Contacare Ophthalmic Interview Questions and Answers

Compound Annual Growth Rate (CAGR) is the rate of return that would be required for an investment to grow from its beginning balance to its ending balance.

• CAGR is a measure of the average annual growth rate of an investment over a specified period of time

• It takes into account the effect of compounding on investment returns

• CAGR is often used to compare the performance of different investments

• For example, if an investment grows from $100 to $150 over a period of 5 years, the CA...read more

Audit engagement refers to the process of an auditor being hired to conduct an audit for a specific client or organization.

• Audit engagement involves the auditor and client agreeing on the scope and objectives of the audit.

• It includes planning, executing, and reporting on the audit findings.

• Types of audits include financial audits, operational audits, compliance audits, and forensic audits.

• Examples of audit engagements include auditing a company's financial statements for accu...read more

Depreciation is the decrease in value of an asset over time due to wear and tear, while amortization is the process of spreading out the cost of an intangible asset over its useful life.

• Depreciation applies to tangible assets like buildings, machinery, and vehicles.

• Amortization applies to intangible assets like patents, copyrights, and trademarks.

• Both are non-cash expenses that reduce the value of an asset on the balance sheet.

• Depreciation and amortization are used to calcula...read more

The golden rule is a moral principle that states one should treat others as they would like to be treated.

• Also known as the ethic of reciprocity

• Found in many religions and cultures

• Encourages empathy and compassion

• Example: If you don't want to be lied to, don't lie to others

• Example: If you want to be respected, show respect to others

Depreciation of asset is the decrease in value of an asset over time due to wear and tear, obsolescence or other factors.

• Depreciation is a non-cash expense that reduces the value of an asset on the balance sheet.

• It is calculated by dividing the cost of the asset by its useful life.

• There are different methods of calculating depreciation such as straight-line, declining balance, and sum-of-the-years-digits.

• Examples of assets that can be depreciated include buildings, vehicles, ...read more

Depreciation on intangible assets is not allowed under generally accepted accounting principles (GAAP).

• Intangible assets such as patents, copyrights, and trademarks are not subject to depreciation.

• Instead, they are typically amortized over their useful lives.

• Amortization is the systematic allocation of the cost of an intangible asset over its estimated useful life.

• The amortization expense is recorded as an operating expense on the income statement.

• For example, a company that ...read more

Steps required to do audit include planning, conducting fieldwork, analyzing data, and reporting findings.

• Plan the audit by defining objectives, scope, and methodology.

• Conduct fieldwork by gathering evidence and testing controls.

• Analyze data to identify trends, anomalies, and areas of concern.

• Report findings to management with recommendations for improvement.

• Follow up on implementation of recommendations to ensure corrective actions are taken.