Accenture cfm analyst Interview Questions, Process, and Tips

Revenue recognition standards dictate when revenue should be recognized, while accrual journal entries record revenue when earned and expenses when incurred.

• Revenue recognition standards determine when revenue should be recognized based on the completion of services or delivery of goods

• Accrual journal entries record revenue when earned and expenses when incurred, regardless of when cash is exchanged

• Examples of revenue ...read more

The JE for Depreciation involves debiting Depreciation Expense and crediting Accumulated Depreciation.

• Debit Depreciation Expense account to recognize the expense on the income statement.

• Credit Accumulated Depreciation account to reduce the value of the asset on the balance sheet.

• Depreciation is a non-cash expense that allocates the cost of an asset over its useful life.

• Example: JE for Depreciation - Debit Depreciation ...read more

Prepaid expenses are assets paid for in advance but have not yet been used. The journal entry involves debiting an expense account and crediting a prepaid expense account.

• Debit the prepaid expense account to increase the asset

• Credit the corresponding expense account to decrease the expense

• Example: JE for prepaid rent - Debit Prepaid Rent, Credit Rent Expense

Revenue recognition is the process of recording revenue in a company's financial statements.

• Revenue recognition determines when and how revenue is recognized in a company's financial statements.

• It is important for companies to follow proper revenue recognition guidelines to ensure accurate financial reporting.

• Revenue can be recognized at different points in time depending on the type of transaction and the terms of the...read more

Inventory refers to the goods or materials a business holds for sale or use in production.

• Inventory includes raw materials, work-in-progress, and finished goods.

• It is an important aspect of supply chain management.

• Inventory management involves balancing the costs of holding inventory with the benefits of having enough stock to meet demand.

• Examples of businesses that rely heavily on inventory management include retail s