CFO Interview Preparation Guide

Capital Expenditure is an amount incurred for acquiring the long term assets such as land, building, equipments which are continually used for the purpose of earning revenue. These are not meant for sale. These costs are recorded in accounts namely Plant, Property, Equipment. Benefits from such expenditure are spread over several accounting years.

☛ Preparation of financial plan at the time of company promotion
☛ Financial adjustments in times of liquidity crisis
☛ Valuation of the firm at the time of acquisition and merger etc.

Being the only owner of the business the sole trader takes all the decisions himself. He evaluates all the opportunities available and finds the solution to problems which makes decision making quick.

A position statement as it refers to a particular date. It is also referred to as Statement of Sources and Application of Funds. It informs about the various sources used by the organization which are technically known as liabilities to raise the funds which are referred as assets.

Choose one of your most notable achievements and why you felt it was important.
Keep it relevant to the finance position you are applying for. Discuss the challenges you faced and tell the interviewer how your achievement can help you succeed in your new position.

This accounting convention proposes that the same accounting principles, procedures and policies should be used consistently on a period to period basis for preparing financial statements to facilitate comparison of financial statements on period to period basis. If any changes are made in the accounting procedures or policies, then it should be disclosed explicitly while preparing the financial statements.

In this system, expenses and incomes are considered during that period to which they pertain. This system of accounting is considered to be ideal but it may result into unrealized profits which might reflect in the books of the accounts on which the organization have to pay taxes too. All the company forms of organization are legally required to follow Mercantile or Accrual System of Accounting.

In the finance industry financial professionals often have to persuade influential people to count on their expertise, follow their advice, and use their services.

Your interviewer will want to make sure you are able to determine the best approach to achieve what you want by influencing clients.

☛ What would you do if revenue forecasts for next year decreased?
☛ If you had to decide whether a possible investment is profitable, how would you do it?

An executive must be able to represent the company inside and outside of the workplace. If they can effectively describe what your company does and how they do it, you’ll have a better idea of whether or not they can represent your business professionally.