Accounting and Finance Questions

Means whatever income any employee received from the organisation and on that tax to be deducted. (e.g. Gross salary, Overtime, Bonus, Incentives etc.)

Finance:It is the branch of economics that studies the management of money and other assets.In simpler terms it can be defined as the commercial activity of providing funds and capital.It addresses questions like -- what funds are required by the org & How they can be raised &  How they have to be allocated etc.

Accounts: It is the occupation of maintaining and auditing records and preparing financial reports for a business. Accounts provides quantitative information about finances. It addresses issues like what amount of funds have been allocated to various activities, how the book-keeping is being done etc.

Both functions are distinct but complimentary to each other.

Finance and accounts are highly specilized and distinct areas and hence most organizations have seperate sections of finance and accounts.

After posting the all accounts in the Ledger a statement is prepared to showing debit and credit balances.Debit balances must be tally with the Credit side balance is called trial balance

Consigner is the person who is the owner of the goods and who delivers the goods to others(consignee) Whereas Consignee is the person who receives the goods and just holds the goods and will not be the owner.

The financial statements should be prepared in the following order:

Income statement - Statement of retained earnings - Balance sheet

1. Income statement reports revenues and expenses and calculates net income or net loss for the time period.

2. Statement of retained earnings show how retained earnings changed during the period due to net income or net loss and dividends.

3. Balance sheet reports assets, liabilities, and stockholders’ equity as of the last day of the period.

Much of your answer to this question will depend on your role – so do some careful research into your chosen department. In M&A, you might spend much of your time on financial models related to the deals you’re working on, while in a trading role you might start out by assisting more senior members of the team before being given the chance to manage a trading book yourself. Beyond that, it’s important to show that you’ll be keen to take on responsibilities, but that you also recognise that your first year is about learning the ropes, usually means include following instructions from others and completing some mundane tasks.