What are the fictitious assets?

These are like intangible assets, which cannot be seen or touched. Actually, these are not assets but some expenditure, which cannot turn to profit and loss account of a particular period that is why these items are shown on assets side of balance sheet to be written off to P&L account in reasonable years. those assets are created by a company Ex. preliminary expenditure,advertisement etc.

What is the difference between personal account real account and nominal account?

The total business transactions are divided in to three They are Transactions related to persons, Transactions related to Things, Transactions related to incomes & expenditures. In accountancy we have three types of accounts they are - personal, real, nominal Personal accounts refers to all the transactions related to natural persons, artificial persons and representative persons ex:- rama, ravi, Indian bank, outstanding rent. ,. First category of transactions belongs to personal accounts RULE: debit the receiver and credit the giver Real accounts include things in the business i.e. assets. Second category of transactions related to Real accounts ex: buildings, machinery, cash etc. RULE: Debit what comes in and credit what goes out Nominal accounts includes all the transactions related to expenditures, incomes, losses, and profits. Ex: - rent paid, rent received, bad debts, profit on sale of an asset. RULE: Debit all expenses and losses and credit all incomes and profits

Personal : Debit the receiver; Credit the giver. Real : Debit what comes in; Credit what goes out. Nominal : Debit all expenses & loses; Credit all incomes & gains.

What is the difference between inactive accounts and dormant account?

Dormant accounts are those accounts in which there are transactions in the recent history (the stipulation may vary according to the company's rules). Inactive accounts are those accounts in which transactions are being made for long time.

Inactive account means an account had not been in use for a long time and not going to be used in the future.Dormant

accounts are those which are presently not in use but it is likely that it may be used in the near future.
What are the Accounting entries for branch accounts?

DR investments in branch Cr cash Cash sent to branch

Sales collection done by head office from customer on behalf of Branch office In the books of Head Office Dr Bank/Cash Account Cr Branch Office In the books of Branch office Dr Branch Office Cr Customer
Interview questions: Explain the accounts payable cycle? Answer tips/answer samples: Understanding about accounts payable is very important for an accountant. You have to know this matter very thoroughly in relation to cash flow of the company to be able to answer questions relating to accounting balance work. You can ref more at: All samples of Accounting interview questions answers. More Accounting interview questions: 1. What experience have you had in fixed assets accounting? 2. How can you link between materiality and audit report? 3. Explain different types of audit, its nature, advantages and disadvantages? 4. What are the components or materials used by Accounts receivable departments? 5. How to make a table for to calculate the prime cost, factory cost, total cost of production and cost of sales? 6. What does the name costing mean and what are the importance of costing? 7. What steps would you take before approving an invoice for payment? 8. What is the difference between billable and non-billable expenses? 9. Tell us about an invoice discrepancy that you discovered and how you resolved the discrepancy? 10. What is the difference between debenture and preference share? 11. What documents are required before verifying invoice? what is the process if the supplier passes an invoice for more amount? If you liked this post, please share it to your friends:

List of Accounts payable interview questions

You can ref them by links below: 1. What do you mean by price variation in Purchase Invoice? 2. How to account freight cost, handling charges, purchase tax at the time of raising a Purchase Order? 3. What is a Non-PO Invoice? 4. What is a tolerance limit with respect to invoice processing? 5. What is debit and credit from the banks point of view? 6. In the invoice, the value of the tax code is not present but in the idoc the value of the tax code is present. How to populate it in the invoice using the IDOC? 7. Please explain end to end process of accounts payable? 8. What is a Work flow? And take Retail shop as example and explain the Work flow of the Retail shop? 9. What is the difference between Payments-Liquidation(Disbursements) & Dividend Warrants Liquidation? 10. What are the steps involved in finalization? 11. When setting up Purchase items for overhead expenses (G&A expenses) what expense GL account do you use, and what sales account GL do you use? Also, what are roll up accounts in the chart of accounts? 12. What is the Debit Balance recovery? How we can recover if we wont have any future transactions from supplier? 13. Which area of accounting are you strongest? Which area of accounting would you like to improve? 14. What is the meaning of TDS? How it is charged? 15. What is interest on Capital? 16. What is another name for a real account in accounting? is it a permanent account or a temporary account? 17. What is consolidation? 18. What is different between automatic Payments Batches and automatic payments? 19. What are steps to define supplier? 20. What steps would you take before making a payment? 21. What is debit and credit from the customer point of view? 22. What is debit and credit from the banks point of view? 23. What do you understand by Intercompany Settlement? 24. What is the difference between EFT & Wire? 25. What do you mean by Mischarge Correction? 26. What items would you verify when processing an expense report / invoice for payment? 27. What items of information do you need before you can approve an invoice for payment? 28. Tell us about an invoice discrepancy that you discovered and how you resolved the discrepancy? 29. Why does a company/business require an Accounts payables process? 30. Which are the main MIS Reports of an accounts department & what the format of preparing the MIS? 31. What documents are required before verifying invoice? what is the process if the supplier passes an invoice for more amount? 32. What is difference between account payable and bills payable? 33. What is Reconciliation Statement? 34. How does the payment mechanism work? 35. What is the difference between Consiner and Consinee? 36. What steps would you take before approving an invoice for payment? 37. How to pass a JV when we receive bill including service tax? How to close this a/c?

38. What is 3 Way Matching? 39. What is Q-point? 40. What steps would you take before approving an invoice for payment? Interview questions: What is a Non-PO Invoice? Answer tips/answer samples: A non-PO invoice means it does not have Purchase Order. But any invoice is required to have approval of authorized person in order to come to payment. Interview questions: What do you mean by price variation in Purchase Invoice? Answer tips/answer samples: The price variation is defined by variance in Invoice unit price and Purchase Order unit. However Invoice can be posted by users in case the variance is kept within threshold of 5 or 50 USD or lower price. Interview questions: How to account freight cost, handling charges, purchase tax at the time of raising a Purchase Order? Answer tips/answer samples: For instance: Item to be procured = A Quantity to be procured = 10 Unit Rate = 100 Interior freight cost for 10 quantity (at the same time of raising Purchase Order) = Usd. 1000 Handling charges = Usd. 500 Input Tax = @ 10% (on base price) In details, firstly you create a new name tax, for example create the name Freight Charges Handling Charges Tax Rates while Purchase Order is being created. It means the Purchase Order will generate Basic + Tax + Freight + Insurance. Next, 1099 form is an Internal Revenue Service (IRS) tax document which is sent to businesses and individuals at the moment of ending up calendar year. And then the form is used report taxable income to the Internal Revenue Service. But it is not used to Corporations & Non-Profit/Non Exempt organizations. Interview questions: What is a tolerance limit with respect to invoice processing? Answer tips/answer samples: Limit up to which small differences in an invoice are accepted by the invoice recipient without any further verification being necessary. Interview questions: What is debit and credit from the banks point of view? Answer tips/answer samples: Debit means an accounting entry which results in either an increase in assets or a decrease in liabilities on a companys balance sheet or in your bank account. If debit bank balances show in bank statement, this means it is unfavorable condition for the company and credit balance brings favorable condition for the company. debit what comes in credit what goes out this is the golden rule You can ref more at link below: