Finance is a vast field. The interview questions will depend on what the prospective employer is into or what will be your probably responsibilities. Some of the probable general questions can be as follows:
Explain various financial ratios. How and interpret them?
What is Time value of money?
How inflation impacts capital budgeting?
What are Derivatives and how they are useful?
How to determine exchange rate and cross rates in foreign currency transitions? You may be given two way quotes and asked to calculate the resultant rate.
What are hedging and how they are useful? Can you explain a couple of example?
What are amalgamation, absorption, reconstruction and divestment? What are the benefits? And how are the different for each other?
What refers to various schemes of offering an equity stake by a Company to its employees?
What are ESOPs? How many types of ESOPs are their and the differences? Explain if they have any adverse impact on the financial statements of the company.
What is Financial Risk? What can the finance manager do about such risk?
What is Service Tax?
Can you briefly explain the Fringe Benifit Tax( FBT)?
What is Securities Transaction Tax- (STT)?
Why Investment Banking / Private Equity/ Private Client Services?
How do you value a company (particular to investment banking / private equity etc)?
What qualities do you think are important for this industry? Do you possess those qualities?
Why would two companies merge? What major factors drive mergers and acquisitions?
Tell me three items on the front page of today's Economic Times / Financial Express etc?
Why might a company choose debt over equity financing?
Where is our firm's stock trading?
If you can be bit specific about the type of responsibilities you are likely to assume or the type of company you are likely to join, we can probably be more specific with the list of questions.
7th March 2010 From India , Pune