Top 30 Public Accountant Interview Questions and Answers [Updated 2025]

I subscribe to the Journal of Accountancy and regularly attend webinars on tax law changes. This keeps me updated on the latest regulatory developments.

GAAP is the accounting standard used mainly in the United States, while IFRS is used internationally. One key difference is in revenue recognition; GAAP has more specific rules, whereas IFRS is more principle-based. Additionally, IFRS allows revaluation of fixed assets, while GAAP does not. Lastly, GAAP is typically more conservative in its approach to accounting.

I evaluate a company's financial health by analyzing its income statement for profitability, balance sheet for assets vs liabilities, and cash flow statement for liquidity. I also calculate key ratios like the current ratio and return on equity to get a comprehensive view.

I am most proficient in QuickBooks since I've been using it for over 5 years in managing small business accounts. Its user-friendly interface helps me quickly generate financial reports and reconcile bank statements effectively.

The main principles of auditing standards, such as GAAS, include maintaining independence and objectivity, which ensures that the audit is unbiased. I also focus on materiality, ensuring that I highlight information that could affect financial decisions. For example, during my last audit, I documented all findings thoroughly, which helped in providing a clear picture to stakeholders.

I identify direct costs like materials and labor, and indirect costs such as overhead. I then set standard costs and perform variance analysis monthly to spot discrepancies and communicate with the production team for adjustments.

Internal controls are crucial for maintaining the integrity of financial statements. They prevent errors and fraud, ensuring compliance with regulations. To evaluate their effectiveness, I would implement tests of controls and rely on frameworks like COSO to guide my assessment.

I start by identifying key areas of risk in the financial statements, such as revenue recognition and asset valuations. Then, I perform analytical procedures to detect any unusual trends. I also review internal controls related to reporting and discuss known risks with management. Finally, I document my findings with a risk assessment for each area.

Variance analysis involves comparing budgeted figures to actual figures to identify discrepancies. I start by collecting financial data, calculating variances, and then analyzing the reasons for these differences. This process helps management understand financial performance and make informed decisions.

I begin by defining capital budgeting as a process to evaluate long-term investments. I typically use NPV and IRR to assess potential projects. I also consider risk factors by analyzing market conditions and projections. For example, in a recent project, I evaluated a new software investment and calculated a positive NPV, which supported my recommendation.

During tax season last year, I had to submit multiple client returns simultaneously. I prioritized based on deadlines and complexity, using project management software to track each return. I completed the simpler returns first to minimize my workload closer to the deadline. This strategy resulted in all returns being submitted on time, and my clients were very satisfied.

In my previous role, I noticed a discrepancy in a client's expense reports. By verifying each entry, I found a $5,000 miscalculation that would have affected their tax filings. I corrected it and communicated the error to my supervisor, preventing potential penalties from the IRS. This taught me the importance of double-checking all numbers.

In my previous role, I discovered that a colleague had been misclassifying expenses to meet budget targets. I felt it was important to address this to uphold integrity. I first approached my colleague to discuss my concerns. When they were unresponsive, I reported the issue to my manager, emphasizing the potential impact on our financial reporting. The management took corrective action, and we held a training session on ethical accounting practices. This experience reinforced my commitment to transparency.

In my previous role, I had to present our quarterly financial results to the marketing team. I simplified the data by focusing on two key metrics: revenue growth and expense management. I used a pie chart to show how our budget was allocated, which helped them see where they could optimize spending. This resulted in a collaborative effort to align marketing strategies with our financial goals.

In my previous role, I had a client who was frustrated with their financial reporting. I spent time listening to their concerns and worked closely with them to understand their expectations. By providing regular updates and transparency throughout the process, I was able to regain their trust. In the end, the client expressed appreciation for the improvements and continued working with our firm.

In my last role, I was part of a team that completed a financial audit for a major client. I was responsible for data analysis and preparing the financial report. We identified discrepancies that saved the client $50,000. My collaboration with the audit manager ensured we met tight deadlines without sacrificing accuracy.

In my previous role, I disagreed with a colleague on revenue projections for an upcoming quarter. I believed the numbers were overly optimistic. I initiated a meeting where we both presented our data, allowing each of us to explain our reasoning. We discovered some discrepancies in our assumptions, and by collaborating, we adjusted the projections based on a more realistic analysis.

In my previous role, we faced a tight deadline for an audit of a manufacturing client. The main challenge was incomplete financial records. I organized daily meetings to delegate tasks and ensure everyone was on track. I worked closely with the client to gather the missing information. We completed the audit on time, receiving praise from both the client and my manager for our teamwork.

I pursued my CPA certification and regularly attend continuing education classes to deepen my knowledge.

I faced an issue with a significant discrepancy during an internal audit. After reviewing the entries, I discovered a data entry error caused by a software update. I collaborated with the IT team to rectify the system and re-trained staff on accurate entry procedures. The reconciliation was successful, improving our accuracy in subsequent audits.

I would first listen to the client's concerns attentively and ask clarifying questions to fully understand the issue. Then, I would review the financial statement and any supporting documents to pinpoint the discrepancy. If I identify an error, I would explain it to the client transparently and outline the corrective actions I will take to resolve the issue. My goal is to ensure the client feels confident in our work and understands the resolution process.

First, I would examine the current budget to find areas where we could make cuts. Then, I'd meet with the client to discuss the unexpected expenses and how they impact their overall financial plan. Together, we would identify which expenses are essential.

If I find an inconsistency, I would first document everything I see and gather supporting evidence. Then, I would inform my supervisor right away to discuss the next steps.

I would first assess the client's financial situation to understand cash flow and obligations. Then, I would identify which priorities have the most immediate impact, such as paying off high-interest debts. I'd suggest focusing on those first while planning for the others over time. Communication is key, so I would ensure the client understands the proposed strategy and its implications.

If I suspected fraudulent activity, I would first gather all relevant evidence and confirm my suspicions. Next, I would report my findings to my supervisor or the appropriate department according to our company's protocol. I would ensure all documentation is detailed and accurate to support any further investigation.

I would start by collecting the client's past financial statements to identify trends. After analyzing relevant market conditions, I'd discuss their strategic goals to align the forecast. Finally, I'd use a time series model to generate projections and present these with potential risks.

I first evaluate each query's urgency, prioritizing those with impending deadlines. Then, I categorize clients based on their business impact and the complexity of their issues, ensuring I address the most critical ones first.

If an unexpected event occurs, I would first analyze how it impacts my current deadlines. Then, I would inform my team and stakeholders immediately to keep them in the loop. Next, I’d brainstorm solutions or alternative approaches and prioritize the critical tasks that need to be addressed. Finally, I would revise the project timeline and communicate the new deadlines clearly.

I would start by setting up a meeting with representatives from both accounting and the other department to discuss the project goals and establish clear roles. We would set a regular check-in schedule to ensure ongoing communication and address any concerns as they arise.

I would first analyze their current accounting processes to pinpoint specific inefficiencies. After that, I would meet with the client to discuss what challenges they face and recommend a few accounting software tools that could automate and streamline their processes, such as using cloud-based solutions for real-time data access.