CBSE Class 12 Accountancy Syllabus 2024 – Chapters, Topics, Weightage

CBSE Class 12 Accountancy Syllabus 2024, Chapter, Topics has been revealed. Class 12 students of 2020-21, who are looking for the Information of  Class XII CBSE Accountancy Syllabus 2024 may not have to worry about it. As, we have provided the Information for Accountancy Syllabus of Central Board of Secondary Education (CBSE) for Class 12 of 2018 – 19 in this article. Also, we have provided the pdf file for the students to Download PDF of CBSE 12th Class Accountancy Syllabus for 2018 – 19. After going through this article, Students need to immediately start their preparation.

Rationale

The course in accountancy is introduced at plus two-stage of the senior second of school education, as the formal commerce education is provided after ten years of schooling. With the fast-changing economic scenario, accounting as a source of financial information has carved out a place for itself at the senior secondary stage. Its syllabus content provides students a firm foundation in basic accounting concepts and methodology and also acquaint them with the changes taking place in the preparation and presentation of financial statements in accordance with the applicable accounting standards and the Companies Act 2013.
The course in accounting put emphasis on developing a basic understanding of accounting as an information system. The emphasis in class Xi is placed on basic concepts and process of accounting leading to the preparation of accounts for a sole proprietorship firm. The students are also familiarized with basic calculations of Goods and Services Tax (GST) in recording business transactions.
The increased role of ICT in all walks of life cannot be overemphasized and is becoming an integral part of business operations. The learners of accounting are introduced to Computerized Accounting System in classes XI and XII. Computerized Accounting System is a compulsory component which is to be studied by all students of commerce in class XI; whereas in class XII, it is offered as an optional subject to Company Accounts and Analysis of Financial Statements. This course is developed to impart skills for designing need-based accounting databases for maintaining books of accounts.
The complete course of Accountancy at the senior secondary stage introduces the learners to the world of business and emphasizes strengthening the fundamentals of the subject.

Objectives :

  • To acquaint students with basic accounting concepts and accounting standards.
  • To develop the skills of designing a need-based accounting database.
  • To familiarize students with new and emerging areas in the preparation and presentation of financial statements.
  • To enable students with accounting for Not-for-Profit organizations, accounting for Partnership Firms, and company accounts.
  • To appreciate the role of ICT in business operations.
  • To develop an understanding of the recording of business transactions and preparation of financial statements.

CBSE Class 12 Accountancy Syllabus 2024

CBSE Class 12 Accountancy Syllabus 2024 

Units Periods Marks
Part A: Financial Accounting-1
Unit-1: Theoretical Framework 25 12
Unit-2: Accounting Process 90 40
Part B: Financial Accounting-II
Unit-3: Financial Statements of Sole Proprietorship from Complete and

Incomplete Records

40 20
Unit-4: Computers in Accounting 05 08
Part C: Project Work 15 20

We have mentioned the PDF of the Units and the topics of the Accountancy Paper 2021. In, this paper there are two parts Financial Accounting – I and II. Coming to the Units there are totally Four Units in this paper.

CBSE Class 12 Accountancy Syllabus 2024-20

Units Periods Marks
Part – A Accounting for Partnership Firms and Companies
Unit – 1. Accounting for Partnership Firms 90 35 Marks
Unit – 2. Accounting for Companies 60 25 Marks
150 60 Marks
Part – B Financial Statement Analysis
Unit – 3. Analysis of Financial Statements 30 12 Marks
Unit – 4. Cash Flow Statement 20 8 Marks
50 20 Marks
Part – C Project Work 40 20 Marks
Project work will include:
Project File 4 Marks
Written Test 12 Marks (One Hour)
Viva Voce 4 Marks
OR
Part – B Computerized Accounting
Unit – 3. Computerized Accounting 50 20 Marks
Part – C Practical Work 26 20 Marks
  Practical work will include:
  Practical File  4 Marks
  Practical Examination 12 Marks (One Hour)
  Viva Voce’ 4 Marks

Accountancy CBSE Class 12 Syllabus 2018 – 2019

Part – A : Accounting for Not-for-Profit Organizations, Partnership Firms and Companies

Unit 1 : Financial Statements of Not-for-Profit Organizations

Units/Topics Learning Outcomes
  • Not-for-profit organizations: concept.
  • Receipts and Payments Account: features and preparation.
  • Income and Expenditure Account: features, preparation of income and expenditure account and balance sheet from the given receipts and payments account with additional information.

Scope:

  • Adjustments in a question should not exceed 3 or 4 in number and restricted to subscriptions, consumption of consumables and sale of assets/ old material.
  • Entrance/admission fees and general donations are to be treated as revenue receipts.
  • Trading Account of incidental activities is not to be prepared.
After going through this Unit, the students will be able to:

  •  state the meaning of a Not-for-profit organisation and its distinction from a profit making entity.
  •  state the meaning of receipts and payments account, and understanding its features.
  • develop the understanding and skill of preparing receipts and payments account.
  • state the meaning of income and expenditure account and understand its features.
  • develop the understanding and skill of preparing income and expenditure account and balance sheet of a not-for-profit organisation with the help of given receipts and payments account and additional information.

Unit – 2 : Accounting for Partnership Firms

Units/Topics Learning Outcomes
  • 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.

Note : Interest on partner’s loan is to be treated as a charge against profits.
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 re- assessment 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 and his executor’s account.
  • Dissolution of a partnership firm: meaning of dissolution of partnership and 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 partners (s)).

Note :

  • The realized value of each asset must be given at the time of dissolution.
  • In case, the realization expenses are borne by a partner, clear indication should be given regarding the payment thereof
After going through this Unit, the students will be able to:

  • State the meaning of partnership, partnership firm and partnership deed.
  • Describe the characteristic features of partnership and the contents of partnership deed.
  • ·Discuss the significance of provision of Partnership Act in the absence of partnership deed.
  • Differentiate between fixed and fluctuating capital, outline the process and develop the understanding and skill of preparation of Profit and Loss Appropriation Account.
  • Develop the understanding and skill of preparation profit and loss appropriation account involving guarantee of profits.
  • Develop the understanding and skill of making past adjustments.
  • state the meaning, nature and factors affecting goodwill
  • Develop the understanding and skill of evaluation of goodwill using different methods.
  • State the meaning of sacrificing ratio, gaining ratio and the change in profit sharing ratio among existing partners.
  • Develop the understanding of accounting treatment of revaluation assets and reassessment of liabilities and treatment of reserves and accumulated profits by preparing revaluation account and balance sheet.
  • Explain the effect of change in profit sharing ratio on admission of a new partner.
  • Develop the understanding and skill of treatment of goodwill as per AS-26, treatment of revaluation of assets and re-assessment of
    liabilities, treatment of reserves and
    accumulated profits, adjustment of capital accounts and preparation of balance sheet of the new firm.
  • Explain the effect of retirement / death of a partner on change in profit sharing ratio.
  • Develop the understanding of accounting treatment of goodwill, revaluation of assets and
    re-assessment of liabilities and adjustment of accumulated profits and reserves on retirement / death of a partner and capital adjustment.
  • Develop the skill of calculation of deceased partner’s share till the time of his death and prepare deceased partner’s executor’s account.
  • Discuss the preparation of the capital accounts of the remaining partners and the balance sheet of the firm after retirement / death of a partner.
  • Understand the situations under which a partnership firm can be dissolved.
  • Develop the understanding of preparation of realisation account and other related accounts

Unit – 3 Accounting for Companies

Units/Topics Learning Outcomes
Accounting for Share Capital

  • Share and share capital: nature and types.
  • Accounting for share capital: issue and allotment of equity and preferences shares. 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.
  • Concept of Private Placement and Employee Stock Option Plan (ESOP).
  • Accounting treatment of forfeiture and re-issue of shares.
  • Disclosure of share capital in the Balance Sheet of a company.

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. Writing off discount / loss on issue of debentures.
  • Redemption of debentures-Methods: Lump sum, draw of lots.
    Creation of Debenture Redemption Reserve.

Note : Related sections of the Companies Act, 2013 will apply.

After going through this Unit, the students will be able to:

  • State the meaning of share and share capital and differentiate between equity shares and preference shares and different types of share capital.
  • Understand the meaning of private placement of shares and Employee Stock Option Plan.
  • Explain the accounting treatment of share capital transactions regarding issue of shares.
  • Develop the understanding of accounting treatment of forfeiture and re-issue of forfeited shares.
  • Describe the presentation of share capital in the balance sheet of the company as per schedule III part I of the Companies Act 2013.
  • Explain the accounting treatment of different categories of transactions related to issue of debentures.
  • Develop the understanding and skill of writing of discount / loss on issue of debentures.
  • Understand the concept of collateral security and its presentation in balance sheet.
  • Develop the skill of calculating interest on debentures and its accounting treatment.
  • State the meaning of redemption of debentures.
  • Develop the understanding of accounting treatment of transactions related to redemption of debentures by lump sum, draw of lots and Creation of Debenture Redemption

Part – B : Financial Statement Analysis
Unit – 4 : Analysis of Financial Statements

Financial Statement of a company :
statements of Profit and the
Statement Profit and the Loss and Balance Sheet prescribed form with major headings and sub headings (as per Schedule III to the Companies Act, 2013).
Note : Exceptional items, extraordinary items and profit (loss) from discontinued operations are excluded.

  • Financial Statement Analysis: Objectives, importance and limitations.
  • Tools for Financial Statement Analysis : Comparative statements, common size statements, cash flow analysis, ratio analysis.
  • Accounting Ratios : Meaning, Objectives, classification and computation.

Liquidity Ratios : Current ratio and Quick ratio.
Solvency Ratios : Debt to Equity Ratio, Total Asset to Debt Ratio, Proprietary Ratio and 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.

After going through this Unit, the students will be able to :

  • Develop the understanding of major headings and sub-headings (as per Schedule III to the Companies Act, 2013) of balance sheet as per the
    prescribed norms / formats.
  • State the meaning, objectives and limitations of financial statement analysis.
  • Discuss the meaning of different tools of ‘financial statements analysis’.
  • Develop the understanding and skill of preparation of comparative and common size financial statements.
  • State the meaning, objectives and significance of different types of ratios.
  • Develop the understanding of computation of current ratio and quick ratio.
  • Develop the skill of computation of debt equity ratio, total asset to debt ratio, proprietary ratio and interest coverage ratio.
  • Develop the skill of computation of inventory turnover ratio, trade receivables and trade payables ratio and working capital turnover ratio.
  • Develop the skill of computation of gross profit ratio, operating ratio, operating profit ratio, net profit ratio and return on investment.

Note : Net Profit Ratio is to be calculated on the basis profit before and after tax.

Unit – 5 : Cash Flow Statement

·         Meaning, objectives and preparation (as per AS 3 (Revised) (Indirect Method only)

Note :

  • Adjustments relating to depreciation and amortization, profit or loss on sale of assets including investments, dividend (both final and interim) and tax.
  • Bank overdraft and cash credit to be treated as short term borrowings.
  • Current Investments to be taken as Marketable securities unless otherwise specified.
After going through this Unit, the students will be able to :

  • State the meaning and objectives of cash flow statement.
  • Develop the understanding of preparation of Cash Flow Statement using indirect method as per AS 3 with given adjustments.

Project Work : 20 Marks
Note: Kindly refer to the Guidelines published by the CBSE.

OR

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.

Part – C : Practical Work
Please refer to the guidelines published by CBSE.

Prescribed Books :

  • Financial Accounting -I Class XI NCERT Publication
  • Accountancy -II Class XI NCERT Publication
  • Accountancy -I Class XII NCERT Publication
  • Accountancy -II Class XII NCERT Publication
Download PDF Link for CBSE Class 12 Accountancy Syllabus 2018 – 2019     Click Here

 

CBSE Accountancy Syllabus for Class 12, 2020-21 has been provided in this article. Students need not get worried about the Syllabus or Exams. Just check out this article and start the preparation quickly. Download the PDF of Class XII CBSE Accountancy Syllabus 2024 from this article. The curriculum for March 2020 exams is designed by CBSE, New Delhi as per NCERT textbooks for sessions 2020-21. The syllabus for CBSE class 12 Accountancy is published by cbse.nic.in Central Board of Secondary Education, Head Office in New Delhi.

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