Trane Technologies Finance Manager Interview Questions, Process, and Tips

Budgeting involves setting financial goals and limits for a specific period, while forecasting predicts future financial outcomes based on current data and trends.

• Budgeting is a plan for how to allocate resources over a specific period, typically a year.

• Forecasting involves predicting future financial outcomes based on historical data and trends.

• Budgeting is more focused on setting financial goals and limits, while for...read more

Accrued exp refers to expenses that have been incurred but not yet paid for.

• Accrued expenses are recorded as liabilities on the balance sheet.

• They represent expenses that have been recognized but not yet paid.

• Examples include accrued salaries, interest, and taxes.

• Accrued expenses are typically adjusted at the end of an accounting period.

Post variance analysis is treated by identifying root causes, developing action plans, and monitoring progress.

• Identify the root causes of the variances to understand why they occurred

• Develop action plans to address the identified issues and improve future performance

• Monitor progress regularly to ensure that the action plans are being implemented effectively

• Communicate findings and recommendations to relevant stakehold

Bank reconciliation involves comparing the bank statement with the company's records to ensure they match.

• Gather bank statements and company records

• Compare deposits and withdrawals on both statements

• Identify and investigate any discrepancies

• Adjust the company's records to match the bank statement

• Prepare a reconciliation report