RSM India Senior Associate Interview Questions and Answers

IFRS 15 is a revenue recognition standard that outlines principles for recognizing revenue from contracts with customers.

• IFRS 15 provides a single, comprehensive revenue recognition model for all contracts with customers.

• It requires entities to identify performance obligations in a contract and allocate the transaction price to each obligation based on their standalone selling prices.

• Revenue is recognized when control ...read more

Testing debtors more than 3 years involves thorough analysis of financial records and communication with debtors.

• Review financial statements for outstanding debts older than 3 years

• Contact debtors directly to inquire about the status of the debt and attempt to collect payment

• Consider legal action if necessary to recover the debt

• Evaluate the likelihood of collecting the debt and adjust financial records accordingly

Risk of material misstatement procedure is a process to identify and assess the risk of errors or fraud in financial statements.

• The procedure involves understanding the entity and its environment, including internal controls.

• It also includes assessing the risks of material misstatement due to fraud or error.

• The auditor then designs and performs audit procedures to address the identified risks.

• Examples of procedures inc...read more

Amendments on Caro refer to changes made to the Companies (Auditor's Report) Order, which outlines the format and content of auditor's reports for companies.

• Amendments on Caro are made by the Ministry of Corporate Affairs to ensure compliance with changing regulations and standards.

• These amendments may include updates to reporting requirements, disclosure of key audit matters, or changes in the format of the auditor's ...read more