Dee Vee Projects Interview Questions and Answers

Assets are resources owned by a company while liabilities are obligations or debts owed by a company.

• Assets include cash, accounts receivable, inventory, property, and equipment.

• Liabilities include accounts payable, loans, and accrued expenses.

• Assets are listed on the left side of the balance sheet while liabilities are listed on the right side.

• The difference between assets and liabilities is known as equity or net worth.

GST return filing is important for compliance and claiming input tax credit.

• It ensures compliance with GST laws and regulations.

• It allows businesses to claim input tax credit on purchases.

• Late filing can result in penalties and interest charges.

• It provides transparency in the tax system and helps prevent tax evasion.

• Examples of GST returns include GSTR-1, GSTR-3B, and GSTR-9.

Trial balance is used to ensure that the total debits equal the total credits in the accounting records.

• Helps in detecting errors in the accounting records

• Ensures accuracy of financial statements

• Assists in preparing financial statements

• Used to identify adjusting entries

• Provides a summary of all ledger accounts

• Example: If the trial balance shows a difference, it indicates that there is an error in the accounting records that needs to be corrected.

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

• Debit the receiver, credit the giver

• Debit what comes in, credit what goes out

• Debit all expenses and losses, credit all incomes and gains

Depreciation 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 based on the useful life of the asset and the method of depreciation chosen.

• Examples of assets that can be depreciated include buildings, vehicles, machinery, and equipment.

• Depreciation can be straight-line, accelerated, or units of production method.

• Depreciat...read more

Account payable is the amount of money a company owes to its suppliers or vendors for goods or services received but not yet paid for.

• It is a liability on the company's balance sheet

• It represents the amount owed to suppliers or vendors

• It is recorded as a credit in the company's books

• Examples include unpaid invoices for raw materials, utilities, or rent

• It is important to manage and pay accounts payable on time to maintain good relationships with suppliers

A blanket order is a purchase order that covers multiple deliveries over a period of time, usually for a fixed amount.

• It is a type of purchase order.

• It covers multiple deliveries over a period of time.

• It is usually for a fixed amount.

• It is commonly used for recurring orders of the same item.

• It simplifies the ordering process and reduces administrative costs.

• Example: A company may place a blanket order for office supplies for the entire year.

• Example: A restaurant may place a b...read more

Golden rules are basic principles of accounting that guide the recording of financial transactions.

• There are three golden rules: Debit the receiver, Credit the giver; Debit what comes in, Credit what goes out; Debit expenses and losses, Credit income and gains.

• These rules ensure that every transaction is recorded accurately and consistently.

• For example, if a company receives cash from a customer, the cash account is debited (increased) and the accounts receivable account is c...read more