40+ Accounts Receivable Executive Interview Questions and Answers

I believe in streamlining processes and implementing automation to improve efficiency.

• Implementing an automated invoicing system to reduce errors and save time

• Integrating a payment gateway to allow for faster and more secure payments

• Regularly reviewing and updating credit policies to minimize bad debt

• Providing training to staff on effective communication and dispute resolution

• Utilizing data analytics to identify trends and improve collection strategies

Goods and services covered under RCM include specified categories like transportation services, insurance services, and goods purchased from unregistered dealers.

• Transportation services

• Insurance services

• Goods purchased from unregistered dealers

My favorite color is blue because it represents calmness and serenity.

• I prefer blue because it has a calming effect on me.

• Blue is associated with the sky and the ocean, which are both vast and peaceful.

• Red is too bold and intense for my taste.

• Blue is a versatile color that can be paired with many other colors.

• Blue is often used in healthcare settings to promote a sense of calm and trust.

Accrued income is recorded as a debit in the balance sheet under current assets to reflect revenue earned but not yet received.

• Accrued income represents revenue that has been earned but not yet received.

• Debiting accrued income in the balance sheet under current assets increases the company's assets and reflects the amount of revenue that is owed.

• This adjusting journal entry ensures that the company's financial statements accurately reflect the revenue earned during the accoun...read more

AR and AP are accounting terms for money owed to or by a company. Debit and credit notes are used to adjust these accounts.

• AR stands for Accounts Receivable, which is money owed to a company by its customers.

• AP stands for Accounts Payable, which is money a company owes to its suppliers or vendors.

• Debit notes are used to adjust accounts when a customer owes less money than originally invoiced.

• Credit notes are used to adjust accounts when a customer owes more money than origina...read more

I identify and resolve cash app payments without remittance info through systematic tracking and customer communication.

• Review transaction details: Check the payment amount and date to match with outstanding invoices.

• Contact the customer: Reach out via email or phone to request remittance information for proper allocation.

• Use internal records: Cross-reference with customer account history to identify potential invoices that match the payment.

• Document findings: Keep a record o...read more

Input GST on goods can be claimed by ensuring proper documentation and compliance with GST regulations.

• Ensure that the goods are eligible for GST input credit

• Maintain proper invoices and receipts for the goods purchased

• File GST returns accurately to claim input credit

• Follow GST regulations and guidelines for claiming input credit

I would leverage targeted marketing, customer education, and partnerships to effectively promote health products to new customers.

• Identify target demographics: Focus on health-conscious individuals, fitness enthusiasts, or specific age groups.

• Utilize social media campaigns: Create engaging content showcasing product benefits, such as testimonials or success stories.

• Offer free samples or trials: Allow potential customers to experience the product firsthand, increasing the like...read more

I am drawn to the healthcare industry for its impact on lives and the dynamic challenges in managing financial processes.

• The healthcare industry directly affects people's lives, making my work meaningful.

• I am fascinated by the complexity of billing and reimbursement processes, such as navigating insurance claims.

• The rapid advancements in pharmaceuticals require adaptability in financial practices, which keeps the role engaging.

• Working in accounts receivable allows me to contr...read more

Accrued income is recorded as a revenue on the income statement even though the cash has not been received yet.

• Accrued income is recognized when it is earned, regardless of when it is received.

• To book accrued income, debit the accrued income account and credit the revenue account.

• Example: If a company provides services in December but does not receive payment until January, the accrued income for December would be recorded in December's financial statements.

RCM management involves optimizing revenue cycle processes to enhance cash flow and reduce billing errors in healthcare.

• RCM stands for Revenue Cycle Management, crucial for tracking patient care from registration to final payment.

• It includes processes like patient scheduling, insurance verification, billing, and collections.

• Effective RCM reduces claim denials; for example, verifying insurance before services can prevent billing issues.

• Utilizing technology, such as EHR systems...read more

Direct tax is levied directly on individuals and businesses by the government, while indirect tax is imposed on goods and services.

• Direct tax is paid directly by the taxpayer to the government, such as income tax, corporate tax, and property tax.

• Indirect tax is collected by an intermediary (like a retailer) from the consumer and then passed on to the government, such as sales tax, value-added tax (VAT), and goods and services tax (GST).

Knowledge of accounting rules and software is essential for an Accounts Receivable Executive.

• Must have a strong understanding of accounting principles and practices

• Proficiency in accounting software such as QuickBooks, Xero, or SAP

• Ability to analyze financial data and generate reports

• Familiarity with accounts receivable processes and procedures

• Experience with collections and customer service

• Attention to detail and accuracy in data entry

Ageing refers to the process of categorizing accounts receivable based on the length of time they have been outstanding. Customer pattern refers to the payment behavior of customers.

• Ageing helps in identifying the accounts that are overdue and need immediate attention.

• Ageing is usually done in buckets such as 0-30 days, 31-60 days, 61-90 days, and so on.

• Customer pattern helps in understanding the payment behavior of customers and identifying any trends or issues.

• Customer patt...read more

Yes, I have a reliable internet connection with high speed and minimal downtime.

• I have a high-speed internet connection with a reliable service provider.

• I rarely experience downtime or connectivity issues.

• I am able to access online resources and systems without any interruptions.

Accounts Receivable (AR) manages money owed to a business for goods/services provided on credit.

• AR involves tracking invoices issued to customers until payment is received.

• For example, a company sells products on credit and sends an invoice to the customer.

• The AR team monitors payment terms, ensuring customers pay within the agreed timeframe.

• If a customer delays payment, the AR team may follow up with reminders or negotiate payment plans.

• Effective AR management improves cash ...read more

Excel shortcuts enhance productivity by speeding up navigation and data manipulation tasks.

• Ctrl + C: Copy selected cells. Example: Highlight a range and press Ctrl + C to copy.

• Ctrl + V: Paste copied cells. Example: Use Ctrl + V to paste data into a new location.

• Ctrl + Z: Undo the last action. Example: If you accidentally delete data, Ctrl + Z restores it.

• Ctrl + S: Save the current workbook. Example: Pressing Ctrl + S frequently helps prevent data loss.

• Alt + Enter: Start a new...read more

Detail-oriented Accounts Receivable Executive with strong communication skills and a passion for financial accuracy.

• Over 5 years of experience in accounts receivable management, ensuring timely collections and accurate invoicing.

• Proficient in using accounting software like QuickBooks and SAP to streamline processes and improve efficiency.

• Successfully reduced outstanding receivables by 20% in my previous role through effective follow-up and negotiation.

• Strong analytical skills...read more

Accounts Receivable (AR) process involves invoicing, tracking payments, and resolving discrepancies.

• Generate and send invoices to customers

• Track payments and follow up on overdue accounts

• Reconcile payments with invoices and resolve any discrepancies

• Maintain accurate records of all transactions

• Communicate with customers to address any billing issues

• Generate reports on AR aging and collections

• Work closely with sales and customer service teams

There are two main types of invoice processing: manual and automated.

• Manual invoice processing involves physical handling of invoices, data entry, and verification by employees.

• Automated invoice processing uses software to scan, extract data, and process invoices without human intervention.

• Examples of automated invoice processing software include SAP Ariba, Coupa, and Concur.

Infosys Technologies is a global leader in consulting, technology, and next-generation services.

• Founded in 1981, Infosys is headquartered in Bangalore, India.

• Offers services in IT consulting, application development, and maintenance.

• Utilizes advanced technologies like AI, machine learning, and cloud computing.

• Has a strong focus on digital transformation for businesses.

• Serves clients across various industries, including finance, healthcare, and retail.

TDS stands for Tax Deducted at Source, which is a tax deducted by the payer at the time of making payment.

• TDS is a form of income tax that is deducted from the income of an individual or entity before the actual income is received.

• It is deducted by the payer and deposited with the government on behalf of the payee.

• TDS rates vary depending on the type of payment being made, such as salary, interest, rent, etc.

• TDS ensures that the government receives tax revenue in advance, rat...read more

Invoicing is the process of creating and sending bills to customers for goods or services provided, ensuring timely payments.

• Invoicing includes essential details like invoice number, date, due date, and payment terms.

• It serves as a legal document that outlines the transaction between buyer and seller.

• Invoices can be generated manually or through accounting software, streamlining the process.

• Example: A company sends an invoice for $1,000 for services rendered, specifying payme...read more

Accounts receivable and GST with TDS are interrelated in financial transactions.

• Accounts receivable refers to the money owed to a company by its customers for goods or services provided.

• GST or Goods and Services Tax is a tax levied on the supply of goods and services.

• TDS or Tax Deducted at Source is a tax that is deducted at the time of payment.

• Accounts receivable and GST are both subject to TDS.

• The TDS rate for accounts receivable and GST may vary depending on the nature of ...read more

Accounts receivable is the money owed to a company by its customers for goods or services provided on credit.

• Accounts receivable represents the amount of money owed to a company by its customers.

• It is a key component of a company's working capital.

• Accounts receivable is typically recorded as a current asset on the balance sheet.

• Companies often have specific policies and procedures in place for managing accounts receivable, including sending invoices, following up on overdue p...read more

Cash application is the process of recording and applying incoming payments to the correct customer accounts in the accounting system.

• Cash application involves matching received payments to invoices or accounts receivable records.

• It ensures that payments are accurately recorded and applied to the correct customer accounts.

• Automated cash application software can streamline the process and reduce manual errors.

• Reconciling bank statements with cash application records is an impo...read more

Accounts receivable is the money owed to a company by its customers for goods or services provided on credit.

• Accounts receivable represents the amount of money that customers owe to a company for goods or services purchased on credit.

• It is an important aspect of a company's financial health as it impacts cash flow and overall profitability.

• Monitoring and managing accounts receivable involves tracking payments, following up on overdue invoices, and reconciling discrepancies.

• Ex...read more