Top 100  Finance and Accounting Interview Questions

• How do we calculate income tax?
• Do you think operating profit can be more than the gross profit?
• Can you describe how Private Banking works?
• Can you differentiate between current assets & fixed assets?
• What is the difference between revenue and profit?

• Do you invest in stock markets?
• For a big MNC, What documents are covered in the Financial Statement?
• Have you heard about investment banking?

• How do you record sundry allowances in accounts?
• How many different accounting standards are there?
• In which language was accountancy first established?
• Suppose you have a balance sheet of an SME company, how will you decide whether to finance the company or not?
• Tell me something about double entry book keeping.
• Tell us about accounts and taxation.
• What are the different types of taxes?
• What is capital budgeting?
• What is the difference between book value and market value?
• What is finance?
• What is ICWA, balance sheet?
• What is Fixed Cost, Variable Cost and Break Even point?
• What is Income tax?
• What is Indirect tax?
• What is India's Foreign Exchange Reserve?
• What is Investment Banking?
• What is liquidity?
• What is Marginal Costing?

• What is market capitalization?
• What is PE ratio?
• What is the difference between Options and Futures?
• Who invented Double Entry Book Keeping?
• What is the internal rate of return formulae
• What is the Net Present Value formula?
• What is the relation between income statement and balance sheet?
• What is the role of an auditor?
• What is turnover?
• What is value of firm?
• What is working capital account?
• Which accounting standard do we follow?
• Why is P&L account not known as profit and loss account?
• Why profit is shown on liability side of the balance sheet?
• How do you do breakeven analysis?

• How will you determine the discount rate?
• What is the full form of GAAP?
• What is direct tax?
• What is excise duty?
• What is the concept of Comparative Cost Advantage?
• Does dividend reduce profits?
• Does depreciation reduce profit?
• What is Current Ratio?
• What is the Ideal Current Ratio?
• What is Capital and Revenue Expenditure?
• Where does Goodwill appear in a Balance Sheet? Why?
• Can depreciation be on fixed assets only?
• As depreciation is to fixed assets, what is the same analogous to debtors?
• What is the fundamental accounting equation?
• What is statutory audit?
• Can you name some of the accounting firms?
• What is the difference between finance and accounts?
• What is the difference between shares and debentures?
• What do you mean by a private limited company?
• What do you mean by a listed company?
• What is 'Capital Reserve'?
• Explain the process of dissolution of a partnership firm?
• Why are some accounting systems called double accounting systems?
• What is a journal?
• What is the purpose of maintaining a subsidiary journal.
• What do you understand by Imprest amount in a petty cash book?
• What is a petty cash book?
• What is a bank reconciliation statement?
• What is weighted average cost of capital?
• What are the various methods of capital budgeting?
• What is the difference between a horizontal and vertical merger?
• What is the difference between an amalgamation and merger?
• Tell me something about nonperforming assets.
• What according to you is minority interest?
• What do you understand by Cost plus Contract?
• What do you think is the Escalation clause in contract costing?
• What according to you are the advantages of introducing a costing system in an industrial organization?
• What is idle time and could you also explain its causes?
• Please comment on this "Limitations of financial accounting have made the management realize the importance of cost accounting."
• What according to you is sunk cost?
• Could you differentiate between integral and non integral system of accounting?
• Essentially what is the difference between allocation and apportionment of overheads?
• How would you treat scrap and defective items in cost accounts?
• What according to you is reconciliation of cost and financial accounts and why is it necessary?
• What do you mean by issue of shares at premium? Also how else can you issue shares?
• What are future maintainable profits?
• Could you discuss ABC analysis for material control?
• How is ‘bonus payable to employees’ treated in cost accounts?
• Could you tell me the difference between time keeping and time booking?
• Tell me about a situation when companies cannot issue shares on discount? What exactly are the conditions for issue of shares at a discount?
• What according to you is the meaning of minimum subscription?
• What do you mean by rebate on bills discounted? Furthermore, how would you treat it in the books of the bank?
• Comment on "Evolution of cost accounting is the outcome of deficiencies in the financial accounting system."
• What according to you are the advantages of "Integrated Accounts"?
• "A company is an artificial person created by law with a perpetual succession and common seal." Comment on the statement.