1. What is the difference between grant and subsidy? 2. Which AS/Ind AS covers the income recognition of a trust? 3. What would be accounting treatment of grant/donation as per applicable AS 4. How you would to the budgeting of our output? 5. What would be the process of variance analysis ? What could be the possible drivers? 6. What could be the possible areas of revenue leakage for a NGO?

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Interview questions for Manager/Senior Manager position in NGO

Grant is a sum of money given by the government or an organization for a specific purpose, while subsidy is a financial assistance given by the government to support a particular industry or business.
AS 12 covers the income recognition of a trust.
Grants/donations are recognized as income in the profit and loss account as per AS 12. If the grant is for a specific purpose, it is recognized as deferred income and released to the profit and loss account over the period of the related expenses.
Budgeting of output involves identifying the resources required to achieve the desired output and allocating them accordingly. It involves setting targets, forecasting revenue and expenses, and monitoring performance.
Variance analysis involves comparing actual results with budgeted results to identify the reasons for the difference. Possible drivers of variance could be changes in volume, price, or cost.
Possible areas of revenue leakage for an NGO could be mismanagement of funds, lack of transparency, fraud, or non-compliance with regulations.