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Paper 5 : Financial Accounting (One Paper: 3 hours:100 marks)

1. Accounting Conventions and Practices 10%

a)      Concept

b)      Depreciation and various methods thereof

c)        Stock valuation

d)      Distinction between Capital and Revenue

2. Royalty and Hire Purchase 10%

a)      Royalty accounting

b)      Need for hire purchase and installment systems and parties involved

c)       Accounting from the point of view various parties

d)      Possession and repossession in case of default in payments.

3. Receipts & Payments/ Income & Expenditure Accounts 10%

a)      Receipts & Payments

b)      Income & Expenditure Account

4. Partnership Accounting 10%

a)      Past adjustments and guarantee

b)      Admission & Retirement

c)       Assignment of life policy

d)      Amalgamation and Sale of Business

e)      Dissolution, Insolvency

f)       Piecemeal Distribution

5. Branch and Departmental Accounts 10%

a)      Branch accounts- Debtors system, Stock & Debtors system, Foreign Branch

b)      Treatment of shortages.

c)       Calculation of net profit of various departments and allocation of expenses on the basis of suitable base.

d)      Preparation of common balance sheet.

e)      Treatment of Unrealized profit.

6. Accounting Standards 10%

a)      Applicability of a particular accounting standard

b)      Interpretation of various accounting standards

c)       Scope of accounting standards

d)      Compliance with the Accounting Standards.

7. Joint Stock Companies 20%

a)      Issues of shares at par, discount & premium, forfeiture, reissue of shares

b)      Bonus issue and right issue

c)       Buy back of shares

d)      Redemption of Preference of shares

e)      Profit prior to incorporation

f)       Issue and redemption of debentures

8. Preparation of Company Accounts

a)      Preparation of Final Accounts under Company Law

9. Accounting services in organizations 10%

a)      Construction companies ,Project Accounting

b)      Service sector such as Software, ITES, Telecommunication, Entertainment, Hospital, educational institutions

c)       Banking , Electricity and Insurance companies


10. Accounting and Interpretation of Financial Statements. 10%
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