Example of current business issue (not credit crunch)

#1

In many of my interviews I have asked to explain a current issue but have been asked not to use the credit crunch as an example.

Does anyone have any particular suggestions which I can use. I’m applying to audit so perhaps would need to relate it to that also.

any help would be welcomed!

#2
  1. For audit specifically, how about something to do with the debate about whether accountancy firms should have management consultancy wings - the arguement is that if an accountancy firm is consulting management at another firm (lets say, “firm B”), when the time comes to audit firm B, the accountancy firm may lack objectivity. Some people have called for consultancy wings of accountancy firms to be separated from the firm altogether.

  2. Not strictly [[audit]] related, but a very interesting [[commercial awareness]] issue right now is ‘’‘Tax Havens’’’ and ‘’‘off-shore investment’’’. It’s an interesting topic that is linked to the credit crunch, but only slightly - certainly enough difference to be considered an independent current issue - it’s something that has been discussed for many years, but is getting mroe attention right now because some people feel tax havens helped banks hide dodgy assets like credit default swaps and the like.

People are also annoyed that whilst the banks were hoarding money offshore and saving money by not paying tax, tax payers like you and me were feeding money in to the government, that is now being used to bail out these very same banks. Doesn’t seem fair, does it.

Off-shore tax havens provide some with an unfair advantage to ensure they make super normal profits, whilst others are left to pay tax as normal, thus some would argue that they undermine the credibility of the market system as a whole. When you read how RBS hid dodgy assets in artificial “charities” in the Channel Islands, to enable them to lend way more money than they could really afford, you’ll see what I mean! ([http://www.newstatesman.com/economy/2008/10/financial-system-british Read this article]).

Obama is very anti-offshore/tax havens and it would be interesting to discuss him and this policy at interview. Generally speaking, discussing high profile, highly motivated, popular people like Obama is a good thing to do in an interview - it helps you show off your own passions and enthusiasm.

For further information, I recommend these two articles:

and for further info, these websites:

#3

You can also put up … fluctuating energy costs / fuel crisis etc!
Also you can talk about global warming and its impacts
You can also think of food crisis, shortages , rising food costs globally.

#4

Hi guys,

I would like to know whether partners tend to ask about current clients they have - my PWC assessment centre is next week and I’m not sure if its worth knowing some case studies about recent client work they have undertaken?

Thanks

#5

hits123,

at my pwc assessment centre I was only asked the question again about an ideal client. I was told it could be one of PwC’s or not. Just remember if you choose a PwC that the interviewer will probably know a lot more about them than you. Either way they aren’t trying to catch you out and its quite a relaxed interview process I found.

Good luck

Dave

#6

Thanks for your help Dave!

#7

Hi, I am appreciated if you could help me. My PWC assessment day is coming next week, but I am worried about business awareness. could you pls tell me how did you answer this question? Plus, what is Group discussion like?

Many thanks.

#8

To edinburgh dave, thanks again.

#9

Sanxuan12 - see [[commercial awareness]] and [[group exercise]] for starters!

#10

sanxuan12,

would you like me to do the whole assessment day for you?:stuck_out_tongue:
The group discussion was interesting. It comes with lots of info, quite complex and so meeting objectives is difficult. Having said that as long as you are seen to be working well in the group, ie listening to others, giving feedback on their ideas, keeping people aware of time/budget etc, then you should be ok.

Dave

#11

Thanks, edinburgh dave. I really hope I could have a chance to practice assessment day:P

And thanks Redsuperted, you always give me kindly help.

#12

Thanks for everyones help!

Are there any others? I was considering talking about the Ftse 100 reaching a 5 year low in october and currently on an upward trend, though not sure if this would affect financial institutions (unless they have a pension’s division) - um are there any other links?

also, if Barack Obama is electeed as president, will that have any affect on anything business related

p.s sorry for all the questions :s

#13

We’re here for your questions. Question all you like!

If… when… Obama wins, real change will happen. For a start he is very against tax havens and very pro regulation - this will massively affect accountancy firms and investment banks who use tax havens for complex investment products (essentially hiding money) - this has been cited as a root cause of the credit crisis.

Importantly, Gordon Brown and Alistair Darling are very interested in regulating financial institutions, but were finding it tough to implement. Because things are so global nowadays, you need a global movement towards regulation to really get things established. With Obama moving towards regulation (as leader of the most powerful country on earth), other countries will come on board to regulation and it will make it easier for the UK government to pursue regulation.

Whoever wins tomorrow, the FTSE and DOW will almost certainly go up. It’s all very exciting.

#14

Thank you so much! Yeah, guess the DOW went up, but only for a while lol,

#15

Yeah, I think it actually went considerably down. Woops!

#16

Um, do all these recent tax changes have any affect on audit?

if so…HOW!?

Thanks for all the help!

#17

I have the same question. can I talk about the pre-budget and the tax changes in commercial awareness questions?
how are they going to affect deloitte?

many thanks in advance.

#18

yeh i talked about them,

i said:

higher tax rate 5p for £150,000 …maybe high networth individuals etc will get offshore accounts and need tax advice,

also foreign companies may not want to come here as national insurance contirbutions increase make it more expensive