10+ Penta Global Engineering Interview Questions and Answers

Accrued income and expenses are recognized but not yet received or paid, while deferred assets and liabilities are recognized but not yet earned or incurred.

• Accrued income and expenses are recognized in the financial statements but not yet received or paid.

• Deferred assets and liabilities are recognized in the financial statements but not yet earned or incurred.

• Journal entries for accrued income and expenses involve debiting the relevant expense or income account and crediting...read more

Collateral management involves the process of monitoring and controlling assets provided as security for a loan or financial transaction.

• It is a risk management practice used by financial institutions to mitigate credit risk.

• Collateral can include various types of assets such as cash, securities, real estate, or inventory.

• The purpose of collateral management is to ensure the value and quality of the collateral, as well as its proper documentation and legal compliance.

• It invol...read more

Accounts refer to financial records that track the flow of money in and out of a business or individual's finances.

• Accounts are used to keep track of financial transactions such as income, expenses, assets, and liabilities.

• There are different types of accounts such as checking, savings, credit, and investment accounts.

• Accounts are typically organized in a chart of accounts which categorizes them by type and purpose.

• Examples of accounts include accounts payable, accounts recei...read more

The golden rules of accounts are basic principles that guide the recording of financial transactions.

• The golden rules include the principles of debit and credit.

• Debit the receiver, credit the giver.

• Debit what comes in, credit what goes out.

• Debit expenses and losses, credit income and gains.

• Debit assets and expenses, credit liabilities, equity, and income.

• Examples: Debiting cash when receiving payment, crediting accounts payable when making a payment.

Yes, I know pivot table.

• Pivot table is a data summarization tool used in spreadsheet programs.

• It allows users to quickly summarize and analyze large amounts of data.

• Pivot tables can be used to create reports, charts, and graphs.

• For example, a pivot table can be used to analyze sales data by product, region, or time period.

P2P cycle refers to the Procure-to-Pay cycle, which is the process of purchasing goods or services and paying for them.

• The cycle starts with identifying the need for a product or service.

• Then, a purchase order is created and sent to the supplier.

• The supplier delivers the product or service and sends an invoice.

• The invoice is matched with the purchase order and goods receipt.

• Finally, payment is made to the supplier.

• The P2P cycle involves various departments such as procurement...read more

VLOOKUP is a function in Excel used to search for a specific value in a table and return a corresponding value.

• VLOOKUP stands for 'Vertical Lookup'.

• It is commonly used in financial analysis to retrieve data from large tables.

• The function requires four arguments: lookup value, table array, column index number, and range lookup.

• Example: =VLOOKUP(A2, B2:C10, 2, FALSE) will search for the value in cell A2 in the table range B2:C10 and return the value in the second column.

• It is i...read more

Accounting principles are the guidelines and rules that companies must follow when preparing financial statements.

• Accounting principles ensure consistency and accuracy in financial reporting

• Examples include the principle of conservatism, matching principle, and materiality principle

• These principles help investors and stakeholders make informed decisions based on financial information

Contingent liability is a potential liability that may occur in the future depending on the outcome of a specific event.

• Contingent liabilities are not recorded on the balance sheet but disclosed in the footnotes.

• They are dependent on a future event or circumstance, such as a lawsuit or warranty claim.

• If the event occurs, the company will have to pay the liability.

• Examples include pending lawsuits, product warranties, and guarantees on loans.

• They can have a significant impact ...read more

Contingent liabilities are potential liabilities that may arise in the future depending on the outcome of certain events.

• Contingent liabilities are not recorded on the balance sheet but disclosed in the footnotes.

• They are dependent on a future event occurring or not occurring.

• Examples include lawsuits, warranties, and guarantees.

• If the contingent liability is probable and the amount can be estimated, it should be recorded in the financial statements.

I would add value by providing accurate financial analysis and insights to support informed decision-making.

• Conducting thorough financial analysis to identify trends, risks, and opportunities

• Developing financial models and forecasts to support strategic planning

• Providing recommendations based on analysis to optimize financial performance

• Assisting in budgeting and cost control initiatives

• Monitoring key financial metrics and reporting on variances

• Collaborating with cross-functi...read more

Provision is an amount set aside in financial statements to cover anticipated future expenses or losses.

• Provision is a liability that is recognized on the balance sheet.

• It is used to account for potential future expenses or losses that are uncertain but likely to occur.

• Examples of provisions include bad debt provisions, warranty provisions, and restructuring provisions.

Financial statements are documents that provide an overview of a company's financial performance.

• Income Statement: Shows a company's revenues, expenses, and profits over a specific period of time.

• Balance Sheet: Provides a snapshot of a company's financial position at a specific point in time, including assets, liabilities, and equity.

• Cash Flow Statement: Details the cash inflows and outflows of a company, showing how changes in balance sheet and income statement accounts affe...read more

Golden rules of accounting are basic principles to maintain accurate financial records.

• The accounting equation must always balance: Assets = Liabilities + Equity

• Every transaction should be recorded in the books of accounts

• Separate personal and business finances

• Consistency in accounting methods and practices

• Accrual basis of accounting for revenue recognition and matching expenses