tag:blogger.com,1999:blog-3684243062698566822024-02-21T14:09:28.816+00:00ACCOUNTS & FINANCE EXPERTS CHOICEMANAGEMENT MATERIALSURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.comBlogger8125tag:blogger.com,1999:blog-368424306269856682.post-8853308536385163852021-10-29T09:56:00.002+01:002021-10-29T10:04:11.334+01:00Common interview Questionswww.accountsexpertschoice.com<div><br /></div><div><span style="color: #0000ee; font-family: georgia;"><b><i><u><a href="http://www.accountsexpertschoice.com">Common interview Questions</a></u></i></b></span><br /><div><p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">1. Tell me about yourself.</a></span></p>
<p class="MsoNoSpacing">A lot of jobs require someone who can think on their feet
or present ideas with crispness and clarity. This question provides employers
with an early preview of your core skills, your personality, and your ability
to respond to an unstructured question.<o:p></o:p></p>
<p class="MsoNoSpacing">This is something you'll be asked a lot at the beginning
of an interview. <o:p></o:p></p>
<p class="MsoNoSpacing"><o:p> </o:p></p>
<p class="MsoNoSpacing">Here are three tips that'll help you nail the opener.</p>
<p class="MsoNoSpacing"><b>Be short-term, honest, and attractive.<o:p></o:p></b></p>
<p class="MsoNoSpacing">The interviewer is looking for an answer that shows them
you're qualified and can respond to an unstructured question.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Use the job description to prepare.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Re-read what they want and highlight the most required
skills that you have. <o:p></o:p></p>
<p class="MsoNoSpacing">Are they looking for someone who can solve problems or
deal with tough customers? <o:p></o:p></p>
<p class="MsoNoSpacing">Pick a few and brainstorm how you can describe yourself
while showcasing your strengths for what they’re seeking.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Tie your story to their needs.<o:p></o:p></b></p>
<p class="MsoNoSpacing">People love a good story, so texture in some personality.
For example, maybe you fell in love with the hospitality industry because your
grandparents ran a bed and breakfast. Connect your story back to the job, keep
it short, and be truthful.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Prepare for this question in advance and have a convincing
story about your past experiences.<o:p></o:p></p>
<p class="MsoNoSpacing">Pull prominent skills from the job description.<o:p></o:p></p>
<p class="MsoNoSpacing"><o:p> </o:p></p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">2. What is your greatest strength?</a></span></p>
<p class="MsoNoSpacing">Employers want to see if you can strike the right balance
between confidence and self-effacement. <o:p></o:p></p>
<p class="MsoNoSpacing">Hiring managers also want to get a sense for how
self-aware and honest you are and align your strengths to the role at hand.<o:p></o:p></p>
<p class="MsoNoSpacing">When responding to this question, you want to sound
humble and not like you’re arrogant or bragging.</p>
<p class="MsoNoSpacing">Here are some tips to help you give them a great answer.</p>
<p class="MsoNoSpacing"><b>Describe a relevant experience.<o:p></o:p></b></p>
<p class="MsoNoSpacing">If you're applying for a sales job, tell a story about a
time where you helped a customer solve a problem with your solution.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Give specific details.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Tell them about a time you closed a deal that helped you
hit a percentage of your annual number. When you share those facts with them,
it helps them visualize how effective you have been.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show them you’re a well-rounded person.<o:p></o:p></b></p>
<p class="MsoNoSpacing">For example, share a story of when you used a “soft”
skill, like effective communication with a coworker, and then one about you
using a technical skill, which could be anything asked for in the job
description.<o:p></o:p></p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Be reliable - don’t make up strengths that you think the
employer wants to hear.<o:p></o:p></p>
<p class="MsoNoSpacing">Tell a story about a work experience.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">3. What is your greatest weakness?</a></span></p>
<p class="MsoNoSpacing">The interviewer is assessing whether your weaknesses will
get in the way of doing the job. <o:p></o:p></p>
<p class="MsoNoSpacing">Employers are looking for humility and whether you’re
committed to learning and growing. <o:p></o:p></p>
<p class="MsoNoSpacing">This is a place you can showcase what you’re doing to
improve.</p>
<p class="MsoNoSpacing">This can feel like a tricky question, but it’s a good
opportunity to shine. Here are some tips on how to answer:</p>
<p class="MsoNoSpacing"><b>Be humble.<o:p></o:p></b></p>
<p class="MsoNoSpacing">You want to communicate a true story that shows you're
self-aware. It's okay that you don't come off as perfect, that's authentic,
which is important for someone who will have to trust you in the role that
they're hiring for.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Choose a trait that is not too relevant to the job.<o:p></o:p></b></p>
<p class="MsoNoSpacing">For example, if you're applying for a project manager
role, choose a weakness that is more related to creativity, which is something
that doesn't disqualify you from the description of the things that would make
someone successful in that role<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show how you manage it.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Have a fix-it strategy. For example, if you struggle with
remembering product details so you track them in their phone or side notebook,
that's okay, share that with them. That shows that you've got commitment to
solving that problem and addressing it.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Employers are looking for self-awareness and personal
accountability.<o:p></o:p></p>
<p class="MsoNoSpacing">It’s good to be honest about what you’re not great at.<o:p></o:p></p>
<p class="MsoNoSpacing">Share what you are doing to actively improve on this
weakness.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">4.Why should we hire you?</a></span></p>
<p class="MsoNoSpacing">This question tests how convincing you are. Interviewers
want to see if you can make a calm, confident case for yourself, even if
they’re acting doubtful. They’re looking for truthful and convincing answers.<o:p></o:p></p>
<p class="MsoNoSpacing">This is a nerve-racking question, so make sure you're set
up for success. <o:p></o:p></p>
<p class="MsoNoSpacing">Here are some tips that can help you do well in answering
it:</p>
<p class="MsoNoSpacing"><b>Ask yourself why you think you’re qualified.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Prepare for the interview by picking three or four
qualifications and experiences that help them understand why you're a fit for
this job.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Tell them how you’d fit in.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Paint a picture of what you’d accomplish that gives you a
leg up on the competition. Also, show them why you are a great match for this
company by letting them see that you know about their mission, their vision,
how they operate—and how you would fit into that really well.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Speak genuinely.<o:p></o:p></b></p>
<p class="MsoNoSpacing">How you say something is as important as what you say. So,
when you're sharing your successes and you're answering these questions, speak
like the best version of yourself and make sure that you're doing it in a way
that allows the interviewers to connect to you.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Start with the three or four best reasons you’ve got.<o:p></o:p></p>
<p class="MsoNoSpacing">Cite results, credentials, and other people’s praise so
you don’t seem self-absorbed.<o:p></o:p></p>
<p class="MsoNoSpacing">Be concise and invite follow-up questions at the end.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">5.Why do you want to work here?</a></span></p>
<p class="MsoNoSpacing">Interviewers want to understand what prompted you to
apply for this job. They don’t want candidates who are indifferent to where
they work. Instead, they want someone who offers very specific reasons for why
they want this job.<o:p></o:p></p>
<p class="MsoNoSpacing">You would be amazed by how few people get this question
right. So you've got a big opportunity to shine.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Make it all about them.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Your best answer will be about what they need. It'll show
that you've done your research and have thought through what you can contribute
to that team.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show them how you can help.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Weave your story into the context of what you can
contribute. If you have strong accounting skills and are interviewing for a
finance role at a humane society, you could suggest that this job would allow
you to blend your professional skills with your passion for animals.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Speak from the heart.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Telling a genuine story can make a big difference. For
example, I once worked with a client who was applying for a zoo event manager
job and she had grown up next door to that zoo and had great memories of the
peacocks flying over the fence and sitting on her dad's car. So, her answer was
that she wanted people to have fun memories of that zoo just like she did. Try
to top that.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Make it about them first.<o:p></o:p></p>
<p class="MsoNoSpacing">Show you’ve done your research.<o:p></o:p></p>
<p class="MsoNoSpacing">Use this as a key opportunity to outshine the
competition.<o:p></o:p></p>
<p class="MsoNoSpacing">Speak from the heart</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">6. Tell me about a time you showed leadership.</a></span></p>
<p class="MsoNoSpacing">Employers want to understand your capacity to step up and
handle tough situations that undoubtedly arise in the workplace. They want to
know when you’ve seen an opening to lean in and lead with good judgment.</p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Describe a situation where there was a lack of
leadership.<o:p></o:p></p>
<p class="MsoNoSpacing">Use the word “lead” to help describe the actions you
took.<o:p></o:p></p>
<p class="MsoNoSpacing">Give credit to your ‘leadership skills’ when explaining
the positive results.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">7. Tell me about a time you were successful on a team.</a></span></p>
<p class="MsoNoSpacing">If you can show that you’ve helped a team move through a
challenge, you probably have strong communication and interpersonal skills.
These kinds of “soft” skills are in high demand and make people successful in
their jobs.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Describe a problem that arose with a team.<o:p></o:p></p>
<p class="MsoNoSpacing">Outline your key actions with the team.<o:p></o:p></p>
<p class="MsoNoSpacing">Explain the positive result based on the work you did.<o:p></o:p></p>
<p class="MsoNoSpacing">Give credit to your teamwork skills.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">8. What would your co-workers say about you?</a></span></p>
<p class="MsoNoSpacing">Interviewers want to know if you’ll fit in with the team.
This question can also help you highlight your strengths without feeling like
you’re bragging.<o:p></o:p></p>
<p class="MsoNoSpacing">This question gives you an opportunity to share how
amazing you are—without feeling like you're showboating. Here are three quick
tips on how to answer it:</p>
<p class="MsoNoSpacing"><b>Find features that fit.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Re-read the job description and look for answers that go
well with it. For example, if they need a strong problem solver, maybe you can
share that your office nickname is “The Fixer” because you're so good at
solving tough challenges</p>
<p class="MsoNoSpacing"><b>Share some of your reviews.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Before the interview, go through your LinkedIn
recommendations and performance reviews and see if there are some gold nuggets
you might want to show them. And if it's on LinkedIn, mention it to the
interviewers so they can read the whole recommendation if they want more
detail.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Back it up with evidence.<o:p></o:p></b></p>
<p class="MsoNoSpacing">If you think your colleagues would say that you're super
creative, resist the urge to say “People like that I can think outside of the
box”. Instead, share a tangible example of your creativity that ties to the job
description.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Share something that relates to the job description and
back it with an example.<o:p></o:p></p>
<p class="MsoNoSpacing">Look to your recommendations and reviews for ideas.<o:p></o:p></p>
<p class="MsoNoSpacing">Be confident and succinct. It’s OK to shine!</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">9.Why do you want to leave your current role?</a></span></p>
<p class="MsoNoSpacing">Employers say they want to hire people who are running
“to” a role as opposed to running “away.” However, they are also interested in
your honesty when things haven’t worked out and will give people second chances
when they demonstrate hunger.<o:p></o:p></p>
<p class="MsoNoSpacing">Hiring managers will often ask this question, and it's a
test. Are you running away from something, or are you running towards
something? The advice when you get this question is simple:</p>
<p class="MsoNoSpacing"><b>Stay positive.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Employers want to see that you have a good attitude in
general. Resist the temptation to say bad things about your current job,
employer, or boss.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Focus on where you’d like to go.<o:p></o:p></b></p>
<p class="MsoNoSpacing">You should come off as someone who is looking forward,
not backward. Portray your interests more in the light of what you want to get
out of your next role.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Bring it back to them.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Show them that you’ve done your homework about their
company, and relate what you tell them back to the specific job you're
interviewing for.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Don’t talk negatively about past roles or former bosses -
employers don’t want to work with people who complain.<o:p></o:p></p>
<p class="MsoNoSpacing">Be gracious when things haven’t worked out in the past.<o:p></o:p></p>
<p class="MsoNoSpacing">Share some of the ways you’re working on improving.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">10. Describe your most challenging project.</a></span></p>
<p class="MsoNoSpacing">Employers want to get a sense of what ‘challenging’ means
to you. They also want to know how you handled the situation in a calm way.
They’re looking for a storyline to prove that you can turn a bad story into a
good story.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.<o:p></o:p></p>
<p class="MsoNoSpacing"><o:p> </o:p></p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Have a clear story with a specific challenge.<o:p></o:p></p>
<p class="MsoNoSpacing">Describe the negative impact if you hadn’t resolved the
issue.<o:p></o:p></p>
<p class="MsoNoSpacing">Discuss action steps you took and talk about the positive
impact.</p>
<p class="MsoNormal"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">11. Tell me about something you’ve accomplishedthat you are proud of.</a><o:p></o:p></span></p>
<p class="MsoNoSpacing">This question assesses how you define a professional
success. If the story resonates, the employer will want you to do similar
things at his or her company. You should focus on the impact and outcomes.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Describe the problem that existed before you acted.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about how you took initiative to solve the problem.<o:p></o:p></p>
<p class="MsoNoSpacing">Explain why you are proud of the outcome and what would
have happened if you hadn’t stepped in.</p>
<p class="MsoNormal"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">12. Can you explain your employment gap?</a><o:p></o:p></span></p>
<p class="MsoNoSpacing">This question isn’t designed to rule you out - it’s a
good sign if you get the interview. Interviewers want to get more context
about the gap and whether you’re still going to be a great fit for the role,
despite the gap.<o:p></o:p></p>
<p class="MsoNoSpacing">Most people are nervous about how a gap will be
perceived—even if there's a good explanation, But if they’ve invited you in for
an interview, then the gap hasn’t ruled you out. Here are some tips on how to
discuss it:</p>
<p class="MsoNoSpacing"><b>Be honest.<o:p></o:p></b></p>
<p class="MsoNoSpacing">The truth will set you free. Try to put the situation
into the best light and don't lie; it's bound to come back and haunt you. So if
your job was eliminated through a merger, just say so.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Speak with confidence.<o:p></o:p></b></p>
<p class="MsoNoSpacing">For example, if you had taken some time away from
working, avoid acting like you're embarrassed, apologetic or ashamed. The
interviewer is going to pick up on that. Instead, pause and you see how they
respond. The more calm, succinct and confident you are, the more at ease the
interviewer will be with your answer—and with you.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the benefits of your time off.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Bring up the good that came out of that time whether you
were laid off, stepped away to be with family, or even got fired. It's a great
way to reframe the situation and an opportunity to showcase some useful skills
that you gained during that time.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Expect that they will ask about the gap - prepare for it.<o:p></o:p></p>
<p class="MsoNoSpacing">Answer honestly and strategically.<o:p></o:p></p>
<p class="MsoNoSpacing">Be confident and succinct.<o:p></o:p></p>
<p class="MsoNoSpacing">Shine a light on the good that came out of that time.</p>
<p class="MsoNormal"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">14. What are your salary expectations?</a><o:p></o:p></span></p>
<p class="MsoNoSpacing">If this question arises early, odds are that the
interviewer is really asking: “Can we afford you?” If it arises much later, the
interviewer may be hoping that your salary requirements are aligned to what
they have budgeted for this role.<o:p></o:p></p>
<p class="MsoNoSpacing">This is a question you'll get all too often, so here are
a few tips to help you master the answer:</p>
<p class="MsoNoSpacing"><b>Give them a salary range.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know there’s room to negotiate (instead of
starting with a specific number). Avoid going too low though, because that's
going to work against your interests. And don’t go too high either, or you may
freeze yourself out of the opportunity.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Do some neutral research.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Give them a reasonable place to start from. You can use a
resource like the LinkedIn Salary Tool to find out what other companies are
paying people in this role and share with them what you learned about this
salary range. Then they’ll have to base their compensation at least on those
numbers because you've let them know what other similar organizations are
giving to employees who do that job.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Know the industry norms for similar jobs.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about ranges, rather than exact numbers.<o:p></o:p></p>
<p class="MsoNoSpacing">Make the case that you offer premium value.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">14. What do you like to do outside of work?</a></span></p>
<p class="MsoNoSpacing">Interviewers want to know you’re going to be enjoyable to
have around and not just that you have the hard skills for the job. Use this
question to set yourself up as interesting, fun, curious, or a go-getter.<o:p></o:p></p>
<p class="MsoNoSpacing">With this question, employers are looking to get a feel
for your likability and cultural fit. So what should you say—and not say? Here
are a few tips.</p>
<p class="MsoNoSpacing"><b>Pick one of your favorites.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Go ahead and share something about your hobbies,
volunteer work, or the places you enjoy traveling to. Maybe you're taking
classes to help you accelerate your skills. In general, you just want to tell
them something that's true and will paint you as an interesting, healthy, or
good human being.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Keep it short.<o:p></o:p></b></p>
<p class="MsoNoSpacing">For example, if you're a bird watcher in your free time,
skip the 22-minute account of every species you've ever documented. Share
enthusiastically so your passion shines through, but don't ramble on endlessly.
Doing so might give the people to whom you're trying to make a good impression
the feeling that you're nervous or that brevity just isn't your strong suit.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Stick to appropriate topics.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Avoid anything that might be pulverizing or offends
somebody who's not a part of a particular group like politics or religion.
Choose something uncontroversial or beneficial and take advantage of the
opportunity to show them that you're the complete package.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Share something that paints a favorable picture.<o:p></o:p></p>
<p class="MsoNoSpacing">Keep it short and sweet.<o:p></o:p></p>
<p class="MsoNoSpacing">Don’t bore them with long stories.<o:p></o:p></p>
<p class="MsoNoSpacing">Steer clear of the inappropriate zone.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">15. Tell me about a time you had to manage conflicting priorities.</a></span></p>
<p class="MsoNoSpacing">Employers want to see how you handle competing
priorities, understand the implications of missing deadlines, and can stay cool
under pressure.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.</p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Talk about the most important priority and then share
additional priorities and how they conflicted.<o:p></o:p></p>
<p class="MsoNoSpacing">Describe the steps you took to get the top priority done.<o:p></o:p></p>
<p class="MsoNoSpacing">Discuss the impact this had on the company or team.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">16. Where do you see yourself in 5 years?</a></span></p>
<h3 style="background: white;"><span face=""Calibri",sans-serif" style="color: black; font-size: 11pt; line-height: 107%; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-color-alt: windowtext; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin; mso-hansi-theme-font: minor-latin;">Employers want to determine how serious
you are about your career and whether your goals match the goals for
this job. Employers don’t expect you to offer up a specific title you
want. Instead, they want to know what you hope to accomplish.</span><span color="windowtext" face=""Calibri",sans-serif" style="font-size: 11pt; line-height: 107%; mso-ascii-theme-font: minor-latin; mso-bidi-font-family: "Times New Roman"; mso-bidi-theme-font: minor-bidi; mso-color-alt: windowtext; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin; mso-hansi-theme-font: minor-latin;"><o:p></o:p></span></h3>
<p class="MsoNormal">The key to answering this question is to focus on what you
can give to the employers or the role. Here are three tips:<o:p></o:p></p>
<p class="MsoNormal"><b>Break the time into chunks.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know what you might do in each two-to-three year
period. This helps the interviewer to visualize and see what you're describing.
Take them through what you plan to do in the first few years and how you plan
to take it up a notch in the years after that.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Talk about how your goals will help them.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Paint a vivid picture about the value that you plan to
deliver within each of those two-to-three year chunks that you described.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Avoid talking about job titles.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Resist the urge to tell them about what you want your
position to be in two, three, or five years because that can come off as overly
presumptuous.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Break the answer down in two to three-year chunks.<o:p></o:p></p>
<p class="MsoNoSpacing">Focus on what you can give, rather than what you can get.<o:p></o:p></p>
<p class="MsoNoSpacing">Don’t bring up a specific job title that you want to move
into one day.<o:p></o:p></p>
<p class="MsoNoSpacing">Make it specific to this company and position.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">17. Describe your leadership style.</a></span></p>
<p class="MsoNoSpacing">Good leaders can explain their values and priorities in a
few words. This is a test to see if you can explain yourself. It also helps to
determine whether your approach meshes with the company’s own culture.<o:p></o:p></p>
<p class="MsoNoSpacing">This is a question you’ll hear a lot and answering with
authenticity is key. Here are three tips I have to help you get started</p>
<p class="MsoNoSpacing"><b>Be clear about your leadership style.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Don’t be vague or ambivalent. If you're a team builder,
say so. If you're tough, but fair, own it. Be very concise and clear on how you
define your leadership so that they know very well what you're all about.</p>
<p class="MsoNoSpacing"><b>Give a detailed example that highlights it.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about a situation, a problem or an obstacle, and
then walk through what did you do and what was the result. What did it mean to
your organization, company, and the customer? And be sure to include how you
brought your team along, because this isn't all about you.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show situations where you've adapted.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Life's not going to be simple. People want to see how
you've grown and changed given the situation. Just like you look for that in
the people you're going to hire, the same thing with the hiring manager who's
looking to hire you.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Start by framing your basic style in a few words.<o:p></o:p></p>
<p class="MsoNoSpacing">Give an example of your leadership style in action.<o:p></o:p></p>
<p class="MsoNoSpacing">Show that you can adapt well to unexpected situations.</p>
<p class="MsoNormal"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">18. Tell me about a time you failed or made a mistake.</a><o:p></o:p></span></p>
<p class="MsoNormal">Being able to admit to a mistake shows maturity and personal
accountability. Employers want to know you’re self-aware and that you learn from
past experiences. Errors are inevitable in any job - it’s how you handle them
that matters.<o:p></o:p></p>
<p class="MsoNormal">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Use an honest example that’s believable.<o:p></o:p></p>
<p class="MsoNoSpacing">Explain why it was a mistake.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about what you’ve learned and any steps you’ve taken
to show that you’re “working on it”.</p>
<p class="MsoNormal"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">19. Tell me about a time you worked with a difficult person.</a><o:p></o:p></span></p>
<p class="MsoNoSpacing">Employers know that difficult people are everywhere, and
situations come up frequently. Explaining how you’ve been able to handle a
challenging person in a mature way demonstrates your ability to manage
difficult moments successfully.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Describe how the person was ‘difficult’.<o:p></o:p></p>
<p class="MsoNoSpacing">Explain the negative potential impact this could have
caused.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about how you approached the situation.<o:p></o:p></p>
<p class="MsoNoSpacing">Be sure to highlight the positive result your efforts
created</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">20. Tell me about a time you had to persuade some one.</a></span></p>
<p class="MsoNoSpacing">This question is all about sizing up your emotional
intelligence. Interviewers are looking for problem solvers, not shouters.
Strong answers showcase your listening skills and your ability to guide people
to better choices.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Pick an issue where your agenda is in the broader
interest.<o:p></o:p></p>
<p class="MsoNoSpacing">Show how your careful listening helped you reframe the
controversy.<o:p></o:p></p>
<p class="MsoNoSpacing">Explain how the other person’s change of heart led to a
better outcome for all.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">21. Tell me about a time you disagreed withsomeone</a></span></p>
<p class="MsoNoSpacing">Occasional conflicts are a fact of life. Interviewers
want to see if you can work through those tensions in a respectful way. If you
helped steer things toward a good compromise, that’s a big plus. Signs of anger
or bitterness will count against you.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Pick an example involving business practices - avoid
personal quarrels.<o:p></o:p></p>
<p class="MsoNoSpacing">Calmly explain both sides’ point of view.<o:p></o:p></p>
<p class="MsoNoSpacing">Show how a compromise or a fuller understanding led to a
good outcome.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">22.Tell me about a time you created a goal andachieved it.</a></span></p>
<p class="MsoNoSpacing">Strong answers reassure interviewers about your ambition
and your determination to press ahead. Pick a trivial goal, and you’re at risk
of being tagged as a slacker.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing">Show the results.<o:p></o:p></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.<o:p></o:p></p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Pick an ambitious goal that’s part of a bigger life
journey.<o:p></o:p></p>
<p class="MsoNoSpacing">Highlight obstacles and show how you overcame them.<o:p></o:p></p>
<p class="MsoNoSpacing">Finish with an insight about the way your accomplishment
has paid off.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">23. Tell me about a time you surpassed people’sexpectations.</a></span></p>
<p class="MsoNoSpacing">Employers want to know they are hiring high quality
people. If you have a story about surpassing an expectation, you’ve probably
gone above and beyond the call of duty and that’s a great thing!<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Describe a situation where you thought you weren’t going
to be successful.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about what you did to compensate for a bad
situation.<o:p></o:p></p>
<p class="MsoNoSpacing">Talk about the outcomes of your successful efforts.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">24. Tell me about a time you had to handlepressure.</a></span></p>
<p class="MsoNoSpacing">Some jobs are high-stress and interviewers will test you
to see if you can handle the heat. You’ll get partial credit for talking about
your heroic efforts to get everything done, but you’ll get more points if
you’ve enlisted allies.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Be clear about the project goal.<o:p></o:p></p>
<p class="MsoNoSpacing">Establish that you’re a strong person who doesn’t get
flustered easily.<o:p></o:p></p>
<p class="MsoNoSpacing">Show your ingenious side, too, especially if your path to
success involved redefining the task or enlisting colleagues.</p>
<p class="MsoNoSpacing"><span style="color: #4472c4; mso-effects-shadow-align: center; mso-effects-shadow-alpha: 43.0%; mso-effects-shadow-angledirection: 5400000; mso-effects-shadow-anglekx: 0; mso-effects-shadow-angleky: 0; mso-effects-shadow-color: #6E747A; mso-effects-shadow-dpidistance: 2.0pt; mso-effects-shadow-dpiradius: 3.0pt; mso-effects-shadow-pctsx: 100.0%; mso-effects-shadow-pctsy: 100.0%; mso-style-textoutline-outlinestyle-align: center; mso-style-textoutline-outlinestyle-compound: simple; mso-style-textoutline-outlinestyle-dash: solid; mso-style-textoutline-outlinestyle-dpiwidth: 0pt; mso-style-textoutline-outlinestyle-join: round; mso-style-textoutline-outlinestyle-linecap: flat; mso-style-textoutline-outlinestyle-pctmiterlimit: 0%; mso-style-textoutline-type: none; mso-themecolor: accent1;"><a href="http://www.accountsexpertschoice.com">25. Tell me about a time you had to learn something quickly.</a></span></p>
<p class="MsoNoSpacing">Interviewers want more than a one-time success; they’re
looking for signs of a well-tested strategy that helps you gather information
and put it to use. They also want to know if you feel comfortable with rapid
learning.<o:p></o:p></p>
<p class="MsoNoSpacing">Respond to this kind of question with a compelling story
that uses the "SAR" framework: situation, action, and results.</p>
<p class="MsoNoSpacing"><b>Describe the situation.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Talk about the initial events that occurred. What were
the problems that you were experiencing? What needed to be solved and what
resources did you have--or not have? This is a really key part of the story, so
it should be about three to four sentences long.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Get into the action.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Speak about the key milestones that you went through.
Tell them what you did to turn the situation around. Don't go into too much
detail though. It should only be about two to three sentences, and try to use
active verbs, things like “I implemented” or “I persuaded”.<o:p></o:p></p>
<p class="MsoNoSpacing"><b>Show the results.<o:p></o:p></b></p>
<p class="MsoNoSpacing">Let them know how well things turned out, how the
problems were solved and what you may have learned along the way. Try to
include a clincher at the end, like dollars saved or improved profitability. It
drives home that you did a great thing.</p>
<p class="MsoNoSpacing"><span style="color: red;">Tips<o:p></o:p></span></p>
<p class="MsoNoSpacing">Pick a vivid example and show why it was challenging.<o:p></o:p></p>
<p class="MsoNoSpacing">Break down your learning and mastery into three or four
distinct steps (“First, I . . . .).<o:p></o:p></p>
<p class="MsoNoSpacing">Share a tangible result and speak about it with pride.<o:p></o:p></p><br /></div></div><div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-58593357867711016652016-01-24T17:58:00.009+00:002021-07-16T14:05:34.502+01:00Interview Questions<div dir="ltr" style="text-align: left;" trbidi="on">
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<span style="color: #f1c232;"><b><span style="color: #b45f06; font-family: georgia;">Most Common Job Interview Questions </span></b></span></div>
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<span style="font-family: georgia;"><span><br /></span>
<span>Preparation is one of the keys to a successful interview. </span></span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><span>Below are some of the most common questions asked by hiring managers and
prospective employers, along with appropriate answers for each question. Review
these questions and developing your own answer to each question will help
prepare you for various interview scenarios. Being able to answer these
questions will also allow you to enter the interview with confidence.<o:p></o:p></span></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><span><a href="https://accountsexpertschoice.blogspot.in/" target="_blank"><b>Tell me a little bit about yourself</b></a></span><span><br /></span></span></div>
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<span style="font-family: georgia;">This is probably the most commonly asked question that
occurs at the beginning of an interview. Be ready with a short prepared answer
but make sure it doesn't sound rehearsed. And don't start blabbering on about
your personal life. Limit your answer to your career background and experience
unless specifically asked about your personal life. Talk about past jobs as
well as work experience that is related to the position you're interviewing
for.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Why did you leave your last job?</a></b></span></div>
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<span style="font-family: georgia;">Regardless of why you left your last job make sure to stay
positive. Always smile and focus on the positive reason such you were seeking
the opportunity to expand your career opportunities, your interest in working
with a new firm that provided greater opportunity, you desired to work in a new
location, etc. Don't reference previous job problems or differences with
management that caused you to leave. If you stay positive, your answer may help
you. If you're negative, you will likely decrease your chances of getting the
job for which you're interviewing.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What relevant work experience do you have in this career field?</a></b></span></div>
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<span style="font-family: georgia;">Talk about specific work related experience for the position
you're interviewing for. Make sure the experience is relevant. Don't talk about
previous experience that is not related to the position in question. If you
don't have specific career related experience speak about prior experience that
has helped you develop the specific knowledge and skills required for the
position you are applying for.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Do you consider yourself successful?</a></b></span></div>
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<span style="font-family: georgia;">You should always answer yes to this question. Briefly
explain why without going on and on. If you communicate that you're more
successful than you really are you may come off as arrogant or unrealistic. A
goof explanation is that you have set professional goals and that you have met
some of these goals and are on track to meet more in the near future.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><a href="https://accountsexpertschoice.blogspot.in/" target="_blank"><b>What would people you work with say about you?</b></a></span></div>
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<span style="font-family: georgia;">You don't want to say that everyone loves to work with you
but you do want to have a few positive examples of co-workers who enjoyed
working with you with an explanation why.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What do you know about our company?</a></b></span></div>
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<span style="font-family: georgia;">You always want to make sure that you're pretty familiar
with the company that you're interviewing with. Nothing looks worse than a
candidate who knows nothing about the company they say they're interested in
working for. Find out everything you can about the company, its culture and its
goals. You will also want to know how the company is positioned in its market
as well as who its major competitors are.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What have you done to improve your skills over the past year?</a></b></span></div>
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<span style="font-family: georgia;">You'll want to be prepare with some very specific examples
of what you've done over the last year and what you're currently doing to
improve your professional knowledge and skill set as well as anything else
you're doing the shows self improvement.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Are you currently looking at other job opportunities?</a></b></span></div>
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<span style="font-family: georgia;">Just answer this question honestly. Sometime an employer
wants to know if there are other companies you're considering so that they can
determine how serious you are about the industry, they're company and find out
if you're in demand. Don't spend a lot of time on this question; just try to
stay focused on the job you're interviewing for.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Why do you want to work for this company?</a></b></span></div>
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<span style="font-family: georgia;">Again be honest. The interviewer will be able to sense very
quickly if you're be disingenuous. Your answer should be base on your person
reasons, career aspirations as well as research you've performed on the
company. The most important thing you should do is make sure to relate your
answer to your long-term career goals.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Do you know anyone that works with our company?</a></b></span></div>
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<span style="font-family: georgia;">Sometimes companies have policies relating to the hiring of
individuals related to current company employees. If you are related to anyone
working for the company make sure you're aware of company policies before you
enter the interview. If you have a friend or acquaintance working for the
company make sure have good relationship with this individual before mentioning
them.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What type of salary are you looking for?</a></b></span></div>
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<span style="font-family: georgia;">This can be a very tricky question as the individual asking
it is probably digging for something other than a simple answer to the
question. We recommend that you don't immediately respond to the question
directly. Instead, say something like, “That a difficult question. What is
range for this position?” More often than not the interviewer will tell you. If
the interviewer insists on direct answer you may want say that it depends on
the details of the job - then give a wide salary range.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">How long do you want to work for us if we hire you?</a></b></span></div>
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<span style="font-family: georgia;">Here being specific is probably not the best approach. You
may consider responding, “I hope a very long time.” Or “As long as we're both
happy with my performance.”<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Did you consider yourself a team player?</a></b></span></div>
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<span style="font-family: georgia;">Of course you're a team player - who isn't. But a simple yes
probably isn't the response the interviewer is looking for. Be ready to provide
specific example of how you've worked as part of a cohesive team to get things
accomplished and how you've focus on team performance rather than individual
performance. Make sure not to brag as this will make it appear as that you're
more concerned about your own performance and accomplishments than those of the
team.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Have you ever you have been in a position where you've had to fire someone? How did you feel about that experience?</a></b></span></div>
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<span style="font-family: georgia;">Be very thoughtful about your answer. This is a very serious
matter for most companies and requires a very serious answer. You need to
express that you will do it when it is the right thing to do but you don't want
to give the impression that you're callus to the process. Don't forget that
firing is not the same as laying someone off - it typically is for the direct
benefit of the company.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">If you had enough money to retire would you?</a></b></span></div>
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<span style="font-family: georgia;">Just be honest. If you would retire then say so. But since
you can't retire, and the interviewer already knows this, simply answer that
since you can't this is type of work you prefer doing. However, if you wouldn't
retire if you had the money then explain why. Work is an important element of
happiness for most people and many won't retire even when they can.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What is your philosophy towards work?</a></b></span></div>
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<span style="font-family: georgia;">This is typically a straightforward question that merits a
straightforward answer. Do you have strong worth ethic? Will you do whatever it
takes to make sure the job gets done? Just say so in your response. Keep it
short, direct and positive.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">How do you believe you would benefit our organization?</a></b></span></div>
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<span style="font-family: georgia;">This is a great question that provides you the opportunity to
put your best foot forward, to tell the interviewer why he or she should
consider hiring you for the job. Make sure you're well prepared for this
question as you won't likely get a second chance to really shine.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-align: left;"><br /></div><div class="MsoNormal" style="text-align: left;"><b style="font-family: georgia;"><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Tell me about a suggestion you have made that has benefited an organization you've worked for.</a></b></div>
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<span style="font-family: georgia;">This is another opportunity to show the interviewer what
you're capable of so make sure to be prepared for this type of question. Have
an example ready and make sure its an example of a suggestion you've made that
was accepted and that have positive influence. If you can come up with an
example that relates to the position you're applying for that would be even
better.<o:p></o:p></span></div>
<div class="MsoNormal" style="text-align: left;"><br /></div><div class="MsoNormal" style="text-align: left;"><b style="font-family: georgia;"><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What is the most irritating thing you've experienced about your co-workers?</a></b></div>
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<span style="font-family: georgia;">This question is designed to find out if you get along well
on team, with other and whether or not you'll be a fit with the interviewer's
organization. It's a trap. Think real hard but fail to come up anything that
irritated you about your co-workers. A short positive response is best.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What do you consider to be your greatest strength?</a></b></span></div>
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<span style="font-family: georgia;">There isn't any right answer. Just make sure to make your
response positive and true. A few good examples include: Your ability to solve
complex problems, Your ability to work well on a team, Your ability to shine
under pressure, Your ability to focus in chaotic situations, Your ability to
prioritize and organize, Your ability to cut through the fluff to identify the
real issues, Your ability to influence other positively. If your strength
relates to the position in question that will be more beneficial - but again be
honest, don't create a strength for yourself just because you think it will
sound good.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Why do you think you'll do well at this job?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Provide several reasons including skills, experience and
interest. If you can show how you've been successful in a similar career field
or job position that will go along way to helping the interviewer believe
you'll also be successful at this new job.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What is your dream job?</a></b></span></div>
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<span style="font-family: georgia;">There is almost no good answer to this question, so don't be
specific. If you tell the interviewer that the job you're applying for with
his/her company is the perfect job you may loose credibility if you don't sound
believable (which you probably won't if you're not telling the truth.) If you
give the interviewer some other job the interviewer may get concerned that
you'll get dissatisfied with the position if you're hired. Again, don't be
specific. A good response could be, “A job where my work ethic and abilities
are recognized and I can make a meaningful difference to the organization.” <o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What type of people do you not work well with?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Be very careful answering this question as most organization
employ professionals with an array of personalities and characteristics. You
don't want to give the impression that you're going to have problems working
with anyone currently employed at the organization. If you through out anything
trivial you're going to look like a whiner. Only disloyalty to the organization
or lawbreaking should be on your list of personal characteristics of people you
can't work with.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Did the salary we offer attract you to this job?</a></b></span></div>
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<span style="font-family: georgia;">The interviewer could be asking you this question for a
number of reasons. Obviously, the salary is an important factor to your
interest in this job, but it should not be the overriding reason for your
interest. A good answer to this question is, “The salary was very attractive,
but the job itself is what was most attractive to me.”</span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What would your previous employer say is your greatest strength?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Be prepared for this question. If you have to sit and think
about it it's going to appear as if you're not sure or that you've never
identified your own value in the work place - not good. You don't have to have
a complex response. Keep it simple and honest. For example, several
possibilities could be Leadership, Problem solving ability, Initiative, Energy,
Work ethic, Innovative, etc., etc.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Tell me about a problem or disagreement you had with previous supervisor?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">This question is trap. It is meant to see whether or not
you'll speak poorly of an employer. No one wants to hire someone who's going to
speak poorly of them down the road. Stay upbeat and positive - and most of all
don't say anything negative about a previous employer.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What has disappointed you about a previous job?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Again, this question could get you in trouble so tread
carefully. Some good answers might be that your previous job didn't provide any
room for growth, that you were laid off due to a mandatory reduction in staff,
that they closed their office in your state and required you to relocate, etc.
Make sure not to mention anything negative about the people you worked with,
the company in general or the job itself.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">How well do you perform under pressure?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">This is a fair question, as potential employers want to know
if you're going to be able to get the job done even when things get a little
bit stressful. You may say that you thrive under pressure or that you're able
to get the job done even when things get a little bit stressful, just make sure
to provide some real world examples of your ability to work under pressure in a
prior job.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What motivates you at the work place?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Keep your answer simple, direct and positive. Some good
answers may be the ability to achieve, recognition or challenging assignments.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Are you willing to work overtime or odd hours?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Be completely honest. You don't want to lie to get the job
if you're not going to work the hours required.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">How do you measure success?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">There may be several good answers. Some include: you're able
to set realistic, yet aggressive goals that push you and you're able to achieve
them, you go the extra mile on all projects, client satisfaction is high, your
boss is elated at your performance on all projects, etc.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Are you able to relocate if required?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Be completely honest and thoughtful with this one. You don't
want to wake up one to find out that you're moving to a new city or state and
it may be a major factor in your eligibility for employment. But again, if you
don't want to move then the job probably isn't for you.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Describe your management style.</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Try to avoid specific classifications, whatever it may be.
Organizations usually prefer managers who can adapt their skills to different
situations.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Do you have any blind spots?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">This question is often meant to trick candidates since
acknowledgment of blind spots would indicate they were aware of them. Also, do
not disclose bad habits or other personal concerns. Let the interviewer find
out about your personal flaws through the course of the interview without
directly stating these flaws.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What have you learned from mistakes on the job?</a></b></span></div>
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<span style="font-family: georgia;">Candidates without specific examples often do not seem
credible. However, the example shared should be fairly inconsequential,
unintentional, and a learned lesson should be gleaned from it. Moving ahead
without group assistance while assigned to a group project meant to be
collaborative is a good example.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">If you were hiring a person for this job, what would you look for?</a></b></span></div>
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<span style="font-family: georgia;">Discuss qualities you possess required to successfully
complete the job duties.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Describe your work ethic.</a></b></span></div>
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<span style="font-family: georgia;">While discussing this, be sure to stress specific examples
of what you bring to the company. Good qualities include resolve to fulfill job
responsibilities, optimism, and a desire to be as efficient as possible while
at work.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Do you think you are overqualified for this position?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">No matter your previous job experience or educational
background, be sure to tell the interviewer you have the knowledge and skills
to successfully execute the job responsibilities.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">How do you propose to compensate for your lack of experience?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">The first thing you should do is discuss experience you have
the interviewer is unfamiliar with. Once that is detailed, tell the person
conducting the interview that you are able to learn new tasks and information
in a reasonable period of time and possess a strong work ethic. However, only
state this if you can live up to these expectations.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Tell me about a time when you helped resolve a dispute between others.</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Be sure to discuss a very specific example. Tell the
interviewer what methods you used to solve the problem without focusing on the
details of the problem.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What qualities do you look for in a boss?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Remain optimistic and do not be too specific. Good
attributes include moral character, honesty, and intelligence since managers
usually believe they possess these qualities.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What position do you prefer on a team working on a project?</a></b></span></div>
<div class="MsoNormal" style="text-align: left;">
<span style="font-family: georgia;">Do not claim to be comfortable with a specific role if you
in are in fact not comfortable with it. However, if you have no problem working
in certain roles or situations, be sure to discuss this with the interviewer.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><a href="https://accountsexpertschoice.blogspot.in/" target="_blank"><b>Tell me about the most fun you have had on the job.</b></a></span></div>
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<span style="font-family: georgia;">When answering this question, discuss situations where you
completed tasks benefitting your previous employers.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">What has been your biggest professional disappointment?</a></b></span></div>
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<span style="font-family: georgia;">When discussing a professional disappointment, make sure to
discuss a scenario you could not control. Be positive about the experience and
accept personal responsibility where applicable.<o:p></o:p></span></div>
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<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><a href="https://accountsexpertschoice.blogspot.in/" target="_blank">Do you have any questions for me?</a></b></span></div>
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<span style="font-family: georgia;">Be prepared to ask questions during every interview,
specifically questions demonstrating your desire to benefit a potential
employer. The following are examples of good questions: What departments or
projects would benefit most from my skills and experience? What do you expect
the learning curve to be before I'm effective and efficient?</span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><b><i><u>Keep in Mind</u></i></b></span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;">Be positive.<br />It’s all about perception.<br />Use an example from the past.<br />Use common sense.<br />Demonstrate that your skills are transferable.<br />Use this as an opportunity to elicit more information.<br />Be honest and bold.<br />Don’t nova's, be cool in interview.<br />Look on to HR, eye to eye contact.<br />Don’t murmur, speak clearly and loudly.<br />Keep smile on your face,</span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="text-align: left;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="text-align: left;"><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgUJz9gMQw61MacS_J9PwO_52vSZYIULZzMXyP30ma3FtZZVToNr8Kr0OQWqdivo9zTiM1j2g0OXM7czdMZddduKA-9ojJlIJ0xMo1GxP8mXb0iRDB3wHIfu60IzU7epvwM9Dq_UVvt6c8/s308/download.jfif" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="164" data-original-width="308" height="208" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgUJz9gMQw61MacS_J9PwO_52vSZYIULZzMXyP30ma3FtZZVToNr8Kr0OQWqdivo9zTiM1j2g0OXM7czdMZddduKA-9ojJlIJ0xMo1GxP8mXb0iRDB3wHIfu60IzU7epvwM9Dq_UVvt6c8/w623-h208/download.jfif" width="623" /></a></div><div class="separator" style="clear: both; text-align: center;"><br /></div><div class="separator" style="clear: both; text-align: center;"><br /></div><div class="separator" style="clear: both; text-align: center;"><br /></div><div class="separator" style="clear: both; text-align: center;"><br /></div><div class="separator" style="clear: both; text-align: center;">
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;"><b>Hi </b></span><b style="font-family: georgia;">Beloved readers,</b></p><p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;"><b>Personal Note to you,</b><o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Answering this question
successfully is all about presenting yourself – including your weaknesses – in
the most positive light, <o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">This is your chance to demonstrate your
honesty, self-awareness, and willingness to learn and improve.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">While identifying a weakness or
deficiency, emphasis that you are aware of the problem and actively working to
improve.</span></p><p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Answer with enthusiasm and positivity and show your prospective
employer what a great attitude you have. For example, if you say that you
sometimes have a tendency to procrastinate, be sure to emphasis’ that you are
aware of the problem and have become an ardent planner and list-maker to keep
yourself on schedule. Stress how much satisfaction you get from crossing things
off your to-do list and getting things done on time, and how happy you are
about the improvements you’ve made.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Remember, the same ‘negative’
trait can be turned into a positive depending on how you present it. If you
have a tendency to be overly meticulous (i.e. anal) and therefore sometimes
take too long to complete tasks, you can highlight the fact that you like to
see things done to the highest standard – though you are getting better at
letting things go and working more quickly now. Or if you tend to be a little
quiet and reserved at work, and are sometimes perceived as aloof, you can say
that you are a little shy – but once people get to know you, they soon see that
you are loyal, discreet and a good listener.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">The importance of using concrete examples from your past as illustration.
Instead of speaking in loose generalities and hypothetical’s, talk about your
experiences and show how you have improved on your weaknesses in previous jobs.
The more specific you can be, the better.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">For example, you can tell the
interviewer that you used to have a tendency to tardiness, but that once you
started setting your alarm clock a half hour earlier and using your mobile
phone to remind you of appointments, you haven’t been late once in the last six
months!<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Think about the key qualities
required for the job and make sure you demonstrate strength in those areas –
and only cite weaknesses which are less crucial to the role. For example, if
you are going for an administrative job, you wouldn’t want to say that your
attention to detail is a weakness – whereas if you are going for a creative,
big-picture type of role, then lacking attention to detail might not be such a
big deal.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">If you’re obvious deficiency is a
lack of experience in a similar role (such as when you are changing career
direction), I advise you to find a link between your previous experience
and the present role, showing that your skills can easily be transferred to a
new context. Let’s say you come from a background in office administration and
are pursuing an entry-level job in marketing and communications. If, in your
previous job, you wrote and proofread newsletters and reports, and helped to
contribute marketing ideas during staff meetings, then you have relevant
experience that can be transferred to your new role. Stress that you are
adaptable, and eager to learn and apply yourself to a new environment.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">You can even use the fact that
you come from a different background to your advantage, by emphasizing that you
can bring something new and fresh to the position. Your relative inexperience
could inject them with some much-needed fresh blood and be exactly what they
need.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">I also suggests that you
use this question to find out more about the company. See if you’re supposed
weakness can complement their business or team. For example, if you are someone
who needs and likes structure, find out what their present systems are like. Do
they operate like a well-oiled machine that you could easily slot into, or are
they in dire need of a systems overhaul that you could help to implement? If
their structure is not compatible with your working style, this may not be the
company for you – and it’s better for everyone if you figure that out now.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">In some cases, it might be
acceptable to keep your answer to this question fairly light-hearted – for
example, ‘I’m a coffee addict’. However, you’ll have to use your judgment here
based on the nature of the role and the personality of the interviewer – you
don’t want to come across as flippant.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Keep in mind that your
prospective employer will call your referees and ask about any weaknesses, so
don’t be caught out saying something untrue that will later call your honesty
and integrity into question. Outright lies will usually come back to bite you
on the proverbial.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">When answering the question about
why you want the job, the comprehensive pre-interview research you have done
will become essential. The interviewer wants to know why you are interested in
the position so he/she can gauge what skills you are bringing to the position
and how it fits into your short- and long-term career plans.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">Use your answer to demonstrate
your knowledge of the company and re-emphasis your suitability for the
position. Give specific examples of things that attracted you to the company,
so the interviewer can see that you match their culture and will thrive in the
position.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">While this looks like a question
about you, the interviewer wants to know what you can do for the company and
that you are a good fit for the job.<o:p></o:p></span></p>
<p class="MsoNormal" style="text-align: justify;"><span style="font-family: georgia;">In your answer, you might want to
elaborate on your strengths and achievements and how they match the position
description. You could also talk about your career goals and the objectives of
the company (information from your research). In both these instances, you are
explaining how and why you would be an asset to the company.</span><o:p></o:p></p><p class="MsoNormal" style="text-align: justify;"><a href="http://accountsexpertschoice.blogspot.com/2016/01/leadership-interview-questions-and.html#more" style="background-color: white; color: #336699; font-family: Verdana, Geneva, sans-serif; font-size: 13.5px; text-align: start; text-decoration-line: none;" title=" Leadership Qualities "><b>http://accountsexpertschoice.blogspot.com/</b></a></p><p class="MsoNormal" style="text-align: justify;"></p><div style="text-align: start;"><span style="color: #336699; font-family: Verdana, Geneva, sans-serif;"><span style="font-size: 13.5px;"><br /></span></span></div><a href="http://accountsexpertschoice.blogspot.com/2016/01/leadership-interview-questions-and.html#more" style="background-color: white; color: #336699; font-family: Verdana, Geneva, sans-serif; font-size: 13.5px; text-align: start; text-decoration-line: none;" title=" Leadership Qualities "></a><div class="separator" style="clear: both; text-align: center;"><a href="http://accountsexpertschoice.blogspot.com/2016/01/leadership-interview-questions-and.html#more" style="background-color: white; color: #336699; font-family: Verdana, Geneva, sans-serif; font-size: 13.5px; text-align: start; text-decoration-line: none;" title=" Leadership Qualities "></a><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEibw7NOyZ9lvCGSl-Akqk0JPwDg8z1VTFumC_p6KLUcEWvDnCZ4N6DvuyBCtkwdS5n5Vae8ITjb5cq6qbbaeEU3MyTxB2cXSfCCIG2ZNY0sKCwDdNS6gwQXIFY0I_1izC3vpRiboQ3R8rg/s160/sur" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="120" data-original-width="160" height="254" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEibw7NOyZ9lvCGSl-Akqk0JPwDg8z1VTFumC_p6KLUcEWvDnCZ4N6DvuyBCtkwdS5n5Vae8ITjb5cq6qbbaeEU3MyTxB2cXSfCCIG2ZNY0sKCwDdNS6gwQXIFY0I_1izC3vpRiboQ3R8rg/w339-h254/sur" width="339" /></a></div><p></p></div></div>
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<div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-38551823356530370502016-01-24T09:33:00.006+00:002021-07-16T12:59:16.620+01:00Accounts & Finance Basic Questions <div dir="ltr" style="text-align: left;" trbidi="on">
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<b><span style="font-size: 12pt;"><a href="https://accountsexpertschoice.blogspot.com/" target="_blank"><span style="color: orange; font-family: georgia;"></span></a><span style="color: orange; font-family: georgia;"><div class="separator" style="clear: both; text-align: center;"><a href="https://accountsexpertschoice.blogspot.com/" target="_blank"></a><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEizNyupdI1QkD819dcI_T7DrKkO7xepczt1Mxb_3TfmpCh9usO0AqX6lQJ9_F-hZv3kT9AItAV62jv078V1CY7bP8ONeHae_o7VnMFGfFNuNNF5mktT1WVPIykV1h_kDN7QqaYlKXcfIVU/s878/Capture.JPG" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="254" data-original-width="878" height="103" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEizNyupdI1QkD819dcI_T7DrKkO7xepczt1Mxb_3TfmpCh9usO0AqX6lQJ9_F-hZv3kT9AItAV62jv078V1CY7bP8ONeHae_o7VnMFGfFNuNNF5mktT1WVPIykV1h_kDN7QqaYlKXcfIVU/w497-h103/Capture.JPG" width="497" /></a></div>Basic Accounts; </span></span></b></div><div style="text-align: justify;"><b><span style="font-family: georgia;"><br /></span></b></div><div style="text-align: justify;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">What is the meaning of TDS? How it is charged?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">TDS means Tax Deduct at the source. It is deducted by the customer who gets the services from vendor or supplier and is deposited to IT Department.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">What is the difference between Finance & Accounts?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Finance is related to money. whereas accounts is an art of recording, summarizing, classifying the books of accounts<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">Finance is the art of managing money, whereas accounting is the language which we use to manage money transactions.</span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">What is difference between account payable and bills payable?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Bills Payable</span></b><span style="font-size: 12pt;">: </span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span><span style="font-family: georgia; font-size: 12pt;">Bills drawn by the creditor and accepted by the trader in settlement of accounts.<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><span><b><span style="font-size: 12pt;">AP</span></b><span style="font-size: 12pt;">: </span></span><span style="font-size: 12pt;">Amount owed by the company to its vendors or suppliers in respective of goods/services purchased on credit.</span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Vendor Account Reconciliation;</span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Vendor account reconciliation what is the amount of vendor in our books. Vendor account and our account much be tally that like this payment, invoice, debit note, credit note, closing or opening balance.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Vendor account reconciliation is outstanding of suppliers or sundry creditors.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">In the <b>2 way matching</b> process quantity and amount on the invoice are matched to the quantity and amount on the corresponding purchase order<o:p></o:p></span></div><div class="MsoNormal" style="line-height: 13.8pt; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">The <b>3 way matching</b> process is used when an operating location is using online receiving,<o:p></o:p></span></div><div class="MsoNormal" style="line-height: 13.8pt; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">In 3 way matching an invoice is matched to the corresponding purchase order for quantity and amount and to receiving information.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">The <b>4 way matching</b> process is used when an operating location is using online receiving and inspection. In 4 way matching an invoice is matched to the corresponding purchase order for quantity and amount, receiving, and inspection information.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">There are four types of purchase orders.</span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">1) Standard: This PO is created for one-time purchase of material.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">2) Blanket: In this PO delivery schedule are not known clearly (Net price 1 and qty should invoice value while creating PO).<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">3) Contract: In this PO material required are not specified.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">4) Regular PO: It is a long term agreement PO. In this PO it specifies materials, estimated costs, and tentative delivery schedules.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">The Typical Procure to Pay Cycle<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">These steps are usually involved in your typical procure to pay cycle:<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Identification of Requirement<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Authorization of Purchase Request<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Final Approval of Purchase Request<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Procurement<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Identification of Suppliers<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Inquiries<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Receipt of the Quotation<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Negotiation<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Selection of the Vendor<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Purchase Order Acknowledgement<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Advance Shipment Notice<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Goods Receipt<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Invoice Recording<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">3 Way Match<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Payment to Supplier<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Depreciation – What is depreciation?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Definition: Depreciation is permanent and continuing diminution in the quality, quantity or value of an asset.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Depreciation is the measure of wearing out of a fixed asset. All fixed assets are expected to be less efficient as time goes on.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Depreciation is calculated as the estimate of this measure of wearing out and is charged to the Profit & Loss account either on a monthly or annual basis. The cost of the asset less the total depreciation will give you the Net Book Value of the asset.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Types of depreciation<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Common methods of depreciation are as follows: Straight Line Depreciation; same depreciation is charged over the entire useful life.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Reducing Balance Depreciation; Depreciation expense decreases at a constant rate as the life of an asset progresses.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Sum of the Year' Digits Depreciation; Depreciation charge declines by a constant amount as the life of the asset progresses.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">Units of Activity Depreciation; Depreciation charge varies each period in proportion to the change in level of activity<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Accruals Concept;<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;"><br /></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Accrual Definition<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">An accrual is a journal entry that is used to recognize revenues and expenses that have been earned or consumed, respectively, and for which the related cash amounts have not yet been received or paid out. Accruals are needed to ensure that all revenues and expenses are recognized within the correct reporting period, irrespective of the timing of the related cash flows. Without accruals, the amount of revenue, expense, and profit or loss in a period will not necessarily reflect the actual level of economic activity within a business.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Examples of accruals that a business might record are:<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Expense accrual for interest</span></b><span style="font-size: 12pt;">. A local lender issues a loan to a business, and sends the borrower an invoice each month, detailing the amount of interest owed. The borrower can record the interest expense in advance of invoice receipt by recording accrued interest.<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Expense accrual for wages</span></b><span style="font-size: 12pt;">. An employer pays its employees once a month for the hours they have worked through the 26th day of the month. The employer can accrue all additional wages earned from the 27th through the last day of the month, to ensure that the full amount of the wage expense is recognized.<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Expense accrual for supplier goods and services</span></b><span style="font-size: 12pt;">. A supplier delivers goods at the end of the month, but is remiss in sending the related invoice. The company accrues the estimated amount of the expense in the current month, in advance of invoice receipt.<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Sales accrual.</span></b><span style="font-size: 12pt;"> A services business has a number of employees working on a major project for the federal government, which it will bill when the project has been completed. In the meantime, the company can accrue revenue for the amount of work completed to date, even though it has not yet been billed.<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">What is the difference between a Credit and a Debit balance?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">A debit is an entry on the left side of an account. For example, the account Cash is debited when cash is received. The account Cash will be credited when cash is paid out. (A credit is an entry on the right side of an account.)<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Credit balance</span></b><span style="font-size: 12pt;">: balance in an account showing that more money has been received than is owed<o:p></o:p></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><b><span style="font-size: 12pt;">Debit balance</span></b><span style="font-size: 12pt;">: balance in an account showing that more money is owed than has been received</span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span><span style="font-family: georgia; font-size: 12pt;"><br /></span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Explain Bank Reconciliation Statement. Why is it prepared?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">Bank Reconciliation Statement is a statement prepared to reconcile the balances of cash book maintained by the concern and pass book maintained by the bank at periodical intervals. At the end of every month entries in the cash book are compared with the entries in the pass book. The causes of differences in balances of both the books are scrutinized and then reconciliation statement is prepared. This statement is prepared for a special purpose and once in a month. It is prepared with a view to indicate items which cause difference between the balances as per the bank columns of the cash book and the bank pass book at a particular date.</span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">What are the reasons which cause pass book of the bank and your bank book not tally?<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Cheque deposited into the bank but not yet collected<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Cheques issued but not yet presented for payment<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Bank charges<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Amount collected by bank on standing instructions of the concern.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Amount paid by the bank on standing instructions of the concern.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Interest debited by the bank<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Interest credited by the bank<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Direct payment by customers into the bank account<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">* Dishonor of Cheques<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia; font-size: 12pt;">* Clerical errors</span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><b><span style="font-family: georgia; font-size: 12pt;">Process flow for Procure to pay will go through two departments<o:p></o:p></span></b></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">(Commercial & Finance)<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Procure - Commercial Department the following steps involve to procure any item<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">1. Received Requisition from concern Department<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">2. Request for Quotation from Suppliers at least three<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">3. Finalize the best Quotation by keeping in mind about our companies standard<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">4. Check the Budget for the same<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">5. Negotiate with supplier for more economic pricing and finalize the payment terms<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">6. Process the PO and forward to the supplier to supply the goods and services<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">Pay Cycle - Finance Department<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">The following steps need to be fulfil<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">1. Invoice should be match with PO<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">2. Invoice should has all the supporting documents such as PO copy, Delivery note duly signed by receiver (our staff who authorized to received goods / store keeper)<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">3. If the invoice is for services then it should be forwarded to the concern department head or project manager for his confirmation of work done and his approval<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">4. Even if it not the services invoice, it should forwarded to the concern person's approval who request the PO for the same<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">5. Finance can reject the invoice if it is not budgeted and ask for the reasons.<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">6. After receiving all the confirmation and approvals from the concern department heads the invoice will be update in to the accounting system first in order to avoid any duplication of Invoice and PO (it shown on accounting package if the invoice is duplicate if not, ate last it tells you if the PO already used or cancel)<o:p></o:p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;">7. Finance approved the invoice and process the payment base on payment terms with the supplier.</span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia; font-size: 12pt;"><p class="MsoNormal"><span style="font-size: 11pt; line-height: 107%;"><b style="font-size: medium;"><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Provision (Accounting)</span></a></span></b><b style="font-size: medium;"><span style="font-size: 12pt;"> </span></b></span></p>
<p class="MsoNormal">A provision can be a liability of uncertain timing or
amount. A liability, in turn, is a present obligation of the entity arising
from past events, the settlement of which is expected to result in an outflow
from the entity of resources embodying economic benefits.<o:p></o:p></p>
<p class="MsoNormal">Though it is often thought to be, a provision should not be
a form of savings. Examples are income tax liability, product warranty,
environment restoration, etc<o:p></o:p></p></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><b><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Accounts payable</span></a></span></b><b><span style="font-size: 12pt;"> -- A</span></b><span style="font-size: 12pt;">mounts
owed by the company for the goods or services it has purchased from outside
suppliers.</span></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><span><p class="MsoNormal"><o:p></o:p></p><b><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Accounts </span></a></span></b><b><a href="http://accountsexpertschoice.blogspot.in/"><span style="color: black;">receivable</span></a> </b><b><span style="font-size: 12pt;">-- A</span></b><span style="font-size: 12pt;">mounts
owed to the company by its cust<o:p></o:p></span></span><span style="font-size: 12pt;">omers.</span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><span style="color: #444444;"><b><span style="font-size: 12pt;"><br /></span></b></span><b><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Accrual </span></a><a href="http://accountsexpertschoice.blogspot.in/"><span style="color: #002060;">basis, system, or method</span></a> </span></b><b><span style="font-size: 12pt;">-- A</span></b><span style="font-size: 12pt;">n accounting system that records revenues and expenses at the
time the transaction occurs, not at the time cash changes hands. If you buy a
coat and charge it, the store records or accrues the sale when you walk out
with the coat, not when you pay your bill. Cash basis accounting is used by
individuals. Accrual basis accounting is used by most businesses.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.in/"><span style="color: black; text-decoration-line: none;">Accrued</span><span style="color: blue; text-decoration-line: none;"> </span></a><a href="http://accountsexpertschoice.blogspot.in/"><span style="color: black; text-decoration-line: none;">expenses, accruals</span></a> -- A</span></b><span style="font-size: 12pt;">n expense
which has been incurred but not yet paid for. Salaries are a good example.
Employees earn or accrue salaries each hour they work. The salaries continue to
accrue until payday when the accrued expense of the salaries is eliminated.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b><b><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Aging</span></a> </span></b><b><span style="font-size: 12pt;">-- A</span></b><span style="font-size: 12pt;"> process
where accounts receivable are sorted out by age (typically current, 30 to 60
days old, 60 to 120 days old, and so on.) Aging permits collection efforts to
focus on accounts that are long overdue.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b><b><span style="color: #002060;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/3855182335653037050?hl=en-GB"><span style="color: #002060;">Amortize </span></a></span></b><b><span style="font-size: 12pt;">-- T</span></b><span style="font-size: 12pt;">o charge a regular portion of an expenditure over a fixed period
of time. For example if something cost $100 and is to be amortized over ten
years, the financial reports will the entire $100 would show up on the
financial report as an expense in the year show an expense of $10 per year for
ten years. If the cost were not amortized, the expenditure was made. (Entries
on Expenditure and Expense.)<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Appreciation-- A</span></b><span style="font-size: 12pt;">n increase in value. If a machine cost
$1,000 last year and is now worth $1,200, it has appreciated in value by $200.
(The opposite of depreciation.)<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Assets-- T</span></b><span style="font-size: 12pt;">hings of
value owned by a business. An asset may be a physical property such as a
building, or an object such as a stock certificate, or it may be a right, such
as the right to use a patented process.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Current Assets- </span></b><span style="font-size: 12pt;">Are</span><span style="font-size: 12pt;"> those
assets that can be expected to turn into cash within a year or less. Current
assets include cash, marketable securities, accounts receivable, and inventory.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Fixed
Assets-</span></b><span style="font-size: 12pt;"> Cannot be quickly turned into cash without interfering with
business operations. Fixed assets include land, buildings, machinery, equipment,
furniture, and long-term investments.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Intangible Assets- A</span></b><span style="font-size: 12pt;">re items such as patents,
copyrights, trademarks, licenses, franchises, and other kinds of rights or
things of value to a company, which are not physical objects. These assets may
be the most important ones a company owns. Often they do not appear on financial
reports.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Audit-- A</span></b><span style="font-size: 12pt;"> careful
review of financial records to verify their accuracy.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Bad debts
-- </span></b><span style="font-size: 12pt;">amounts owed to a company that are not going to be paid. An
account receivable becomes a bad debt when it is recognized that it won't be
paid. Sometimes, bad debts set up to provide for possible bad debts. Creating
or adding to a reserve is are written off when recognized. This is an expense.
Sometimes, a reserve is also an expense.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Balance sheet --</span></b><span style="font-size: 12pt;"> a statement of the
financial position of a company at a single specific time (often at the close
of business on the last day of the month, quarter, or while liabilities and
capital are listed on the right side or bottom. The total year.) The balance
sheet normally lists all assets on the left side or top numbers on the right
side or bottom. A balance sheet balances according to this of all numbers on
the left side or top must equal or balance the total of all equation: Assets =
Liabilities + Capital.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Bond -- </span></b><span style="font-size: 12pt;">A written
record of a debt payable more than a year in the future. The bond shows amount
of the debt, due date, and interest rate.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Book
value --T</span></b><span style="font-size: 12pt;">otal assets minus total liabilities. (See also net worth.) Book
value also means the value of an asset as recorded on the company's books or
financial reports. Book value is often different than true value. It may be
more or less.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Breakeven point -- T</span></b><span style="font-size: 12pt;">he amount of revenue from
sales which exactly equals the amount of expense.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;">Breakeven point is often expressed as the number of units that
must be sold to produce revenues exactly equal to expenses. Sales above the
breakeven point produce a profit; below produces a loss.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Capital-- M</span></b><span style="font-size: 12pt;">oney invested in a business by its owners. (See
equity.) On the bottom or right side of a balance sheet.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia; font-size: 12pt;">Capital
also refers to buildings, machinery, and other fixed assets in a long-term use.
<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Capitalize-- T</span></b><span style="font-size: 12pt;">o capitalize means to record an expenditure on the balance sheet
as an asset, to be amortized over the future. The opposite is to expense. For
example, research expenditures can be capitalized or expended. If expended,
they are charged against income over a period of time usually related to the
life of the products or the expenditure occurs. If capitalized, the expenditure
is charged against services created by the research.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Cash --M</span></b><span style="font-size: 12pt;">oney
available to spend now. Usually in a checking account.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Cash flow
-- T</span></b><span style="font-size: 12pt;">he amount of actual cash generated by business operations, which
usually differs from profits shown.</span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Chart of
accounts -- </span></b><span style="font-size: 12pt;">A listing of all the accounts or categories into which business
transactions will be classified and recorded. Each account usually has a
number. Transactions are coded by this number for manipulation on computers.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Contingent liabilities --L</span></b><span style="font-size: 12pt;">iabilities not recorded on
a company's financial reports, but which might become due. If a company is
being sued, it has a contingent liability that will become a real liability if
the company loses the suit.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Retained
earnings -- P</span></b><span style="font-size: 12pt;">rofits not distributed to shareholders as dividends, the
accumulation of a company's profits less any dividends paid out. Retained
earnings are not spendable cash.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Sales</span></b><span style="font-size: 12pt;"><o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;">Two, Three, and Four Way Matching x the expense or cost of
all items sold during an accounting period. Each unit sold has a cost of sales
or cost of the goods sold. In businesses with a great many items flowing
through, the cost of sales or cost of goods sold is often During the Period -
Ending Inventory.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia; font-size: 12pt;">Computed
by this formula: Cost of Sales = Beginning Inventory + Purchases<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Credit-- A</span></b><span style="font-size: 12pt;">n
accounting entry on the right or bottom of a balance sheet. Usually an increase
in liabilities or capital, or a reduction in assets. The opposite of credit is
debit. Each credit in a balance sheet has a balancing debit. Credit has other
usages, as in credit your account with the refund." "You have to pay
cash, your credit is no good." Or "we will<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Debit-- A</span></b><span style="font-size: 12pt;">n
accounting entry on the left or top of a balance sheet. Usually an increase in
assets or a reduction in liabilities. Every debit has a balancing credit.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Deferred
income -- </span></b><span style="font-size: 12pt;">A liability that arises when a company is paid in advance for
goods or services that will be provided later. For example, when a magazine
subscription is paid in advance, the magazine publisher is liable to provide
magazines for the life are delivered of the subscription. The amount in
deferred income is reduced as the magazines<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Depreciation-- A</span></b><span style="font-size: 12pt;">n expense that is supposed
to reflect the loss in value of a fixed asset. For example, if a machine will
completely wear out after ten year's use, the cost of the machine is charged as
an expense over the ten-year life rather than all at once, when the machine is
purchased. Straight line depreciation charges the same amount to expense each
year. Accelerated depreciation charges more to expense in early years, less in
later years. Depreciation is an accounting expense. In real the depreciation
period ends. life, the fixed asset may grow in value or it may become worthless
long before,<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Discounted
cash flow -- </span></b><span style="font-size: 12pt;">A system for evaluating investment opportunities that discounts or
reduces the value of future cash flow. (See present value.)<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Dividend--
</span></b><span style="font-size: 12pt;">A portion of the after-tax profits paid out to the owners of a
business as a return on their investment.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Double
entry -- </span></b><span style="font-size: 12pt;">A system of accounting in which every transaction is recorded
twice -- as a debit and as a credit.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Earnings
per share -- </span></b><span style="font-size: 12pt;">A company's net profit after taxes for an accounting period,
divided by the average number of shares of stock outstanding during the period.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><span><b><span style="font-size: 12pt;">80 - 20
rule --</span></b><span style="font-size: 12pt;"> a general rule of thumb in business that says that 20% of the
items produce 80% of the action -- 20% of the product line produces 80% of the
sales, 20 percent of the customers generate 80% of the complaints, and so on.
In evaluating any of the transactions you are concerned with. This rule is not
exactly accurate, business situation, look for the small group which produces
the major portion but it reflects a general truth, nothing is evenly
distributed.</span></span><br />
<span style="font-size: 12pt;"><br /></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Equity-- T</span></b><span style="font-size: 12pt;">he
owners' share of a business.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Expenditure-- A</span></b><span style="font-size: 12pt;">n expenditure occurs when something is acquired
for a business -- an asset is purchased, salaries are paid, and so on. An
expenditure affects the balance sheet when it occurs.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia; font-size: 12pt;">However,
an expenditure will not necessarily show up on the income statement or affect
profits at the time the expenditure is made. All expenditures
eventually most expenditures involve the exchange of cash for something,
expenses need not show up as expenses, which do affect the income
statement and profits. While involve cash. (See expense below.)<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Expense--
</span></b><span style="font-size: 12pt;">An expenditure which is chargeable against revenue during an
accounting period. An expense results in the reduction of an asset. All
expenditures are not expenses. For example, a company buys a truck. It trades
one asset - cash - to acquire another asset. An expenditure has occurred but no
expense is recorded. Only as the truck is depreciated will an expense be
recorded. The concept of expense as different is important in understanding how
accounting works and what financial reports from an expenditure is one reason
financial reports do not show numbers that represent spendable cash. The
distinction between an expenditure and an expense when the expenditure occurs.
The opposite is to capitalize.) Mean. (To expense is a verb. It means to charge
an expenditure against income<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Fiscal
year -A</span></b><span style="font-size: 12pt;">n accounting year than begins on a date other than January.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Fixed
cost -- </span></b><span style="font-size: 12pt;">A cost that does not change as sales volume changes (in the short
run.) Fixed costs normally include such items as rent, depreciation, interest,
and any salaries unaffected by ups and downs in sales.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Goodwill-- I</span></b><span style="font-size: 12pt;">n accounting, the difference between what a companies
pays when it buys the assets of another company and the book value of those
assets. Sometimes, real goodwill is involved- a company's good reputation, the
loyalty of its customers, and so on. Sometimes, goodwill is an over payment.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;"><br />
<!--[if !supportLineBreakNewLine]--><br />
<!--[endif]--><o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Interest--
</span></b><span style="font-size: 12pt;">A charge made for the use of money.<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Inventory-- T</span></b><span style="font-size: 12pt;">he supply or stock of goods and products that a company has for
sale. A manufacturer may have three kinds of inventory: raw materials waiting
to be converted into goods, work in process, and finished goods ready for sale.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Inventory
obsolescence -- I</span></b><span style="font-size: 12pt;">nventory no longer salable. Perhaps there is too much on hand,
perhaps it is out of fashion. The true value of the inventory is seldom exactly
what is shown on the balance sheet. Often, there is unrecognized obsolescence.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Inventory
shrinkage --</span></b><span style="font-size: 12pt;">a reduction in the amount of inventory that is not easily
explainable. The most common cause of shrinkage is probably theft.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Inventory
turnover -- </span></b><span style="font-size: 12pt;">A ratio that indicates the amount of inventory a company uses to
support a given level of sales. The formula is: Inventory Turnover = Cost of Sales
Average ratio is significant in comparison with the ratio for previous periods
or the Inventory. Different businesses have different general turnover levels.
The ratio for similar businesses.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Invested
capital -- T</span></b><span style="font-size: 12pt;">he total of a company's long-term debt and equity.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Journal--
</span></b><span style="font-size: 12pt;">A chronological record of business transactions.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Ledger-- </span></b><span style="font-size: 12pt;">A record
of business transactions kept by type or account. Journal entries are usually
transferred to ledgers.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Liabilities-- A</span></b><span style="font-size: 12pt;">mounts owed by a company to others. Current liabilities are
those amounts due within one year or less and usually include accounts payable,
accruals, loans due to be paid within a year, taxes due within a year, and
so on. Long-term liabilities normally include the amounts of
mortgages, bonds, and long-term loans that are due more than a year in the
future.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Liquid-- H</span></b><span style="font-size: 12pt;">aving
lots of cash or assets easily converted to cash.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Marginal
cost, marginal revenue -- M</span></b><span style="font-size: 12pt;">arginal cost is the additional cost incurred by
adding one more item. Marginal revenue is the revenue from selling one more
item. Economic theory says that maximum profit comes at a point where marginal
revenue exactly equals marginal cost.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Net worth
-- T</span></b><span style="font-size: 12pt;">otal assets minus total liabilities. Net worth is seldom the true
value of a company.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Opportunity cost --</span></b><span style="font-size: 12pt;">A useful concept in
evaluating alternate opportunities. If you choose alternative<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia; font-size: 12pt;">A, you
cannot choose B, C, or D. What is the cost or loss of profit of not alternative
A.? In personal life you may buy a car instead of taking a European choosing B,
C, or D? This cost or loss of profit is the opportunity cost of the vacation.
The opportunity cost of buying the car is the loss of the enjoyment<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Overhead--
</span></b><span style="font-size: 12pt;">A cost that does not vary with the level of production or sales,
and usually a cost not directly involved with production or sales. The chief
executive's salary and rent are typically overhead.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Post --T</span></b><span style="font-size: 12pt;">o enter
a business transaction into a journal or ledger or other financial record.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Prepaid
expenses, deferred charges -- A</span></b><span style="font-size: 12pt;">ssets already paid for,
that are being used up or will expire. Insurance paid for in advance is a
common example. The insurance protection is an asset. It is paid for in
advance, it lasts for a period of time, and expires on a fixed date.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Present
value -- </span></b><span style="font-size: 12pt;">A concept that compares the value of money available in the future
with the value of money in hand today. For example, $78.35 invested today in a
5% savings account will grow to $100 in five years. Thus the present value of
analyze investment opportunities that have a future payoff. $100 received in
five years is $78.35. The concept of present value is used to<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Price-earnings (p/e) ratio -- T</span></b><span style="font-size: 12pt;">he market price of a share
of stock divided by the earnings (profit) per share. P/E ratios can vary from
sky high to dismally low, but often do not reflect the true value of a company.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Profit-- T</span></b><span style="font-size: 12pt;">he amount left over when expenses are
subtracted revenues.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;">Gross profit is the profit left when cost of sales is subtracted
from sales, before any operating expenses are subtracted. Operating profit is the
profit from the primary operations of a business and is sales minus cost of
sales minus operating expenses. Net profit before taxes is operating profit
minus non-operating expenses and plus non-operating income. Net Profit after
taxes is the bottom line, after everything has been subtracted. Also called
income, net income, and earnings. Not the same as cash flow and does not
represent spendable dollars.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Retained
earnings -- P</span></b><span style="font-size: 12pt;">rofits not distributed to shareholders as dividends, the
accumulation of a company's profits less any dividends paid out. Retained
earnings are not spendable cash.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Return on
investment (ROI) -- </span></b><span style="font-size: 12pt;">A measure of the effectiveness and efficiency
with which managers use the resources available to them, expressed as a
percentage. Return on equity is usually net profit after taxes divided by the
shareholders' equity. Return on invested capital is usually net profit after
taxes plus interest paid on long-term debt divided by the equity plus the
long-term debt. Return on assets used is usually the operating profit divided
by the assets used to produce the profit. Typically used to evaluate divisions
or subsidiaries. ROI is very useful but can only be used to compare consistent
entities -- similar companies in the same industry industries have different
ROIs. or the same company over a period of time. Different companies and
different.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Revenue-- T</span></b><span style="font-size: 12pt;">he amounts received by or due a company for goods or services it
provides to customers. Receipts are cash revenues. Revenues can also be
represented by accounts receivable.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Risk --T</span></b><span style="font-size: 12pt;">he possibility of loss; inherent in all business activities. High
risk requires high return. All business decisions must consider the amount of
risk involved.<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Stock-- </span></b><span style="font-size: 12pt;">A certificate (or electronic or other record) that indicates
ownership of a portion of a corporation; a share of stock. Preferred stock
promises its owner a dividend that is usually fixed in amount or percent.
Preferred shareholders get paid first out of any profits. They have preference.
Common stock has no preference and no fixed rate of return. Treasury stock was
originally issued to shareholders but has been subsequently acquired by the corporation.
Authorized by issued stock is stock which official corporate action has
authorized but has not sold or issued. (Stock also means the stock of goods,
the stock on hand, the inventory of a company.)<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Sunk
costs -- M</span></b><span style="font-size: 12pt;">oney already spent and gone, which will not be recovered no
matter what course of action is taken. Bad decisions are made when managers
attempt to recoup sunk costs.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Trial
balance -- A</span></b><span style="font-size: 12pt;">t the close of an accounting period, the transactions posted in
the ledger are added up. A test or trial balance sheet is prepared with assets
on one side and don't, the accountants must search through the transactions to
find out why. Liabilities and capital on the other. The two sides should
balance. If they they keep making trial balances until the balance sheet
balances.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;"><br /></span></b>
<b><span style="font-size: 12pt;">Variable
cost -- </span></b><span style="font-size: 12pt;">A cost that changes as sales or production change. If a business
is producing nothing and selling nothing, the variable cost should be zero.
However, there will probably be fixed costs.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Working
capital -- C</span></b><span style="font-size: 12pt;">urrent assets minus current liabilities. In most businesses the
major components of working capital are cash, accounts receivable, and
inventory minus accounts payable. As a business grows it will have larger
accounts receivable and more inventory. Thus the need for working capital will
increase.<o:p></o:p></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Write-down-- T</span></b><span style="font-size: 12pt;">he partial reduction in the value of an asset,
recognizing obsolescence or other losses in value.<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="font-size: 12pt;">Write-off-- T</span></b><span style="font-size: 12pt;">he total reduction in the value of an asset,
recognizing that it no longer has any value. Write-downs and write-offs are
non-cash expenses that affect profits.<b><o:p></o:p></b></span></span></div>
<div class="MsoNormal" style="line-height: 19.5pt; margin-bottom: 0in;">
<span style="font-family: georgia;"><br /></span></div>
<div class="MsoNormal" style="line-height: 19.5pt; margin-bottom: 0in;">
<span style="font-family: georgia;"><b><span style="background: white; color: #494949; font-size: 12pt;">Prepaid expenses</span></b><b><span style="font-size: 12pt;"><o:p></o:p></span></b></span></div>
<div class="MsoNormal" style="line-height: 13.8pt; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;">Prepaid expenses are those expenses which are paid in advance to
the party. Which ideally comes under Assets side in balance sheet. Journal Entry:
- PP exp A/c --- Dr to Cash/Bank A/c.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 13.8pt; margin-bottom: 0in;">
<span style="background: white; color: #333333; font-family: georgia; font-size: 12pt;">What is a Non-PO Invoice?<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
<span style="font-family: georgia; font-size: 12pt;">Non-PO invoices means fast line purchasing done for emergency
purpose or purchase without proper procurement planning.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 5pt;">
<span style="font-family: georgia; font-size: 12pt;">Non Po
invoices are the invoices issued for utility bills such as rental charges,
water bills, telephone charges & electricity charges. While making
payment against Non Po invoices, approval from d...</span></div>
<div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;">
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<div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-88598638862054154572010-04-12T13:15:00.012+01:002021-07-16T13:14:49.140+01:00Introduction of Accounting<div dir="ltr" style="text-align: left;" trbidi="on">
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<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://%20accountsexpertsc%20hoice.%20blogspot.%20com/"><span color="windowtext" style="text-decoration-line: none;"></span></a><span color="windowtext" style="text-decoration-line: none;"><div class="separator" style="clear: both; text-align: center;"><a href="http://%20accountsexpertsc%20hoice.%20blogspot.%20com/"></a><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEij7Lobxn_SIBjocK7Ta3wGEqu9IgkDnuvBgLnq3I85TDBYrwpteMd3UY7pwEQCm5ZEuW4tj39YwW2aVw8Fa3CbdElhdpWUf0o7cBOmC0jqv5vkFde4EDrjRZr_xhP_2STdp18CTRSKKhM/s663/1.JPG" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="240" data-original-width="663" height="206" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEij7Lobxn_SIBjocK7Ta3wGEqu9IgkDnuvBgLnq3I85TDBYrwpteMd3UY7pwEQCm5ZEuW4tj39YwW2aVw8Fa3CbdElhdpWUf0o7cBOmC0jqv5vkFde4EDrjRZr_xhP_2STdp18CTRSKKhM/w569-h206/1.JPG" width="569" /></a></div><br /><div class="separator" style="clear: both; text-align: center;"><br /></div>Meaning of Accounting</span><o:p></o:p></span></b></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">In 1941,</span><span style="font-family: "georgia" , serif; font-size: 12pt;"> The American Institute of Certified Public
Accountants (AICPA) had<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">defined
accounting as the art of recording, classifying, and summarizing in a
significant manner and in terms of money, transactions and events
which are, in part at least, of financial character, and interpreting the
results thereof’. With greater economic development resulting in changing role
of accounting, its scope, became broader. In 1966, the <a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">American Accounting Association (AAA)</span></a> defined
accounting as ‘the process of identifying, measuring and communicating
economic information to permit informed judgments and decisions by users
of information’.<o:p></o:p></span></div>
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<br /></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">In
1970, the Accounting Principles Board of AICPA also emphasized that the
function of accounting is to provide quantitative information, primarily Financial
in nature, about economic entities, that is intended to be useful in making
economic decisions.<o:p></o:p></span></div>
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<br /></div>
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<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Accounting can therefore
be defined as the process of identifying,<o:p></o:p></span></b></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">Measuring,
recording and communicating the required information relating to the economic
events of an organization to the interested users of such information. In
order to appreciate the exact nature of accounting, we must understand the
following relevant aspects of the definition:<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Economic Events<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Identification, Measurement, Recording and Communication<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Organization<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Interested Users of Information<o:p></o:p></span></div>
<div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;"><br /></span></div>
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<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Why do the Users Want Accounting
Information?</span></a><o:p></o:p></span></b></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">• The
owners/shareholders use them to see if they are getting a satisfactory return<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">on
their investment, and to assess the financial health of their company/business.<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
• The directors/managers use them for making both internal and external<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">Comparisons
in their attempts to evaluate the performance. They may compare the financial
analysis of their company with the industry figures in order to ascertain the
company’s strengths and weaknesses. Management is also concerned with ensuring
that the money invested in the company/organisation is generating an adequate
return and that the company/organisation is able to pay its debts and remain
solvent.<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
• The creditors (lenders) want to know if they are likely to get paid
and look particularly at liquidity, which is the ability of the
company/organisation to pay its debts as they become due.</span></div><div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;">
• The prospective investors use them to assess whether or not to
invest their money in the company/organisation.</span></div><div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;">
• The government and regulatory agencies such as Registrar of companies, Custom
departments IRDA, RBI, etc. require information for the payment of various
taxes such as Value Added Tax (VAT), Income Tax (IT), Customs and Excise duties
for protecting the interests of investors, creditors (lenders), and also to
satisfy the legal obligations imposed by the Companies Act 1956 and SEBI from
time-to time.<br />
<a href="http://www.blogger.com/goog_273978450"><span color="windowtext" style="text-decoration-line: none;"><br />
</span></a><b><a href="http://www.blogger.com/goog_273978450"><span color="windowtext" style="text-decoration-line: none;"> </span></a><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Accounting as a Source of Information</span></a></b><o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">As
discussed earlier, accounting is a definite processes of interlinked
activities,<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">That
begins with the identification of transactions and ends with the preparation of
financial statements. Every step in the process of accounting generates
information. Generation of information is not an end in itself. It is a means
to facilitate the dissemination of information among different user groups.
Such information enables the interested parties to take appropriate decisions.
Therefore, dissemination of information is an essential function of accounting.
To be useful, the accounting information should ensure to:<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
provide information for making economic decisions;<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
serve the users who rely on financial statements as their principal source of information;<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
provide information useful for predicting and evaluating the amount, timing and
uncertainty of potential cash-flows;<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
provide information for judging management’s ability to utilize resources effectively
in meeting goals;<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
provide factual and interpretative information by disclosing underlying assumptions
on matters subject to interpretation, evaluation, prediction, or estimation;
and<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">•
provide information on activities affecting the society.<o:p></o:p></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;"><br /><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Qualitative Characteristics of
Accounting Information</span></a><o:p></o:p></b></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">Qualitative
characteristics are the attributes of accounting information which tend to
enhance its understandability and usefulness. In order to assess whether
accounting information is decision useful, it must possess the characteristics
of reliability, relevance, understandability and comparability.<o:p></o:p></span></div>
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<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Reliability<o:p></o:p></span></b></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">Reliability
means the users must be able to depend on the information. The reliability of
accounting information is determined by the degree of correspondence between
what the information conveys about the transactions or events that have
occurred, measured and displayed. A reliable information should be free from
error and bias and faithfully represents what it is meant to represent. To
ensure reliability, the information disclosed must be credible, verifiable by
independent parties use the same method of measuring, and be neutral and
faithful.<o:p></o:p></span></div>
<div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Branches of Accounting</span></a><o:p></o:p></b></span></div>
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<span style="font-family: "georgia" , serif; font-size: 12pt;">The
economic development and technological improvements have resulted in an increase
in the scale of operations and the advent of the company form of business organisation.
This has made the management function more and more complex and increased the
importance of accounting information. This gave rise to special branches of
accounting. These are briefly explained below:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://www.blogger.com/goog_1678140859"><span color="windowtext" style="text-decoration-line: none;">Financial accounting</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;">The
purpose of this branch of accounting is to keep a record of all financial
transactions so that:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">(a)
The profit earned or loss sustained by the business during an accounting period
can be worked out,<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">(b)
The financial position of the business as at the end of the accounting period can
be ascertained, and<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">(c)
The financial information required by the management and other interested parties
can be provided.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Cost Accounting</span></a> :</span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"> The purpose of cost
accounting is to analyses the expenditure so as to ascertain the cost of
various products manufactured by the firm and fix the prices. It also helps in
controlling the costs and providing necessary costing information to management
for decision-making.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://www.blogger.com/goog_1678140848"><span color="windowtext" style="text-decoration-line: none;">Management Accountin</span></a><a href="http://www.blogger.com/goog_1678140848"><span color="windowtext" style="text-decoration-line: none;">g</span></a><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;"> </span></a>:</span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"> The purpose of management
accounting is to assist the management in taking rational policy decisions and
to evaluate the impact of its decisions and actions.<o:p></o:p></span></div>
<div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;"><br /></span></div>
<div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Objectives of Accounting</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">As
an information system, the basic objective of accounting is to provide useful information
to the interested group of users, both external and internal. The necessary
information, particularly in case of external users, is provided in the form of
financial statements, viz., profit and loss account and balance sheet. Besides
these, the management is provided with additional information from time to time
from the accounting records of business. Thus, the primary objectives of
accounting include the following:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<u><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext">Maintenance
of Records of Business Transactions</span></a><o:p></o:p></span></u></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Accounting
is used for the maintenance of a systematic record of all financial transactions
in book of accounts. Even the most brilliant executive or manager cannot
accurately remember the numerous amount of varied transactions such as
purchases, sales, receipts, payments, etc. that takes place in business every
day. Hence, a proper and complete records of all business transactions are kept
regularly. Moreover, the recorded information enables verifiability and acts as
an evidence.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;"> </span><span color="windowtext" style="font-weight: normal;">Calculation of Profit and Loss</span></a></span></b><u><span style="font-family: "georgia" , serif; font-size: 12pt;"><o:p></o:p></span></u></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
owners of business are keen to have an idea about the net results of their business
operations periodically, i.e. whether the business has earned profits or
incurred losses. Thus, another objective of accounting is to ascertain the profit
earned or loss sustained by a business during an accounting period which can be
easily workout with help of record of incomes and expenses relating to the
business by preparing a profit or loss account for the period.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Profit
represents excess of revenue (income), over expenses. If the total revenue of a
given period is Rs 6,00,000 and total expenses are Rs. 5,40,000 the profit will
be equal to Rs. 60,000(Rs. 6,00,000 – Rs. 5,40,000). If however, the total expenses
exceed the total revenue, the difference reflects the loss.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<u><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext"> Depiction
of Financial Position</span></a><o:p></o:p></span></u></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Accounting
also aims at ascertaining the financial position of the business<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Concern
in the form of its assets and liabilities at the end of every accounting period.
<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">A
proper record of resources owned by business organisation (Assets)<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Qualitative Characteristic
of Accounting Information<o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Decision
Makers (Users of Accounting Information) Understandability Decision Usefulness Relevance,
Reliability, Timeliness, Dedicative Feedback, Verifiability Faithfulness Value,
Neutrality Comparability.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Providing Accounting Information to
its Users</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
accounting information generated by the accounting process is communicated in
the form of reports, statements, graphs and charts to the users who need it in
different decision situations. As already stated, there are two main user
groups, viz. internal users, mainly management, who needs timely information on
cost of sales, profitability, etc. for planning, controlling and
decision-making and external users who have limited authority, ability and
resources to obtain the necessary information and have to rely on financial statements
(Balance Sheet, Profit and Loss account). <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Primarily,
the external users are interested in the following:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Investors and potential investors-information on the risks and returns on
investments;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Unions and employee groups-information on the stability, profitability and
distribution of wealth within the business;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Lenders and financial institutions-information on the creditworthiness of the
company and its ability to repay loans and pay interest;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Suppliers and creditors-information on whether amounts owed will be repaid when
due, and on the continued existence of the business;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Customers-information on the continued existence of the business and thus the probability
of a continued supply of products, parts and after sales service;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Government and other regulators- information on the allocation of resources and
the compliance to regulations;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Social responsibility groups, such as environmental groups-information on the
impact on environment and its protection;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Competitors-information on the relative strengths and weaknesses of their competition
and for comparative and benchmarking purposes. Whereas the above categories of
users share in the wealth of the company, competitors require the information
mainly for strategic purposes.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Role of Accounting</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">For
centuries, the role of accounting has been changing with the changes in economic
development and increasing societal demands. It describes and analyses a mass
of data of an enterprise through measurement, classification and summarization,
and reduces those date into reports and statements, which show the financial
condition and results of operations of that enterprise. Hence, it is regarded
as a language of business. It also performs the service activity by providing
quantitative financial information that helps the users in various ways.
Accounting as an information system collects and communicates economic
information about an enterprise to a wide variety of interested parties. However,
accounting information relates to the past transactions and is quantitative and
financial in nature, it does not provide qualitative and nonfinancial information.
These limitations of accounting must be kept in view while making use of the
accounting information.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Different Roles of Accounting</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"></span><span style="font-family: "georgia" , serif; font-size: 12pt;"> As a language – it is perceived as the language
of business which is used to communicate information on enterprises;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"></span><span style="font-family: "georgia" , serif; font-size: 12pt;"> As a historical record- it is viewed as
chronological record of financial transactions of an organisation at actual
amounts involved;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"></span><span style="font-family: "georgia" , serif; font-size: 12pt;"> As current economic reality- it is viewed as the
means of determining the true income of an entity namely the change of wealth
over time;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"></span><span style="font-family: "georgia" , serif; font-size: 12pt;"> As an information system – it is viewed as a
process that links an information source (the accountant) to a set of receivers
(external users) by means of a channel of communication;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"></span><span style="font-family: "georgia" , serif; font-size: 12pt;"> As a commodity- specialized information is viewed
as a service which is in demand in society, with accountants being willing to
and capable of providing it.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Basic Terms in Accounting<o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Entity<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Entity
means a thing that has a definite individual existence. Business entity means a
specifically identifiable business enterprise like Super Bazaar, Hire Jewellers,
ITC Limited, etc. An accounting system is always devised for a specific
business entity (also called accounting entity).<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Transaction
A event involving some value between two or more entities. It can be a purchase
of goods, receipt of money, payment to a creditor, incurring expenses, etc. It can
be a cash transaction or a credit transaction.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Assets</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Assets
are economic resources of an enterprise that can be usefully expressed in
monetary terms. Assets are items of value used by the business in its operations.
For example, Super Bazar owns a fleet of trucks, which is used by it for
delivering foodstuffs; the trucks, thus, provide economic benefit to the enterprise.
This item will be shown on the asset side of the balance sheet of Super Bazaar.
Assets can be broadly classified into two types: Fixed Assets and Current
Assets.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Fixed Assets</span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"> are assets held on a
long-term basis, such as land, buildings, machinery, plant, furniture and
fixtures. These assets are used for the normal operations of the business.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Current Assets</span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"> are assets held on a
short-term basis such as debtors (accounts receivable), bills receivable (notes
receivable), stock (inventory), temporary marketable securities, cash and bank
balances.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b> <a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Liabilities</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Liabilities
are obligations or debts that an enterprise has to pay at some time in the
future. They represent creditors’ claims on the firm’s assets. Both small and
big businesses find it necessary to borrow money at one time or the other, and
to purchase goods on credit. Super Bazar, for example, purchases goods for Rs.
10,000 on credit for a month from Fast Food Products on March 25, 2005. If the
balance sheet of Super Bazaar is prepared as at March 31, 2005, Fast Food
Products will be shown as creditors on the liabilities side of the balance
sheet. If Super Bazaar takes a loan for a period of three years from Delhi
State Co-operative Bank, this will also be shown as a liability in the balance
sheet of Super Bazaar. Liabilities are classified as long-term liabilities and
short-term liabilities (also known as short-term liabilities). Long-term
liabilities are those that are usually payable after a period of one year, for
example, a term loan from a financial institution or debentures (bonds) issued
by a company.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Short-term
liabilities are obligations that are payable within a period of one year, for
example, creditors, bills payable, bank overdraft.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Capital</span></a><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Amount
invested by the owner in the firm is known as capital. It may be brought in the
form of cash or assets by the owner for the business entity capital is an
obligation and a claim on the assets of business. It is, therefore, shown as
capital on the liabilities side of the balance sheet.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Sales</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Sales
are total revenues from goods or services sold or provided to customers.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Sales
may be cash sales or credit sales.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Revenues</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">These
are the amounts of the business earned by selling its products or providing
services to customers, called sales revenue. Other items of revenue common to
many businesses are: commission, interest, dividends, royalties, rent received,
etc. Revenue is also called income.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Expenses</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Costs
incurred by a business in the process of earning revenue are known as expenses.
Generally, expenses are measured by the cost of assets consumed or services
used during an accounting period. The usual items of expenses are:
depreciation, rent, wages, salaries, interest, cost of heater, light and water,
telephone, etc.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Expenditure</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Spending
money or incurring a liability for some benefit, service or property received
is called expenditure. Payment of rent, salary, purchase of goods, purchase of
machinery, purchase of furniture, etc. are examples of expenditure. If the
benefit of expenditure is exhausted within a year, it is treated as an expense
(also called revenue expenditure). On the other hand, the benefit of an
expenditure lasts for more than a year, it is treated as an asset (also called capital
expenditure) such as purchase of machinery, furniture, etc.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Profit</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
excess of revenues of a period over its related expenses during an accounting
year profit. Profit increases the investment of the owners.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Gain</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">A
profit that arises from events or transactions which are incidental to business
such as sale of fixed assets, winning a court case, appreciation in the value
of an asset.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;"> <b>Loss</b></span></a><b><o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
excess of expenses of a period over its related revenues its termed as loss. It
decreases in owner’s equity. It also refers to money or money’s worth lost (or
cost incurred) without receiving any benefit in return, e.g., cash or goods
lost by theft or a fire accident, etc. It also includes loss on sale of fixed
assets.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Discount</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Discount
is the deduction in the price of the goods sold. It is offered in two ways.
Offering deduction of agreed percentage of list price at the time selling goods
is one way of giving discount. Such discount is called ‘trade discount’. It is
generally offered by manufactures to whole sellers and by whole sellers to retailers.
After selling the goods on credit basis the debtors may be given certain
deduction in amount due in case if they pay the amount within the stipulated
period or earlier. This deduction is given at the time of payment on the amount
payable. Hence, it is called as cash discount. Cash discount acts as an
incentive that encourages prompt payment by the debtors.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Voucher</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
documentary evidence in support of a transaction is known as voucher.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">For
example, if we buy goods for cash, we get cash memo, if we buy on credit, we
get an in</span><span style="font-family: georgia; font-size: 12pt;">voice; when we make a payment we get a receipt and so on.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: georgia; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Goods</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: georgia; font-size: 12pt;">It
refers to the products in which the business units is dealing, i.e. in terms of
which it is buying and selling or producing and selling. The items that are purchased
for use in the business are not called goods. For example, for a furniture
dealer purchase of chairs and tables is termed as goods, while for other it is
furniture and is treated as an asset. Similarly, for a stationery merchant, stationery
is goods, whereas for others it is an item of expense (not purchases)<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: georgia; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Drawings</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: georgia; font-size: 12pt;">Withdrawal
of money and/or goods by the owner from the business for personal use is known
as drawings. Drawings reduces the investment of the owners. Purchases are total
amount of goods procured by a business on credit and on cash, for use or sale.
In a trading concern, purchases are made of merchandise for resale with or
without processing. In a manufacturing concern, raw materials are purchased,
processed further into finished goods and then sold. Purchases may be cash
purchases or credit purchases.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: georgia; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Stock</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: georgia; font-size: 12pt;">Stock
(inventory) is a measure of something on hand-goods, spares and other items in
a business. It is called Stock in hand. In a trading concern, the stock on hand
is the amount of goods which are lying unsold as at the end of an accounting
period is called closing stock (ending inventory). In a manufacturing company,
closing stock comprises raw materials, semi-finished goods and finished goods
on hand on the closing date. Similarly, opening stock (beginning inventory) is
the amount of stock at the beginning of the accounting period.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: georgia; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Debtors</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: georgia; font-size: 12pt;">Debtors
are persons and/or other entities who owe to an enterprise an amount for buying
goods and services on credit. The total amount standing against such persons and/or
entities on the closing date, is shown in the balance sheet as sundry debtors
on the asset side.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: georgia; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Creditors</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: georgia; font-size: 12pt;">Creditors
are persons and/or other entities who have to be paid by an enterprise an
amount for providing the enterprise goods and services on credit. The total
amount standing to the favor of such persons and/or entities on the closing date,
is shown in the Balance Sheet as sundry creditors on the liabilities side.</span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;"><br /></span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">The Profit & Loss
Account aims to monitor profit. It has three parts.</span></div><div class="MsoNoSpacing"><b style="font-family: georgia; font-size: 12pt;"><span style="font-size: 12pt;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/2465011105737017162?hl=en-GB"><span style="color: blue;">The Trading Account</span></a>.</span></b></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">This records the money
in (revenue) and out (costs) of the business as a result of the business’
‘trading’ ie buying and selling. This might be buying raw materials and selling
finished goods; it might be buying goods wholesale and selling them retail. The
figure at the end of this section is the Gross Profit.</span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">This starts with the
Gross Profit and adds to it any further costs and revenues, including
overheads. These further costs and revenues are from any other activities not
directly related to trading. An example is income received from investments.</span></div><div class="MsoNoSpacing"><b style="font-family: georgia; font-size: 12pt;"><br /></b></div><div class="MsoNoSpacing"><b style="font-family: georgia; font-size: 12pt;"><span style="font-size: 12pt;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/2465011105737017162?hl=en-GB"><span style="color: blue;">The Appropriation Account</span></a>.</span></b><span style="font-family: georgia; font-size: 12pt;"> This shows how the
profit is ‘appropriated’ or divided between the three uses mentioned above.</span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;"><br /></span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">Uses of the Profit and
Loss Account.</span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">The main use is to
monitor and measure profit, as discussed above. This assumes that the
information recording is accurate. Significant problems can arise if the
information is inaccurate, either through incompetence or deliberate fraud. </span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">Once the profit(loss)
has been accurately calculated, this can then be used for comparison ie judging
how well the business is doing compared to itself in the past, compared to the
managers’ plans and compared to other businesses. </span></div><div class="MsoNoSpacing"><span style="font-family: georgia; font-size: 12pt;">There are ways to ‘fix’
accounts. Internal accounts are rarely ‘fixed’, because there is little point
in the managers fooling themselves (unless fraud is going on) but public
accounts are routinely ‘fixed’ to create a good impression out to the outside
world. If you understand accounts, you can usually (not always) spot these
‘fixes’ and take them out to get a true picture.</span></div><div class="MsoNoSpacing"><span style="font-size: 12pt;">
<p class="MsoNormal" style="line-height: normal; margin-left: 0.25in;"><span style="font-family: georgia;"><span style="font-size: 12pt;">Example Profit and Loss
Account:</span><b><span style="font-size: 24pt;"><o:p></o:p></span></b></span></p>
<p class="MsoNormal" style="line-height: normal; margin-left: 0.25in;"><span style="font-family: georgia;"><span style="font-size: 12pt;">An example profit and
loss account is provided below:</span></span></p><p class="MsoNormal" style="line-height: normal; margin-left: 0.25in;"><span style="font-family: georgia; font-size: 12pt;">A</span><b style="font-family: georgia; font-size: 12pt;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/2465011105737017162?hl=en-GB"><span style="color: blue; font-weight: normal;"> </span></a><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/2465011105737017162?hl=en-GB"><span style="color: blue;">trial balance</span></a> </b><span style="font-family: georgia; font-size: 12pt;">is a list of all
the nominal ledger (general ledger) accounts contained in the
ledger of a business. This list will contain the name of the nominal ledger
account and the value of that nominal ledger account. The value of the nominal
ledger will hold either a debit balance value or a credit value balance. The
debit balance values will be listed in the </span><b style="font-family: georgia; font-size: 12pt;"><a href="https://draft.blogger.com/u/1/blog/post/edit/368424306269856682/2465011105737017162?hl=en-GB" title="Debits and credits"><span style="color: blue; font-weight: normal;">debit</span></a></b><span style="font-family: georgia; font-size: 12pt;"> column
of the trial balance and the credit value balance will be listed in
the credit column. The profit and loss statement and
balance sheet and other financial reports can then be produced using
the ledger accounts listed on the trial balance.</span></p>
<p class="MsoNormal" style="line-height: normal; margin-left: 0.25in;"><span style="font-size: 12pt;"><span style="font-family: georgia;">The trial balance is
usually prepared by a bookkeeper who has used daybooks to record
financial transactions and then post them to the nominal ledgers and personal
ledger accounts. The trial balance is a part of the double-entry
bookkeeping system and uses the classic 'T' account format for
presenting values.</span></span><b style="font-family: georgia, serif;"><span style="font-family: "Times New Roman", serif; font-size: 24pt;"><o:p></o:p></span></b></p></span></div><div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">
<b>Summary with Reference to Learning
Objectives<o:p></o:p></b></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">1. </span><b><span style="font-family: "georgia" , serif; font-size: 14pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Meaning of Accounting</span></a></span></b><span style="font-family: "georgia" , serif; font-size: 14pt;"> :
</span><span style="font-family: "georgia" , serif; font-size: 12pt;">Accounting is
a process of identifying, measuring, recording the business transactions and
communicating thereof the required information to the interested users.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">2. </span><b><span style="font-family: "georgia" , serif; font-size: 14pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Accounting as a source of information</span></a></span></b><span style="font-family: "georgia" , serif; font-size: 14pt;"> </span><span style="font-family: "georgia" , serif; font-size: 12pt;">: Accounting as a source
of information system is the process of identifying, measuring, recording and
communicating the economic events of an organisation to interested users of the
information.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">3. <b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Users of accounting information</span></a></b> :
Accounting plays a significant role in society by providing information to
management at all levels and to those having a direct financial interest in the
enterprise, such as present and potential investors and creditors. Accounting
information is also important to those having indirect financial interest, such
as regulatory agencies, tax authorities, customers, labour unions, trade
associations, stock exchanges and others.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">4. <b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Qualitative characteristics of
Accounting</span></a> :</b> To make accounting information decision
useful, it should possess the following qualitative characteristics.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Reliability • Understandability<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Relevance • Comparability<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">5.<b> <a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Objective of accounting</span></a> :</b>
The primary objectives of accounting are to:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
maintain records of business;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
calculate profit or loss;<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
depict the financial position; and<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
make information available to various groups and users.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">6. <b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Role of accounting</span></a> :</b>
Accounting is not an end in itself. It is a means to an end.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">It
plays the role of a:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Language of a business<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Historical record<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Current economic reality<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Information system<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">•
Service to users<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div><div class="MsoNoSpacing"><br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;">Provisions and Reserve</span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"><br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Provisions</span></a></b><br />
There are certain expenses/losses which are related to the current accounting period
but amount of which is not known with certainty because they are not yet
incurred. It is necessary to make provision for such items for ascertaining
true net profit. For example, a trader who sells on credit basis knows that some
of the debtors of the current period would default and would not pay or would
pay only partially. It is necessary to take into account such an expected loss
while calculating true and fair profit/loss according to the principle of Prudence
or Conservatism.</span></div><div class="MsoNoSpacing"><span style="font-family: "georgia" , serif; font-size: 12pt;">
<br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Reserves</span></a></b><br />
A part of the profit may be set aside and retained in the business to provide for
certain future needs like growth and expansion or to meet future contingencies
such as workmen compensation. Unlike provisions, reserves are the
appropriations of profit to strengthen the financial position of the business.
Reserve is not a charge against profit as it is not meant to cover any known
liability or expected loss in future. However, retention of profits in the form
of reserves reduces the amount of profits available for distribution among the
owners of the business. It is shown under the head Reserves and Surpluses on
the liabilities side of the balance sheet after capital. Examples of reserves<br />
are:<br />
<br />
<b><a href="http://accountsexpertschoice.blogspot.com/"><span color="windowtext" style="text-decoration-line: none;">Types of Reserves</span></a></b><br />
A reserve is created by retention of profit of the business can be for either a<br />
general or a specific purpose.<br />
1. <u>General reserve</u>: When the purpose for which reserve is created is not
specified, it is called General Reserve. It is also termed as free reserve because
the management can freely utilize it for any purpose. General strengthens the
financial position of the business.<br />
2. <u>Specific reserve</u>: Specific reserve is the reserve, which is created
for some specific purpose and can be utilized only for that purpose. Examples
of specific reserves are given below :<br />
(i) <u>Dividend equalization reserve:</u> This reserve is created to stabilize
or maintain dividend rate. In the year of high profit, amount is transferred to
Dividend Equalization reserve. In the year of low profit, this reserve amount is
used to maintain the rate of dividend.<br />
(ii) <u>Workmen compensation fund:</u> It is created to provide for claims of
the workers due to accident, etc.<br />
(iii) <u>Investment fluctuation fund:</u> It is created to make for decline in
the value of investment due to market fluctuations.<br />
(iv) <u>Debenture redemption reserve:</u> It is created to provide funds for<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><br /></span></b>
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><span style="color: black; text-decoration-line: none;"><a href="http://accountsexpertschoice.blogspot.in/">GOLDEN RULES OF
ACCOUNTING</a></span></span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.in/"><span color="windowtext" style="text-decoration-line: none;">Real Account:</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">The
Accounting rule for Real Account is<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Debit
What Comes In and Credit What Goes out All Asset Accounts It Includes both
Tangible assets like Cash, car, Furniture and Intangible assets Like Goodwill,
Patents.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.in/"><span color="windowtext" style="text-decoration-line: none;">Personal Accounts:</span></a><o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Accounting
Rule for Personal Account is Credit the Benefit Giver and Debit the Benefit
Receiver, All Accounts which can be attached to an individual or Organisation.
It can be either an Asset or Liability<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Say
an organisation buys goods on Credit from Mr. X for 1000 $ so here the Account
of Mr. X is a Personal Account and will be a Creditor i.e. Liability.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="font-family: "georgia" , serif; font-size: 12pt;"><a href="http://accountsexpertschoice.blogspot.in/"><span color="windowtext" style="text-decoration-line: none;">Nominal Accounts:</span></a></span></b><span style="font-family: "georgia" , serif; font-size: 12pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">Debit
All Losses and Expenses and Credit all Incomes and Profits.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "georgia" , serif; font-size: 12pt;">All
Income, Expense, Profit, Losses accounts are Nominal Account.</span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<b><span style="color: #c55a11; font-family: "georgia" , serif; font-size: 12pt;">Questions for Practice<o:p></o:p></span></b></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">Short Answers<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">1. Define
accounting.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">2. State what
is end product of financial accounting.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">3. Enumerate
main objectives of accounting.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">4. List any
five users who have indirect interest in accounting.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">5. State the
nature of accounting information required by long-term lenders.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">6. Who are the
external users of information?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">7. Enumerate
informational needs of management.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">8. Give any
three examples of revenues.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">9.
Distinguish between debtors and creditors.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">10.
‘Accounting information should be comparable’. Do you agree with this Statement?
Give two reasons.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">11. If the
accounting information is not clearly presented, which of the qualitative<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">Characteristic
of the accounting information is violated?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">12. “The role
of accounting has changed over the period of time”- Do you agree?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">Explain.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">13. Giving
examples, explain each of the following accounting terms:<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">• Fixed
assets • Gain • Profit<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">• Revenue •
Expenses • Short-term liability<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">• Capital<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">14. How will
you define revenues and expenses?<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="color: #5b9bd5; font-family: "georgia" , serif; font-size: 12pt;">15. What is
the primary reason for the business students and others to </span><span style="color: #5b9bd5; font-family: georgia, serif; font-size: 12pt;">Familiarise
themselves with the accounting discipline?</span></div>
<div class="MsoNoSpacing"><br /></div>
</div>
</div>
<div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-55865656814546410672009-11-14T07:52:00.003+00:002021-07-16T13:21:27.550+01:00Basic Accounting Concepts<div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiGWu4qxeFJGh7ZKbT0zQc9LOwMIApPA5WUk1Vx85fijoMJW3PCu8XypNitG0kMnUA8sLkSJhpKDXz8yIvUoypT7igN6RdVtc-MqEcMmXcobfFQfaNeMoZUzmZDuTHHpG8FMFR_YY0Yaxk/s721/Image-of-Accounting-Concepts.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="677" data-original-width="721" height="300" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiGWu4qxeFJGh7ZKbT0zQc9LOwMIApPA5WUk1Vx85fijoMJW3PCu8XypNitG0kMnUA8sLkSJhpKDXz8yIvUoypT7igN6RdVtc-MqEcMmXcobfFQfaNeMoZUzmZDuTHHpG8FMFR_YY0Yaxk/w633-h300/Image-of-Accounting-Concepts.png" width="633" /></a></div><br /><div style="margin-bottom: .0001pt; margin: 0in;"><div class="separator" style="clear: both; text-align: center;"><br /></div></div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Operating Information</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">This is the information that is needed on a day-to-day basis in order for the organization to conduct its business. Employees need to get paid, sales need to be tracked, the amounts owed to other organizations or individuals need to be tracked, the amount of money the organization has needs to be monitored, the amounts that customers owe the organization need to be checked, any inventory needs to be accounted for: the list goes on and on. Operating information is what constitutes the greatest amount of accounting information and it provides the basis for the other two types of accounting information.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Financial Accounting Information</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">This is the information that is used by managers, shareholders, banks, creditors, the government, the public, etc… to make decisions involving the organization and its operations. Shareholders want information about what their investment is worth and whether they should buy or sell shares, bankers and other creditors want to know whether the organization has an ability to pay back money lent, managers want to know how the company is doing compared to other companies. This type of information would be very difficult to extract if every company used a different system for recording their financial position. Financial accounting information is subject to a set of ground rules that dictate how the information is reported and this ensures uniformity.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Managerial Accounting Information</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">In order for the managers of a company to make the best decisions for a company they need to have specific information prepared. They use this information for three main management functions: planning, implementation and control. Financial information is used to set budgets, analyze different options on a cost basis, modify plans as the need arises, and control and monitor the work that is being done.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">As you can see, accounting is a multifaceted system involving different people with different needs and after analyzing the various uses and applications of accounting information the American Accounting Association has come up with this definition:<span class="apple-converted-space"> </span><i>“the process of identifying, measuring, and communicating economic information to permit informed judgments and decisions by users of the information.”</i></span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">In order to facilitate the informed use of this financial information, accounting has come to be based on specified rules or conventions called “principles.” These principles provide general laws or rules that are used to guide accounting activity and are called<span class="apple-converted-space"> </span><b><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #674ea7;">Generally Accepted Accounting Principles</span></a></b><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #674ea7;">, o</span></a><a href="http://www.blogger.com/goog_1258141879584"><span style="color: #674ea7;">r</span></a><span class="apple-converted-space"><a href="http://www.blogger.com/goog_1258141879584"><span style="color: #674ea7;"> </span></a></span><b><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #674ea7;">GAAP</span></a></b><span class="apple-converted-space"> </span>for short. These principles are established by the Financial Accounting Standards Board (FASB) which is a nongovernmental agency funded by the accounting profession and contributions from business organizations. While there is no legal obligation for companies to adhere to GAAP, there are strong practical reasons to do so. From auditing to reporting earning to the US Securities Exchange Commission to applying for a loan, there are very compelling reasons for organizations to conform to the generally accepted standard.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">What Is The End Result Of All This Accounting Information</span></a>?</span></b></div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">We’ve talked about the reason for maintaining accounting information and the end result of all of this recording is the preparation of financial statements. These statements let people see, at a glance, the financial position of an organization. These statements provide summaries of the operating information and are used extensively by people within and external to the company. The statements fall into one of two categories:</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: 0in; margin-left: .5in; margin-right: 0in; margin-top: 0in; margin: 0in 0in 0in 0.5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -0.25in;"><span style="color: black; font-family: Symbol; font-size: 10pt; mso-bidi-font-family: Symbol; mso-bidi-font-size: 13.5pt; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7pt "Times New Roman";"> <a href="http://www.blogger.com/goog_1258141879605"> </a></span></span></span><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #b45f06;">Status/Stock</span></a></span></b><span class="apple-converted-space"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;"> </span></span><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">– these statements show the financial status of an organization at one specified instant in time. Stock reports = a snapshot.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: 0in; margin-left: .5in; margin-right: 0in; margin-top: 0in; margin: 0in 0in 0in 0.5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -0.25in;"><span style="color: black; font-family: Symbol; font-size: 10pt; mso-bidi-font-family: Symbol; mso-bidi-font-size: 13.5pt; mso-fareast-font-family: Symbol;"><span style="mso-list: Ignore;">·<span style="font: 7pt "Times New Roman";"> <a href="http://www.blogger.com/goog_1258141879609"> </a></span></span></span><b><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #b45f06;">Flow Report</span></a><span class="apple-converted-space"> </span></span></b><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">– these statements show the flow of financial information over a period of time. Flow reports = motion picture</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #cc0000;">GAAP</span></a> requires the preparation of three different statements:</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Balance Sheet</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">A Balance Sheet is a status report that shows information about the organization’s resources at one given time. Examples of information found on a balance sheet are how much cash is in the bank, what is owed to creditors, and the value of the company’s assets.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Income Statement</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">An Income Statement (also called a Statement of Earnings, Statement of Operations, or a Profit and Loss Statement) is a report that shows the flow of revenues (amounts earned from business activity) and expenses (amounts paid in the course of operations) over a given period of time, typically a month, quarter, or year.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><b><span face="Tahoma, sans-serif" style="font-size: 13.5pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #134f5c;">Statement of Cash Flow</span></a></span></b><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">As the name suggests, this is also a flow statement that details the movement of cash through the organization over a specified period.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
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</div><div style="margin-bottom: .0001pt; margin: 0in;"><span face=""Tahoma","sans-serif"" style="color: #666666; font-size: 13.5pt;">The whole purpose of accounting is to provide information that is useful and relevant for interested parities when making decisions regarding the company and its operations. In order to do that effectively, a specific language and subsequent rules have been developed for users of the information. By learning accounting you learn these rules and can then communicate financial information with others in a comprehensible and comparable manner.</span><span style="color: black; font-size: 13.5pt;"><o:p></o:p></span><br />
</div><div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-67055307496307048642009-11-08T18:26:00.003+00:002021-07-16T14:09:45.162+01:00Bank Reconciliation Process<h2 style="text-align: left;"><a href="http://accountsexpertschoice.blogspot.com/" style="text-align: left;">Accounts reconciliation</a></h2><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">One of the first tools you will need for effective account reconciliation is documentation for each transaction conducted in the period of time under consideration. Keep all deposit slips, records of withdrawals from ATMs, electronic payments, canceled checks and the last set of <span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">bank statements</a></span> together until you have reconciled the period in question. </span></span><div><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Being able to quickly verify the beginning balance for the period and then account for each transaction with a document will speed up the process of either affirming that you and the bank are in agreement, or will help you to quickly spot any discrepancies.<o:p></o:p></span><br />
<span face="Arial, sans-serif" style="color: black;"><br /></span></span><div><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Should you find a discrepancy of any kind, use your documents to isolate the origin of the issue and get in touch with your bank immediately. For example, you notice that the beginning balance for the period does not match the ending balance for the previous period, even though everything reconciled at that time. This is a sign that you may need to speak with your financial institution and find out what occurred. </span></span></div><div><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Chances are that it is a simple error that will be corrected once it is brought to the attention of the bank. However, without having your documents in order and engaging in the process of account reconciliation, the discrepancy could go unnoticed for months and become very hard to track down.<o:p></o:p></span><br />
</span><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in; mso-outline-level: 2;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in; mso-outline-level: 2;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: white;"></span><a href="http://accountsexpertschoice.blogspot.com/">Bank Reconciliation Process</a><o:p></o:p></b><br />
</span></div><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in; mso-outline-level: 2;"><span style="font-family: georgia;"><br /></span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;">Step 1. <a href="http://accountsexpertschoice.blogspot.com/">Adjusting the Balance per Bank</a></span></b><span face="Arial, sans-serif" style="color: black;"><o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">We will demonstrate the bank reconciliation process in several steps. The first step is to adjust the</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">balance on the bank statement</span></i><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">to the true, adjusted, or corrected balance. The items necessary for this step are listed in the following schedule:<o:p></o:p></span><br />
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</span></div><table border="1" cellpadding="0" cellspacing="0" class="MsoNormalTable" style="-webkit-background-clip: initial; -webkit-background-origin: initial; background-attachment: initial; background-clip: initial; background-color: #fefce2; background-image: initial; background-origin: initial; background-position: initial initial; background-repeat: initial; border-bottom-style: none; border-collapse: collapse; border-color: initial; border-left-style: none; border-right-style: none; border-style: none; border-top-style: none; border-width: initial; width: 370px;"><tbody>
<tr style="mso-yfti-firstrow: yes; mso-yfti-irow: 0;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"><div align="center" class="MsoNormal" style="line-height: normal; margin-bottom: 0in; text-align: center;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif">Step 1.</span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt; width: 232.5pt;" width="310"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Balance per</span><span face="Arial, sans-serif"><a href="http://www.blogger.com/goog_1257704306642"> </a></span><b><span face="Arial, sans-serif"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Bank Statemen</a><a href="http://www.accountingcoach.com/terms/B/bank-statement.html">t</a></span></span></b><span face="Arial, sans-serif"> </span><span face="Arial, sans-serif">on Aug. 31, 2008<o:p></o:p></span><br />
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<tr style="mso-yfti-irow: 1;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Adjustments:<o:p></o:p></span><br />
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<tr style="mso-yfti-irow: 2;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Add:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Deposits in transit</a></span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
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<tr style="mso-yfti-irow: 3;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Outstanding checks</a></span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 4;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Add or Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Bank errors</a></span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 5; mso-yfti-lastrow: yes;"> <td style="border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-left: none; border: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> <b>Adjusted/Corrected Balance per Bank</b><o:p></o:p></span><br />
</span></div></td> </tr>
</tbody></table><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Deposits in transit</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are amounts already received and recorded by the</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">company</span></i><span face="Arial, sans-serif" style="color: black;">, but are not yet recorded by the</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">bank</span></i><span face="Arial, sans-serif" style="color: black;">. For example, a retail store deposits its cash receipts of August 31 into the bank's night depository at 10:00 p.m. on August 31. The bank will process this deposit on the morning of September 1. As of August 31 (the bank statement date) this is a deposit in transit.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Because deposits in transit are already included in the company's Cash account, there is no need to adjust the company's records. However, deposits in transit are not yet on the bank statement. Therefore, they need to be listed on the bank reconciliation as</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">an increase to the balance per bank</span></i><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">in order to report the true amount of cash.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">A helpful rule of thumb is "put it where it isn't." A deposit in transit is on the company's books, but it isn't on the bank statement. Put it where it isn't: as an</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">adjustment to the balance on the bank statement</span></i><span face="Arial, sans-serif" style="color: black;">.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Outstanding checks</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are checks that have been written and recorded in the company's Cash account, but have</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">not</span></i><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">yet cleared the bank account. Checks written during the last few days of the month plus a few older checks are likely to be among the outstanding checks.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Because all checks that have been written are immediately recorded in the company's Cash account, there is no need to adjust the company's records for the outstanding checks. However, the outstanding checks have not yet reached the bank and the bank statement. Therefore, outstanding checks are listed on the bank reconciliation as a</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">decrease in the balance per bank</span></i><span face="Arial, sans-serif" style="color: black;">.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Recall the helpful tip "put it where it isn't." An outstanding check is on the company's books, but it isn't on the bank statement. Put it where it isn't: as an adjustment to the balance on the bank statement.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Bank errors</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are mistakes made by the bank. Bank errors could include the bank recording an incorrect amount, entering an amount that does not belong on a company's bank statement, or omitting an amount from a company's bank statement. The company should notify the bank of its errors. Depending on the error, the correction could</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">increase</span></i><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">or<i>decrease the balance shown on the bank statement</i>. (Since the company did not make the error, the company's records are not changed.)<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;">Step 2. <a href="http://accountsexpertschoice.blogspot.com/">Adjusting the Balance per Books</a></span></b><span face="Arial, sans-serif" style="color: black;"><o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">The second step of the bank reconciliation is to adjust the balance in the company's Cash account so that it is the true, adjusted, or corrected balance. Examples of the items involved are shown in the following schedule:<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 5pt;"><span style="font-family: georgia;"><br />
</span></div><table border="1" cellpadding="0" cellspacing="0" class="MsoNormalTable" style="-webkit-background-clip: initial; -webkit-background-origin: initial; background-attachment: initial; background-clip: initial; background-color: #fefce2; background-image: initial; background-origin: initial; background-position: initial initial; background-repeat: initial; border-bottom-style: none; border-collapse: collapse; border-color: initial; border-left-style: none; border-right-style: none; border-style: none; border-top-style: none; border-width: initial; width: 430px;"><tbody>
<tr style="mso-yfti-firstrow: yes; mso-yfti-irow: 0;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"><div align="center" class="MsoNormal" style="line-height: normal; margin-bottom: 0in; text-align: center;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif">Step 2.</span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt; width: 277.5pt;" width="370"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Balance per</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Books</span></span></b><span face="Arial, sans-serif"> </span><span face="Arial, sans-serif">on Aug. 31, 2008<o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 1;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Adjustments:<o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 2;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Bank service charges</span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 3;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">NSF checks & fees</span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 4;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Check printing charges</span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 5;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Add:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Interest earned</span></span></b><span face="Arial, sans-serif"><o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 6;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Add:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Notes Receivable</span></span></b><span face="Arial, sans-serif"> </span><span face="Arial, sans-serif">collected by bank<o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 7;"> <td style="border-bottom: none; border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-bottom: none; border-left: none; border-right: 1.5pt solid rgb(216, 216, 216); border-top: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> Add or Deduct:</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif">Errors</span></b><span face="Arial, sans-serif"> </span><span face="Arial, sans-serif">in company's</span><span face="Arial, sans-serif"> </span><b><span face="Arial, sans-serif"><span style="color: mediumblue;">Cash</span></span></b><span face="Arial, sans-serif"> </span><span face="Arial, sans-serif">account<o:p></o:p></span><br />
</span></div></td> </tr>
<tr style="mso-yfti-irow: 8; mso-yfti-lastrow: yes;"> <td style="border: 1.5pt solid rgb(216, 216, 216); padding: 3pt 1.5pt; width: 45pt;" width="60"></td> <td style="border-left: none; border: 1.5pt solid rgb(216, 216, 216); mso-border-left-alt: solid #D8D8D8 1.5pt; padding: 3pt;"><div class="MsoNormal" style="line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif"> <b>Adjusted/Corrected Balance per Books</b><o:p></o:p></span><br />
</span></div></td> </tr>
</tbody></table><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Bank service charges</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are fees deducted from the bank statement for the bank's processing of the checking account activity (accepting deposits, posting checks, mailing the bank statement, etc.) Other types of bank service charges include the fee charged when a company</span><span face="Arial, sans-serif" style="color: black;"> </span><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">overdraws</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">its checking account and the bank fee for processing a</span><span face="Arial, sans-serif" style="color: black;"> </span><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">stop payment order</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">on a company's check. The bank might deduct these charges or fees on the bank statement without notifying the company. When that occurs the company usually learns of the amounts only after receiving its bank statement.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Because the bank service charges have already been deducted on the bank statement, there is no adjustment to the balance per bank. However, the service charges will have to be entered as an adjustment to the company's books. The company's Cash account will need to be decreased by the amount of the service charges.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Recall the helpful tip "put it where it isn't." A bank service charge is already listed on the bank statement, but it isn't on the company's books. Put it where it isn't: as an adjustment to the Cash account on the company's books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">An</span><span face="Arial, sans-serif" style="color: black;"> </span><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">NSF check</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">is a check that was not honored by the bank of the person or company writing the check because that account did not have a sufficient balance. As a result, the check is returned without being honored or paid. (NSF is the acronym for not sufficient funds. Often the bank describes the Ch</span><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><span style="color: black; font-weight: normal; line-height: normal;">eque returned<span style="line-height: 17px;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://www.accountingcoach.com/terms/R/returned-check.html"> </a></span></span></b><span face="Arial, sans-serif" style="color: black;">as a return item. Others refer to the NSF check as a "rubber check" because the check "bounced" back from the bank on which it was written.) When the NSF check comes back to the bank in which it was deposited, the bank will decrease the checking account of the company that had deposited the check. The amount charged will be the amount of the check plus a bank fee.</span></span></span></span></span></b><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Because the NSF check and the related bank fee have already been deducted on the bank statement, there is no need to adjust the balance per the bank. However, if the company has not yet decreased its Cash account balance for the returned check and the bank fee, the company must decrease the</span><span face="Arial, sans-serif" style="color: black;"> </span><i><span face="Arial, sans-serif" style="color: black;">balance per books</span></i><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">in order to reconcile.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Check printing charges</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">occur when a company arranges for its bank to handle the reordering of its checks. The cost of the printed checks will automatically be deducted from the company's checking account.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Because the check printing charges have already been deducted on the bank statement, there is no adjustment to the balance per bank. However, the check printing charges need to be an adjustment on the company's books. They will be a deduction to the company's Cash account.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Recall the general rule, "put it where it isn't." A check printing charge is on the bank statement, but it isn't on the company's books. Put it where it isn't: as an adjustment to the Cash account on the company's books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Interest earned</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">will appear on the bank statement when a bank gives a company interest on its account balances. The amount is added to the checking account balance and is automatically on the bank statement. Hence there is no need to adjust the balance per the bank statement. However, the amount of interest earned will increase the balance in the company's Cash account on its books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Recall "put it where it isn't." Interest received from the bank is on the bank statement, but it isn't on the company's books. Put it where it isn't: as an adjustment to the Cash account on the company's books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;"><span style="color: mediumblue;"><a href="http://accountsexpertschoice.blogspot.com/">Notes Receivables</a></span></span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are assets of a company. When notes come due, the company might ask its bank to collect the notes receivable. For this service the bank will charge a fee. The bank will increase the company's checking account for the amount it collected (principal and interest) and will decrease the account by the collection fee it charges. </span></span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Since these amounts are already on the bank statement, the company must be certain that the amounts appear on the company's books in its Cash account.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 5pt;"><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Recall the tip "put it where it isn't." The amounts collected by the bank and the bank's fees are on the bank statement, but they are not on the company's books. Put them where they aren't: as adjustments to the Cash account on the company's books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: normal; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><b><span face="Arial, sans-serif" style="color: black;">Errors</span></b><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">in the company's Cash account result from the company entering an incorrect amount, entering a transaction that does not belong in the account, or omitting a transaction that should be in the account. Since the company made these errors, the correction of the error will be either an increase or a decrease to the balance in the Cash account on the company's books.<o:p></o:p></span><br />
</span></div><div class="MsoNormal" style="background: white; line-height: 12.75pt; margin-bottom: 0in;"><span style="font-family: georgia;"><br />
</span></div><ul type="disc"><li class="MsoNormal" style="color: #404040; line-height: normal; mso-list: l0 level1 lfo1; mso-margin-bottom-alt: auto; mso-margin-top-alt: auto; tab-stops: list .5in;"><span style="font-family: georgia;"><b><a href="http://accountsexpertschoice.blogspot.com/">Accounts payable</a></b></span></li>
</ul><span style="font-family: georgia;"><span face="Arial, sans-serif" style="color: black;">Accounts</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">payable</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">is the obligation that a business owes to its creditors for buying goods or services. That is, it is the unpaid</span><span face="Arial, sans-serif" style="color: black;"><a href="http://www.blogger.com/goog_1257704306746"> </a></span><span face="Arial, sans-serif" style="color: black;"><span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">invoices</a></span>, bills or statements for goods or services rendered by outside contractors, vendors or</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;"><span style="color: navy;">suppliers</span>.</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">Accountspayable</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">are sometimes referred to as "payables."</span><strong><span face="Arial, sans-serif" style="color: black;"> </span></strong><span face="Arial, sans-serif" style="color: black;">Accounts</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">payable</span><span face="Arial, sans-serif" style="color: black;"> </span><span face="Arial, sans-serif" style="color: black;">is also used to refer to the unit within an organization's accounting department that manages these payments. The accounts payable unit often oversees a variety of tasking which may include authorizing purchase orders, collecting<a href="http://www.blogger.com/goog_1257704306756"> </a><span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">credit card</a></span> receipts, organizing account withdrawals, and keeping the <span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">general ledger</a></span>, and auditing expense reports. Other accounting transactions that an organization's accounting department may manage includes <span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">accounts receivable</a></span>, which focuses on the billing of customers, and <span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">payroll</a></span>, which focuses on paying the organization's employees.<o:p></o:p></span><br />
<span face="Arial, sans-serif" style="color: black;">The job of the accounts payable administrator is a serious responsibility. Paying bills on time and according to the specific terms and conditions can effect company <span style="color: navy;"><a href="http://accountsexpertschoice.blogspot.com/">credit ratings</a></span> and ultimately business relationships.</span><br />
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</div></div></div><div class="MsoNormal"><div><b style="font-family: verdana, sans-serif; font-size: 10pt;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #990000;">Bank Reconciliation Statement</span></a></b></div><b><div><span face=""verdana" , sans-serif" style="color: #4b4b4b; font-size: 10pt;"><br /></span></div><div><span face=""verdana" , sans-serif" style="color: #4b4b4b; font-size: 10pt;">Bank Reconciliation Statement is prepared to check the accuracy of the statement provided by the bank or bank pass book against the various bank account entries posted in ledger. Amount and nature of each transaction related with bank is tallied to make sure that the actual bank account and the ledger bank account are in perfect agreement.</span></div></b><br /><div class="separator" style="clear: both; text-align: center;"><br /></div><div class="separator" style="clear: both; text-align: center;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhP9CElAZQDtpymDxlIY7nPPsRCZCLfmACXPfW6C0lcQAF27EP76spze875r26gjEu_ZCoCxzr5QFCeDKewUO5f46Ls1wgb8WYJ6hXWkVBamS_I2Targ7JSNV4O2AdJDpdI8zbhyphenhyphenjr9Sr4/s1600-h/BankReconcialiationExample.png" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhP9CElAZQDtpymDxlIY7nPPsRCZCLfmACXPfW6C0lcQAF27EP76spze875r26gjEu_ZCoCxzr5QFCeDKewUO5f46Ls1wgb8WYJ6hXWkVBamS_I2Targ7JSNV4O2AdJDpdI8zbhyphenhyphenjr9Sr4/s320/BankReconcialiationExample.png" /></a></div><div class="separator" style="clear: both; text-align: center;"><span style="background-color: #fdfdfd; color: #333333; font-family: Georgia, serif; text-align: left;"><br /></span></div><div class="separator" style="clear: both; text-align: justify;"><span style="background-color: #fdfdfd; color: #333333; font-family: Georgia, serif; text-align: left;">When a businessman compares the Bank balance of its cash book with the balance shown by the bank pass book, there is often a difference. As the time period of posting the transactions in the bank column of cash book does not correspond with the time period of posting in the bank pass book of the firm, the difference arises. The reasons for difference in balance of the cash book and pass book are as under :</span></div><div style="background: rgb(253, 253, 253); margin-bottom: .0001pt; margin: 0in;"><o:p></o:p></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">1. Cheques Issued By The Firm But Not Yet Presented For Payment : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">When cheques are issued by the firm, these are immediately entered on the credit side of the bank column of the cash book. Sometimes, receiving person may present these cheques to the bank for payment on some later date. The bank will debit the firm’s account when these cheques are presented for payment. There is a time period between the issue of cheque and being presented in the bank for payment. This may cause difference to the balance of cash book and pass book.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">2. Cheques Deposited into Bank But Not Yet Collected : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">When cheques are deposited into bank, the firm immediately enters it on the debit side of the bank column of cash book. It increases the bank balance as per the cash book. But, the bank credits the firm’s account after these cheques are actually realised. A few days are taken in clearing of local cheques and in case of outstation cheques few more days are taken. This may cause the difference between cash book and pass book balance.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">iii. Amount Directly Deposited in The Bank Account :</span></strong><span style="color: #333333; font-family: "Georgia",serif;">Sometimes, the debtors or the customers deposit the money directly into firm’s bank account, but the firm gets the information only when it receives the bank statement. In this case, the bank credits the firm’s account with the amount received but the same amount is not recorded in the cash book. As a result the balance in the cash book will be less than the balance shown in the Pass book.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">3. Bank Charges : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">The bank charge in the form of fees or commission is charged from time to time for various services provided from the customers’ account without the intimation to the firm. The firm records these charges after receiving the bank intimation or statement. Example of such deductions is : Interest on overdraft balance, credit cards’ fees, outstation cheques, collection charges, etc. As a result, the balance of the cash book will be more than the balance of the pass book.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">4. Interest and Dividend Received by the Bank : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">Sometimes, the interest on debentures or dividends on shares held by the account holder is directly deposited by the company through Electronic Clearing System (ECS). But the firm does not get the information till it receives the bank statement. As a consequence, the firm enters it in its cash book on a date later than the date it is recorded by the bank. As a result, the balance as per cash book and pass book will differ.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">5. Direct Payments Made By The Bank On Behalf Of The Customers : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">Sometimes, bank makes certain payments on behalf of the customer as per standing instructions. Telephone bills, rent, insurance premium, taxes, etc are some of the expenses. These expenses are directly paid by the bank and debited to the firm’s account immediately after their payment. but the firm will record the same on receiving information from the bank in the form of Pass Book or bank statement. As a result, the balance of the pass book is less than that of the balance shown in the bank column of the cash book.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: Georgia, serif;">6. Dishonor of Cheques/Bill discounted : </span></strong><span style="color: #333333; font-family: "Georgia",serif;">If a cheque deposited by the firm or bill receivable discounted with the bank is dishonoured , the same is debited to firm’s account by the bank. But the firm records the same when it receives the information from the bank. As a result, the balance as per cash book and that of pass book will differ.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">7. Errors Committed in Recording Transactions by the Firm :</span></strong><span style="color: #333333; font-family: "Georgia",serif;">There may be certain errors from firm’s side, e.g., omission or wrong recording of transactions relating to cheques deposited, cheques issued and wrong balancing etc. In this case, there would be a difference between the balances as per Cash Book and as per Pass Book.</span><o:p></o:p></span></div><div style="background: rgb(253, 253, 253); box-sizing: border-box; float: left; margin: 0in 0in 0.0001pt;"><span style="box-sizing: border-box;"><strong style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;">8. Errors Committed in Recording Transactions by the Bank :</span></strong><span style="color: #333333; font-family: "Georgia",serif;">Sometimes, bank may also commit errors, e.g., omission or wrong recording of transactions relating to cheques deposited etc. As a result, the balance of the bank pass book and cash book will not agree.</span><o:p></o:p></span></div><div><span style="box-sizing: border-box;"><span style="color: #333333; font-family: "Georgia",serif;"><br /></span></span></div></div><div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-12562535853830377342009-11-07T06:27:00.004+00:002021-07-16T13:32:43.358+01:00Qualities of a Manager<span face="verdana, geneva, lucida, 'lucida grande', arial, helvetica, sans-serif"></span><span style="font-family: georgia;"><br />
</span><div class="smallfont" style="font-stretch: normal; font-style: normal; font-variant: normal; font-weight: normal; line-height: normal; padding-bottom: 5px;"><span style="font-family: georgia;"><img border="0" height="295" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhnF7wTcxPjaFsd5pf9YejEiTlPI80M8TyVcvaU93qF_VK7rzFomL7BCwTSbni2M8LSYSR7KTbA4Mg_Qx-4hRfyXVAtiSNXGfRBLUoAcjHR1VQj8M57KxRZB9fwJMvzQNp-mORVsQ86OR4/w253-h295/maneger" width="253" /></span><div class="separator" style="clear: both; text-align: center;"><span style="font-family: georgia;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgTtEW7Vb6mNXaTQRs3IUYUx1Ut6WJAM88nrIMzzDh7wKpQByjVzGuHhG8giFSd03_BaV-SdTSI09ryKLOdL_pofas12AhSfmow7nUsEOZty8ihrkCIjUx0A7nzFRBqwxOl4GAK581n2g/s1600-h/manager" style="margin-left: 1em; margin-right: 1em;"><img border="0" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgTtEW7Vb6mNXaTQRs3IUYUx1Ut6WJAM88nrIMzzDh7wKpQByjVzGuHhG8giFSd03_BaV-SdTSI09ryKLOdL_pofas12AhSfmow7nUsEOZty8ihrkCIjUx0A7nzFRBqwxOl4GAK581n2g/s320/manager" /></a><br />
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</span></div><div id="post_message_936446"><b><span style="font-family: georgia;"><span><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: #0c343d;">A good manager has at least 10 good qualities</span></a></span><span style="color: #0c343d;"> </span></span></b></div><div id="post_message_936446"><b><span style="font-family: georgia;"><span style="color: #0c343d;"><br /></span></span></b></div><div id="post_message_936446"><span style="font-family: georgia;"><span style="color: #0c343d;"><b><br /></b></span>
<span><span style="font-size: small;"><br /></span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">There isn't a magic formula for good management, of course, but if you're a manager, perhaps these tips will help you be more effective: </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">1. Choose a field thoughtfully</span>.</b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Make it one you enjoy. It's hard to be productive without enthusiasm. This is true whether you're a manager or employee; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">2. Hire carefully and be willing to fire</span>.</b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">You need a strong team, because a mediocre team gives mediocre results, no matter how well managed it is. One mistake is holding on to somebody who doesn't measure up. It's easy to keep this person on the job because he's not terrible at what he does. But a good manager will replace him or move him to where he can succeed unambiguously; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">3. Create a productive environment.</span></b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">This is a particular challenge because it requires different approaches depending on the context. Sometimes you maximize productivity by giving everybody his or her own office. Sometimes you achieve it by moving everybody into open space. Sometimes you use financial incentives to stimulate productivity. A combination of approaches is usually required. One element that almost always increases productivity is providing an information system that empowers employees. </span></span><br />
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<span><span style="font-size: small;">When I was building Microsoft, I set out to create an environment where software developers could thrive. I wanted a company where engineers liked to work. I wanted to create a culture that encouraged them to work together, share ideas and remain motivated. If I hadn't been a software engineer myself, there's no way I could have achieved my goal; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">4. Define success</span>.</b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Make it clear to your employees what constitutes success and how they should measure their achievements. Goals must be realistic. Project schedules, for example, must be set by the people who do the work. People will accept a "bottoms-up" deadline they helped set, but they'll be cynical about a schedule imposed from the top that doesn't map to reality. Unachievable goals undermine an organisation. At my company, in addition to regular team meetings and one-on-one sessions between managers and employees, we use mass gatherings periodically and E-mail routinely to communicate what we expect from employees. If a reviewer or customer chooses another company's product , we analyze the situation. We say to our people, "The next time around we've got to win. What's needed?" The answers to these questions help us define success; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">5. To be a good manager,</span></b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">You have to like people and be good at communicating. This is hard to fake. If you don't enjoy interacting with people, it'll be hard to manage them well. You must have a wide range of personal contacts within your organisation. You need relationships - not necessarily personal friendships - with a fair number of people, including your own employees. You must encourage these people to tell you what's going on and give you feedback about what people are thinking about the company and your role in it; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">6. Develop your people to do their jobs better than you can.</span></b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Transfer your skills to them. This is an exciting goal, but it can be threatening to a manager who worries that he's training his replacement. If you're concerned, ask your boss: "If I develop somebody who can do my job super well, does the company have some other challenge for me or not?" Many smart managers like to see their employees increase their responsibilities because it frees the managers to tackle new or undone tasks. There's no shortage of jobs for good managers. The world has an infinite amount of work to be done; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">7. Build morale</span>.</b> </span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Make it clear there's plenty of goodwill to go around and that it's not just you or some hotshot manager who's going to look good if things go well. Give people a sense of the importance of what they're working on - its importance to the company, its importance to customers; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">8. Take on projects yourself.</span></b><span style="color: #4c1130;"> </span></span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">You need to do more than communicate. The last thing people want is a boss who just doles out stuff. From time to time, prove you can be hands-on by taking on one of the less attractive tasks and using it as an example of how your employees should meet challenges; </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">9. Don't make the same decision twice. </span></b></span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Spend the time and thought to make a solid decision the first time so that you don't revisit the issue unnecessarily. If you're too willing to reopen issues, it interferes not only with your execution but also with your motivation to make a decision in the first place. People hate indecisive leadership; However, that doesn't mean you have to decide everything the moment it comes to your attention. Nor that you can't ever reconsider a decision. </span></span><br />
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<span><span style="font-size: small;"><b><span style="color: #4c1130;">10. Let people know whom to please</span>.</b></span></span></span></div><div id="post_message_936446"><span style="font-family: georgia;"><span><span style="font-size: small;">Maybe it's you, maybe it's your boss, and maybe it's somebody who works for you. You're in trouble and risking paralysis in your organisation when employees start saying to themselves: "Am I supposed to be making this person happy or this other person happy? They seem to have different priorities." </span></span><br />
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<span><span style="font-size: small;">I don't pretend that these are the only 10 approaches a manager should keep in mind. There are lots of others. Just a month ago I encouraged leaders to demand bad news before good news from their employees. But these 10 ideas may help you manage well, and I hope they do.</span></span></span></div><div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com0tag:blogger.com,1999:blog-368424306269856682.post-68042144767420080362009-10-26T10:50:00.022+00:002021-07-16T13:50:32.101+01:00Account System used in Health Care or Hospitals <div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><br /></span><span style="font-size: 12pt; line-height: 107%;"><u><span style="background: yellow; mso-highlight: yellow;"><br /></span></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><br /></u></span></span></div><div style="height: 0px;"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"><u><span style="background: yellow; mso-highlight: yellow;"><a href="https://www.blogger.com/u/1/blog/post/edit/368424306269856682/6804214476742008036"><span style="color: black;">Account Management Suite</span></a></span></u> provides
the core modules of practice management to efficiently manage your practice.
The suite features e-Business Manager, a powerful collection module with
electronic queues for real time information as to account status.</span></span><table border="0" cellpadding="0" cellspacing="0" class="MsoNormalTable">
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<td bgcolor="#F4F4F4" style="padding: 0in 0in 0in 0in;" valign="top"><div class="separator" style="clear: both; text-align: center;"><br /></div>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;"><u><span style="background: yellow; mso-highlight: yellow;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black;">Patient Accounting module</span></a></span></u> is
the core of the Experis or Expert PM. It integrates with all other Expert PM modules
and programs. Patient Accounting is a comprehensive system designed to
maximize collections, process data efficiently, and improve patient services.
Patient Accounting lets you customize billing requirements. It automatically
calculates fees based on varying carriers, physicians, and departments, and
its flexibility allows you to define parameters to fit your unique processing
and management needs.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Accounts receivable and practice management
information are provided through extensive and concise reporting
capabilities. Expert PM eases future planning by giving you exact
analyses of where your practice is today so you can plan for tomorrow.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Patient Accounting module functions include the
fol</span></span><span style="font-family: georgia;">lowing:</span></p><p></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Patient Registration<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Charge/Payment/Adjustment Entry<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Insurance Open Item Posting<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Patient Billing and Credit Collection<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Insurance Management<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Multiple Recall Codes<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Inquiry Information<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Data Retention<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l0 level1 lfo1; tab-stops: list .5in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">·<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Management Information Reporting<o:p></o:p></span></p>
<p class="bodytext" style="margin-bottom: 12.0pt;"><span style="font-family: georgia;"> </span></p>
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<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black;">e-business manager</span></a> module</span></u><span style="font-size: 12pt; line-height: 107%;">. <o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Designed for collection
specialists, this module allows your specialists to access and enter all
information on-line.<o:p></o:p></span></span></p>
<p class="MsoNormal" style="margin-bottom: 12.0pt;"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">You can
optimize your collection ratio with one easy-to-use collection screen. This
collector review screen is a worksheet for contacting accounts and updating
activity. Each account automatically queues for review and requires the
collection specialist to enter an action code before reviewing the next
account. Client-defined criteria determine the assignment of accounts and
collection policies.<br />
<br />
The e-Business Manager module's on-line feature ensures that accounts are
never missed for review, and the paperless system eliminates the
frustration of lost notes. Statistical reports help you make important
decisions on staff performance, requirements, and the effectiveness of your
collection techniques. And, by managing collection accounts in-house, you increase
revenue by eliminating the cost of large collection agency commissions.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Highlights of the e-Business
Manager module include automatic assignment of accounts based on
client-defined criteria; assigned collection specialist numbers are
displayed in frequently used account screens; total balance of bad debt and
collection agency are displayed on the collection screen; ability to track
contact codes by creating billing messages when code is entered; ability to
enter recall code and date in the collection screen; and, automatic
assignment of accounts to small or large balance categories.<o:p></o:p></span></span></p>
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</v:shape><span style='mso-element:field-end'></span><![endif]--><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;"><o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;"><a href="https://www.blogger.com/u/1/blog/post/edit/368424306269856682/6804214476742008036"><span style="color: black;">Financial Suite provide</span></a><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black;">s</span></a></span></u><span style="font-size: 12pt; line-height: 107%;"> all the tools of
financial management. Beyond General Ledger, Payables/Receivables, ExpertPM can
transmit Purchase Orders electronically in ANSI standard format, update
inventory through electronic remittance, and provide Case Costing for
surgeries and procedures.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;"><a href="https://www.blogger.com/u/1/blog/post/edit/368424306269856682/6804214476742008036"><span style="color: black;">The General Ledger</span></a> module</span></u><span style="font-size: 12pt; line-height: 107%;"> provides you with financial information critical to
determining financial statements. While other financial modules
automatically generate accounting entries, leaving only adjusting entries
to be entered, the General Ledger module is a byproduct of daily
operations, providing a complete financial database.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">The General Ledger module
automatically integrates with other financial modules, and provides either
single entry or double entry mode. On-line inquiry capabilities allow you
to view journal entries, account balances, account histories, and budget
balances.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Among the many comprehensive
reports and statements available in the General Ledger module are charts of
accounts; balance sheet and balance sheet comparisons; journal entries log;
income statements and comparative income statements and schedules; monthly
budgeting and forecasting; and, comprehensive year-end summaries.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Highlights of the General
Ledger module include on-line report requesting and system control;
multi-company, multi-divisional, and multi-department flexibility;
consolidation capabilities; separate fiscal years for each company and
client; detail history for entire fiscal year; ten-digit account number
capability; automatic integration with other financial modules; and, up to
ten years of account balance history.</span></span></p>
<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;">The Inventory module and its subsystem</span></u><span style="background: yellow; font-size: 12pt; line-height: 107%;">,</span><span style="font-size: 12pt; line-height: 107%;"><a href="http://www.blogger.com/goog_1257703284783"><span style="color: black; text-decoration-line: none;"> </span></a><a href="http://www.blogger.com/goog_1257703284783"><span style="color: black; text-decoration-line: none;">Purchase
Order, maintain and track inventory distribution</span></a><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black; text-decoration-line: none;">,</span></a> and
provide flexible entry and maintenance of purchasing information. Automatic
and manual purchasing requests and on-line vendor item cataloging helps
your staff manage purchasing functions in an easy and cost-effective
manner.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Among the many comprehensive
reports and statements available in the Inventory and Purchase Order module
are open purchase order; past due purchase order; purchase order request
and advice; receipt history; new purchase orders for warehouse; late
delivery orders for warehouse; and, items received into warehouse.<o:p></o:p></span></span></p>
<p class="MsoNormal" style="margin-bottom: 12.0pt;"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Highlights of
the Inventory and Purchase Order module include:<o:p></o:p></span></span></p>
<p class="MsoNormal" style="margin-bottom: 12.0pt;"><span style="font-family: georgia;">Automatic and manual purchasing requests<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;"> </span></span><!--[endif]-->Incomplete shipment
capabilities<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;"> </span></span><!--[endif]-->Receiving with or without
purchase order may be entered<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;"> </span></span><!--[endif]-->Receipt transaction tracking
through inventory module<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;"> </span></span><!--[endif]-->Batch order capability at
client-specified intervals<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;"> </span></span><!--[endif]-->Automatic price and numbering</span></p>
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<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;">The <a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black;">Check Reconciliation </span></a>module</span></u><span style="font-size: 12pt; line-height: 107%;"> helps your staff balance checking accounts quickly and
accurately. With the capability of handling multiple banks and multiple
accounts, Check Reconciliation is a perfect solution for multiple site
organizations. Its interface with the Payroll and Accounts Payable
modules simplifies reconciliation. A check reconciliation report
displays all checks returned, all checks outstanding, and any errors in
reporting.<o:p></o:p></span></span></p>
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<p class="MsoNormal" style="margin-bottom: 0in;"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Highlights
of the Check Reconciliation module include:<o:p></o:p></span></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Automatic interface with Accounts Payable ExpertPM module<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Paid check reconciliation<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Outstanding check reconciliation<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Capability to handle multiple bank and multiple account
requirements<o:p></o:p></span></p>
<p class="bodytext" style="margin-left: .5in; mso-list: l1 level2 lfo2; tab-stops: list 1.0in; text-indent: -.25in;"><!--[if !supportLists]--><span style="font-family: georgia;"><span style="font-size: 10pt;">o<span style="font-size: 7pt; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: normal;">
</span></span><!--[endif]-->Electronic interface with banks for cancelled checks.</span></p>
<p class="MsoNormal"><span style="font-family: georgia;"><u><span style="background: yellow; font-size: 12pt; line-height: 107%;"><a href="https://www.blogger.com/u/1/blog/post/edit/368424306269856682/6804214476742008036"><span style="color: black;">Chart Management manages</span></a></span></u><span style="font-size: 12pt; line-height: 107%;"> the who, what, where, of your paper charts. The suite
features an efficient bar-code solution to ensure files are accounted
for, accessible for the provider, and provides protection and
preparedness for audits</span></span></p><table border="0" cellpadding="0" cellspacing="0" class="MsoNormalTable">
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<p class="MsoNormal"><span style="font-family: georgia;"><span style="font-size: 12pt; line-height: 107%;"> </span><span style="font-size: 12pt;">With Exterior’s </span><u style="font-size: 12pt;"><span style="background: yellow; mso-highlight: yellow;"><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black;">Chart Tracking modules</span></a></span></u><span style="font-size: 12pt;">, lost
charts and films are virtually eliminated. Chart Tracking displays
information on the date, time, operator, and current location of the
chart, and allows staff to access the exact chart location instantly.</span></span></p>
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<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">Chart Tracking greatly
enhances the productivity and efficiency of the Medical Records file
room, and all areas of clinic operations benefit from the end of
potentially disruptive chart searches. Chart Tracking improves quality
assurance and patient care by ensuring that the chart is readily
available at any given time.<br />
<br />
Because satellite and ancillary facilities have become so common in
health care, today’s physicians often need to manage multiple charts for
their patients. The Multiple Patient Chart module identifies and tracks
multiple chart records for each patient.<o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;">With the<a href="http://www.blogger.com/goog_1256552516902"><span style="color: black; text-decoration-line: none;"> </span></a><a href="http://www.blogger.com/goog_1257703284789"><span style="color: black; text-decoration-line: none;">Multiple
Patient Chart module</span></a><a href="http://accountsexpertschoice.blogspot.com/"><span style="color: black; text-decoration-line: none;">,</span></a> your
staff can match the right chart to the right patient visit instantly. The
majority of patient visits require no intervention since the home
location is where most of the visits occur. However, when the patient
visits an ancillary location, the chart selection process is quick and
easy.</span></span></p><p class="MsoNormal"><span style="font-size: 12pt; line-height: 107%;"><a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj5kMGxilx5iA_gYHS1L7g5lN3iNjYQodKtvnPV7hTbAg2bBBXgjGnDkE6B9XI1oXViE8KClkaSf6OlRbBN2GI7DpGnX4ajKjrQcPbxvs22kRfZzEnAUnBXXhWNOJsjqaakLn1IAfka-bg/s1200/The-Must-Have-modules-of-a-Hospital-Management-System-1200x675.jpg" imageanchor="1" style="font-size: medium; margin-left: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="675" data-original-width="1200" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj5kMGxilx5iA_gYHS1L7g5lN3iNjYQodKtvnPV7hTbAg2bBBXgjGnDkE6B9XI1oXViE8KClkaSf6OlRbBN2GI7DpGnX4ajKjrQcPbxvs22kRfZzEnAUnBXXhWNOJsjqaakLn1IAfka-bg/s320/The-Must-Have-modules-of-a-Hospital-Management-System-1200x675.jpg" width="320" /></a></span></p>
<p class="MsoNormal" style="margin-bottom: 12.0pt;"><span style="font-size: 12pt; line-height: 107%;"><span style="font-family: georgia;"><a href="http://www.experior.com/images/products/multiple_patient_charts.jpg" style="float: left;"></a><o:p></o:p></span></span></p>
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<div class="blogger-post-footer">http://feeds.feedburner.com/SureshAccountsHrExpertsChoice</div>SURESH NAIKhttp://www.blogger.com/profile/06596224054003169971noreply@blogger.com1