Fixed Asset Accountant Interview Questions UK: 8 Real Questions and What Interviewers Want

Applying for a Fixed Asset Accountant job in the UK? Here is what you are likely to be asked. These questions come from our Fixed Asset Accountant question bank of 12 questions, written for UK employers at mid-level level.

Eight Fixed Asset Accountant interview questions, and what the interviewer is thinking

1. How do you decide whether expenditure should be capitalised as a fixed asset or expensed?

Why they ask: To test the most fundamental judgement in fixed asset accounting.

2. How do you calculate depreciation, and how do you review useful lives and residual values?

Why they ask: To check your technical grasp of depreciation policy and estimates.

3. How do you reconcile the fixed asset register to the general ledger, and how do you verify that assets physically exist?

Why they ask: To test your control routine over the register.

4. What does a typical month involve for a fixed asset accountant?

Why they ask: To confirm your understanding of the routine and its interactions with other teams.

5. How would you account for the disposal of an asset? Give me a worked example.

Why they ask: To check you can apply the mechanics accurately.

6. A project team has capitalised £200,000 that looks to you like repair and maintenance. What do you do?

Why they ask: To test your judgement and ability to challenge colleagues on classification.

7. Tell me about a time you found errors in a fixed asset register, such as ghost assets, and how you put them right.

Why they ask: To see evidence of rigour and clean-up capability.

8. How do you account for assets under construction and capitalised borrowing costs?

Why they ask: To check you understand projects that span periods.

A sample answer to question 1

How do you decide whether expenditure should be capitalised as a fixed asset or expensed?

I apply the recognition criteria in IAS 16 or Section 17 of FRS 102: the cost should be capitalised if it is probable that future economic benefits will flow to the entity, and its cost can be measured reliably. Expenditure that creates or enhances an asset, extends its useful life or increases its capacity is capital, while repairs and routine maintenance that simply keep it running are expensed. I look at the invoices, the purchase order and the project, and ask the budget owner what the spend achieved. Directly attributable costs, such as delivery, installation and professional fees, are included in cost, while training and general overheads are not. I would also apply the company's capitalisation threshold, perhaps £1,000 per item, with grouping for items like laptops bought in bulk. Borrowing costs on qualifying assets may be capitalised. I would review project spend monthly with the project managers so that mis-coding is found before it reaches the register.

Common mistake to avoid: Capitalising everything above a threshold; ignoring the nature of the work

Want the rest?

Full model answers, key points and common mistakes for all 12 questions are on the Fixed Asset Accountant interview questions page. The first five are free, no sign-up needed.