Article Topics
Average CTC: 7 to 11 LPA (approx.)
Technical Questions:
- Can you please explain me what do you understand from the audit cycle/process in brief?
- What is materiality and why it is relevant for audit/What is the use of materiality in Audit?
- How is materiality being calculated? Considerations while calculating materiality?
- a) Have you done/heard of controls testing/ IFC in audit? What is it and why it is important? b) Is there any reporting requirement for IFC in audit?
- What is the impact on your audit if the controls are not operating as expected/intended? Will you qualify your audit report directly?
- What were the key observations which you identified during your articleship and how you handled them? What was the final outcome of those?
- a) What are key differences between Ind AS 116 and erstwhile IND AS 17. b) ROU and Lease liabilities concept/calculations c) 2 Exemptions provided by Ind AS 116 i.e. Short term leases and Low value leases d) Whether the concept of finance lease and operating lease still there in Ind AS 116?
- a) Read IND AS 115 thoroughly and how it is applicable for the industry/sector you have worked on. b) What is the 5 step revenue recognition model as per Ind AS 115? c) Methods of revenue recognition - i.e. Point in time and Over time - when which method is applied - 3 conditions. d) Assertions covered while testing revenue and what procedures do you perform while testing revenue/those assertions. e) Cut off procedures - basic Journal entries for cut off.
- Audit procedures for: a) PPE (useful lives - Schedule II), Depreciation calculation. b) Trade receivables (including ageing and provision for doubtful debts/ECL model), c) Payroll and d) Revenue testing - the whole process is very important, but the question below is where many candidates get stuck. Don't assume this is the only revenue question: "How can you ensure that revenue is not fraudulent or has occurred in real?"
- Ind AS 109 - not the whole standard, but be aware of at minimum: a) What do you mean by Financial instruments? b) Basic accounting - discounting, amortizing/unwinding of liabilities and recording interest on a regular basis c) Basic Journal Entries d) Expected credit loss concept
