Find Interview Questions for Edelman Financial Engines

Right Answer:
Airtel, officially known as Bharti Airtel, is a leading telecommunications company in India and operates in several countries across South Asia and Africa. It provides a range of services including mobile and fixed-line voice services, broadband, and digital TV. Airtel is known for its extensive network coverage, innovative services, and competitive pricing.

Right Answer:
The Prudence Principle emphasizes being cautious in financial reporting, ensuring that assets and income are not overstated, while liabilities and expenses are not understated. Conservatism, on the other hand, is a broader accounting approach that advises recognizing potential losses and liabilities as soon as they are foreseeable, but only recognizing gains when they are realized. In practice, both aim to avoid overestimating financial health, but prudence focuses more on caution in estimates, while conservatism emphasizes a more general approach to recognizing uncertainties.

Right Answer:
The basic accounting principles every accountant should know are:

1. **Accrual Principle**: Revenue and expenses are recorded when they are earned or incurred, not when cash is exchanged.
2. **Consistency Principle**: Once an accounting method is adopted, it should be used consistently throughout unless a change is warranted.
3. **Going Concern Principle**: Assumes that a business will continue to operate indefinitely unless there is evidence to the contrary.
4. **Matching Principle**: Expenses should be matched with the revenues they help to generate in the same period.
5. **Economic Entity Assumption**: The transactions of a business must be kept separate from those of its owners or other businesses.
6. **Full Disclosure Principle**: All relevant financial information must be disclosed in the financial statements.
7. **Materiality Principle**: All significant information that could influence decisions should be disclosed, while insignificant details can be omitted.
8. **Historical Cost Principle**: Assets should be recorded at their original

Right Answer:
The Going Concern Principle assumes that a business will continue to operate for the foreseeable future, which affects financial reporting by requiring assets and liabilities to be valued based on their ongoing use rather than liquidation values. This principle ensures that financial statements reflect the company's ability to continue its operations, impacting how revenues and expenses are recognized.

Right Answer:
The Time Period Principle states that a company's financial activities should be recorded and reported in specific time periods, such as months, quarters, or years. This principle ensures that financial statements reflect the company's performance and position over these defined intervals, allowing for consistent comparison and analysis of financial results over time.

Right Answer:
The Accrual Principle states that revenue and expenses should be recorded when they are earned or incurred, regardless of when cash is actually received or paid. This differs from cash accounting, where transactions are recorded only when cash changes hands.