Interview questions

Credit Manager interview questions

30 questions. Tap “Show answer” to check yourself.

  1. What are the general factors affecting capital structure?

  2. What are the techniques available for evaluation of capital expenditure proposals?

  3. How is the pricing of the issue done by following? a.) Listed Company, b.) Unlisted Company?

  4. Explain bank guarantees? How do they work?

  5. List out the advantages and risks associated with Equity warrants?

  6. What are the advantages of issuing bonus shares to the shareholders and creditors?

  7. What are the techniques available to monitor the receivables?

  8. How is optimum cash balance maintained?

  9. What current liabilities can be used as spontaneous sources for financing the working capital?

  10. What is time value of money? What are the techniques used for this?

  11. What are commercial papers? Who can issue commercial papers?

  12. What factors are considered for final selection of avenue for investing cash balance?

  13. What are the basic documents a person requires to open an account?

  14. What is net present value? What are its acceptance rules, their advantages and disadvantages?

  15. Who decides the denomination of shares in the public issue by a company?

  16. Differentiate between Compare Component cost and Composite cost?

  17. Explain Earnings Per Share (EPS). How is it calculated? What is it's significance?

  18. What is letter of credit? What are the different parties involved in a LC?

  19. Define Modigliani- Miller (M and M) approach?

  20. What are the different types of venture capital financing?

  21. What are the advantages and risks associated with Secured premium notes?

  22. What is over capitalization? What are its causes?

  23. How are sources and applications categorized for proper interpretation of funds flow statement?

  24. What is pay back period technique for evaluation of capital expenditure proposal?

  25. Define Internal rate of return.

  26. What are the exit routes available to VCF?

  27. What is Price Earning Ratio (P/E Ratio)? How is it calculated? What is its significance?

  28. What is credit rating? What are its main features?

  29. What is the minimum application if equity shares are being issued at par?

  30. What are the different types of leases?

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