EOM
65. What is Internal Financial Control? Difference between Internal Audit and
Internal Financial Control?
66. Why this company? Why this Domain? Why should I hire you? Where you want
to see yourself after 5 years?
67. Strength and Weakness?
68. Recent changes in Budget
 69. General and Specific purpose financial statements
70. Which Materiality would you use in case of Debtors?
71. What are cash and cash equivalents? And out of 10 Bank accounts, 6 have
very high transactions and 4 have very petty transactions. Will you verify all?
72. How will you verify bank balance if you didn’t have bank statement?
73. What is Sales Turnover Ratio? What is it’s use?
74. Tell me about SA700 and types of Audit opinion
75. Explain Walk through with an example?
76. If your boss is very harsh and gets anger easily, how will you convince him to
help you if you have any doubt?
77. Any observations made in Articles?
78. How many Accounting Standards are there?
79. Trade payable cycle?
80. Perpetual vs Periodic
81. Assertions related to Expenses and Fixed Assets?
82. Provision for Bad debts and Recovery of Bad Debts – Concepts and Entries
83. Disposal of Assets effects
84. Bad debts and Provision of Bad debts journal entries
85. External Confirmation
86. Unrecorded liability
87. Accounts receivable verification
88. Inventory valuation methods
89. Current ration and how it is useful
90. Given a trial balance, how do you check it's completeness and how you analyse it
before preparing fs
91. Tell about 3 Excel functions
92. If two seniors allotted work on the same day and it is due date for both how will
u manage
93. If you have surplus hours after completion of work what will u do?
94. Presentation currency vs reporting currency
95. What forex rate u will use for balance sheet items like PPE inventory
accumulated depreciation
96. Eps, diluted EPS
97. Tell me about ICFR, why do we need it?
98. IFRS 9 (Ind as 109)
99. What is financial reporting framework
100. TCWG vs Management
101. Leases - what are the additional adjustments u need to do when compared to old
lease standard
102. In ROU value, other than asset value what else should be included
103. What will you communicate with tcwg
104. Prudence concept
105. Going concern (SA 570) indicators
106. Subsequent events (SA 560)
107. Exemptions in lease
108. Change in accounting policy and change in accounting estimate accounting
109. How will inventory effect the financial statement?
110. Do u think Accounting standards issued by government is good, whether
company should follow it or not
111. How will u manage health?
112. How will u manage ur personal life with work life during Busy season .
113. How will you do statutory audit (I explained about sending engagement letter to
signing of audit report by auditor)…
114. How will you document bank confirmation....
115. Who will ask for bank confirmation from bank ....
116. How do check know whether this bank statements are original one or just fake
copies provided by client....
117. How will you test internal controls ....
118. If I have given you financial statements what will you check prima facie .....
119. How will you check sale revenue in audit ...
120. What will you check in lorry receipt or goods transportation note which will
accompany with sales invoice ...and do you trust lorry receipt as evidence...if so
why ....
121. What are the areas where you did internal audit ..like we should tell about sales ,
purchase, payroll..etc
122. How will you check payroll....
123. How client can do fraud
check reconciled items ...
124. What are your aspirations....
125. What is reporting mechanism in your office ...whom do you report to? Who you
reported to ?
126. I mentioned about giving training to other employees …he asked about what is
that training you gave?