General Accounting Interview Questions And Answers

Cash/Bank a/c DR
To Party(name)a/c
(Advance Paid For Tour)

In case of vat payable:
output vat
Toinput vat
To vat payable

In case of vat refundable:
output vat
vat refundable
To input vat

Spin off is creating new company by selling or distributing
the shares of existing company

1. BMW
2. Toyota Motors
3. TATA Motors
4. All

My present company is shifting its business premises to far
from the present place.

only 600000 worth of building is used for office purpose
so only 600000 will be showing in the balance sheet as the building used for residential purpose will not be shown as it is personal

An estimation of the revenue and expenses over a specified
future period of time. A budget can be made for a person,
family, group of people, business, government, country,
multinational organization or just about anything else that
makes and spends money. A budget is a microeconomic concept
that shows the tradeoff made when one good is exchanged for
another.

Budgeting lies at the foundation of every financial plan. It
doesn’t matter if you’re living paycheck to paycheck or
earning six-figures a year, you need to know where your
money is going if you want to have a handle on your
finances. Unlike what you might believe, budgeting isn’t all
about restricting what you spend money on and cutting out
all the fun in your life. It’s really about understanding
how much money you have, where it goes, and then planning
how to best allocate those funds. Here’s everything you need
to help you create and maintain a budget

Vat Payable = 1000*20/120=Rs 166.6667

journal voucher is the voucher in which all the adjustment related entries and non cash non bank transactions are entered in journal eg-dep, some of them book the bills in journal and
while they make a payment they record in payment eg-contractor bill


contra appears two times in two sides of a account an account will be treated as contra when
1, cash deposited in bank
2, cash with drawn from bank for office use
3, cheques deposited in bank
4, cheques withdrawn for office use
5, transfers from one account to another account

Payroll deals with paying your employees (including seeing that the government gets the monies they require you to withhold from the employees and the payroll taxes they require you to pay).

If you have occasional employees, or even one or two full- or part-time, you can get by recording the payroll transactions in the General Journal. The typical transaction is <date> <cash / amt– labor-expense / amt+... withholding / amt–... accrued-tax / amt–... tax-expense / amt+...> <comments>, where <comments> include who you paid and the hours they worked. Labor-expense, withholding, accrued-taxes, and tax-expense include multiple accounts as we'll get into below.

If you have more than a couple of employees it definitely pays to set up a Payroll system.

A Payroll system involves a Payroll Journal — in which payroll is accrued, i.e., held in an "owed" state (like an open vendor invoice) until paid, and a Payroll Disbursements Journal — in which the actual payments to the employees are recorded.

At the time of sale
cash sales. Cash A/c-------Dr
to sales A/c
2. Credit sales
Customer Name A/c ----Dr
to sales A/c.

3. Sales retuns.
Sales return A/c----- Dr
to Customer A/c
4. resupply of goods
Samme Entry.
%. Sellenr return goods to its vendor.

Vendor name a/c ----- Dr
Purchase retuern A/c

yes you can do it without having a maths background....!!
while preparing for your cpt exam.. you'll be taught maths..!!

TDS (tax deducted at sources) .The person while making
payments of income,covered by the scheme are responsible
to deductd TDS and deposite the same in govt treasury
withi stipuleted time .
exp-salary,job work,rent,commission ets.

Sale Tax return means annual return againest ur frofit.

A Bank reconciliation means cross verifying the entries in the cash book(bank balance)with that of pass book.
generally the reasons for disagreement of cash book with that of pass book are as follows:
1.cheques deposited but not collected by bank.
2.cheques issued but not presented for payment.
3.amounts recorded only in pass book till date (this doesn't mean that they should not be recorded in cash book,they should also be recorded but they are not yet recorded)such as bank charges,incomes received by banks directly by power of standing order etc..

THERE IS NO ENTRY FOR BANK RECONCILIATION.IT IS ONLY A TOOL FOR VERIFYING WHETHER ALL ITEMS ARE PROPERLY RECORDED ARE NOT.AND TO FIND OUT THE WRONG POSTINGS EITHER IN THE CASH BOOK OR THE PASS BOOK.

First we need to write-off the old asset ( by reversing the
asset, accumulated depreciation and depreciation for the
current FY by Cr the Fixed asset Write-off and Dr
Proft/Loss on sale of asset under P&L account )

Next we can capitalised the new asset ( Dr. Asset Cr. Bank )

Posting of wages twice can be rectify as follows.
Actual
Wages A/c. Dr. XXX
To Cash A/c. Cr. XX
(payment of wages through cash)

For Rectification

Cash A/c. Dr. XXX
To Wages Cr. XXX
(wrongly posted wages entry is rectified)

It is deduction of taxes where from the income is generated and regarding services to be taxed there are about 120 services which are taxed in India for provision of service tax

88.88basic price

Fund flow deals with transaction within financial year (One
year) whereas Cash flow Statement record only cash
transaction.

Goodwill is an intangible asset of a company which includes company reputation, fame etc., through goodwill company share value may increases

personal a/c - debit the receiver, credit the giver

real a/c - debit whats comes in, credit whats goes out

nominal a/c - debit all expenses & losses, credit all incomes
and gains

Depracation A/C Dr
To Machinery A/C Cr

Debit note is issued by debtor for returning of goods.
credit note is issued by creditor

At the time of purchase-
Machinery A/c Dr. 50000
Vat A/c Dr. 2500
To Party A/c 52500
At the time of return-
Party Dr. 13125
To Vat 625
To machinery 12500

vat a/c Dr 12500
TO party A/C 112500
At the time of return
party Dr . 56250
to vat 6250
to Inc employ 5000
to sales return 45000