20+ Yazaki Interview Questions and Answers

Accruals are expenses incurred but not yet paid. Journal entries are made to record them. Debtors receivable are amounts owed to the company.

• Accruals are expenses that have been incurred but not yet paid.

• Journal entries are made to record accruals.

• Debtors receivable are amounts owed to the company by customers.

• Accruals and debtors receivable are both recorded on the balance sheet.

• Examples of accruals include salaries, rent, and utilities.

• Examples of debtors receivable include...read more

Journal entry for salary expense with 10% TDS

• Debit Salary Expense account for the gross salary amount

• Credit TDS Payable account for the TDS amount

• Credit Cash/Bank account for the net salary amount

• Example: Debit Salary Expense account for $10,000, Credit TDS Payable account for $1,000, Credit Cash/Bank account for $9,000

• Ensure to record the entry at the end of the month or the payment period

Goodwill is an intangible asset that represents the excess of the purchase price of a company over the fair market value of its net assets.

• Goodwill is recorded on the balance sheet when a company acquires another company for a price higher than the fair market value of its net assets.

• It represents the reputation, brand value, customer relationships, and other intangible assets of the acquired company.

• Goodwill is not amortized but is subject to impairment testing annually.

• If t...read more

Cash flow statement is a financial statement that shows the inflow and outflow of cash in a business over a period of time.

• It shows the sources of cash inflow and the uses of cash outflow.

• It helps in analyzing the liquidity and solvency of a business.

• It consists of three sections: operating activities, investing activities, and financing activities.

• Example: If a company sells its equipment, the cash received from the sale will be shown as a cash inflow in the investing activi...read more

Accruals and deferrals are accounting adjustments made to ensure that revenues and expenses are recognized in the correct accounting period.

• Accruals are revenues or expenses that have been earned or incurred but have not yet been recorded in the accounting system.

• Deferrals are revenues or expenses that have been recorded in the accounting system but have not yet been earned or incurred.

• Examples of accruals include accounts receivable and accrued expenses, while examples of de...read more

Accruals are revenues earned but not yet received, while deferrals are payments received but not yet earned.

• Accruals are recorded as accounts receivable on the balance sheet.

• Deferrals are recorded as accounts payable on the balance sheet.

• Examples of accruals include interest income and sales revenue.

• Examples of deferrals include prepaid rent and unearned revenue.

• Accruals and deferrals are important for accurate financial reporting and matching revenues with expenses.

Budgeting sets revenue goals, while forecasting predicts actual revenue in future periods.

• Budgeting involves setting financial goals for revenue to be achieved

• Forecasting involves predicting the actual amount of revenue that will be achieved in future periods

• Budgeting is more about planning and setting targets, while forecasting is about predicting outcomes

• Budgeting helps in allocating resources effectively, while forecasting helps in making informed decisions

• Examples: Budget...read more

Assets are recognized in the balance sheet to reflect the company's resources and their value, while depreciation is recorded to allocate the cost of assets over their useful life.

• Assets are recognized in the balance sheet to show the company's resources and their value.

• Depreciation is recorded to allocate the cost of assets over their useful life.

• Recognizing assets and depreciating them helps in accurately reflecting the company's financial position and performance.

• Depreciat...read more

Managing all works requires prioritization, delegation, and effective communication.

• Create a to-do list and prioritize tasks based on urgency and importance

• Delegate tasks to team members based on their strengths and workload

• Communicate clearly and regularly with team members to ensure everyone is on the same page

• Use project management tools to track progress and deadlines

• Be flexible and adaptable to changes in priorities or unexpected challenges

A pivot table is a data summarization tool used in spreadsheet programs to organize and analyze large amounts of data.

• Pivot tables allow users to extract insights from complex data sets by summarizing and aggregating data.

• They provide a way to group, sort, filter, and calculate data based on different criteria.

• Pivot tables are commonly used in financial analysis to analyze financial statements, sales data, and other financial metrics.

• They can be used to create reports, identi...read more

Indirect tax refers to taxes imposed on goods and services rather than on individuals or businesses directly.

• Indirect tax is levied on the production, sale, or consumption of goods and services.

• It is typically included in the price of the product or service and passed on to the consumer.

• Examples of indirect taxes include value-added tax (VAT), sales tax, excise tax, customs duties, etc.

• Indirect taxes can vary by country and are often used to generate revenue for the governmen...read more

The number of assets on the liability side depends on the specific financial statement being analyzed.

• The number of assets on the liability side will vary based on the type of financial statement (e.g. balance sheet, income statement, cash flow statement).

• In a balance sheet, assets are typically listed on the left side and liabilities on the right side.

• Assets on the liability side may include items like accounts receivable, inventory, and property.

• The total number of assets o...read more

Bad debt provision is an estimated amount set aside by a company to cover potential losses from customers who may not pay their debts.

• Bad debt provision is a contra asset account on the balance sheet.

• It represents the amount of accounts receivable that the company does not expect to collect.

• The entry for bad debt provision involves debiting the bad debt expense account and crediting the allowance for doubtful accounts.

• For example, if a company estimates that 5% of its account...read more

Amortization is the process of spreading out the cost of an intangible asset over its useful life.

• Amortization is a method used to allocate the cost of intangible assets over time.

• It is similar to depreciation for tangible assets, but applies to intangible assets like patents, copyrights, and trademarks.

• The entry for amortization involves debiting the amortization expense account and crediting the accumulated amortization account.

• For example, if a company has a patent with a ...read more

ERP stands for Enterprise Resource Planning, a software system that integrates various business functions to streamline processes and improve efficiency.

• ERP systems help organizations manage and automate processes such as accounting, human resources, inventory management, and customer relationship management.

• They provide a centralized database that allows different departments to access and share information in real-time.

• Examples of popular ERP systems include SAP, Oracle, an...read more

Accrual concept is a fundamental accounting principle where revenues and expenses are recognized when they are incurred, regardless of when cash is exchanged.

• Revenue is recognized when it is earned, not necessarily when cash is received.

• Expenses are recognized when they are incurred, not necessarily when they are paid.

• Accrual accounting provides a more accurate representation of a company's financial position and performance.

• Example: A company records revenue when it delivers...read more

Variance analysis compares actual financial results with planned or expected results.

• Variance analysis helps identify and explain differences between actual and expected financial performance.

• It is performed on both the income statement (P&L) and balance sheet.

• Variance analysis on the P&L focuses on revenue, expenses, and profitability.

• Variance analysis on the balance sheet focuses on assets, liabilities, and equity.

• Examples of variances include sales revenue being higher or ...read more

To reduce costs, we can analyze expenses, negotiate with vendors, streamline processes, and implement cost-saving measures.

• Analyze current expenses to identify areas of overspending

• Negotiate with vendors for better pricing or discounts

• Streamline processes to eliminate inefficiencies and reduce waste

• Implement cost-saving measures such as switching to cheaper alternatives or reducing overhead costs

Cashflow statement shows the inflow and outflow of cash in a business over a specific period of time.

• It provides insights into a company's liquidity, solvency, and overall financial health.

• Consists of three main sections: operating activities, investing activities, and financing activities.

• Operating activities include cash received from sales, investing activities include cash spent on assets, and financing activities include cash from borrowing or issuing stock.

• Helps investo...read more

Budget is a planned financial goal for a specific period, while forecast is a prediction of future financial performance based on current data.

• Budget is a static financial plan for a specific period, usually set at the beginning of the fiscal year.

• Forecast is a dynamic prediction of future financial performance, often updated regularly based on actual performance and market conditions.

• Budget is typically more rigid and focused on achieving specific financial goals, while fore...read more

Golden rules of accounts are basic principles that guide the recording of financial transactions.

• There are three golden rules of accounts: Debit what comes in, Credit what goes out, and Debit the receiver, Credit the giver.

• Debit refers to the left side of an account, while Credit refers to the right side.

• These rules ensure that the accounting equation (Assets = Liabilities + Equity) remains balanced.

• For example, when cash is received, it is debited because it comes into the b...read more

Budgeting and forecasting are financial planning tools used to estimate future revenues and expenses.

• Budgeting involves creating a detailed plan for future income and expenses based on historical data and current trends

• Forecasting involves predicting future financial outcomes based on past data and market analysis

• Budgeting helps in setting financial goals and allocating resources effectively

• Forecasting helps in making informed decisions and identifying potential risks and opp...read more

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

• Revenue is recognized when it is realized or realizable and earned, regardless of when cash is received.

• It is important to match revenues with expenses in the period they are incurred to accurately reflect the financial performance of a company.

• Different industries may have specific guidelines for revenue recognition, such as the percentage-of-completion method for co...read more

Accrual concept recognizes revenues and expenses when they are earned or incurred, regardless of when cash is received or paid.

• Accrual concept is based on the matching principle, which ensures that revenues and expenses are recorded in the same accounting period.

• Under accrual accounting, revenue is recognized when it is earned, even if the cash is received at a later date.

• Expenses are recognized when they are incurred, regardless of when the cash is paid.

• Accrual concept provi...read more

Journal entry of prepaid expenses involves debiting Prepaid Expenses account and crediting Cash or Bank account.

• Prepaid expenses are expenses paid in advance but not yet incurred.

• Journal entry for prepaid expenses involves debiting Prepaid Expenses account and crediting Cash or Bank account.

• Example: If a company pays $1,200 for insurance coverage for the next 12 months, the journal entry would be: Debit Prepaid Insurance $1,200 and Credit Cash $1,200.

Yes, I am flexible for night shifts as required for the role of Financial Analyst.

• I am willing to work night shifts to accommodate the needs of the job.

• I understand the importance of being available during non-traditional hours in the finance industry.

• I have previous experience working night shifts and can adapt to different schedules.

• I am committed to meeting deadlines and delivering high-quality work regardless of the shift timing.

Budgeting is the process of creating a plan to manage income and expenses over a specific period of time.

• Involves estimating income and expenses

• Setting financial goals

• Monitoring actual performance against the budget

• Adjusting the budget as needed

• Common types include operating budgets, capital budgets, and cash budgets