600+ Executive Accountant Interview Questions and Answers

Yes, I am proficient in MS Word, Excel, Tally, and PowerPoint.

• Proficient in MS Word for creating and editing documents.

• Skilled in MS Excel for data entry, analysis, and creating spreadsheets.

• Experienced in using Tally for accounting and financial management.

• Familiar with PowerPoint for creating professional presentations.

• Can perform various tasks like formatting, formulas, data manipulation, etc.

• Efficient in using shortcuts and advanced features of these software.

TDS percentage and threshold limit for Royalty and Sections

• TDS rate for royalty is 10% if the recipient is a resident individual or HUF and 15% for others

• TDS rate for sections like 194C, 194H, 194J is 1% for individual/HUF and 2% for others

• Threshold limit for TDS on royalty is Rs. 40,000 and for sections is Rs. 30,000

• Section 194M introduced in Budget 2019 requires TDS at 5% on payments made to resident contractors and professionals if the payment exceeds Rs. 50 lakhs in a fin...read more

I am currently earning a CTC of $X, and my expected CTC is $Y.

• My current CTC is $X.

• I am expecting a CTC of $Y.

• I believe my skills and experience justify this expected CTC.

Accounts refers to the financial records and transactions of a company, while accounts principal refers to the fundamental principles and concepts of accounting.

• Accounts involve recording, classifying, and summarizing financial transactions.

• Accounts principal includes concepts like the accrual principle, matching principle, and consistency principle.

• Accounts help in tracking the financial performance and position of a company.

• Accounts principal ensures that financial statemen...read more

Deferred tax liability is a tax obligation that a company will have to pay in the future due to temporary differences between accounting and tax rules.

• It arises when there is a difference between the tax base of an asset or liability and its carrying amount in the financial statements

• It is calculated by multiplying the temporary difference by the applicable tax rate

• It is a non-current liability that is expected to be settled in the future

• Examples include depreciation, invento...read more

Vendor maintenance refers to the process of managing and updating vendor information in a company's database.

• It involves creating and updating vendor profiles

• Verifying vendor information such as contact details, payment terms, and tax identification numbers

• Ensuring compliance with company policies and regulations

• Maintaining accurate records of vendor transactions

• Regularly reviewing vendor performance and addressing any issues

• Examples include adding a new vendor to the databas...read more

The entry for Salaries with TDS and PF involves debiting the Salaries expense account and crediting the TDS and PF liability accounts.

• Debit the Salaries expense account to record the amount paid as salaries

• Credit the TDS liability account to record the amount withheld for tax deduction

• Credit the PF liability account to record the amount withheld for provident fund

• Ensure the total debits equal the total credits in the entry

GST is a tax levied on goods and services. TDS is a tax deducted at source. Final accounting is the process of preparing financial statements. BRS is Bank Reconciliation Statement.

• GST is a consumption-based tax on goods and services.

• TDS is a tax deducted at the source of income.

• Final accounting involves preparing financial statements such as balance sheet, income statement, and cash flow statement.

• BRS is a statement that compares the bank balance as per the company's records ...read more

GST is a value-added tax levied on goods and services in India. GST return is a document containing details of income, tax paid, and refund claimed.

• GST stands for Goods and Services Tax

• It is a single tax levied on the supply of goods and services

• It replaced multiple indirect taxes like VAT, excise duty, service tax, etc.

• GST return is a document filed by registered taxpayers containing details of their income, tax paid, and refund claimed

• There are different types of GST return...read more

Sales, purchase, contra, receipt, and Excel are all terms related to accounting and financial transactions.

• Sales refer to the revenue generated from selling goods or services.

• Purchase refers to the acquisition of goods or services for a monetary value.

• Contra refers to transactions that offset each other, typically within the same account.

• Receipt is a document acknowledging that a specified article or sum of money has been received.

• Excel is a spreadsheet program used for organ...read more

Reconciliation of vendor invoice booking involves matching vendor invoices with corresponding purchase orders and receipts.

• Verify vendor invoice details such as invoice number, date, amount, and items purchased

• Match the vendor invoice with corresponding purchase order and receipt

• Ensure that the amounts and quantities match between the invoice, purchase order, and receipt

• Resolve any discrepancies or issues with the vendor

• Update the accounting records to reflect the reconciled ...read more

Profit or loss in P&L is adjusted to retained earnings account.

• Profit or loss in P&L statement is transferred to retained earnings account on the balance sheet.

• Retained earnings account reflects the cumulative profits or losses of the company since its inception.

• Adjustments to retained earnings account can also be made for dividends paid to shareholders.

• Retained earnings account is a part of the equity section on the balance sheet.

The TDS rate under section 94C varies depending on the nature of the payment.

• TDS rate under section 94C is applicable for payments made to contractors and sub-contractors.

• For payments made to contractors engaged in advertising, broadcasting, or telecasting, the TDS rate is 1%.

• For payments made to contractors engaged in any other business, the TDS rate is 2%.

• If the contractor provides a valid PAN, the TDS rate is reduced to 0.75% or 1.5% respectively.

• The TDS rate under section...read more

TDS rate for professional expenses is 10%

• TDS rate for professional expenses is 10%

• It is deducted at the time of payment or credit to the account of the payee

• The payee can claim credit for this TDS while filing their income tax return

Use Excel functions like VLOOKUP and SUMIF to work with large data for reconciliation.

• Use VLOOKUP function to search for a value in a large dataset and return a corresponding value from another column.

• Utilize SUMIF function to sum values in a range that meet specific criteria.

• Sort and filter data to easily identify discrepancies and reconcile them.

• Use pivot tables to analyze and summarize large datasets for reconciliation purposes.

Closing stock is shown on the assets side of the trial balance.

• Closing stock is an asset as it represents the value of unsold goods at the end of an accounting period.

• It is shown on the assets side of the trial balance because it adds to the value of the business.

• Closing stock is usually recorded as a separate line item under the current assets section of the trial balance.

• Example: If a company has $10,000 worth of unsold inventory at the end of the year, it will be shown on ...read more

IRS stands for Internal Revenue Service.

• IRS is a government agency responsible for collecting taxes and enforcing tax laws.

• It is a part of the US Department of the Treasury.

• IRS also provides assistance to taxpayers in understanding and complying with tax laws.

• Examples of IRS forms include W-2, 1099, and 1040.

• IRS audits individuals and businesses to ensure compliance with tax laws.

BRS stands for Bank Reconciliation Statement. Contra entry in Tally is used to record transactions between cash and bank accounts.

• BRS is a statement that compares the bank balance as per the company's books with the bank statement.

• Contra entry is used to record transactions between cash and bank accounts.

• In Tally, to record a contra entry, go to Gateway of Tally > Accounting Vouchers > F4 (Contra).

• Enter the date, select the bank account and cash account, and enter the amount....read more

The entry of bad debts is a financial transaction that records the amount of money owed by customers who are unlikely to pay.

• Bad debts are recorded as an expense in the income statement.

• The entry involves debiting the bad debt expense account and crediting the accounts receivable account.

• The amount of bad debts is typically estimated based on historical data or specific customer circumstances.

• Example: If a customer owes $1,000 and it is determined that they will not be able t...read more

Account receivable is the amount due from customers for goods or services provided by a company.

• Account receivable is a current asset on the balance sheet.

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

• It is usually collected within a short period of time, typically 30-90 days.

• Examples include invoices for goods sold or services rendered.

• Managing account receivables is important for maintaining cash flow and profitability.

TDS is deducted on purchase exceeding a certain limit

• TDS is deducted on purchase exceeding Rs. 50,000 for goods and Rs. 1,00,000 for services

• The rate of TDS varies depending on the nature of the transaction and the category of the deductee

• TDS is deducted at the time of payment or credit, whichever is earlier

Bills payable are the outstanding payments a company owes to its suppliers while bills receivable are the outstanding payments owed to the company by its customers.

• Bills payable are liabilities and bills receivable are assets on a company's balance sheet.

• Bills payable are recorded as accounts payable while bills receivable are recorded as accounts receivable.

• Bills payable and receivable are important for managing cash flow and ensuring timely payments.

• Example of bills payable...read more

To handle collection and fees on time, proper communication and follow-up with clients is necessary.

• Establish clear payment terms and policies upfront

• Regularly follow-up with clients on outstanding payments

• Offer payment plans or discounts for early payments

• Consider using automated payment reminders

• Maintain accurate records of all transactions

• Be firm but polite when dealing with delinquent accounts

Yes, I am familiar with bank reconciliation.

• Bank reconciliation is the process of comparing a company's records with the bank statement to ensure they match.

• It involves identifying and resolving any discrepancies between the two sets of records.

• Bank reconciliation helps in detecting errors, fraud, and ensuring accurate financial reporting.

• It includes reconciling items such as deposits, withdrawals, bank charges, and outstanding checks.

• Bank reconciliation is crucial for mainta...read more

Yes, I have extensive experience in inventory management and production journal.

• Managed inventory levels to ensure optimal stock levels and minimize excess inventory

• Maintained accurate production journals to track costs and monitor production efficiency

• Utilized inventory management software to streamline processes and improve accuracy

• Collaborated with production team to coordinate inventory needs and production schedules

TDS returns are submitted online through the government's e-filing portal.

• TDS returns can be submitted by logging into the government's e-filing portal.

• The returns can be filed by uploading the required TDS statements in the specified format.

• The TDS return forms are available on the portal and need to be filled accurately.

• After filling the form, it should be verified using a digital signature or an electronic verification code (EVC).

• Once verified, the return can be submitted ...read more

GST and TDS are two important taxes in India.

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

• TDS stands for Tax Deducted at Source, which is a tax collected by the government at the time of payment.

• GST is applicable to all goods and services, except for a few exempted items.

• TDS is applicable to various types of payments such as salary, interest, rent, commission, etc.

• GST rates vary depending on the type of goods or ...read more

Accounting is the process of recording, analyzing, and reporting financial transactions of a business.

• Accounting involves keeping track of financial transactions such as sales, purchases, and expenses.

• It includes preparing financial statements like balance sheets, income statements, and cash flow statements.

• Accountants use various methods like double-entry bookkeeping to ensure accuracy and reliability of financial records.

• Accounting helps in assessing the financial health of...read more

Adjusting entries are accounting entries made at the end of an accounting period to update accounts and ensure accuracy of financial statements.

• Adjusting entries are made to ensure that the financial statements accurately reflect the company's financial position.

• They are made at the end of an accounting period and are used to update accounts that have not been recorded yet.

• Examples of adjusting entries include accruals, deferrals, and estimates.

• Accruals are used to record rev...read more

Accounts payable refers to the amount of money a company owes to its vendors or suppliers for goods or services received.

• Accounts payable is a liability account that shows the amount a company owes to its vendors or suppliers.

• It is recorded in the balance sheet under current liabilities.

• Accounts payable can include invoices for goods or services received but not yet paid for, as well as expenses that have been incurred but not yet billed.

• Managing accounts payable is important...read more

ITC 4 is a form used for claiming input tax credit on capital goods. Due date for filing is 20th of the following month.

• ITC 4 is used for claiming input tax credit on capital goods

• Due date for filing is 20th of the following month

• It is filed by registered taxpayers under GST

• Late filing can result in penalties and interest charges

TDS and TCS are tax deductions made at source by the payer. Section due dates vary based on the type of payment.

• TDS stands for Tax Deducted at Source and is deducted by the payer while making payments to the payee.

• TCS stands for Tax Collected at Source and is collected by the seller while selling certain goods.

• Section due dates vary based on the type of payment and are mentioned in the Income Tax Act.

• For example, the due date for TDS on salary payment is the 7th of the follow...read more

There are 18 types of vouchers present in Tally.

• There are 18 types of vouchers in Tally, including Payment Voucher, Receipt Voucher, Contra Voucher, Journal Voucher, Sales Voucher, Purchase Voucher, Debit Note Voucher, Credit Note Voucher, etc.

• Each voucher type serves a specific purpose in recording different transactions in Tally.

• Voucher types can be customized and new voucher types can be created as per the business requirements.

• Vouchers help in maintaining accurate and org...read more

There are three main types of accounting: financial accounting, managerial accounting, and tax accounting.

• Financial accounting: focuses on recording and reporting financial transactions for external stakeholders

• Managerial accounting: focuses on providing financial information for internal decision-making

• Tax accounting: focuses on tax-related financial reporting and compliance

• Other types of accounting include auditing, forensic accounting, and cost accounting

• Each type of accou...read more

Debugging a program while it's being used involves using various techniques to identify and fix errors in real-time.

• Use logging and error handling mechanisms to capture and track errors

• Implement remote debugging tools to monitor and analyze program behavior

• Utilize breakpoints and watchpoints to pause program execution and inspect variables

• Collect user feedback and error reports to identify and reproduce issues

• Implement A/B testing to compare different program versions and ide...read more

QuickBooks (QB) is a popular accounting software, and it is not banned in India.

• QuickBooks (QB) is a financial management software developed by Intuit.

• It is widely used by businesses for accounting, invoicing, and tax preparation.

• QB is not banned in India and is commonly used by Indian businesses for financial management.

Yes, I am familiar with Pivot Tables and basic Excel functions.

• I have experience creating Pivot Tables to summarize and analyze data in Excel.

• I am proficient in using functions like VLOOKUP, SUMIF, and COUNTIF in Excel.

• I can manipulate data using filters, sorting, and conditional formatting in Excel.

• I have used Excel for financial analysis, budgeting, and forecasting.

• I am comfortable working with large datasets and creating reports in Excel.

Digital Marketing is the use of online channels to promote products or services to a targeted audience.

• Utilizes various online platforms such as social media, search engines, email, and websites

• Involves creating and sharing content, engaging with customers, and analyzing data to optimize campaigns

• Examples include social media advertising, search engine optimization (SEO), email marketing, and influencer partnerships

I left my previous job due to a lack of growth opportunities and a desire for a more challenging role.

• Lack of growth opportunities

• Desire for a more challenging role

The three Golden rules of accounting are rules of debit and credit that are used to record financial transactions accurately.

• Debit what comes in, credit what goes out

• Debit the receiver, credit the giver

• Debit all expenses and losses, credit all incomes and gains

GAAP stands for Generally Accepted Accounting Principles.

• GAAP is a set of accounting principles, standards, and procedures that companies use to compile their financial statements.

• It ensures that financial statements are consistent, transparent, and comparable across different companies.

• GAAP is used in the United States, while International Financial Reporting Standards (IFRS) are used in many other countries.

• Examples of GAAP principles include the matching principle, revenue...read more

Luca Pacioli is considered the father of accounting.

• Luca Pacioli, an Italian mathematician, is widely regarded as the father of accounting.

• He wrote the first book on double-entry bookkeeping, 'Summa de Arithmetica, Geometria, Proportioni et Proportionalita', in 1494.

• Pacioli's book introduced the concept of debits and credits, which became the foundation of modern accounting.

• His work greatly influenced the development of accounting principles and practices that are still used ...read more

TDS rate varies based on the type of payment and PAN can be identified through the PAN card or online verification

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

• PAN of companies can be identified through their PAN card or by searching on the Ministry of Corporate Affairs website

• PAN of individuals can be identified through their PAN card or by using the Income Tax Department's online PAN verification tool

To make entries in the sales screen, navigate to the sales module and input relevant information such as customer details, product/service sold, quantity, price, and any applicable discounts.

• Access the sales module in the accounting software

• Enter customer details like name, contact information, and billing address

• Specify the product or service sold

• Input the quantity or units sold

• Enter the price per unit or total amount

• Apply any discounts or promotions if applicable

• Review and ...read more

Accounts payables and receivables are the money owed by a company to its suppliers and the money owed to the company by its customers, respectively.

• Accounts Payable: Money owed by a company to its suppliers for goods or services received but not yet paid for.

• Accounts Receivable: Money owed to a company by its customers for goods or services provided but not yet paid for.

• Accounts Payable and Receivable are important for managing cash flow and maintaining good relationships wit...read more

I am friendly with various accounting software.

• I am proficient in using QuickBooks for bookkeeping and financial reporting.

• I have experience with SAP for managing financial transactions and generating reports.

• I am familiar with Excel for creating spreadsheets and performing data analysis.

• I have used Xero for cloud-based accounting and invoicing.

• I am comfortable with Oracle Financials for managing complex financial processes.

• I have worked with FreshBooks for small business acc...read more