Ernst & Young Senior Executive Interview Questions and Answers

Transfer pricing is the practice of determining the value of goods or services exchanged between related entities in different tax jurisdictions.

• Transfer pricing is used to determine the price of goods or services transferred between related entities in different countries.

• It is important for companies to ensure that transfer pricing is done at arm's length, meaning the price is similar to what would be charged between...read more

Operating leverage refers to the degree to which fixed costs are used in a company's operations.

• Operating leverage measures the impact of fixed costs on a company's profits.

• A company with high fixed costs and low variable costs has high operating leverage.

• Operating leverage can magnify profits in good times, but also magnify losses in bad times.

• Examples of fixed costs include rent, salaries, and equipment costs.

• Operati...read more

Contract manufacturing is when a company hires another company to produce their products, while toll manufacturing is when a company provides raw materials to another company to produce a product.

• Contract manufacturing involves outsourcing the production of a product to a third-party manufacturer.

• The company that hires the manufacturer retains control over the design and distribution of the product.

• Toll manufacturing i...read more

The regulatory body overseeing all banks in India is the Reserve Bank of India (RBI).

• The Reserve Bank of India (RBI) is the central banking institution of India.

• It is responsible for the regulation and supervision of the banking sector in India.

• RBI formulates and implements monetary policy, issues currency, and manages foreign exchange reserves.

• It also acts as a lender of last resort to banks and plays a crucial role i...read more

KYC AML is necessary to prevent financial crimes and ensure compliance with regulations.

• KYC (Know Your Customer) helps in identifying and verifying the identity of customers to prevent fraud and money laundering.

• AML (Anti-Money Laundering) measures are in place to detect and prevent the use of illegally obtained funds for criminal activities.

• KYC AML regulations are mandatory for financial institutions to comply with to...read more

Designing a c&b strategy involves analyzing market trends, defining objectives, creating policies, and implementing programs.

• Conduct a thorough analysis of market trends and compensation practices

• Define clear objectives and align them with the company's goals

• Create policies that are fair, competitive, and compliant with legal requirements

• Implement programs that support the company's culture and values

• Regularly review a...read more

I want to join because I believe in the company's mission and see great potential for growth and impact.

• I am impressed by the company's track record and success in the industry.

• I align with the company's values and culture.

• I see opportunities for personal and professional growth in this role.

• I believe my skills and experience can contribute significantly to the company's success.

• I am excited about the challenges and op...read more

I have a deep understanding of the company's culture and values.

• I have been with the company for several years and have witnessed the culture firsthand.

• I actively participate in company events and initiatives that promote the culture.

• I have built strong relationships with colleagues across different departments, allowing me to understand the cultural dynamics.

• I consistently align my actions and decisions with the compa...read more