PwC Partner Interview - Commercial Awareness

#1

Hi there. I’ve been browsing this forum for a few weeks now, it has been invaluable for preparing for interviews. I have an assessment centre for PwC coming up next week so I’ll post a detailed report on the whole application process afterwards.

I’m currently making notes on the recent bank rescue plan for my business issue. I’m going to talk about the rationale behind it, advantages and disadvantages. Is there anything else I should mention? Also I was wondering what peoples views were on the effect this semi-nationalisation of leading British Banks will have on the accounting industry? Can anyone think of any follow up questions on this topic a partner might ask? I want to cover all the angles!!!

Any help on this topic would be very much appreciated. I’ve been browsing this forum for a little while now and it has been absolutely invaluable for preparing for interviews. I will be sure to post a detailed report on the whole application process after my assessment centre this week. Thanks!

#2

I think, the semi nationalisation creates moral hazard among banks in the future.

As to impact on accounting industry, it is now easy for auditors to issue a no problem going concern unqualified opinion. The Gov is supporting almost all of the banks.

I think, there should be a separate section of IAS Going Concern for uses of “Going Concern” during trouble and good times. Current going concern statements are in no way similar to the ones issued 2 years back. Because, banks can obtain clean healthy audit opinion as they have adjusted their books with the help of the gov. but what about the troubled companies? They cannot receive unqualified opinion based on going concern principles, as their balance sheets express insolvency/illiquidity. So there is an unfair treatment. This might bring some changes to the principles/guidelines issued by relevant bodies in the industry.