SPR & CO Interview Questions, Process, and Tips

Balance sheet is a financial statement that shows a company's assets, liabilities, and shareholders' equity at a specific point in time.

• It provides a snapshot of a company's financial position.

• Assets are what the company owns, liabilities are what it owes, and shareholders' equity is the difference between the two.

• The balance sheet follows the accounting equation: Assets = Liabilities + Shareholders' Equity.

• It helps in...read more

A journal entry is a record of a financial transaction in a company's accounting system.

• Journal entries are used to record debits and credits for each transaction.

• They help in maintaining accurate financial records and tracking the flow of money within a company.

• Each journal entry includes a date, description, accounts affected, and amounts debited and credited.

• For example, a journal entry for a sale transaction would ...read more

Petty cash is a small amount of cash kept on hand by a company for minor expenses.

• Petty cash is used for small, everyday expenses that are impractical to pay for with a check or credit card.

• It is typically kept in a secure location and managed by a designated employee.

• Replenishment of petty cash is done by submitting receipts for the expenses incurred.

• Common uses of petty cash include office supplies, postage, and mino...read more

Contra entry is a transaction that involves both a debit and a credit entry to the same account, resulting in a net zero effect on the account balance.

• Contra entries are typically used to correct errors, transfer funds between accounts, or record non-cash transactions.

• Examples of contra entries include bank transfers, cash withdrawals for personal use, and corrections of accounting mistakes.

• Contra entries are usually m...read more

Bank reconciliation statement is a document that compares the bank's records with the company's records to ensure they match.

• It is used to identify any discrepancies between the two sets of records.

• It helps in ensuring the accuracy of the financial transactions recorded by the company.

• Common items on a bank reconciliation statement include outstanding checks, deposits in transit, bank errors, and service charges.

• The go...read more

BRS is used to document the agreed upon requirements between the client and the development team.

• BRS helps in ensuring that both parties have a clear understanding of the project requirements.

• It serves as a reference point throughout the development process.

• BRS helps in minimizing misunderstandings and scope creep.

• It provides a basis for testing the final product against the initial requirements.

• Examples: Software deve

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

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

• These rules help maintain the balance in the accounting equation: Assets = Liabilities + Equity

• For example, when a company receives cash fro...read more

A creditor is a person or institution to whom money is owed.

• A creditor is someone who has provided goods or services on credit to another party

• Creditors can include individuals, businesses, or financial institutions

• Examples of creditors include suppliers, banks, and bondholders

GST stands for Goods and Services Tax, a value-added tax levied on the supply of goods and services.

• GST is a comprehensive tax system that has replaced multiple indirect taxes in India.

• It is a destination-based tax, which means that the tax is collected at the point of consumption.

• GST has three components - CGST, SGST, and IGST, which are levied by the central and state governments.

• It has simplified the tax structure a...read more

There are several types of taxes, including income tax, sales tax, property tax, and corporate tax.

• Income tax is a tax on an individual's earnings or income.

• Sales tax is a tax on the sale of goods and services.

• Property tax is a tax on the value of real estate or personal property.

• Corporate tax is a tax on the profits of corporations.

• Other types of taxes include excise tax, estate tax, and payroll tax.