Grant Thornton Bharat Statutory Audit Manager Interview Questions and Answers

Assertions are claims or statements made by management regarding the financial statements.

• Assertions are made by management about the accuracy, completeness, and validity of the financial statements.

• There are different types of assertions such as existence, completeness, valuation, rights and obligations, etc.

• Auditors use these assertions to assess the risk of material misstatement in the financial statements.

• For examp...read more

Materiality is the concept of determining the significance or importance of an item or event in relation to financial statements.

• Materiality is a threshold used to assess whether an item is significant enough to impact decision-making by users of financial statements.

• It is based on both quantitative and qualitative factors, such as the size of the item, nature of the item, and potential impact on stakeholders.

• Materiali...read more

To check cash and bank balances, I would perform bank reconciliations, verify deposits and withdrawals, and review bank statements.

• Perform bank reconciliations to ensure the balance in the company's books matches the bank statement

• Verify deposits and withdrawals by comparing them to supporting documentation such as deposit slips and checks

• Review bank statements for any discrepancies or unauthorized transactions

• Investig...read more

Revenue recognition is the process of recording revenue in the financial statements when it is earned, regardless of when the cash is received.

• Revenue is recognized when it is realized or realizable and earned.

• The amount of revenue to be recognized is based on the consideration received or expected to be received in exchange for goods or services.

• Revenue recognition principles may vary based on the industry and specifi...read more