200+ Senior Accountant Interview Questions and Answers

TDS stands for Tax Deducted at Source and GST stands for Goods and Services Tax.

• TDS is a tax collected by the government at the time of payment and is applicable to various types of income such as salary, interest, rent, etc.

• GST is a value-added tax levied on the supply of goods and services and is applicable to all stages of the supply chain.

• TDS rates vary depending on the type of income and the amount being paid while GST rates vary depending on the type of goods or service...read more

Functional currency is the currency of the primary economic environment in which the entity operates, while foreign currency is any currency other than the functional currency.

• Functional currency is used for financial reporting and measuring financial performance.

• Foreign currency is used when conducting transactions in a currency other than the functional currency.

• Functional currency is determined based on the primary economic environment of the entity.

• Foreign currency exchan...read more

The 3 types of liabilities are current liabilities, non-current liabilities, and contingent liabilities.

• Current liabilities are obligations due within one year, such as accounts payable and short-term loans.

• Non-current liabilities are obligations due beyond one year, such as long-term loans and bonds payable.

• Contingent liabilities are potential obligations that depend on the outcome of future events, such as lawsuits or warranties.

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

• The golden rules include: Debit the receiver, Credit the giver; Debit what comes in, Credit what goes out; Debit expenses and losses, Credit income and gains.

• These rules help ensure that financial transactions are accurately recorded and classified in the accounting system.

• For example, when a company receives cash from a customer, the cash account is debited (increas...read more

IFRS policies are a set of accounting standards developed by the International Accounting Standards Board (IASB) to ensure consistency and transparency in financial reporting.

• IFRS policies are principles-based, meaning they provide guidelines rather than specific rules

• They are used by companies across the globe to prepare financial statements

• IFRS policies aim to enhance comparability and understandability of financial information

• They cover areas such as revenue recognition, f...read more

Accounting in construction involves project cost tracking, revenue recognition, and compliance with industry regulations.

• Project cost tracking is crucial to monitor expenses and ensure projects stay within budget.

• Revenue recognition can be complex due to long project timelines and percentage of completion method.

• Compliance with industry regulations such as accounting for long-term contracts and revenue recognition under ASC 606.

• Inventory management is important for tracking m...read more

Yes, I have extensive experience in preparing monthly P/L and balance sheet.

• I have prepared monthly P/L and balance sheet for multiple companies in my previous roles.

• I am proficient in using accounting software such as QuickBooks and Xero.

• I ensure accuracy and completeness of financial statements by reconciling accounts and verifying transactions.

• I also analyze financial data to identify trends and provide insights to management.

• I am familiar with GAAP and IFRS accounting sta...read more

Accounting Standards 9 (AS 9) is on Revenue Recognition.

• AS 9 provides guidelines for recognizing revenue in financial statements.

• It outlines the criteria for revenue recognition and the methods of measurement.

• It also covers the treatment of revenue from specific transactions such as sales of goods, rendering of services, and construction contracts.

• AS 9 is important for ensuring accurate financial reporting and transparency in business operations.

My strength in accounts receivable is my attention to detail and ability to effectively communicate with clients to resolve outstanding balances.

• Strong attention to detail when reconciling accounts and identifying discrepancies

• Effective communication skills to follow up with clients on overdue payments

• Ability to analyze aging reports and prioritize collection efforts

• Experience in negotiating payment plans with clients to ensure timely payments

The current income tax slab in India varies based on the income level of the individual.

• The income tax slab for individuals below 60 years of age is as follows: up to Rs. 2.5 lakhs - no tax, Rs. 2.5 lakhs to Rs. 5 lakhs - 5%, Rs. 5 lakhs to Rs. 10 lakhs - 20%, above Rs. 10 lakhs - 30%

• For individuals between 60 and 80 years of age, the tax exemption limit is Rs. 3 lakhs, and for those above 80 years of age, it is Rs. 5 lakhs

• The income tax slab for companies is different and is...read more

Leases are recorded in accounting by determining if they are operating or finance leases, then recognizing lease liabilities and assets on the balance sheet.

• Leases are classified as either operating leases or finance leases based on specific criteria outlined in accounting standards.

• Operating leases are expensed on the income statement over the lease term, while finance leases result in the recognition of lease liabilities and assets on the balance sheet.

• Lease liabilities rep...read more

W9 form is a tax form used by businesses to collect information from independent contractors or freelancers. There is no limit to the number of W9 forms that can be issued.

• W9 form is used to collect information such as the contractor's name, address, and taxpayer identification number (TIN).

• Businesses use W9 forms to report payments made to independent contractors to the IRS.

• There is no limit to the number of W9 forms that can be issued by a business.

• W9 forms are not submitte...read more

To make an entry in Tally Prime, you need to navigate to the appropriate voucher type and fill in the required details.

• Open Tally Prime software on your computer.

• Select the company for which you want to make the entry.

• Navigate to the appropriate voucher type (e.g. Sales Voucher, Purchase Voucher, Payment Voucher).

• Fill in the necessary details such as account names, amounts, and dates.

• Save the entry once all details are filled in correctly.

GST is a value-added tax levied on most goods and services sold for domestic consumption.

• GST is a consumption tax imposed on the supply of goods and services.

• It is a multi-stage tax where tax is collected at every stage of the supply chain.

• GST is designed to be a comprehensive tax on the supply of goods and services.

• It aims to eliminate the cascading effect of taxes and create a common national market.

• Examples of goods and services subject to GST include electronics, clothing...read more

I have worked on various accounting software including QuickBooks, SAP, and Oracle.

• QuickBooks

• SAP

• Oracle

Stock up by 10000 will increase the income statement.

• Increase in revenue by 10000

• Increase in cost of goods sold by 10000 if the stock was purchased

• Increase in net income by 10000

Revenue accounting involves recording and tracking all income earned by a company from its core business activities.

• Revenue accounting focuses on recognizing and recording revenue from sales, services, and other sources.

• It involves ensuring revenue is properly classified, measured, and reported in financial statements.

• Revenue recognition principles such as matching revenue with expenses and the realization principle are key in revenue accounting.

• Revenue accounting also involv...read more

Yes, finalization of accounts refers to the process of closing the books and preparing financial statements.

• Finalization of accounts involves reviewing and adjusting entries, reconciling accounts, and preparing financial statements.

• It is typically done at the end of an accounting period, such as a month, quarter, or year.

• The goal is to ensure that all transactions have been recorded accurately and that the financial statements reflect the true financial position of the compan...read more

I handle critical situations by staying calm, analyzing the problem, and taking decisive action.

• Stay calm and composed

• Analyze the situation to identify the root cause

• Develop a plan of action

• Communicate effectively with team members and stakeholders

• Take decisive action to resolve the issue

• Evaluate the outcome and make necessary adjustments

I have 8 years of experience in the field of accounting.

• I have worked as an accountant for 8 years

• During this time, I have gained experience in various areas such as financial reporting, tax preparation, and audit

• I have worked with clients from different industries including healthcare, retail, and manufacturing

• I have also trained and supervised junior accountants in my previous roles

Provisions and accruals are accounting concepts used to recognize expenses and liabilities in the appropriate accounting period.

• Provisions are recognized liabilities based on estimates of future obligations, such as warranties or legal claims.

• Accruals are expenses incurred but not yet paid, such as salaries or utilities.

• Both provisions and accruals ensure that expenses are matched with revenues in the correct accounting period.

• Provisions and accruals help in presenting a true...read more

GST is a value-added tax levied on most goods and services sold for domestic consumption, while TDS is tax deducted at source on certain income sources.

• GST is a consumption tax that is levied on the supply of goods and services in India.

• TDS is a tax deducted at the source of income like salary, interest, commission, etc.

• GST is applicable on both goods and services, while TDS is applicable on specific types of income.

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

Yes, I have experience in GST, TDS, and TCS working as a Senior Accountant.

• Yes, I have experience in calculating GST for various transactions.

• I have also handled TDS calculations for employee salaries and vendor payments.

• I am familiar with TCS calculations for applicable transactions.

• I ensure compliance with all GST, TDS, and TCS regulations.

• I have experience in filing GST returns and TDS/TCS statements.

Yes, capital gain refers to the profit earned from the sale of an asset, while capital loss is the decrease in value of an asset.

• Capital gain is the difference between the purchase price and the selling price of an asset.

• Capital loss occurs when the selling price of an asset is lower than the purchase price.

• Capital gains are typically taxed at a lower rate than regular income.

• Examples of capital assets include stocks, real estate, and precious metals.

Financial statements are reports that show the financial performance and position of a company.

• Financial statements include the balance sheet, income statement, and cash flow statement.

• They provide information on a company's revenue, expenses, assets, liabilities, and equity.

• Investors and stakeholders use financial statements to evaluate a company's financial health and make decisions.

• Examples of financial statements include annual reports, quarterly reports, and 10-K filings...read more

I adapt quickly by observing, asking questions, and building relationships with colleagues.

• I would familiarize myself with the company's policies and procedures

• I would seek guidance from colleagues and supervisors when needed

• I would actively participate in team meetings and social events to get to know my coworkers

• I would be open to feedback and willing to learn from my mistakes

To sell a product in the market, you need to understand your target audience, create a compelling marketing strategy, build brand awareness, and provide excellent customer service.

• Identify your target audience and understand their needs and preferences

• Create a unique selling proposition that differentiates your product from competitors

• Develop a comprehensive marketing strategy including online and offline channels

• Build brand awareness through advertising, social media, and pu...read more

Adjusting GST in GST portal involves logging in, selecting the relevant return, and making necessary changes.

• Log in to the GST portal using your credentials

• Select the relevant return for which you want to adjust GST

• Click on the 'Amend' button to make necessary changes

• Submit the amended return after making the changes

• The GST portal will automatically adjust the GST amount based on the changes made

Closing books of accounts involves preparing financial statements, adjusting entries, reconciling accounts, and ensuring accuracy.

• Prepare adjusting entries to update accounts for accruals, deferrals, and depreciation

• Reconcile all accounts to ensure accuracy and completeness

• Prepare financial statements including income statement, balance sheet, and cash flow statement

• Close revenue and expense accounts to retained earnings at the end of the accounting period

• Review and analyze f...read more

Journal entry for disposal of assets with accumulated balance

• Debit the accumulated depreciation account to remove the accumulated balance

• Credit the asset account to remove the asset from the books

• Record any gain or loss on disposal in the income statement

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

RCM stands for Revenue Cycle Management. Journal entry is passed to record revenue and expenses.

• RCM is the process of managing the financial transactions related to patient care.

• It includes tasks such as patient registration, insurance verification, coding and billing.

• Journal entry is passed to record revenue and expenses in the accounting system.

• For example, when a patient pays for a medical service, the journal entry would credit the cash account and debit the revenue accou...read more

Onboarding checklist includes tasks and activities to ensure smooth integration of new employees.

• Collecting necessary paperwork (e.g. tax forms, direct deposit information)

• Setting up computer and email accounts

• Introducing new hire to team members and key stakeholders

• Providing training on company policies and procedures

• Assigning initial tasks and projects to get new hire started

Yes, I have experience with fixed deposit accounting.

• I have experience recording fixed deposit transactions in the general ledger.

• I have reconciled fixed deposit interest income with bank statements.

• I have calculated and recorded any penalties or early withdrawal fees associated with fixed deposits.

Yes, I have 10 years of experience in accounting and taxation.

• I have worked in various accounting roles for the past 10 years

• I have experience in tax preparation and filing for individuals and businesses

• I am knowledgeable in accounting software such as QuickBooks and Xero

• I have experience in financial reporting and analysis

• I am familiar with GAAP and tax laws and regulations

The formula for capital is total assets minus total liabilities.

• Capital = Total Assets - Total Liabilities

• Total assets include cash, inventory, property, etc.

• Total liabilities include debts, loans, accounts payable, etc.

Accrual entry is a type of accounting entry that records revenue or expenses before they are actually received or paid.

• Accrual entry is used to match revenue and expenses to the period in which they are earned or incurred, regardless of when the cash is received or paid.

• It involves recording an accrual (an amount that is owed or earned) and a corresponding offsetting entry.

• Accrual entries are typically made at the end of an accounting period to ensure accurate financial repor...read more

The Golden rule is a principle of ethical conduct that states one should treat others as one would like others to treat oneself.

• The Golden rule is also known as the ethic of reciprocity.

• It is found in many religions and cultures around the world.

• The rule encourages empathy, compassion, and fairness in interpersonal relationships.

• Examples of the Golden rule include 'Do unto others as you would have them do unto you' and 'Treat others the way you want to be treated.'

I have strong analytical skills, attention to detail, proficiency in financial software, and experience in financial reporting.

• Strong analytical skills

• Attention to detail

• Proficiency in financial software (e.g. QuickBooks, SAP)

• Experience in financial reporting (e.g. preparing financial statements, budgeting)

Stock in trial balance should be treated as an asset and included in the balance sheet under current assets.

• Stock in trial balance represents the value of inventory held by the company at a specific point in time.

• It should be classified as a current asset on the balance sheet.

• The value of stock should be determined based on the lower of cost or market value principle.

• Any adjustments to the stock value should be recorded in the accounting records.

• Stock in trial balance is impo...read more

My strength in accounts payable is my attention to detail and ability to efficiently process invoices.

• Strong attention to detail when reviewing invoices for accuracy

• Ability to efficiently process a high volume of invoices within deadlines

• Experience in resolving discrepancies and communicating effectively with vendors

• Proficient in using accounting software to track and manage accounts payable

• Knowledge of accounting principles and regulations related to accounts payable

Stock in balance sheet refers to the value of inventory held by a company at a specific point in time.

• Stock in balance sheet is reported as a current asset on the balance sheet.

• It represents the cost of inventory that has not yet been sold.

• The value of stock in balance sheet is determined by the lower of cost or market value.

• Stock in balance sheet is important for assessing a company's liquidity and financial health.

• Examples of stock in balance sheet include raw materials, wo...read more

An income tax return is a form used to report income, expenses, and other financial information to the government for tax purposes.

• An income tax return is a document filed with the tax authorities that details an individual's or organization's income, expenses, and other financial information.

• It is used to calculate the amount of tax owed to the government or the refund owed to the taxpayer.

• Income tax returns are typically filed annually, with specific deadlines set by the ta...read more

The main contents of a balance sheet include assets, liabilities, and equity.

• Assets: resources owned by the company, such as cash, inventory, and property

• Liabilities: debts and obligations owed by the company, such as loans and accounts payable

• Equity: the difference between assets and liabilities, representing the net worth of the company

• Example: A balance sheet may show $100,000 in assets, $50,000 in liabilities, and $50,000 in equity

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

• TDS is deducted by the payer at the time of making certain payments like salary, rent, commission, etc.

• The deducted TDS amount is then deposited with the government on behalf of the payee.

• TDS rates vary depending on the nature of payment and the applicable tax laws.

• TDS certificates are issued to the payee as proof of ...read more

The Golden rules of accounts are basic principles that guide the recording of financial transactions.

• There are three Golden rules of accounts: Debit what comes in, Credit what goes out; Debit the receiver, Credit the giver; Debit all expenses and losses, Credit all incomes and gains.

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

• For example, when a company receives cash from a customer, it would debit the cash account (what com...read more

Daily cash book is used to record all cash transactions on a daily basis.

• Record all cash receipts and payments in the cash book

• Maintain separate columns for receipts and payments

• Balance the cash book at the end of each day to ensure accuracy

• Use the cash book to reconcile with bank statements

Accommodation is not provided by the company.

• The company does not offer accommodation as a part of the employment package.

• Employees are expected to arrange their own accommodation.

• However, the company may provide assistance in finding suitable accommodation.

• The company may also offer relocation benefits to help with the cost of moving to a new location.