EY Global Delivery Services ( EY GDS) Internship Trainee Interview Questions and Answers

Test was about taxation, accounting and management.

Q1. Are there any differences between Tax Profit and Accounting Profit?
Ans. 
Yes
• Tax profit and accounting profit are different concepts in finance.

• Tax profit refers to the profit calculated for tax purposes, taking into account tax laws and regulations.

• Accounting profit, on the other hand, is the profit calculated based on generally accepted accounting principles (GAAP).

• Tax profit can be higher or lower than accounting profit depending on various factors such as tax deductions, credits, and all...read more
Answered by AI
View 2 more answers
Q2. Explain Accounting concepts?
Ans. 
Accounting concepts are principles and guidelines used in financial accounting to ensure accurate and consistent reporting.
• Accounting concepts include the accrual concept, consistency concept, materiality concept, and going concern concept.

• The accrual concept requires that revenue and expenses be recorded when they are earned or incurred, regardless of when payment is received or made.

• The consistency concept requires t...read more
Answered by AI
Add your answer

Q1. Questions about Personal and Family background
Add your answer

Q1. HR asked about your profile.
Add your answer

Q1. Written test include some technical ,mail writing
Add your answer

Q1. Virtual interview of technical questions included accountancy, taxation,audit
Add your answer

Can find the aptitude test model in internet

Q1. Basics of accounting
Add your answer
Q2. Finance and auditing basics
Add your answer

Q1. A/r, A/p, GST, Depreciation, Journal entries for the same
Add your answer
Q2. A/r and A/p difference
Ans. 
A/r and A/p difference
• A/r stands for Accounts Receivable, which represents the money owed to a company by its customers for goods or services provided.

• A/p stands for Accounts Payable, which represents the money a company owes to its suppliers or vendors for goods or services received.

• The main difference between A/r and A/p is the direction of the cash flow: A/r represents money coming into the company, while A/p repres...read more
Answered by AI
Add your answer
Q3. GST and Journal entry
Add your answer
Q4. Depreciation and Accumulated Depreciation
Add your answer

Q1. Salary Expectation
Add your answer

Q1. Difference b/w Capital exp and revenue exp
Ans. 
Capital expenses are for long-term assets while revenue expenses are for day-to-day operations.
• Capital expenses are for acquiring or improving long-term assets like buildings or equipment.

• Revenue expenses are for day-to-day operations like salaries, rent, and utilities.

• Capital expenses are usually depreciated over time while revenue expenses are fully expensed in the period incurred.
Answered by AI
Add your answer
Q2. What is bank reconciliation
Ans. 
Bank reconciliation is the process of comparing a company's records to its bank statement to ensure they match.
• Bank reconciliation helps identify discrepancies between the company's records and the bank statement.

• It involves comparing transactions, such as deposits and withdrawals, in the company's records to those in the bank statement.

• Any differences found during the reconciliation process need to be investigated and...read more
Answered by AI
Add your answer
Q3. Gst journal entry
Add your answer
Q4. What is Deferred revenue expenditure
Ans. 
Deferred revenue expenditure refers to expenses that are incurred in one accounting period but are recognized as assets and expensed over a period of time.
• Deferred revenue expenditure is recorded as an asset on the balance sheet and gradually expensed over the period of benefit.

• Examples include expenses incurred for setting up a new business, advertising costs, and research and development expenses.

• It helps in matching...read more
Answered by AI
Add your answer
Q5. Is accounting profit and tax profit are same if not what is the key difference
Ans. 
Accounting profit and tax profit are not the same. The key difference lies in the treatment of certain expenses and income.
• Accounting profit is based on the principles of accounting and includes all revenues and expenses recorded in financial statements.

• Tax profit is used for calculating taxes owed to the government and may have adjustments for tax purposes, such as depreciation and interest expenses.

• Key differences in...read more
Answered by AI
Add your answer
Q6. What is deemed dividend and what is block of assets
Ans. 
Deemed dividend is a distribution of profits by a company that is not actually paid out, while block of assets refers to a group of assets treated as a single unit for tax purposes.
• Deemed dividend is a distribution of profits by a company to its shareholders, even if no actual dividend is declared or paid out.

• Block of assets refers to a group of assets that are treated as a single unit for the purpose of calculating de...read more
Answered by AI
Add your answer
Q7. Name 5 deduction
Ans. 
Five common deductions include medical expenses, charitable donations, mortgage interest, student loan interest, and state and local taxes.
• Medical expenses: Costs related to healthcare, such as doctor visits, prescriptions, and medical equipment.

• Charitable donations: Contributions to qualified organizations, such as churches or non-profits.

• Mortgage interest: Interest paid on a mortgage for a primary or secondary reside...read more
Answered by AI
Add your answer
Q8. How would you do a tax reconciliation
Ans. 
Tax reconciliation involves comparing financial records with tax returns to ensure accuracy.
• Gather all financial records and tax returns for the period in question

• Identify any discrepancies between the two sets of records

• Adjust the financial records to match the tax returns, or vice versa

• Document any changes made during the reconciliation process

• Ensure all adjustments are properly accounted for in the final reconciliat
Answered by AI
Add your answer
Q9. What is LTCA and STCA
Ans. 
LTCA stands for Long-Term Capital Asset and STCA stands for Short-Term Capital Asset.
• LTCA refers to assets held for more than 36 months, while STCA refers to assets held for 36 months or less.

• Gains from LTCA are taxed at a lower rate compared to gains from STCA.

• Examples of LTCA include real estate, stocks held for more than 3 years, while examples of STCA include stocks held for less than 3 years.
Answered by AI
Add your answer
Q10. How would you do a scrutiny and what if there is any difference
Add your answer
Q11. Questions about my resume certification, family and work experience
Add your answer
Q12. Name the disallowed expenses in a tax return
Ans. 
Disallowed expenses in a tax return
• Personal expenses

• Gifts and donations

• Political contributions

• Illegal activities

• Fines and penalties

• Life insurance premiums

• Health club dues

• Hobby expenses
Answered by AI
Add your answer

Q1. Assertions audit, ind as 115
Add your answer
Q2. Self description , previous org
Add your answer