Full charge bookkeepers are advanced-level bookkeepers that handle all the accounting needs of a company. Most of the time, small to medium-sized businesses hire them to do a wide range of tasks, such as processing accounts, keeping master records, and making financial statements.
When looking for full-time bookkeepers, employers will want to see that applicants know a lot about accounting software, are organized, and can meet deadlines. Be wary of candidates with poor communication skills and those who do not work well under pressure. Special Offer.
Ace your next full charge bookkeeper interview with this comprehensive guide to the most commonly asked questions.
Whether you’re a seasoned bookkeeper or just starting out, knowing how to answer full charge bookkeeper interview questions is crucial for landing your dream job This guide provides you with the insights, sample answers, and tips you need to impress hiring managers and showcase your skills
Prepare to dive into the world of full-on bookkeeping and ace those interview tasks!
Technical/Job-Specific
Accounting Principles
How do you ensure compliance with Generally Accepted Accounting Principles (GAAP) in your daily bookkeeping activities?
Showcasing your GAAP knowledge and commitment to accuracy is key here
- Highlight your understanding of GAAP principles and your systematic approach to compliance.
- Emphasize your commitment to staying updated on changes in accounting standards.
- Provide concrete examples of how you implement GAAP in your daily work.
Sample Answer:
“In my experience ensuring compliance with GAAP in daily bookkeeping activities requires a three-pronged approach staying informed implementing best practices, and continuous review and improvement. I stay up-to-date by attending seminars, reading accounting publications, and participating in online forums. I follow established best practices and standard operating procedures to ensure accuracy and consistency in all financial transactions. Finally, I regularly review my work and encourage feedback to ensure ongoing adherence to GAAP.”
Can you explain the difference between cash and accrual accounting methods? Which do you prefer and why?
Demonstrate your grasp of different accounting methods and your ability to explain them clearly,
- Define cash and accrual accounting methods and their key differences.
- Explain the advantages and disadvantages of each method.
- Share your preference and provide a rationale based on your bookkeeping style.
Sample Answer:
“Cash accounting records transactions when cash is received or paid, while accrual accounting records them when incurred, regardless of cash exchange. Cash accounting is simpler for small businesses with limited transactions, while accrual accounting provides a more accurate picture of a company’s financial health. I prefer accrual accounting due to its comprehensive and real-time reflection of financial activities.”
How do you adjust journal entries for unearned revenue or prepaid expenses?
You should show the interviewer that you know how to change entries and can handle difficult tasks.
- Explain the concept of unearned revenue and prepaid expenses.
- Describe the process of adjusting journal entries for each.
- Provide a specific example of how you’ve made such adjustments in the past.
Sample Answer:
“Adjusting journal entries for unearned revenue and prepaid expenses is crucial for accurate financial records. For unearned revenue, I debit cash and credit unearned revenue, then adjust by debiting unearned revenue and crediting revenue as goods or services are delivered. For prepaid expenses, I debit prepaid expenses and credit cash, then adjust by debiting expenses and crediting prepaid expenses as the goods or services are used. These adjustments ensure the accurate timing of revenue and expense recognition in accordance with GAAP.”
What are the key financial statements a Full Charge Bookkeeper should be able to prepare and analyze?
Showcase your proficiency in preparing and analyzing core financial statements.
- List and explain the key financial statements: balance sheet, income statement, cash flow statement, and statement of owner’s equity.
- Highlight your ability to use these statements to assess a company’s financial health and make informed decisions.
- Provide examples of how you’ve used these statements in your past work.
Sample Answer:
“A Full Charge Bookkeeper should be able to prepare and analyze the balance sheet, income statement, cash flow statement, and statement of owner’s equity. The balance sheet provides a snapshot of a company’s financial position, the income statement shows its profitability, the cash flow statement tracks its cash inflows and outflows, and the statement of owner’s equity shows changes in its equity. I use these statements to assess financial health, identify trends, and inform strategic decision-making.”
How do you account for depreciation and amortization in your bookkeeping activities?
Show that you know about long-term asset management and can use the ideas of depreciation and amortization.
- Explain the differences between depreciation and amortization.
- Describe the methods you use to calculate depreciation and amortization.
- Provide examples of how you’ve accounted for depreciation and amortization in your past work.
Sample Answer:
“Depreciation allocates the cost of tangible assets over their useful life, while amortization does the same for intangible assets. I determine the asset’s cost, estimated useful life, and residual value, then choose the appropriate depreciation or amortization method (straight-line or declining balance) and calculate the annual expense. I record the expense by debiting the expense account and crediting the accumulated depreciation/amortization account.”
Software and Tools
What accounting software programs have you used in the past, and which do you consider yourself most proficient in?
Highlight your software proficiency and adaptability to new tools.
- List the accounting software programs you’ve used, including QuickBooks, Sage, Xero, and Microsoft Dynamics GP.
- Specify the software you’re most proficient in and explain why.
- Mention any relevant certifications or training you’ve completed to enhance your software skills.
Sample Answer:
“I’ve used QuickBooks, Sage, Xero, and Microsoft Dynamics GP, but I consider myself most proficient in QuickBooks due to its versatility and user-friendliness. I’ve used it for managing accounts receivable and payable, generating financial reports, and performing bank reconciliations. I’m also familiar with QuickBooks add-ons and integrations.”
How do you handle bank reconciliations using accounting software?
Demonstrate your familiarity with accounting software and your ability to use it effectively.
- Outline the steps involved in handling bank reconciliations using accounting software.
- Explain how you compare transactions, identify and investigate discrepancies, and record adjustments.
- Provide specific examples of how you’ve used software to streamline the reconciliation process.
Sample Answer:
“I obtain the bank statement, compare each transaction with the general ledger, investigate discrepancies, make necessary adjustments (interest earned, bank fees, etc.), and confirm the adjusted cash balance matches the bank statement’s ending balance. This ensures accurate financial records and mitigates errors or fraud.”
Can you describe a situation where you needed to troubleshoot an issue with accounting software? What was the problem and how did you resolve it?
Showcase your problem-solving skills and ability to handle unexpected software challenges.
- Describe a specific situation where you encountered a software issue.
- Explain the problem, your troubleshooting steps, and the solution you implemented.
- Highlight the lessons learned from the experience and your adaptability to software quirks.
Sample Answer:
“During a software transition, we encountered issues importing historical data. Some data wasn’t recognized, causing discrepancies in financial reports. I consulted the software’s documentation and contacted customer support. We identified the root cause and worked with the vendor to adjust import settings and reformat data. This experience taught me the importance of being proactive and resourceful in troubleshooting software issues.”
Budgeting and Forecasting
How do you develop and maintain a company’s budget?
Demonstrate your understanding of the budgeting process and your ability to manage budgets effectively.
- Outline the steps involved in developing a budget: setting objectives, gathering historical data, involving department heads, consolidating and analyzing data, and monitoring and adjusting.
- Explain the tools and software you use to create and maintain budgets.
- Provide examples of how you’ve developed and maintained budgets in the past.
Sample Answer:
“I develop and maintain budgets by setting objectives, gathering historical data, involving department heads, consolidating and analyzing data, and monitoring and adjusting. I use budgeting software to create and maintain budgets, ensuring they align with the company’s strategic objectives.”
Can you provide an example of a time when you had to adjust a budget due to unforeseen circumstances? How did you handle it?
Demonstrate your adaptability and resourcefulness in managing unexpected financial situations.
- Describe a specific situation where you had to adjust a budget due to unforeseen circumstances.
- Explain how you collaborated with the production team and management to revise the budget.
- Highlight the tough decisions you made and the positive outcomes you achieved.
Sample Answer:
“I had to adjust a budget due to a sudden increase in product demand, straining our production capacity. I collaborated with the production team and management to revise the budget, reallocating funds and cutting non-essential expenses. We maintained profitability and capitalized on the increased demand. This experience taught me the importance of flexibility and communication in budget management.”
How do you monitor actual financial performance against the budget and provide timely updates to management?
Demonstrate your ability to track financial performance and communicate effectively with management.
- Explain your systematic approach to monitoring actual financial performance against the budget.
- Describe the tools and software you use for variance analysis and financial reporting.
- Provide examples of how you’ve communicated financial updates to management in the past.
Sample Answer:
“I monitor actual financial performance against the budget by establishing a clear budget, setting a regular review schedule, comparing actual performance with budgeted numbers, analyzing discrepancies, making recommendations to management, and tracking progress on recommendations. I use financial reporting software to provide timely updates to management.”
How do you create financial forecasts and what factors do you consider when making projections?
Demonstrate your understanding of financial forecasting and your ability to create accurate projections.
What do you think is the most difficult part of being a full charge bookkeeper?
Highlights areas of expertise and reveals gaps in knowledge.
Interview Questions for Full Charge Bookkeepers:
Reveals an understanding of the bookkeeper position and highlights the candidate’s skill set.
Full Charge Bookkeeper Interview Questions
FAQ
What is a full charge bookkeeper responsible for?
Why should we hire you as a bookkeeper?
What does a full charge bookkeeper do?
As a Full Charge Bookkeeper, I understand the importance of double-checking my work for accuracy and making sure that all transactions are recorded correctly. I also have experience in reconciling accounts, preparing financial statements, and ensuring compliance with applicable laws and regulations.
What does a bookkeeper do?
This includes recording financial transactions, preparing financial statements, and managing budgets. They also might be responsible for payroll, accounts payable, and accounts receivable. If you’re looking for a bookkeeping job, you’ll likely need to go through a job interview.
How do I interview for a bookkeeper position?
When interviewing for a bookkeeping position, you need to show employers that you are smart, tech-savvy and highly organized. Here we share common bookkeeper interview questions with a few sample answers.
What qualities should a full charge bookkeeper have?
Example: “The most important qualities for a full charge bookkeeper to have are accuracy, attention to detail, and strong organizational skills. As a full charge bookkeeper, I understand the importance of ensuring that all financial records are accurate and up-to-date.
