CBSE 12th Class Accountancy Syllabus

Course Structure

Course Syllabus

Part A: Accounting for Partnership Firms and Companies

Unit 1: Accounting for Partnership Firms

• Partnership −

  • Features

  • Partnership Deed

• Provisions of the Indian Partnership Act 1932 in the absence of partnership deed

• Fixed v/s fluctuating capital accounts

• Preparation of Profit and Loss Appropriation account- division of profit among partners, guarantee of profits

• Past adjustments (relating to interest on capital, interest on drawing, salary and profit sharing ratio)

• Goodwill − nature, factors affecting and methods of valuation - average profit, super profit and capitalization

Accounting for Partnership firms - Reconstitution and Dissolution

• Change in the Profit Sharing Ratio among the existing partners −

  • Sacrificing ratio

  • Gaining ratio

  • Accounting for revaluation of assets and reassessment of liabilities and treatment of reserves and accumulated profits

  • Preparation of revaluation account and balance sheet

• Admission of a partner −

  • Effect of admission of a partner on change in the profit sharing ratio

  • Treatment of goodwill (as per as 26)

  • Treatment for revaluation of assets and reassessment of liabilities

  • Treatment of reserves and accumulated profits

  • Adjustment of capital accounts and preparation of balance sheet

• Retirement and death of a partner −

  • Effect of retirement / death of a partner on change in profit sharing ratio

  • Treatment of goodwill (as per as 26)

  • Treatment for revaluation of assets and reassessment of liabilities

  • Adjustment of accumulated profits and reserves

  • Adjustment of capital accounts and preparation of balance sheet

  • Preparation of loan account of the retiring partner

  • Calculation of deceased partner’s share of profit till the date of death

  • Preparation of deceased partner’s capital account

  • executor’s account and preparation of balance sheet

• Dissolution of a partnership firm −

  • Types of dissolution of a firm

  • Settlement of accounts - preparation of realization account, and other related accounts

  • Capital accounts of partners and cash/bank a/c (excluding piecemeal distribution, sale to a company and insolvency of partner(s))

Unit-2 Accounting for Companies

Accounting for Share Capital

• Share and share capital −

  • Nature

  • Types

• Accounting for share capital −

  • Issue and allotment of equity shares

  • Private placement of shares

  • Employee Stock Option Plan (ESOP)

  • Public subscription of shares - over subscription and under subscription of shares

  • Issue at par and at premium

  • Calls in advance and arrears (excluding interest)

  • Issue of shares for consideration other than cash

• Accounting treatment of forfeiture and re-issue of shares

• Disclosure of share capital in company’s Balance Sheet.

Accounting for Debentures

• Debentures −

  • Issue of debentures at par, at a premium and at a discount

  • Issue of debentures for consideration other than cash

  • Issue of debentures with terms of redemption

  • Debentures as collateral security-concept, interest on debentures

• Redemption of debentures −

  • Lump sum, draw of lots and purchase in the open market (excluding exinterest and cum-interest)

  • Creation of Debenture Redemption Reserve

Part B: Financial Statement Analysis

Unit 3: Analysis of Financial Statements

• Financial statements of a company −

  • Statement of Profit and Loss and Balance Sheet in the prescribed form with major headings and sub headings (as per Schedule III to the Companies Act, 2013)

• Financial Statement Analysis −

  • Objectives

  • Importance

  • Limitations

• Tools for Financial Statement Analysis −

  • Comparative statements

  • Common size statements

  • Cash flow analysis

  • Ratio analysis

• Accounting Ratios −

  • Objectives

  • Classification

  • Computation

• Liquidity Ratios −

  • Current ratio

  • Quick ratio

• Solvency Ratios −

  • Debt to Equity Ratio

  • Total Asset to Debt Ratio

  • Proprietary Ratio

  • Interest Coverage Ratio

• Activity Ratios −

  • Inventory Turnover Ratio

  • Trade Receivables Turnover Ratio

  • Trade Payables Turnover Ratio and Working Capital Turnover Ratio

• Profitability Ratios −

  • Gross Profit Ratio

  • Operating Ratio

  • Operating Profit Ratio

  • Net Profit Ratio and Return on Investment

Unit 4: Cash Flow Statement

• Meaning
• Objectives
• Preparation (as per AS 3 (Revised) (Indirect Method only)

Part B: Computerised Accounting

Unit 3: Computerised Accounting

• Overview of Computerised Accounting System −

  • Introduction: Application in Accounting

  • Features of Computerised Accounting System

  • Structure of CAS

  • Software Packages: Generic; Specific; Tailored

• Accounting Application of Electronic Spreadsheet −

  • Concept of electronic spreadsheet

  • Features offered by electronic spreadsheet

  • Application in generating accounting information - bank reconciliation statement; asset accounting; loan

  • repayment of loan schedule, ratio analysis

  • Data representation - graphs, charts and diagrams

• Using Computerized Accounting System

  • Steps in installation of CAS, codification and Hierarchy of account heads, creation of accounts

  • Data − Entry, validation and verification

  • Adjusting entries, preparation of balance sheet, profit and loss account with closing entries and opening entries

  • Need and security features of the system

• Database Management System (DBMS)

  • Concept and Features of DBMS

  • DBMS in Business Application

  • Generating Accounting Information – Payroll

To download pdf Click here.