Financial Planning & Analysis -
- Frequently Asked Technical Interview Questions

Average CTC: 8 to 13 LPA (approx.)

Technical Questions :

• What are budgeting and forecasting?
• How do you make a budget/forecast or what is the basis you consider while making a budget or forecast?
• Mention the ERP you have used in budgeting and forecasting.
• Variance analysis and Key factor of variance analysis?
• What is CAGR? Should CAGR be high or low?
• What are the different types of FP&A reports?
• What is budgeting and forecasting?
• How do you make a budget/forecast or what is the basis you consider while making a budget or forecast?
• Mention the ERP you have used in budgeting and forecasting.
• Variance analysis and Key factor of variance analysis?
• What is CAGR? Should the CAGR be high or low?
• What are the different types of FP&A reports?
• What is Driver-Based Planning?
• What are the different types of variance commentaries and explain the ones you have worked on.
• Ind AS 115, how to recognize revenue with examples, 5-step model, 3 conditions of satisfied over time.
• Ind AS 116, Its objective, Difference between operating Lease and Financial Lease.
• How can you improve margins/profits? Give an example.
• Amazon sold goods with 7 days return policy. How will you recognize the revenue- on the day sale takes place or after the completion of 7 days?
  Condition 1: Risk and reward is of amazon.
  Condition 2: Risk and reward is of seller.
• How would you forecast the revenue of our company?
• Or What are the key drivers or metrics for revenue in our industry?
• Can you walk us through the P&L and Balance sheet of our company?
• What is a rolling forecast? How is it different from a traditional budget?
• What are the different ways to analyze data?
• What is Capital budgeting? Give an example of a capital budgeting decision.
• What are the different methods of evaluating a project or investment?
• What is Financial Modeling for FP&A?
• How does an inventory write-down affect the Financial statements?
• What are the hallmarks of a good FP&A financial model?
• How do you model working capital for a company?
• What makes a “good” budget?
• How are the 3 financial statements linked together?
• How do you forecast Costs?
• What is an MIS Report? Mention a few types of MIS Reports.
• How do MIS Reports Work? Give an example.
• Questions on Financial Ratios: a) What is the key ratio to consider while evaluating a new investment? Some of the key ratios considered by investors while investing are:
• Price-to-Cash-Flow Ratio 
• Debt-to-Equity Ratio
• Quick Ratio
• Price-to-Earnings Ratio\ b) What is the key ratio for measuring profitability? Key ratios for measuring the profitability of the company are 
•  Return on Equity 
•  Gross Profit margin 
•  Net Profit margin 
•  Earnings per share c) If accounts receivable are going up, what could be the possible driver? What is the use and purpose of Excel Pivot Table, VLOOKUP, HLOOKUP, SUMIF, and Index Match? What do you mean by a matching concept? How will you carry out a risk-based assessment? How an e-commerce aggregator raises invoices and all the related compliance with the provisions of Income Tax and GST.
• What Is a Hurdle Rate? Why is it important?
• What Types of Businesses Use Financial Modeling?
• EXTRA- Few tips for Technical round of interviews in FP&A Since FP&A roles and responsibilities vary from industry to industry, students are advised to have a brief knowledge of the following before an interview: 
• Understand the industry and its business and operations 
• Know the business model of the company and its geographical spread 
• Challenges, if any, the specific industry is facing in the current scenario 
• Share of the company in the market and its position in the industry overall 
• Know the core values of the company and relate them to why you want to join the company 
• Any recent policy/judgment that has affected the industry or company