20+ Infosys BPM Accountant Interview Questions and Answers

The journal made when a purchase requisition is created is the Purchase Requisition Journal.

• The Purchase Requisition Journal is used to record the details of purchase requisitions.

• It includes information such as the date, description, quantity, and cost of the requested items.

• The journal entry debits the appropriate expense or asset account and credits the accounts payable or inventory account.

• The Purchase Requisition Journal helps in tracking and controlling the purchasing p...read more

Answering questions related to T codes, credit notes, PO and invoice mismatch, and process improvement for Accountant role.

• T codes for PRPO routed invoices: XXXX

• T code for manually processing invoice: XXXX

• T code for credit note: XXXX

• Credit note is issued for various reasons such as return of goods, overpayment, etc.

• PO and invoice mismatch can occur due to incorrect pricing, quantity, or item description.

• Process improvement can be achieved by implementing automation, streamlin...read more

Purchase order comes first before GRN.

• A purchase order is a document issued by a buyer to a seller, indicating the types, quantities, and agreed prices for products or services.

• A goods receipt note (GRN) is a document used to record the receipt of goods from a supplier.

• A purchase order is typically created and sent to the supplier before the goods are received and a GRN is generated.

• The purchase order serves as a formal request for the supplier to deliver the specified goods ...read more

The t code to post the receipt of goods is MIGO.

• The t code MIGO is used in SAP to post the receipt of goods.

• MIGO stands for Material Document Goods Movement.

• It is used to record the receipt of goods into inventory.

• The t code allows users to enter details such as the material, quantity, and storage location.

• It also provides options to specify the vendor, purchase order, and other relevant information.

• MIGO is commonly used in procurement and inventory management processes.

Answering questions related to accounting concepts and software

• Accruals are expenses incurred but not yet paid, while prepaids are payments made in advance for future expenses

• Differed revenue is revenue received but not yet earned, while invoice is a bill for goods or services provided

• Credit note is a document issued to reduce the amount owed by a customer

• SAP T-codes are transaction codes used in SAP software to perform specific tasks

• Excel formulas are used to perform calcula...read more

There are several types of derivatives in the capital market.

• Futures contracts

• Options contracts

• Swaps

• Forwards contracts

• Index-based derivatives

• Commodity derivatives

• Currency derivatives

• Interest rate derivatives

Accrual is recognition of revenue/expenses when earned/incurred. Provision is an estimated expense/liability.

• Accrual is based on actual transactions while provision is based on estimates.

• Accrual is recognized when revenue is earned or expenses are incurred, regardless of payment.

• Provision is recognized when there is a probable expense or liability, even if the amount is not yet known.

• Examples of accrual include recognizing revenue for services provided but not yet invoiced, o...read more

Financial statements are prepared at the end of the month (EOM) to reflect the financial position and performance of the company.

• Financial statements include the balance sheet, income statement, and cash flow statement.

• The statements are prepared using the accrual basis of accounting.

• Adjusting entries are made to ensure that revenues and expenses are recognized in the correct period.

• The statements are reviewed for accuracy and completeness before being distributed to stakehol...read more

Unbilled revenue is revenue that has been earned but not yet invoiced to the customer.

• Unbilled revenue represents work that has been completed but not yet billed to the customer.

• It is typically recorded as a liability on the balance sheet until an invoice is generated.

• Common examples include services performed, products delivered, or projects completed but not yet invoiced.

• Monitoring unbilled revenue is important for cash flow management and financial reporting.

Yes, I have SAP experience.

• I have worked with SAP for 2 years in my previous job.

• I am proficient in using SAP for financial reporting and analysis.

• I have also received training in SAP during my accounting degree program.

Discount received is the reduction in the price of goods or services offered by a seller to a buyer as an incentive for early payment or bulk purchase.

• Discount received is a contra revenue account and is shown on the income statement as a deduction from sales revenue.

• It is recorded as a credit in the books of the buyer and a debit in the books of the seller.

• For example, if a buyer purchases goods worth $1,000 and receives a discount of $100 for early payment, the discount rec...read more

There are two types of Reconciliation - Bank Reconciliation and Account Reconciliation.

• Bank Reconciliation is the process of matching the bank statement with the company's records.

• Account Reconciliation is the process of matching the general ledger account with the subsidiary ledger account.

• Bank Reconciliation helps to identify any discrepancies in the bank statement and the company's records.

• Account Reconciliation helps to ensure that the general ledger account and the subsi...read more

Retained earnings account is a cumulative balance of net income that has been retained in the business rather than distributed to shareholders.

• Represents the portion of net income that a company keeps rather than distributing to shareholders as dividends

• Can be used for reinvesting in the business, paying off debt, or other purposes

• Increases when the company generates profits and decreases when dividends are paid out

• Shown on the balance sheet under the equity section

The T code for goods receipt is MIGO.

• MIGO is used to post goods receipts for purchase orders, production orders, and inbound deliveries.

• It allows for the creation of material documents and updates inventory and accounting records.

• MIGO can also be used to reverse goods receipts and cancel material documents.

A Purchase Order is a document issued by a buyer to a seller, outlining the items and quantities of products or services to be purchased.

• A Purchase Order is a legally binding document that confirms the details of a transaction between a buyer and a seller.

• It typically includes information such as item descriptions, quantities, prices, terms, and delivery dates.

• Purchase Orders are used to track and authorize purchases within a business, ensuring that the correct items are rece...read more

Prepaid revenue is income received in advance for goods or services that have not yet been provided.

• Prepaid revenue is recorded as a liability on the balance sheet until the goods or services are delivered.

• It represents an obligation to provide the goods or services in the future.

• Once the goods or services are provided, the prepaid revenue is recognized as revenue on the income statement.

• Examples include magazine subscriptions, annual maintenance contracts, and gift cards.

Deferred revenue is income received by a company in advance of earning it, resulting in a liability on the balance sheet.

• Deferred revenue is also known as unearned revenue.

• It is common in industries like software, subscription services, and long-term contracts.

• The revenue is recognized on the income statement as it is earned over time.

• Examples include prepaid subscriptions, advance payments for services, and gift cards.

Fund accounting is a method of accounting used by non-profit organizations to track and manage their financial resources.

• It involves tracking and reporting on funds separately, rather than as a whole

• It is used by non-profit organizations, government agencies, and other entities that receive and distribute funds

• It ensures that funds are used for their intended purpose and that financial reports are accurate and transparent

• Examples include tracking donations to a specific progr...read more

The process of selling an asset with profit involves determining the cost basis, calculating the selling price, and recognizing the gain.

• Determine the cost basis of the asset, including any acquisition costs or improvements.

• Calculate the selling price of the asset, taking into account any selling expenses.

• Subtract the cost basis from the selling price to determine the gain on the sale.

• Recognize the gain on the income statement and update the asset's book value on the balance ...read more

Accounts Payable is money owed by a company to its suppliers while Accounts Receivable is money owed to a company by its customers.

• Accounts Payable is the amount of money a company owes to its suppliers or vendors for goods or services purchased on credit.

• Accounts Receivable is the amount of money owed to a company by its customers for goods or services provided on credit.

• Accounts Payable is a liability on the company's balance sheet, while Accounts Receivable is an asset.

• Acc...read more

To book entry for credit note, debit accounts receivable and credit sales return account.

• Debit accounts receivable to reduce the amount owed by the customer

• Credit sales return account to record the return of goods or services

• Ensure the amounts are accurately recorded and posted in the accounting system

Prepaid expense is an advance payment made for goods or services that will be received in the future.

• Prepaid expenses are recorded as assets on the balance sheet

• They are gradually expensed over time as the goods or services are received

• Examples include prepaid rent, insurance premiums, and subscriptions

• Prepaid expenses are commonly used in industries such as real estate and insurance

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

• Enter the formula =VLOOKUP(lookup_value, table_array, col_index_num, [range_lookup]) in a cell

• lookup_value is the value to search for in the first column of the table

• table_array is the range of cells that contains the data

• col_index_num is the column number in the table from which to retrieve the data

• range_lookup is optional and can be TRUE for an approximate match or FALSE fo...read more

Accounts receivable are amounts owed to a company by customers for goods or services provided on credit.

• Accounts receivable represent the money that a company is owed by its customers.

• They are considered an asset on the company's balance sheet.

• Companies often offer credit terms to customers, allowing them to pay for goods or services at a later date.

• Examples include invoices sent to customers for products or services provided.

• Monitoring accounts receivable is important for ca...read more

My expected CTC is based on my experience, qualifications, and the industry standards.

• My expected CTC is in line with the average salary for an Accountant in this industry.

• I have taken into consideration my years of experience and relevant qualifications when determining my expected CTC.

• I am open to negotiation based on the overall compensation package offered by the company.

On Account refers to a transaction where payment is made at a later date.

• On Account transactions are recorded as accounts receivable on the balance sheet.

• It represents a promise to pay for goods or services received.

• Common in business-to-business transactions where credit terms are offered.

• Example: A customer purchases goods on account and agrees to pay within 30 days.

I have used Tally ERP 9 software for accounting purposes.

• Tally ERP 9 is a popular accounting software used by many businesses.

• It helps in managing financial transactions, inventory, payroll, and more.

• The software provides features like invoicing, bank reconciliation, and financial statements.

• Tally ERP 9 is known for its user-friendly interface and customizable options.