Manager (F&A;) – Notes & Mock Exam Questions
Covers: Financial Accounting, Costing, Taxation, Auditing, Company Law, Treasury & Payroll, Case
Studies
Financial Accounting & Reporting
- Ind AS vs IFRS (carve-ins/carve-outs) - Preparation of P&L;, Balance Sheet, Cash Flow (Ind AS 1,
7) - Profit/Loss prior to incorporation (Companies Act) - SEBI financial regulations (reporting) -
Internal Financial Controls (IFC)
Cost & Management Accounting
- Cost methods: Job, Batch, Contract, Process - Standard costing & variance analysis - Marginal
costing, CVP, Break-even analysis - Budgetary control (Fixed, Flexible, ZBB) - Transfer pricing,
Capital budgeting (NPV, IRR, Payback) - ESOP & Buyback accounting
Company Law & Allied Laws
- Companies Act 2013 (Sec 129-137: Financial Statements, 139-148: Audit) - Insolvency &
Bankruptcy Code 2016 basics - Indian Contract Act 1872 (valid contract, breach, remedies) -
Negotiable Instruments Act 1881 (cheques, dishonour) - Payment of Bonus Act 1965 (eligibility,
calculation) - FEMA 1999 basics
Direct Tax Laws
- Residential status & scope of total income - Heads of Income: Salary, House Property, Business,
Capital Gains, Other Sources - Deductions (80C–80U) - TDS/TCS provisions - MAT & AMT
Indirect Tax Laws (GST, Customs, FTP)
- CGST & IGST Acts 2017 (time, place, value of supply) - Input tax credit conditions - GST returns,
e-way bill - Customs Act 1962 & Tariff Act 1975 basics - Foreign Trade Policy (export-import
procedures)
Auditing & Assurance
- Auditing Standards (SA 200, 210, 230, 315, 330, 500, 700, 701) - Internal control, vouching,
verification - Statutory audit under Companies Act - Cost audit, forensic audit - Risk-based auditing
Accounts Payable
- Procure-to-Pay cycle - Vendor master, invoice processing - TDS on vendor payments - GRN &
3-way matching - Vendor reconciliation, provisions (Ind AS 37)
Accounts Receivable
- Order-to-Cash cycle - Billing & collection - Credit control policies - Doubtful debt provision (Ind AS
109) - AR reconciliation
Cash, Bank, Treasury & Insurance
- Bank Reconciliation (BRS) - Fund flow, liquidity management - Cash flow forecasting - Investment
of surplus funds - Treasury operations - LC/BG documentation - General insurance basics
Payroll Accounting
- Payroll workflow, salary structure, CTC breakup - TDS on salaries (Sec 192), Form 16 - PF, ESI,
Gratuity, Labour Welfare Fund - Payroll accounting & audit
Case Study Areas
- Financial statement analysis - Tax planning decisions - Cost optimization - Internal control review -
Accounting compliance for transactions
Mock Exam Questions & Answers
Section A: Objective Questions
Q1. Which Ind AS deals with revenue recognition?
Ans: Ind AS 115
Q2. Break-even point formula is?
Ans: Fixed Costs / Contribution per unit
Q3. Section for Appointment of Auditors under Companies Act 2013?
Ans: Section 139
Q4. Input Tax Credit under GST is not available on?
Ans: Motor vehicles (for personal use), goods/services for personal consumption
Q5. TDS on salary is deducted under which section?
Ans: Section 192 of Income Tax Act
Section B: Descriptive Questions
Explain difference between Statutory Audit and Internal Audit.
Statutory audit is mandated by law to ensure true & fair view of FS, whereas internal audit is
management-driven to check internal controls & efficiency.
What are the steps in preparing a Cash Flow Statement as per Ind AS 7?
Classify transactions into Operating, Investing, Financing activities. Adjust net profit for non-cash
items and changes in working capital. Summarize inflows/outflows.
Discuss methods of Capital Budgeting.
NPV, IRR, Payback Period, Profitability Index. NPV & IRR are discounted cash flow methods,
preferred for decision making.
Section C: Case Study
A company has reported profit in P&L; but faces severe cash shortage. As Finance Manager, how
will you analyse and report to management?
Ans: Perform cash flow analysis (operating vs investing vs financing), check for receivables
build-up, inventory holding, mismatch of credit terms, capital expenditure, debt repayments.
Recommend short-term financing & better WC management.
