Finance Manager Mock Interview
Master 25 Finance Manager interview questions covering budgeting, forecasting, and financial leadership.
Question 17 of 25
What is your approach to budgeting, forecasting and other forward-looking projections?
How to Answer
Example Answer
Community Answers
Brian Schuchart is a CPA and Senior Finance Business Partner. His professional experience includes senior management roles with NBC Sports, Virtual Health, and the Children's Hospital of Philadephia.
Budgeting and forecasting are core responsibilities of the Finance Manager position. Forward looking projections are part art and part science, so this question is being asked to learn about your thought process when there is some gray area.
Brian Schuchart is a CPA and Senior Finance Business Partner. His professional experience includes senior management roles with NBC Sports, Virtual Health, and the Children's Hospital of Philadephia.
"As Financial Analyst, I was responsible for the annual budget for several divisions, as well as reforecasting results throughout the year. As a starting point, my approach is to always use last year as a benchmark. Then, I apply any changes that I am aware of. For example, are there changes in current trends that need to be taken into account? Knowing that budgeting and forecasting is partially subjective, I try to have sound reasoning behind my methodology so that I am able to support my projections."
Write Your Answer
0 - Character Count
Anonymous Answer
I use zero-based budgeting as it provides a reliable forecast. Unlike incremental budgeting, where there could be a slack, ZBB is also flexible, as it allows budget adjustment from the previous year if budgets were not accurate.
Chad's Feedback
Good answer! You have clearly outlined your preferred approach to budgeting, which is a core responsibility of the position you are interviewing for. Consider discussing the advantages of ZBB further, along with the ways you utilize the process for forecasting and other forward-looking projections.
Unlock All 25 Finance Manager Questions
Unlock expert responses to technical and strategic finance questions CFOs ask.
Get StartedJump to Question