Castleton Outsource Interview Questions and Answers

Prepaid account is an account where payment is made in advance for goods or services to be received in the future.

• Prepaid accounts are commonly used for phone plans, gym memberships, and gift cards.

• The amount paid in advance is recorded as a liability on the balance sheet until the goods or services are provided.

• Once the goods or services are provided, the liability is reduced and the expense is recognized on the incom...read more

Golden rules of accounting are basic principles to be followed while recording financial transactions.

• Personal accounts: Debit the receiver, credit the giver

• Real accounts: Debit what comes in, credit what goes out

• Nominal accounts: Debit all expenses and losses, credit all incomes and gains