Accounts Payable Interview Questions and Answers

An invoice is a document requesting payment for goods or services, a PO is a purchase order, BRS is bank reconciliation statement, trial balance is a summary of all accounts, P&L account is a financial statement showing revenue and expenses, cash flow statement shows cash inflows and outflows, subsidiary books are records of specific transactions, debit note is a document for recording an increase in liability, credit note is a document for recording a decrease in liability, ...read more

My short-term goal is to become proficient in the accounts payable processes and systems. My long-term goal is to advance my career in the field and take on more responsibilities.

• Short-term goal: Become proficient in accounts payable processes and systems

• Short-term goal: Learn and adapt to the company's specific accounts payable procedures

• Long-term goal: Advance career in the field of accounts payable

• Long-term goal: Take on more responsibilities and contribute to process impr...read more

Debit note is issued by a buyer to a seller to request a credit for overpayment or return of goods. Credit note is issued by a seller to a buyer to correct an overcharge or return of goods.

• Debit note is issued by the buyer to the seller to request a credit for overpayment or return of goods.

• Credit note is issued by the seller to the buyer to correct an overcharge or return of goods.

• 3-way matching involves matching the purchase order, goods receipt, and supplier invoice to ens...read more

Depreciation is the decrease in value of an asset over time, while appreciation is the increase in value of an asset over time.

• Depreciation is a method used to allocate the cost of a tangible asset over its useful life.

• Appreciation is the increase in value of an asset due to factors such as market demand or improvements made to the asset.

• Example of depreciation: A company purchases a delivery truck for $50,000 and estimates its useful life to be 5 years. Using straight-line d...read more

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

• Accounts Payable is a liability on the balance sheet

• It represents the amount of money a company owes to its suppliers or vendors

• It is typically recorded when goods or services are received before payment is made

• Accounts Payable is an important part of the working capital management of a company

The golden rule of accounting is to debit the receiver and credit the giver.

• Debit the account that receives something

• Credit the account that gives something

• Maintains the balance sheet equation of assets = liabilities + equity

• Example: Debit cash account when receiving cash, credit accounts payable when paying a vendor

The P2P cycle, or procure-to-pay cycle, is the process of obtaining goods or services from a vendor and paying for them.

• The cycle starts with the need for goods or services, followed by requisitioning and approval.

• Next, the purchase order is created and sent to the vendor.

• Goods or services are received and inspected, then an invoice is generated by the vendor.

• The invoice is matched with the purchase order and receipt, approved for payment, and processed for payment.

• Finally, t...read more

Arcolab has facilities for Accounts Payable

• Arcolab has a dedicated Accounts Payable team

• The team ensures timely payment to vendors and suppliers

• Facilities include electronic payment options and invoice processing

• The team also manages expense reports and reimbursements