Q. 8 What is the difference between PCC and IPCC?
Ans. The following table will clarify the difference between the
existing Professional Competence Course and the newly launched
Integrated Professional Competence Course.
pcc and articleshipon pcc ipcc
or before 31st jan 2009/
get registerd for ipcc
without articleship.
pcc/ipcc - exam due november2010 november2009
results of pcc/ipcc exam january 2011 january 2009
registration of articleship
under ipcc NA january 2010
completion of articleship
under pcc/ipcc january 2012 january 2013
final exam due november 2012 november 2012
results of final exam january 2013 january 2013
DesT!nY 2------> C.A Headline Animator
Thursday, September 24, 2009
Q. 3 When will the Articleship commence under new scheme of
IPCC Education, training and examination?
Ans. The student will be eligible for registration for articleship after
passing Group I of IPCC and the period of Articleship will be three
years for fresh students registered under IPCC effective from 03rd
December, 2008 while the period of Articleship will continue to be 3 ½
years for students converted from PCC to IPCC.
Q. 4 Whether any period of Articleship completed by a student
under PCC scheme of education, training and examination
will be counted under new scheme of IPCC?
Ans. Yes. The period of Articleship will remain 3 ½ years and the
period so served as an articled assistant under PCC scheme of
education, examination and training, will be reckoned for the purpose
of completing 3 ½ years of Articleship under IPCC.
Q. 5 Whether the articled assistant needs to take termination
before joining IPCC?
Ans. No. An articled assistant will have the option to either continue
with the article training as per articled deed already executed or take
termination at the time of joining IPCC.
Q. 6 Whether the period of Articleship will be reduced from
3½ years under PCC to 3 years under IPCC upon
conversion?
Ans. No. The period of Articleship shall remain 3 ½ years even after
conversion from PCC to IPCC.
Q. 7 When will the attempt become due for appearing in Final
examination under IPCC scheme of education after
conversion from PCC?
Ans. A student of final examination through PCE route can appear in
the final examination only after completion of 3 ½ years of Articleship.
Whereas a student of PCE converting to IPCC will be eligible to appear
in final examination during the last six months of training and will be
required to be in service as on the first day of the month of
examination.
IPCC Education, training and examination?
Ans. The student will be eligible for registration for articleship after
passing Group I of IPCC and the period of Articleship will be three
years for fresh students registered under IPCC effective from 03rd
December, 2008 while the period of Articleship will continue to be 3 ½
years for students converted from PCC to IPCC.
Q. 4 Whether any period of Articleship completed by a student
under PCC scheme of education, training and examination
will be counted under new scheme of IPCC?
Ans. Yes. The period of Articleship will remain 3 ½ years and the
period so served as an articled assistant under PCC scheme of
education, examination and training, will be reckoned for the purpose
of completing 3 ½ years of Articleship under IPCC.
Q. 5 Whether the articled assistant needs to take termination
before joining IPCC?
Ans. No. An articled assistant will have the option to either continue
with the article training as per articled deed already executed or take
termination at the time of joining IPCC.
Q. 6 Whether the period of Articleship will be reduced from
3½ years under PCC to 3 years under IPCC upon
conversion?
Ans. No. The period of Articleship shall remain 3 ½ years even after
conversion from PCC to IPCC.
Q. 7 When will the attempt become due for appearing in Final
examination under IPCC scheme of education after
conversion from PCC?
Ans. A student of final examination through PCE route can appear in
the final examination only after completion of 3 ½ years of Articleship.
Whereas a student of PCE converting to IPCC will be eligible to appear
in final examination during the last six months of training and will be
required to be in service as on the first day of the month of
examination.
Q. 2 Whether a student of PCC will have to undergo nine
months of study course on conversion to IPCC?
Ans. Yes. Irrespective of the period served as articled assistant under
PCC scheme of education, a student will have to undergo a study
course for a period not less than nine months and complete ITT course
and study course within the nine months period in order to be eligible
to appear in either group or both groups of IPCC.
It is stated that nine months period will be counted w.e.f. date of
conversion / registration to IPCC. It is clarified that any period served
under PCC will not be counted for the purpose of nine months study
course of IPCC.
months of study course on conversion to IPCC?
Ans. Yes. Irrespective of the period served as articled assistant under
PCC scheme of education, a student will have to undergo a study
course for a period not less than nine months and complete ITT course
and study course within the nine months period in order to be eligible
to appear in either group or both groups of IPCC.
It is stated that nine months period will be counted w.e.f. date of
conversion / registration to IPCC. It is clarified that any period served
under PCC will not be counted for the purpose of nine months study
course of IPCC.
How to convert from pcc to ipcc
Transition provisions for existing students of Professional
Competence Course for conversion to Integrated Professional
Competence Course
Q.1 Whether a student of Professional competence Course can
apply for conversion to Integrated Professional Competence
Course?
Ans. Yes. A student of PCC can apply for conversion to IPCC in the
prescribed form [can be downloaded from www.icai.org] alongwith
prescribed fee [both groups Rs. 6000/- and group I Rs. 5000/-].
Students can obtain the prospectus of IPCC for Rs. 100/- from any
nearest Branch office of the Institute.
For example, a student of PCC for being eligible to appear in IPCC in
November, 2009, the conversion application form needs to be
submitted / received in the office of the Institute on or before 31st
January, 2009. Similarly for the May, 2010 examination, the
conversion form should be received in the Institute on or before 31st
July, 2009.
Competence Course for conversion to Integrated Professional
Competence Course
Q.1 Whether a student of Professional competence Course can
apply for conversion to Integrated Professional Competence
Course?
Ans. Yes. A student of PCC can apply for conversion to IPCC in the
prescribed form [can be downloaded from www.icai.org] alongwith
prescribed fee [both groups Rs. 6000/- and group I Rs. 5000/-].
Students can obtain the prospectus of IPCC for Rs. 100/- from any
nearest Branch office of the Institute.
For example, a student of PCC for being eligible to appear in IPCC in
November, 2009, the conversion application form needs to be
submitted / received in the office of the Institute on or before 31st
January, 2009. Similarly for the May, 2010 examination, the
conversion form should be received in the Institute on or before 31st
July, 2009.
Strategic Management
Section B: Strategic Management (50 marks)
Objectives:
(a) To develop an understanding of the general and competitive business environment;
(b) To develop an understanding of strategic management concepts and techniques;
(c) To be able to solve simple cases.
Contents:
1. Business Environment
General environment - demographic, socio-cultural, macro-economic, legal/political, technological, and
global; competitive environment.
2. Business Policy and Strategic Management
Meaning and nature; strategic management imperative; vision, mission and objectives; strategic levels in
organisations.
3. Strategic Analyses
Situational analysis – SWOT analysis, TOWS matrix, portfolio analysis - BCG matrix.
4. Strategic Planning
Meaning, stages, alternatives, strategy formulation.
5. Formulation of Functional Strategy
Marketing strategy, financial strategy, production strategy, logistics strategy, human resource strategy.
6. Strategy Implementation and Control
Organisational structures; establishing strategic business units; establishing profit centers by business,
product or service, market segment or customer; leadership and behavioural challenges.
7. Reaching Strategic Edge
Business process re-engineering, benchmarking, total quality management, six sigma, contemporary
strategic issues.
Information Technology
Section A: Information Technology ( 50 Marks)
Objective:
To develop an understanding of Information Technology and its use by the business as facilitator and driver.
Contents:
1. Introduction to Computers
(a) Computer hardware
Classification of computers – personal computer, workstation, servers and super computers
Computer components – CPU, input output devices, storage devices
(b) BUS, I/O CO processors, ports (serial, parallel, USB ports), expansion slots, add on cards, on board
chips, LAN cards, multi media cards, cache memory, buffers, controllers and drivers
(c) Computer software
Systems software – operating system, translators (compilers, interpreters and assemblers), system
utilities
General purpose software/ utilities - word processor, spread sheet, DBMS, scheduler / planner,
internet browser and e-mail clients
Application software – financial accounting, payroll, inventory
Specialised systems – Enterprise Resource Planning (ERP), artificial intelligence, expert systems,
decision support systems – an overview
2. Data Storage, Retrievals and Data Base Management Systems
(a) Data and information concepts: bits, bytes, KB, MB, GB, TB
(b) Data organization and access
Storage concepts : records, fields, grouped fields, special fields like date, integers, real, floating,
fixed, double precision, logical, characters, strings, variable character fields (Memo); key, primary
key, foreign key, secondary key, referential integrity, index fields.
Storage techniques: sequential, block sequential, random, indexed, sequential access, direct access,
random access including randomizing
Logical structure and physical structure of files
(c) DBMS models and classification:
Need for database, administration, models, DML and DDL (query and reporting); data dictionaries,
distributed data bases, object oriented databases, client server databases, knowledge databases
(d) Backup and recovery – backup policy, backup schedules, offsite backups, recycling of backups,
frequent checking of recovery of backup
(e) Usage of system software like program library management systems and tape and disk management
systems – features, functionalities, advantages
(f) Data mining and data warehousing - an overview
3. Computer Networks & Network Security
(a) Networking concepts – need and scope, benefits
Classification: LAN, MAN, WAN, VPN; peer-to-peer, client server
Components - NIC, router, switch, hub, repeater, bridge, gateway, modem
Network topologies – bus, star, ring, mesh, hybrid, architecture : token ring, ethernet
transmission technologies and protocols – OSI, TCP/IP, ISDN etc.
Network operating system
(b) Local Area Networks – components of a LAN, advantages of LAN
(c) Client server technology
Limitation of single user systems and need for client server technology
Servers – database, application, print servers, transaction servers, internet servers, mail servers, chat
servers, IDS
Introduction to 3-tier and “n” tier architecture (COM, COM+)
(d) Data centres: features and functions, primary delivery centre and disaster recovery site
(e) Network security need; threats and vulnerabilities; security levels; techniques
4. Internet and other technologies
(a) Internet and world-wide web, intranets, extranets, applications of internet, internet protocols
(b) E-commerce - nature, types (B2B, B2C, C2C), supply chain management, CRM, Electronic Data
Interchange (EDI), Electronic Fund Transfers (EFT), payment portal, e-commerce security;
(c) Mobile commerce, bluetooth and Wi-Fi
5. Flowcharts, Decision Tables.
Information Technology and Strategic Management
Paper 7: Information Technology and Strategic Management
(One paper – three hours – 100 marks)
Level of Knowledge: Working knowledge
GROUP II - Advanced Accounting
GROUP II
Paper 5: Advanced Accounting
(One paper – three hours – 100 marks)
Level of Knowledge: Working Knowledge
Objectives:
(a) To have an understanding of the conceptual framework for the preparation and presentation of financial
statements;
(b) To gain working knowledge of the professional standards and application of accounting principles to
different practical situations; and
(c) To gain the ability to solve advanced problems in the case of different entities.
Contents
1. Conceptual Framework for Preparation and Presentation of Financial Statements
2. Accounting Standards
Working knowledge of:
AS 4 : Contingencies and Events occurring after the Balance Sheet Date
AS 5 : Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
AS 11: The Effects of Changes in Foreign Exchange Rates (Revised 2003)
AS 12: Accounting for Government Grants
AS 16: Borrowing Costs
AS 19: Leases
AS 20: Earnings Per Share
AS 26: Intangible Assets
AS 29: Provisions, Contingent Liabilities and Contingent Assets.
3. Advanced Issues in Partnership Accounts
Dissolution of partnership firms including piecemeal distribution of assets; Amalgamation of partnership
firms; Conversion into a company and Sale to a company.
4. Company Accounts
(a) Accounting for employee stock option plan, Buy back of securities, Equity shares with differential rights,
Underwriting of shares and debentures, Redemption of debentures
(b) Advanced problems for business acquisition, Amalgamation and reconstruction (excluding problems of
amalgamation of inter-company holding)
(c) Accounting involved in liquidation of companies, Statement of Affairs (including deficiency/surplus
accounts) and Iiquidator’s statement of account of the winding up.
(d) Financial Statements of Banking, Insurance and Electricity Companies
5. Accounting for Special Transactions
Departmental and branch accounts including foreign branches
Note :
If either old Accounting Standards (ASs), Announcements and Limited
Revisions to ASs are withdrawn or new ASs, Announcements and Limited Revisions to ASs are issued by
the Institute of Chartered Accountants of India in place of existing ASs, Announcements and Limited
Revisions to ASs, the syllabus will accordingly include/exclude such new developments in place of the
existing ones with effect from the date to be notified by the Institute.
Paper 6: Auditing and Assurance
(One paper – three hours – 100 marks)
Level of knowledge: Working Knowledge
Objective:
To understand objective and concepts of auditing and gain working knowledge of generally accepted auditing
procedures and of techniques and skills needed to apply them in audit and attestation engagements and solving
simple case-studies.
Contents
1. Auditing Concepts – Nature and limitations of Auditing, Basic Principles governing an audit, Ethical
principles and concept of Auditor’s Independence, Relationship of auditing with other disciplines.
2. Auditing and Assurance Standards – Overview, Standard-setting process, Role of International Auditing
and Assurance Standards Board and Auditing and Assurance Standards Board in India.
3. Auditing engagement – Audit planning, Audit programme, Control of quality of audit work–Delegation
and supervision of audit work.
4. Documentation – Audit working papers, Audit files: Permanent and current audit files, Ownership and
custody of working papers.
5. Audit evidence – Audit procedures for obtaining evidence, Sources of evidence, Reliability of audit
evidence, Methods of obtaining audit evidence, Physical verification, Documentation, Direct confirmation,
Re-computation, Analytical review techniques, Representation by management.
6. Internal Control – Elements of internal control, Review and documentation, Evaluation of internal control
system, Internal control questionnaire, Internal control check list, Tests of control, Application of concept of
materiality and audit risk, Concept of internal audit.
7. Internal Control and Computerized Environment, Approaches to Auditing in Computerised Environment.
8. Audit Sampling – Types of sampling, Test checking, Techniques of test checks.
9. Analytical review procedures.
10. Audit of payments – General considerations, Wages, Capital expenditure, Other payments and expenses,
Petty cash payments, Bank payments, Bank reconciliation.
11. Audit of receipts – General considerations, Cash sales, Receipts from debtors, Other Receipts.
12. Audit of Purchases – Vouching cash and credit purchases, Forward purchases, Purchase returns, Allowance
received from suppliers.
13. Audit of Sales – Vouching of cash and credit sales, Goods on consignment, Sale on approval basis, Sale
under hire-purchase agreement, Returnable containers, Various types of allowances given to customers, Sale
returns.
14. Audit of suppliers’ ledger and the debtors’ ledger – Self-balancing and the sectional balancing system,
Total or control accounts, Confirmatory statements from credit customers and suppliers, Provision for bad
and doubtful debts, Writing off of bad debts.
15. Audit of impersonal ledger – Capital expenditure, deferred revenue expenditure and revenue expenditure,
Outstanding expenses and income, Repairs and renewals, Distinction between reserves and provisions,
Implications of change in the basis of accounting.
16. Audit of assets and liabilities.
17. Company Audit – Audit of Shares, Qualifications and Disqualifications of Auditors, Appointment of
auditors, Removal of auditors, Powers and duties of auditors, Branch audit, Joint audit, Special audit,
Reporting requirements under the Companies Act, 1956.
18. Audit Report – Qualifications, Disclaimers, Adverse opinion, Disclosures, Reports and certificates.
19. Special points in audit of different types of undertakings, i.e., Educational institutions, Hotels, Clubs,
Hospitals, Hire-purchase and leasing companies (excluding banks, electricity companies, cooperative
societies, and insurance companies).
20. Features and basic principles of government audit, Local bodies and not-for-profit organizations,
Comptroller and Auditor General and its constitutional role.
Note: Candidates are expected to have working knowledge of relevant Auditing and Assurance Standards issued
by the ICAI with reference to above-mentioned topics.
Service tax
Part II: Service tax (25 marks) and VAT (25 marks)
Objective:
To gain knowledge of the provisions of service tax as mentioned below and basic concepts of Value Added
Tax (VAT) in India.
Service tax (25 marks)
Contents:
1. Service tax – concepts and general principles
2. Charge of service tax and taxable services
3. Valuation of taxable services
4. Payment of service tax and filing of returns
VAT (25 marks)
5. VAT – concepts and general principles
6. Calculation of VAT Liability including input Tax Credits
7. Small Dealers and Composition Scheme
8. VAT Procedures.
Note: If new legislations are enacted in place of the existing legislations the syllabus will accordingly include the
corresponding provisions of such new legislations in the place of the existing legislations with effect from
the date to be notified by the Institute. Students shall not be examined with reference to any particular State VAT
Law.
Income-tax
Part I: Income-tax (50 marks)
1. Important definitions in the Income-tax Act, 1961
2. Basis of charge; rates of taxes applicable for different types of assessees
3. Concepts of previous year and assessment year
4. Residential status and scope of total income; Income deemed to be received / deemed to accrue or arise in
India
5. Incomes which do not form part of total income
6. Heads of income and the provisions governing computation of income under different heads
7. Income of other persons included in assessee’s total income
8. Aggregation of income; set-off or carry forward and set-off of losses
9. Deductions from gross total income
10. Computation of total income and tax payable; rebates and reliefs
11. Provisions concerning advance tax and tax deducted at source
12. Provisions for filing of return of income.
Taxation
Paper 4: Taxation
(One paper - three hours – 100 marks)
Level of Knowledge: Working knowledge
Objectives:
(a) To gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the contents
below; and
(b) To gain ability to solve simple problems concerning assessees with the status of ‘Individual’; and covering
the areas mentioned in the contents below.
Financial Management
Part II: Financial Management (50 marks)
Objectives:
(a) To develop ability to analyse and interpret various tools of financial analysis and planning;
(b) To gain knowledge of management and financing of working capital;
(c) To understand concepts relating to financing and investment decisions; and
(d) To be able to solve simple cases.
Contents:
1. Scope and Objectives of Financial Management
(a) Meaning, importance and objectives
(b) Conflicts in profit versus value maximisation principle
(c) Role of Chief Financial Officer.
2. Time Value of Money
Compounding and discounting techniques – concepts of annuity and perpetuity.
3. Financial Analysis and Planning
(a) Ratio analysis for performance evaluation and financial health
(b) Application of ratio analysis in decision making
(c) Analysis of cash flow statement.
4. Financing Decisions
(a) Cost of Capital – weighted average cost of capital and marginal cost of capital
(b) Capital Structure decisions – capital structure patterns, designing optimum capital structure,
constraints, various capital structure theories
(c) Business risk and financial risk – operating and financial leverage, trading on equity.
5. Types of Financing
(a) Different sources of finance
(b) Project financing – intermediate and long term financing
(c) Negotiating term loans with banks and financial institutions and appraisal thereof
(d) Introduction to lease financing
(e) Venture capital finance.
6. Investment Decisions
(a) Purpose, objective, process
(b) Understanding different types of projects
(c) Techniques of decision making: non-discounted and discounted cash flow approaches - payback
period method, accounting rate of return, net present value, internal rate of return, modified internal
rate of return, discounted payback period and profitability index.
(d) Ranking of competing projects, ranking of projects with unequal lives.
7. Management of working capital
(a) Working capital policies
(b) Funds flow analysis
(c) Inventory management
(d) Receivables management
(e) Payables management
(f) Management of cash and marketable securities
(g) Financing of working capital.
Cost Accounting
Part I: Cost Accounting (50 marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs;
(b) To be able to interpret cost accounting statements;
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and decision
making; and
(d) To be able to solve simple cases.
Contents:
1. Introduction to Cost Accounting
(a) Objectives and scope of cost accounting
(b) Cost centres and cost units
(c) Cost classification for stock valuation, profit measurement, decision making and control
(d) Coding systems
(e) Elements of cost
(f) Cost behaviour pattern, separating the components of semi-variable costs
(g) Installation of a costing system
(h) Relationship of cost accounting, financial accounting, management accounting and financial
management.
2. Cost Ascertainment
(a) Material Cost
(i) Procurement procedures - store procedures and documentation in respect of receipts and
issue of stock, stock verification
(ii) Inventory control - techniques of fixing of minimum, maximum and reorder levels,
economic order quantity, ABC classification; stocktaking and perpetual inventory
(iii) Inventory accounting
(iv) Consumption - identification with products of cost centres, basis for consumption entries in
financial accounts, monitoring consumption.
(b) Employee Cost
(i) Attendance and payroll procedures, overview of statutory requirements, overtime, idle time
and incentives
(ii) Labour turnover
(iii) Utilisation of labour, direct and indirect labour, charging of labour cost, identifying labour
hours with work orders or batches or capital jobs
(iv) Efficiency rating procedures
(v) Remuneration systems and incentive schemes.
(c) Direct Expenses
Sub-contracting – control on material movements, identification with the main product or service.
(d) Overheads
(i) Functional analysis – factory, administration, selling, distribution, research and
development
Behavioural analysis – fixed, variable, semi variable and step cost
(ii) Factory overheads – primary distribution and secondary distribution, criteria for choosing
suitable basis for allotment, capacity cost adjustments, fixed absorption rates for absorbing
overheads to products or services
(iii) Administration overheads – method of allocation to cost centres or products
(iv) Selling and distribution overheads – analysis and absorption of the expenses in
products/customers, impact of marketing strategies, cost effectiveness of various methods
of sales promotion.
3. Cost Book-keeping
Cost ledgers – non-integrated accounts, integrated accounts, reconciliation of cost and financial accounts.
4. Costing Systems
(a) Job Costing
Job cost cards and databases, collecting direct costs of each job, attributing overhead costs to jobs,
applications of job costing.
(b) Batch Costing
(c) Contract Costing
Progress payments, retention money, escalation clause, contract accounts, accounting for material,
accounting for plant used in a contract, contract profit and balance sheet entries.
(d) Process Costing
Double entry book keeping, process loss, abnormal gains and losses, equivalent units, inter-process
profit, joint products and by products.
(e) Operating Costing System
5. Introduction to Marginal Costing
Marginal costing compared with absorption costing, contribution, breakeven analysis and profit volume
graph.
6. Introduction to Standard Costing
Various types of standards, setting of standards, basic concepts of material and labour standards and variance
analysis.
7. Budgets and Budgetary Control
The budget manual, preparation and monitoring procedures, budget variances, flexible budget, preparation
of functional budget for operating and non-operating functions, cash budget, master budget, principal budget
factors.
Cost Accounting
Part I: Cost Accounting (50 marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs;
(b) To be able to interpret cost accounting statements;
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and decision
making; and
(d) To be able to solve simple cases.
Objectives:
(a) To understand the basic concepts and processes used to determine product costs;
(b) To be able to interpret cost accounting statements;
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and decision
making; and
(d) To be able to solve simple cases.
Cost Accounting and Financial Management
Paper 3: Cost Accounting and Financial Management
(One paper – three hours - 100 marks)
Level of Knowledge: Working knowledge
(One paper – three hours - 100 marks)
Level of Knowledge: Working knowledge
Communication
Part III: Part III: Communication (20 marks)
objective:
To nurture and develop the communication and behavioural skills relating to business.
Contents:
1. Elements of Communication
(a) Forms of communication: formal and informal, inter-departmental, verbal and non-verbal; active
listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and composing business messages
(d) Communication channels
(e) Communicating corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
negotiating and bargaining
(i) Emotional intelligence – emotional quotient
(j) Soft skills – personality traits; interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic Understanding of Legal Deeds and Documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
(20 marks)
objective:
To nurture and develop the communication and behavioural skills relating to business.
Contents:
1. Elements of Communication
(a) Forms of communication: formal and informal, inter-departmental, verbal and non-verbal; active
listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and composing business messages
(d) Communication channels
(e) Communicating corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
negotiating and bargaining
(i) Emotional intelligence – emotional quotient
(j) Soft skills – personality traits; interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic Understanding of Legal Deeds and Documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
objective:
To nurture and develop the communication and behavioural skills relating to business.
Contents:
1. Elements of Communication
(a) Forms of communication: formal and informal, inter-departmental, verbal and non-verbal; active
listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and composing business messages
(d) Communication channels
(e) Communicating corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
negotiating and bargaining
(i) Emotional intelligence – emotional quotient
(j) Soft skills – personality traits; interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic Understanding of Legal Deeds and Documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
(20 marks)
objective:
To nurture and develop the communication and behavioural skills relating to business.
Contents:
1. Elements of Communication
(a) Forms of communication: formal and informal, inter-departmental, verbal and non-verbal; active
listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and composing business messages
(d) Communication channels
(e) Communicating corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
negotiating and bargaining
(i) Emotional intelligence – emotional quotient
(j) Soft skills – personality traits; interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic Understanding of Legal Deeds and Documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
Business Laws
Part I: Business Laws (60 marks)
Objective:
To test working knowledge of business laws and company law and their practical application in commercial
situations.
Contents:
Business Laws (30 marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 marks)
The Companies Act, 1956 – Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration - National Company Law Tribunal; Appellate Tribunal
(c) Incorporation of company and matters incidental thereto
(d) Prospectus and allotment, and other matters relating to use of shares or debentures
(e) Share capital and debentures
(f) Registration of charges
(g) Management and administration – general provisions – registered office and name, restrictions on
commencement of business, registers of members and debentures holders, foreign registers of members or
debenture holders, annual returns, general provisions regarding registers and returns, meetings and
proceedings.
(h) Company Law in a computerized environment – e-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the
corresponding provisions of such new legislations with effect from a date notified by the Institute.
Part II: Ethics (20 marks)
Objective:
To have an understanding of ethical issues in business.
Contents:
1. Introduction to Business Ethics
The nature, purpose of ethics and morals for organizational interests; ethics and conflicts of interests; ethical
and social implications of business policies and decisions; corporate social responsibility; ethical issues in
corporate governance.
2. Environment Issues
Protecting the Natural Environment – prevention of pollution and depletion of natural resources;
conservation of natural resources.
3. Ethics in Workplace
Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection
Healthy competition and protecting consumer’s interest.
5. Ethics in Accounting and Finance
Importance, issues and common problems.
Objective:
To test working knowledge of business laws and company law and their practical application in commercial
situations.
Contents:
Business Laws (30 marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 marks)
The Companies Act, 1956 – Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration - National Company Law Tribunal; Appellate Tribunal
(c) Incorporation of company and matters incidental thereto
(d) Prospectus and allotment, and other matters relating to use of shares or debentures
(e) Share capital and debentures
(f) Registration of charges
(g) Management and administration – general provisions – registered office and name, restrictions on
commencement of business, registers of members and debentures holders, foreign registers of members or
debenture holders, annual returns, general provisions regarding registers and returns, meetings and
proceedings.
(h) Company Law in a computerized environment – e-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the
corresponding provisions of such new legislations with effect from a date notified by the Institute.
Part II: Ethics (20 marks)
Objective:
To have an understanding of ethical issues in business.
Contents:
1. Introduction to Business Ethics
The nature, purpose of ethics and morals for organizational interests; ethics and conflicts of interests; ethical
and social implications of business policies and decisions; corporate social responsibility; ethical issues in
corporate governance.
2. Environment Issues
Protecting the Natural Environment – prevention of pollution and depletion of natural resources;
conservation of natural resources.
3. Ethics in Workplace
Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection
Healthy competition and protecting consumer’s interest.
5. Ethics in Accounting and Finance
Importance, issues and common problems.
Paper 2: Business Laws, Ethics and Communication
Paper 2: Business Laws, Ethics and Communication
(One paper – three hours - 100 marks)
Level of Knowledge: Working knowledge
(One paper – three hours - 100 marks)
Level of Knowledge: Working knowledge
INTEGRATED PROFESSIONAL COMPETENCE COURSE (IPCC) Syllabus,GROUP I OF IPCC/ ACCOUNTING TECHNICIAN COURSE (ATC)
Paper 1: Accounting
(One paper – three hours – 100 marks)
Level of Knowledge: Working Knowledge
Objectives:
(a) To lay a foundation for the preparation and presentation of financial statements;
(b) To gain working knowledge of the principles and procedures of accounting and their application to different
practical situations;
(c) To gain the ability to solve simple problems and cases relating to sole proprietorship, partnership and
companies; and
(d) To familiarize students with the fundamentals of computerized system of accounting.
Contents
1. A General Knowledge of the framing of the accounting standards, national and international
accounting authorities, adoption of international financial reporting standards
2. Accounting Standards
Working knowledge of:
AS 1 : Disclosure of Accounting Policies
AS 2: Valuation of Inventories
AS 3: Cash Flow Statements
AS 6: Depreciation Accounting
AS 7: Construction Contracts (Revised 2002)
AS 9: Revenue Recognition
AS 10: Accounting for Fixed Assets
AS 13: Accounting for Investments
AS 14: Accounting for Amalgamations
3. Company Accounts
(a) Preparation of financial statements – Profit and Loss Account, Balance Sheet and Cash Flow
Statement
(b) Profit (Loss) prior to incorporation
(c) Alteration of share capital, Conversion of fully paid shares into stock and stock into shares,
Accounting for bonus issue
(d) Simple problems on Accounting for business acquisition, Amalgamation and reconstruction
(excluding problems of amalgamation on inter-company holding)
4. Average Due Date, Account Current, Self-Balancing Ledgers
5. Financial Statements of Not-for-Profit Organisations
6. Accounts from Incomplete Records
7. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions
(b) Investment accounts
(c) Insurance claims for loss of stock and loss of profit.
9. Issues in Partnership Accounts
Final accounts of partnership firms – Admission, retirement and death of a partner including treatment of
goodwill;
10. Accounting in Computerised Environment
An overview of computerized accounting system – Salient features and significance, Concept of grouping of
accounts, Codification of accounts, Maintaining the hierarchy of ledger, Accounting packages and
consideration for their selection, Generating Accounting Reports.
Note :
If either old Accounting Standards (ASs), Announcements and Limited
Revisions to ASs are withdrawn or new ASs, Announcements and Limited Revisions to ASs are issued by
the Institute of Chartered Accountants of India in place of existing ASs, Announcements and Limited
Revisions to ASs, the syllabus will accordingly include/exclude such new developments in place of the
existing ones with effect from the date to be notified by the Institute.
(One paper – three hours – 100 marks)
Level of Knowledge: Working Knowledge
Objectives:
(a) To lay a foundation for the preparation and presentation of financial statements;
(b) To gain working knowledge of the principles and procedures of accounting and their application to different
practical situations;
(c) To gain the ability to solve simple problems and cases relating to sole proprietorship, partnership and
companies; and
(d) To familiarize students with the fundamentals of computerized system of accounting.
Contents
1. A General Knowledge of the framing of the accounting standards, national and international
accounting authorities, adoption of international financial reporting standards
2. Accounting Standards
Working knowledge of:
AS 1 : Disclosure of Accounting Policies
AS 2: Valuation of Inventories
AS 3: Cash Flow Statements
AS 6: Depreciation Accounting
AS 7: Construction Contracts (Revised 2002)
AS 9: Revenue Recognition
AS 10: Accounting for Fixed Assets
AS 13: Accounting for Investments
AS 14: Accounting for Amalgamations
3. Company Accounts
(a) Preparation of financial statements – Profit and Loss Account, Balance Sheet and Cash Flow
Statement
(b) Profit (Loss) prior to incorporation
(c) Alteration of share capital, Conversion of fully paid shares into stock and stock into shares,
Accounting for bonus issue
(d) Simple problems on Accounting for business acquisition, Amalgamation and reconstruction
(excluding problems of amalgamation on inter-company holding)
4. Average Due Date, Account Current, Self-Balancing Ledgers
5. Financial Statements of Not-for-Profit Organisations
6. Accounts from Incomplete Records
7. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions
(b) Investment accounts
(c) Insurance claims for loss of stock and loss of profit.
9. Issues in Partnership Accounts
Final accounts of partnership firms – Admission, retirement and death of a partner including treatment of
goodwill;
10. Accounting in Computerised Environment
An overview of computerized accounting system – Salient features and significance, Concept of grouping of
accounts, Codification of accounts, Maintaining the hierarchy of ledger, Accounting packages and
consideration for their selection, Generating Accounting Reports.
Note :
If either old Accounting Standards (ASs), Announcements and Limited
Revisions to ASs are withdrawn or new ASs, Announcements and Limited Revisions to ASs are issued by
the Institute of Chartered Accountants of India in place of existing ASs, Announcements and Limited
Revisions to ASs, the syllabus will accordingly include/exclude such new developments in place of the
existing ones with effect from the date to be notified by the Institute.
syllabus of ipcc[integrated professional competency course]
Subjects for study
Six subjects and Seven Papers of study in IPCC are –
Group I
Paper 1:Accounting (100 marks)
Paper 2:Law, Ethics and Communication
Part I: Law (60 marks)
Business Laws (30 marks)
Company Law (30 marks)
Part II: Business Ethics (20 marks)
Part III: Business Communication (20 marks)
Paper 3:Cost Accounting and Financial Management
Part I: Cost Accounting (50 marks)
Part II: Financial Management (50 marks)
Paper 4:Taxation
Part I: Income-tax (50 marks)
Part II: Service Tax (25 marks) and
VAT (25 marks)
Group II
Paper 5: Advanced Accounting (100 marks)
Paper 6:Auditing and Assurance (100 marks)
Paper 7: Information Technology and Strategic Management
Section A: Information Technology (50 marks)
Section B: Strategic Management (50 marks)
The level of knowledge expected of students in the above subjects is ‘working knowledge’.
Six subjects and Seven Papers of study in IPCC are –
Group I
Paper 1:Accounting (100 marks)
Paper 2:Law, Ethics and Communication
Part I: Law (60 marks)
Business Laws (30 marks)
Company Law (30 marks)
Part II: Business Ethics (20 marks)
Part III: Business Communication (20 marks)
Paper 3:Cost Accounting and Financial Management
Part I: Cost Accounting (50 marks)
Part II: Financial Management (50 marks)
Paper 4:Taxation
Part I: Income-tax (50 marks)
Part II: Service Tax (25 marks) and
VAT (25 marks)
Group II
Paper 5: Advanced Accounting (100 marks)
Paper 6:Auditing and Assurance (100 marks)
Paper 7: Information Technology and Strategic Management
Section A: Information Technology (50 marks)
Section B: Strategic Management (50 marks)
The level of knowledge expected of students in the above subjects is ‘working knowledge’.
FEE CONCESSIONS TO DISABLED STUDENTS, SCHOLARSHIPS and, MERITORIOUS STUDENTS
FEE CONCESSIONS TO DISABLED STUDENTS
are defined as follows:
(i) Blindness – “Blindness” refers to a condition where a person suffers from any of the
following conditions, namely:
total absence of sight;
visual acuity not exceeding 6/60 or 20/200 (snellen) in the better eye with
correcting lenses; or
limitation of the field of vision subtending an angle of 20 degree or worse.
(ii) Low vision – “Low vision” means a person with impairment of visual functioning even
after treatment or standard refractive correction but who uses or is potentially capable
of using vision for the planning or execution of a task with appropriate assistive device.
(iii) Leprosy cured – “Leprosy cured” means any person who has been cured of leprosy but is
suffering from
loss of sensation in hands or feet as well as loss of sensation and paresis in the
eye and eye-lid but with no manifest deformity;
manifest deformity and paresis but having sufficient mobility in their hands and
feet to enable them to engage in normal economic activity;
extreme physical deformity as well as advanced age which prevents him from
undertaking any gainful occupation, and the expression “leprosy cured” shall be
constructed accordingly.
(iv) Hearing impairment – “Hearing impairment” means loss of sixty decibels or more in the
better ear in the conversational range of frequencies.
(v) Locomotors disability – “Locomotors disability” means disability of the bones, joints or
muscles leading to substantial restriction of the movement of the limbs or any form of
cerebral palsy.
(vi) Permanent and total loss of voice – a disabled student has to submit a certificate of
suffering from disability, certified by a physician / surgeon / oculist working in a
Government hospital, as the case may be.
Disabled students, who are suffering from more than 50% disability as
stated above, are eligible for full exemption from payment of registration
and tuition fees at PCC/IPCC/ATC and Final levels.
OTHER FEE CONCESSIONS AND SCHOLARSHIPS
The children of military and para-military forces who are studying chartered accountancy course
and whose either of the parents have lost their lives in action are exempted from payment of
tuition and registration fees. This concession of fees will be made available on production of
necessary documents.
SCHOLARSHIPS FOR MERITORIOUS STUDENTS
The Board of Studies grants various Scholarships to students, namely, Merit, Merit-cum-Need
based, Need-based Weaker Sections Scholarships out of the funds of the Institute and
Endowment Schemes created by individual donors/Trusts/Societies. Various scholarships are
awarded twice in a year i.e. commencing from April and October every year and generally its
announcements are released in the Students Newsletter – The Chartered Accountant Student.
The students are required to apply in prescribed Scholarship Application Form. Merit Scholarship
are granted automatically on the basis of Merit List released by the Examination Section.
(i) First three rank holders of CPT examination of each term who have taken admission to
PCC/IPCC are selected for award of merit scholarship @Rs.1250 per month for a period
of 18 months.
(ii) First three rank holders of PE-II/PCE/IPCE are granted merit scholarship @ Rs.1250 per
month for a period of 18 months/30 months/remaining period of articled training.
(iii) 60 Merit-cum-Need based scholarship are granted to rank holders of CPT/PE-II/PCE/IPCE
@ Rs.1250 per month for a period of 18 months/30 months/remaining period of articled
training.
(iv) 100 Need-based and Weaker Sections Scholarship are granted to the students of PEII/
PCC/IPCC based on the result of each term of CPT examination @ Rs.1000 per month
for a period of 18 months.
(v) Two scholarships are reserved every year for physically handicapped students in need
based category.
(vi) For SC/ST/OBC category students, an additional amount of Rs.100/- is paid in each
category of scholarship.
(vii) In case any scholarship, falling under any category of a particular course, could not be
granted, the same at the discretion of the Chairman, Board of Studies and Director of
Studies can be transferred to other course(s) under the same category.
(viii) Scholarship of various amounts are also granted under Endowment Schemes.
are defined as follows:
(i) Blindness – “Blindness” refers to a condition where a person suffers from any of the
following conditions, namely:
total absence of sight;
visual acuity not exceeding 6/60 or 20/200 (snellen) in the better eye with
correcting lenses; or
limitation of the field of vision subtending an angle of 20 degree or worse.
(ii) Low vision – “Low vision” means a person with impairment of visual functioning even
after treatment or standard refractive correction but who uses or is potentially capable
of using vision for the planning or execution of a task with appropriate assistive device.
(iii) Leprosy cured – “Leprosy cured” means any person who has been cured of leprosy but is
suffering from
loss of sensation in hands or feet as well as loss of sensation and paresis in the
eye and eye-lid but with no manifest deformity;
manifest deformity and paresis but having sufficient mobility in their hands and
feet to enable them to engage in normal economic activity;
extreme physical deformity as well as advanced age which prevents him from
undertaking any gainful occupation, and the expression “leprosy cured” shall be
constructed accordingly.
(iv) Hearing impairment – “Hearing impairment” means loss of sixty decibels or more in the
better ear in the conversational range of frequencies.
(v) Locomotors disability – “Locomotors disability” means disability of the bones, joints or
muscles leading to substantial restriction of the movement of the limbs or any form of
cerebral palsy.
(vi) Permanent and total loss of voice – a disabled student has to submit a certificate of
suffering from disability, certified by a physician / surgeon / oculist working in a
Government hospital, as the case may be.
Disabled students, who are suffering from more than 50% disability as
stated above, are eligible for full exemption from payment of registration
and tuition fees at PCC/IPCC/ATC and Final levels.
OTHER FEE CONCESSIONS AND SCHOLARSHIPS
The children of military and para-military forces who are studying chartered accountancy course
and whose either of the parents have lost their lives in action are exempted from payment of
tuition and registration fees. This concession of fees will be made available on production of
necessary documents.
SCHOLARSHIPS FOR MERITORIOUS STUDENTS
The Board of Studies grants various Scholarships to students, namely, Merit, Merit-cum-Need
based, Need-based Weaker Sections Scholarships out of the funds of the Institute and
Endowment Schemes created by individual donors/Trusts/Societies. Various scholarships are
awarded twice in a year i.e. commencing from April and October every year and generally its
announcements are released in the Students Newsletter – The Chartered Accountant Student.
The students are required to apply in prescribed Scholarship Application Form. Merit Scholarship
are granted automatically on the basis of Merit List released by the Examination Section.
(i) First three rank holders of CPT examination of each term who have taken admission to
PCC/IPCC are selected for award of merit scholarship @Rs.1250 per month for a period
of 18 months.
(ii) First three rank holders of PE-II/PCE/IPCE are granted merit scholarship @ Rs.1250 per
month for a period of 18 months/30 months/remaining period of articled training.
(iii) 60 Merit-cum-Need based scholarship are granted to rank holders of CPT/PE-II/PCE/IPCE
@ Rs.1250 per month for a period of 18 months/30 months/remaining period of articled
training.
(iv) 100 Need-based and Weaker Sections Scholarship are granted to the students of PEII/
PCC/IPCC based on the result of each term of CPT examination @ Rs.1000 per month
for a period of 18 months.
(v) Two scholarships are reserved every year for physically handicapped students in need
based category.
(vi) For SC/ST/OBC category students, an additional amount of Rs.100/- is paid in each
category of scholarship.
(vii) In case any scholarship, falling under any category of a particular course, could not be
granted, the same at the discretion of the Chairman, Board of Studies and Director of
Studies can be transferred to other course(s) under the same category.
(viii) Scholarship of various amounts are also granted under Endowment Schemes.
ENROLMENT FOR INTEGRATED PROFESSIONAL COMPETENCE COURSE
AND FEES
Integrated Professional Competence Course (IPCC), is composed of three levels viz. Group I,
Accounting Technician (optional) and Group II. A candidate may opt for enrolment to Group I or
Group I and Accounting Technician Course or Accounting Technician Course and/or Group II or
Group I and Group II or for all the levels referred to above.
Payment of fees is to be made by way of Demand Draft of the requisite amount drawn in favour
of the Secretary, The Institute of Chartered Accountants of India payble at New
Delhi/Mumbai/Chennai/Kolkata/Kanpur depending upon the place of residence of the
candidate.
Fees to be paid for various courses of Integrated Professional Competence Course
(IPCC)/Accounting Technician Course (ATC) :
1. group(1),group(2) of ipcc with ATC at all levels- without articles-10000rs/- with articles-12000rs/-*
2. group(1),group(2) of ipcc-- without articles 9000rs/- with articles 11000rs/-*
3. group(1) of ipcc and atc --- without articles 10000rs/- with articles ------
4. group(2) of ipcc and atc --- without articles 10000rs/- with articles 12000rs/-*
5. group(1) of ipcc --- without articles 8000rs/- with articles -------
6. group(2) of ipcc --- without articles 5000rs/- with articles 7000rs/-*
7. ATC --- without articles 10000rs/- with articles ------
(i) * articled training starts after completing 1st group if ipcc/atc.
(ii) fee of 1000/- meant for students' is to be paid only once.
AND FEES
Integrated Professional Competence Course (IPCC), is composed of three levels viz. Group I,
Accounting Technician (optional) and Group II. A candidate may opt for enrolment to Group I or
Group I and Accounting Technician Course or Accounting Technician Course and/or Group II or
Group I and Group II or for all the levels referred to above.
Payment of fees is to be made by way of Demand Draft of the requisite amount drawn in favour
of the Secretary, The Institute of Chartered Accountants of India payble at New
Delhi/Mumbai/Chennai/Kolkata/Kanpur depending upon the place of residence of the
candidate.
Fees to be paid for various courses of Integrated Professional Competence Course
(IPCC)/Accounting Technician Course (ATC) :
1. group(1),group(2) of ipcc with ATC at all levels- without articles-10000rs/- with articles-12000rs/-*
2. group(1),group(2) of ipcc-- without articles 9000rs/- with articles 11000rs/-*
3. group(1) of ipcc and atc --- without articles 10000rs/- with articles ------
4. group(2) of ipcc and atc --- without articles 10000rs/- with articles 12000rs/-*
5. group(1) of ipcc --- without articles 8000rs/- with articles -------
6. group(2) of ipcc --- without articles 5000rs/- with articles 7000rs/-*
7. ATC --- without articles 10000rs/- with articles ------
(i) * articled training starts after completing 1st group if ipcc/atc.
(ii) fee of 1000/- meant for students' is to be paid only once.
Monday, September 21, 2009
IpCc[iNtEgRaTeD pRoFeSsIoNaL cOmPeTeNcY cOuRsE]
NOW LETS SEE ABOUT "IPCC" IT IS AN UPGRADED VERSION FOR "PCC"
Subjects in pcc[Professional competency course]
CA PROFESSIONAL COMPETENCY COURSE
GROUP I
Paper 1: Advanced Accounting
(One paper – Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Objectives:
(a) To lay a theoretical foundation for the preparation and presentation of financial statements,
(b) To gain working knowledge of the professional standards, principles and procedures of
accounting and their application to different practical situations,
(c) To gain the ability to solve simple problems and cases relating to company accounts
including special type of corporate entities, partnership accounts and
(d) To familiarize students with the fundamentals of computerized system of accounting.
Contents
1. Conceptual Framework for Preparation and Presentation of Financial Statements
2. Accounting Standards
An overview; standards setting process
Working knowledge of:
AS 1: Disclosure of Accounting Policies
AS 2: Valuation of Inventories
AS 3: Cash Flow Statements
AS 4: Contingencies and Events occurring after the Balance Sheet Date
AS 5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
AS 6: Depreciation Accounting
AS 7: Construction Contracts (Revised 2002)
AS 9: Revenue Recognition
AS 10: Accounting for Fixed Assets
AS 11: The Effects of Changes in Foreign Exchange Rates (Revised 2003)
AS 12: Accounting for Government Grants
AS 13: Accounting for Investments
AS 14: Accounting for Amalgamations
AS 16: Borrowing Costs
AS 19 Leases
AS 20 Earnings Per Share
AS 26: Intangible Assets
AS 29: Provisions, Contingent Liabilities and Contingent Assets.
3. Company Accounts
(a) Preparation of financial statements – Profit and Loss Account, Balance Sheet and Cash Flow
Statement
(b) Profit (Loss) prior to incorporation
(c) Alteration of share capital, Conversion of fully paid shares into stock and stock into shares,
Accounting for bonus issue, Accounting for employee stock option plan, Buy back of
securities, Equity shares with differential rights, Underwriting of shares and debentures,
Redemption of debentures
(d) Accounting for business acquisition, Amalgamation and reconstruction (excluding problems
of amalgamation on inter-company holding)
(e) Accounting involved in liquidation of companies, Statement of Affairs (including
deficiency/surplus accounts) and Iiquidator’s statement of account of the winding up.
4. Financial Statements of Banking, Insurance and Electricity Companies
5. Average Due Date, Account Current, Self-Balancing Ledgers
6. Financial Statements of Not-for-Profit Organisations
7. Accounts from Incomplete Records
8. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions
(b) Investment accounts
(c) Departmental and branch accounts including foreign branches
(d) Insurance claims for loss of stock and loss of profit.
9. Advanced Issues in Partnership Accounts
Final accounts of partnership firms – Admission, retirement and death of a partner including
treatment of goodwill; Dissolution of partnership firms including piecemeal distribution of assets;
Amalgamation of partnership firms; Conversion into a company and Sale to a company.
10. Accounting in Computerised Environment
An overview of computerized accounting system–Salient features and significance, Concept of
grouping of accounts, Codification of accounts, Maintaining the hierarchy of
ledger, Accounting packages and consideration for their selection, Generating Accounting Reports.
Note – If either old Accounting Standards (ASs), Announcements and Limited Revisions to ASs are
withdrawn or new ASs, Announcements and Limited Revisions to ASs are issued by the Institute of
Chartered Accountants of India in place of existing ASs, Announcements and Limited Revisions to ASs,
the syllabus will accordingly include/exclude such new developments in place of the existing ones
with effect from the date to be notified by the Institute.
Paper 2: Auditing and Assurance
(One Paper —Three hours — 100 Marks)
Level of knowledge: Working Knowledge
Objective:
To understand objective and concepts of auditing and gain working knowledge of generally
accepted auditing procedures and of techniques and skills needed to apply them in audit and
attestation engagements and solving simple case-studies.
Contents
1. Auditing Concepts —Nature and limitations of Auditing, Basic Principles governing an audit,
Ethical principles and concept of Auditor’s Independence, Relationship of auditing with other
disciplines.
2. Auditing and Assurance Standards —Overview, Standard-setting process, Role of
International Auditing and Assurance Standards Board and Auditing and Assurance
Standards Board in India.
3. Auditing engagement —Audit planning, Audit programme, Control of quality of audit work—
Delegation and supervision of audit work.
4. Documentation — Audit working papers, Audit files: Permanent and current audit files,
Ownership and custody of working papers.
5. Audit evidence — Audit procedures for obtaining evidence, Sources of evidence, Reliability
of audit evidence, Methods of obtaining audit evidence % Physical verification, Documentation,
Direct confirmation, Re-computation, Analytical review techniques, Representation by management.
6. Internal Control — Elements of internal control, Review and documentation, Evaluation of
internal control system, Internal control questionnaire, Internal control check list, Tests of control,
Application of concept of materiality and audit risk, Concept of internal audit.
7. Internal Control and Computerized Environment, Approaches to Auditing in Computerised
Environment.
8. Audit Sampling — Types of sampling, Test checking, Techniques of test checks.
9. Analytical review procedures.
10. Audit of payments — General considerations, Wages, Capital expenditure, Other payments
and expenses, Petty cash payments, Bank payments, Bank reconciliation.
11. Audit of receipts — General considerations, Cash sales, Receipts from debtors, Other
Receipts.
12. Audit of Purchases — Vouching cash and credit purchases, Forward purchases, Purchase returns,
Allowance received from suppliers.
13. Audit of Sales — Vouching of cash and credit sales, Goods on consignment, Sale on
approval basis, Sale under hire% purchase agreement, Returnable containers, Various types
of allowances given to customers, Sale returns.
14. Audit of suppliers’ ledger and the debtors’ ledger — Self-balancing and the sectional
balancing system, Total or control accounts, Confirmatory statements from credit customers
and suppliers, Provision for bad and doubtful debts, Writing off of bad debts.
15. Audit of impersonal ledger — Capital expenditure, deferred revenue expenditure and
revenue expenditure, Outstanding expenses and income, Repairs and renewals, Distinction
between reserves and provisions, Implications of change in the basis of accounting.
16. Audit of assets and liabilities.
17. Company Audit — Audit of Shares, Qualifications and Disqualifications of Auditors,
Appointment of auditors, Removal of auditors, Powers and duties of auditors, Branch audit ,
Joint audit , Special audit, Reporting requirements under the Companies Act, 1956.
18. Audit Report — Qualifications, Disclaimers, Adverse opinion, Disclosures, Reports and
certificates.
19. Special points in audit of different types of undertakings, i.e., Educational institutions, Hotels,
Clubs, Hospitals, Hire-purchase and leasing companies (excluding banks, electricity companies,
cooperative societies, and insurance companies).
20. Features and basic principles of government audit, Local bodies and not-for-profit
organizations, Comptroller and Auditor General and its constitutional role.
Note: Candidates are expected to have working knowledge of relevant Auditing and
Assurance Standards issued by the ICAI with reference to above-mentioned topics.
Paper 3: Law, Ethics and Communication
(One paper – Three hours — 100 Marks)
Level of Knowledge: Working knowledge
Part I: Law ( 60 Marks)
Objective:
To test working knowledge of business laws and company law and their practical application in
commercial situations.
Contents
Business Laws (30 Marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 Marks)
The Companies Act, 1956 – Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration — National Company Law Tribunal; Appellate
Tribunal
(c) Incorporation of Company and Matters Incidental thereto
(d) Prospectus and Allotment, and other matters relating to use of Shares or Debentures
(e) Share Capital and Debentures
(f) Registration of Charges
(g) Management and Administration – General Provisions – Registered office and name,
Restrictions on commencement of business, Registers of members and debentures holders,
Foreign registers of members or debenture holders, Annual returns, General provisions
regarding registers and returns, Meetings and proceedings
(h) Company Law in a computerized Environment – E-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would
include the corresponding provisions of such new legislations with effect from a date
notified by the Institute.
Part II: Business Ethics (20 Marks)
Objective:
To have an understanding of ethical issues in business.
Contents
1. Introduction to Business Ethics
The nature, purpose of ethics and morals for organizational interests; Ethics and Conflicts of
Interests; Ethical and Social Implications of business policies and decisions; Corporate Social
Responsibility; Ethical issues in Corporate Governance.
2. Environment issues
Protecting the Natural Environment – Prevention of Pollution and Depletion of Natural
Resources; Conservation of Natural Resources.
3. Ethics in Workplace
Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection
Healthy competition and protecting consumer’s interest.
5. Ethics in Accounting and Finance
Importance, issues and common problems.
Part III: Business Communications (20 Marks)
Objective:
To nurture and develop the communication and behavioural skills relating to business
Contents
1. Elements of Communication
(a) Forms of Communication: Formal and Informal, Interdepartmental, Verbal and nonverbal;
Active listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and Composing Business messages
(d) Communication channels
(e) Communicating Corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
Negotiating and bargaining
(i) Emotional intelligence - Emotional Quotient
(j) Soft skills – personality traits; Interpersonal skills ; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic understanding of legal deeds and documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
-------------------------------------------------------------------------------------------
GROUP II
Paper 4: Cost Accounting and Financial Management
(One paper – Three hours — 100 Marks)
Level of Knowledge: Working knowledge
Part I: Cost Accounting (50 Marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs,
(b) To be able to interpret cost accounting statements,
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and
decision making, and
(d) To be able to solve simple cases.
Contents
1. Introduction to Cost Accounting
(a) Objectives and scope of Cost Accounting
(b) Cost centres and Cost units
(c) Cost classification for stock valuation, Profit measurement, Decision making and control
(d) Coding systems
(e) Elements of Cost
(f) Cost behaviour pattern, Separating the components of semi-variable costs
(g) Installation of a Costing system
(h) Relationship of Cost Accounting, Financial Accounting, Management Accounting and
Financial Management.
2. Cost Ascertainment
(a) Material Cost
(i) Procurement procedures— Store procedures and documentation in respect of receipts
and issue of stock, Stock verification
(ii) Inventory control —Techniques of fixing of minimum, maximum and reorder levels,
Economic Order Quantity, ABC classification; Stocktaking and perpetual inventory
(iii) Inventory accounting
(iv) Consumption — Identification with products of cost centres, Basis for consumption
entries in financial accounts, Monitoring consumption.
(b) Employee Cost
(i) Attendance and payroll procedures, Overview of statutory requirements, Overtime, Idle
time and Incentives
(ii) Labour turnover
(iii) Utilisation of labour, Direct and indirect labour, Charging of labour cost, Identifying labour
hours with work orders or batches or capital jobs
(iv) Efficiency rating procedures
(v) Remuneration systems and incentive schemes.
(c) Direct Expenses
Sub-contracting — Control on material movements, Identification with the main product or
service.
(d) Overheads
(i) Functional analysis — Factory, Administration, Selling, Distribution, Research and
Development
Behavioural analysis — Fixed, Variable, Semi variable and Step cost
(ii) Factory Overheads — Primary distribution and secondary distribution, Criteria for
choosing suitable basis for allotment, Capacity cost adjustments, Fixed absorption rates
for absorbing overheads to products or services
(iii) Administration overheads — Method of allocation to cost centres or products
(iv) Selling and distribution overheads — Analysis and absorption of the expenses in
products/customers, impact of marketing strategies, Cost effectiveness of various
methods of sales promotion.
3. Cost Book-keeping
Cost Ledgers—Non-integrated accounts, Integrated accounts, Reconciliation of cost and financial
accounts.
4. Costing Systems
(a) Job Costing
Job cost cards and databases, Collecting direct costs of each job, Attributing overhead costs to
jobs, Applications of job costing.
(b) Batch Costing
(c) Contract Costing
Progress payments, Retention money, Escalation clause, Contract accounts, Accounting for
material, Accounting for plant used in a contract, Contract profit and Balance sheet entries.
(d) Process Costing
Double entry book keeping, Process loss, Abnormal gains and losses, Equivalent units, Interprocess
profit, Joint products and by products.
(e) Operating Costing System
5. Introduction to Marginal Costing
Marginal costing compared with absorption costing, Contribution, Breakeven analysis and profit
volume graph.
6. Introduction to Standard Costing
Various types of standards, Setting of standards, Basic concepts of material and Labour
standards and variance analysis.
Part II: Financial Management (50 Marks)
Objectives:
(a) To develop ability to analyse and interpret various tools of financial analysis and planning,
(b) To gain knowledge of management and financing of working capital,
(c) To understand concepts relating to financing and investment decisions, and
(d) To be able to solve simple cases.
Contents
1. Scope and Objectives of Financial Management
(a) Meaning, Importance and Objectives
(b) Conflicts in profit versus value maximisation principle
(c) Role of Chief Financial Officer.
2. Time Value of Money
Compounding and Discounting techniques— Concepts of Annuity and Perpetuity.
3. Financial Analysis and Planning
(a) Ratio Analysis for performance evaluation and financial health
(b) Application of Ratio Analysis in decision making
(c) Analysis of Cash Flow Statement.
4. Financing Decisions
(a) Cost of Capital — Weighted average cost of capital and Marginal cost of capital
(b) Capital Structure decisions — Capital structure patterns, Designing optimum capital
structure, Constraints, Various capital structure theories
(c) Business Risk and Financial Risk — Operating and financial leverage, Trading on Equity.
5. Types of Financing
(a) Different sources of finance
(b) Project financing — Intermediate and long term financing
(c) Negotiating term loans with banks and financial institutions and appraisal thereof
(d) Introduction to lease financing
(e) Venture capital finance.
6. Investment Decisions
(a) Purpose, Objective, Process
(b) Understanding different types of projects
(c) Techniques of Decision making: Non-discounted and Discounted Cash flow
Approaches — Payback Period method, Accounting Rate of Return, Net Present Value,
Internal Rate of Return, Modified Internal Rate of Return, Discounted Payback Period
and Profitability Index
(d) Ranking of competing projects, Ranking of projects with unequal lives.
7. Management of Working Capital
(a) Working capital policies
(b) Funds flow analysis
(c) Inventory management
(d) Receivables management
(e) Payables management
(f) Management of cash and marketable securities
(g) Financing of working capital.
Paper 5: Taxation
(One paper — Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Objectives:
(a) To gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the
contents below and
(b) To gain ability to solve simple problems concerning assessees with the status of ‘Individual’
and ‘Hindu Undivided Family’ covering the areas mentioned in the contents below.
Contents
Part I: Income-tax (75 marks)
1. Important definitions in the Income-tax Act, 1961
2. Basis of charge; Rates of taxes applicable for different types of assessees
3. Concepts of previous year and assessment year
4. Residential status and scope of total income; Income deemed to be received / deemed to
accrue or arise in India
5. Incomes which do not form part of total income
6. Heads of income and the provisions governing computation of income under different heads
7. Income of other persons included in assessee’s total income
8. Aggregation of income; Set-off or carry forward and set-off of losses
9. Deductions from gross total income
10. Computation of total income and tax payable; Rebates and reliefs
11. Provisions concerning advance tax and tax deducted at source
12. Provisions for filing of return of income.
Part II: Service tax and VAT (25 marks)
Objective:
To gain knowledge of the provisions of service tax as mentioned below and basic concepts of
Value added tax (VAT) in India.
Contents:
1. Service tax – Concepts and general principles
2. Charge of service tax and taxable services
3. Valuation of taxable services
4. Payment of service tax and filing of returns
5. VAT – Concepts and general principles.
Note: If new legislations are enacted in place of the existing legislations the syllabus will
accordingly include the corresponding provisions of such new legislations in the place of the existing
legislations with effect from the date to be notified by the Institute.
Students shall not be examined with reference to any particular State VAT Law.
Paper 6: Information Technology and Strategic Management
(One paper – Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Section A: Information Technology (50 Marks)
Objective:
To develop an understanding of Information Technology and its use by the business as facilitator
and driver.
Contents
1. Introduction to Computers
(a) Computer Hardware
Classification of Computers - Personal computer, Workstation, Servers and Super computers
Computer Components - CPU, Input output devices, Storage devices
(b) BUS, I/O CO Processors, Ports (serial, parallel, USB ports), Expansion slots, Add on cards,
On board chips, LAN cards, Multi media cards , Cache memory, Buffers, Controllers and
drivers
(c) Computer Software
Systems Software - Operating system, Translators (Compilers, Interpreters and Assemblers),
System utilities
General Purpose Software/ Utilities - Word Processor, Spread Sheet, DBMS, Scheduler /
Planner, Internet browser and E-mail clients
Application Software - Financial Accounting, Payroll, Inventory
Specialised Systems – Enterprise Resource Planning (ERP) , Artificial Intelligence , Expert
Systems, Decision Support Systems – An Overview
2. Data Storage, Retrievals and Data Base Management Systems
(a) Data and Information Concepts: Bits, Bytes, KB, MB, GB, TB
(b) Data organization and Access
Storage Concepts : Records, Fields, Grouped fields, Special fields like date, Integers, Real,
Floating, Fixed, Double precision, Logical, Characters, Strings, Variable character fields
(Memo); Key, Primary key, Foreign key, Secondary key, Referential integrity, Index fields.
Storage techniques: Sequential, Block Sequential, Random, Indexed, Sequential access,
Direct access, Random access including Randomizing
Logical Structure and Physical structure of files
(c) DBMS Models and Classification:
Need for database, Administration, Models, DML and DDL (Query and reporting); Data
Dictionaries, Distributed data bases, Object oriented databases, Client Server databases,
Knowledge databases
(d) Backup and recovery – backup policy, backup schedules, offsite backups, recycling of
backups, frequent checking of recovery of backup
(e) Usage of system software like program library management systems and tape and disk
management systems – features, functionalities, advantages
(f) Data Mining and Data Warehousing - An overview
3. Computer Networks & Network Security
GROUP I
Paper 1: Advanced Accounting
(One paper – Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Objectives:
(a) To lay a theoretical foundation for the preparation and presentation of financial statements,
(b) To gain working knowledge of the professional standards, principles and procedures of
accounting and their application to different practical situations,
(c) To gain the ability to solve simple problems and cases relating to company accounts
including special type of corporate entities, partnership accounts and
(d) To familiarize students with the fundamentals of computerized system of accounting.
Contents
1. Conceptual Framework for Preparation and Presentation of Financial Statements
2. Accounting Standards
An overview; standards setting process
Working knowledge of:
AS 1: Disclosure of Accounting Policies
AS 2: Valuation of Inventories
AS 3: Cash Flow Statements
AS 4: Contingencies and Events occurring after the Balance Sheet Date
AS 5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
AS 6: Depreciation Accounting
AS 7: Construction Contracts (Revised 2002)
AS 9: Revenue Recognition
AS 10: Accounting for Fixed Assets
AS 11: The Effects of Changes in Foreign Exchange Rates (Revised 2003)
AS 12: Accounting for Government Grants
AS 13: Accounting for Investments
AS 14: Accounting for Amalgamations
AS 16: Borrowing Costs
AS 19 Leases
AS 20 Earnings Per Share
AS 26: Intangible Assets
AS 29: Provisions, Contingent Liabilities and Contingent Assets.
3. Company Accounts
(a) Preparation of financial statements – Profit and Loss Account, Balance Sheet and Cash Flow
Statement
(b) Profit (Loss) prior to incorporation
(c) Alteration of share capital, Conversion of fully paid shares into stock and stock into shares,
Accounting for bonus issue, Accounting for employee stock option plan, Buy back of
securities, Equity shares with differential rights, Underwriting of shares and debentures,
Redemption of debentures
(d) Accounting for business acquisition, Amalgamation and reconstruction (excluding problems
of amalgamation on inter-company holding)
(e) Accounting involved in liquidation of companies, Statement of Affairs (including
deficiency/surplus accounts) and Iiquidator’s statement of account of the winding up.
4. Financial Statements of Banking, Insurance and Electricity Companies
5. Average Due Date, Account Current, Self-Balancing Ledgers
6. Financial Statements of Not-for-Profit Organisations
7. Accounts from Incomplete Records
8. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions
(b) Investment accounts
(c) Departmental and branch accounts including foreign branches
(d) Insurance claims for loss of stock and loss of profit.
9. Advanced Issues in Partnership Accounts
Final accounts of partnership firms – Admission, retirement and death of a partner including
treatment of goodwill; Dissolution of partnership firms including piecemeal distribution of assets;
Amalgamation of partnership firms; Conversion into a company and Sale to a company.
10. Accounting in Computerised Environment
An overview of computerized accounting system–Salient features and significance, Concept of
grouping of accounts, Codification of accounts, Maintaining the hierarchy of
ledger, Accounting packages and consideration for their selection, Generating Accounting Reports.
Note – If either old Accounting Standards (ASs), Announcements and Limited Revisions to ASs are
withdrawn or new ASs, Announcements and Limited Revisions to ASs are issued by the Institute of
Chartered Accountants of India in place of existing ASs, Announcements and Limited Revisions to ASs,
the syllabus will accordingly include/exclude such new developments in place of the existing ones
with effect from the date to be notified by the Institute.
Paper 2: Auditing and Assurance
(One Paper —Three hours — 100 Marks)
Level of knowledge: Working Knowledge
Objective:
To understand objective and concepts of auditing and gain working knowledge of generally
accepted auditing procedures and of techniques and skills needed to apply them in audit and
attestation engagements and solving simple case-studies.
Contents
1. Auditing Concepts —Nature and limitations of Auditing, Basic Principles governing an audit,
Ethical principles and concept of Auditor’s Independence, Relationship of auditing with other
disciplines.
2. Auditing and Assurance Standards —Overview, Standard-setting process, Role of
International Auditing and Assurance Standards Board and Auditing and Assurance
Standards Board in India.
3. Auditing engagement —Audit planning, Audit programme, Control of quality of audit work—
Delegation and supervision of audit work.
4. Documentation — Audit working papers, Audit files: Permanent and current audit files,
Ownership and custody of working papers.
5. Audit evidence — Audit procedures for obtaining evidence, Sources of evidence, Reliability
of audit evidence, Methods of obtaining audit evidence % Physical verification, Documentation,
Direct confirmation, Re-computation, Analytical review techniques, Representation by management.
6. Internal Control — Elements of internal control, Review and documentation, Evaluation of
internal control system, Internal control questionnaire, Internal control check list, Tests of control,
Application of concept of materiality and audit risk, Concept of internal audit.
7. Internal Control and Computerized Environment, Approaches to Auditing in Computerised
Environment.
8. Audit Sampling — Types of sampling, Test checking, Techniques of test checks.
9. Analytical review procedures.
10. Audit of payments — General considerations, Wages, Capital expenditure, Other payments
and expenses, Petty cash payments, Bank payments, Bank reconciliation.
11. Audit of receipts — General considerations, Cash sales, Receipts from debtors, Other
Receipts.
12. Audit of Purchases — Vouching cash and credit purchases, Forward purchases, Purchase returns,
Allowance received from suppliers.
13. Audit of Sales — Vouching of cash and credit sales, Goods on consignment, Sale on
approval basis, Sale under hire% purchase agreement, Returnable containers, Various types
of allowances given to customers, Sale returns.
14. Audit of suppliers’ ledger and the debtors’ ledger — Self-balancing and the sectional
balancing system, Total or control accounts, Confirmatory statements from credit customers
and suppliers, Provision for bad and doubtful debts, Writing off of bad debts.
15. Audit of impersonal ledger — Capital expenditure, deferred revenue expenditure and
revenue expenditure, Outstanding expenses and income, Repairs and renewals, Distinction
between reserves and provisions, Implications of change in the basis of accounting.
16. Audit of assets and liabilities.
17. Company Audit — Audit of Shares, Qualifications and Disqualifications of Auditors,
Appointment of auditors, Removal of auditors, Powers and duties of auditors, Branch audit ,
Joint audit , Special audit, Reporting requirements under the Companies Act, 1956.
18. Audit Report — Qualifications, Disclaimers, Adverse opinion, Disclosures, Reports and
certificates.
19. Special points in audit of different types of undertakings, i.e., Educational institutions, Hotels,
Clubs, Hospitals, Hire-purchase and leasing companies (excluding banks, electricity companies,
cooperative societies, and insurance companies).
20. Features and basic principles of government audit, Local bodies and not-for-profit
organizations, Comptroller and Auditor General and its constitutional role.
Note: Candidates are expected to have working knowledge of relevant Auditing and
Assurance Standards issued by the ICAI with reference to above-mentioned topics.
Paper 3: Law, Ethics and Communication
(One paper – Three hours — 100 Marks)
Level of Knowledge: Working knowledge
Part I: Law ( 60 Marks)
Objective:
To test working knowledge of business laws and company law and their practical application in
commercial situations.
Contents
Business Laws (30 Marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 Marks)
The Companies Act, 1956 – Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration — National Company Law Tribunal; Appellate
Tribunal
(c) Incorporation of Company and Matters Incidental thereto
(d) Prospectus and Allotment, and other matters relating to use of Shares or Debentures
(e) Share Capital and Debentures
(f) Registration of Charges
(g) Management and Administration – General Provisions – Registered office and name,
Restrictions on commencement of business, Registers of members and debentures holders,
Foreign registers of members or debenture holders, Annual returns, General provisions
regarding registers and returns, Meetings and proceedings
(h) Company Law in a computerized Environment – E-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would
include the corresponding provisions of such new legislations with effect from a date
notified by the Institute.
Part II: Business Ethics (20 Marks)
Objective:
To have an understanding of ethical issues in business.
Contents
1. Introduction to Business Ethics
The nature, purpose of ethics and morals for organizational interests; Ethics and Conflicts of
Interests; Ethical and Social Implications of business policies and decisions; Corporate Social
Responsibility; Ethical issues in Corporate Governance.
2. Environment issues
Protecting the Natural Environment – Prevention of Pollution and Depletion of Natural
Resources; Conservation of Natural Resources.
3. Ethics in Workplace
Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection
Healthy competition and protecting consumer’s interest.
5. Ethics in Accounting and Finance
Importance, issues and common problems.
Part III: Business Communications (20 Marks)
Objective:
To nurture and develop the communication and behavioural skills relating to business
Contents
1. Elements of Communication
(a) Forms of Communication: Formal and Informal, Interdepartmental, Verbal and nonverbal;
Active listening and critical thinking
(b) Presentation skills including conducting meeting, press conference
(c) Planning and Composing Business messages
(d) Communication channels
(e) Communicating Corporate culture, change, innovative spirits
(f) Communication breakdowns
(g) Communication ethics
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
Negotiating and bargaining
(i) Emotional intelligence - Emotional Quotient
(j) Soft skills – personality traits; Interpersonal skills ; leadership.
2. Communication in Business Environment
(a) Business Meetings – Notice, Agenda, Minutes, Chairperson’s speech
(b) Press releases
(c) Corporate announcements by stock exchanges
(d) Reporting of proceedings of a meeting.
3. Basic understanding of legal deeds and documents
(a) Partnership deed
(b) Power of Attorney
(c) Lease deed
(d) Affidavit
(e) Indemnity bond
(f) Gift deed
(g) Memorandum and articles of association of a company
(h) Annual Report of a company.
-------------------------------------------------------------------------------------------
GROUP II
Paper 4: Cost Accounting and Financial Management
(One paper – Three hours — 100 Marks)
Level of Knowledge: Working knowledge
Part I: Cost Accounting (50 Marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs,
(b) To be able to interpret cost accounting statements,
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and
decision making, and
(d) To be able to solve simple cases.
Contents
1. Introduction to Cost Accounting
(a) Objectives and scope of Cost Accounting
(b) Cost centres and Cost units
(c) Cost classification for stock valuation, Profit measurement, Decision making and control
(d) Coding systems
(e) Elements of Cost
(f) Cost behaviour pattern, Separating the components of semi-variable costs
(g) Installation of a Costing system
(h) Relationship of Cost Accounting, Financial Accounting, Management Accounting and
Financial Management.
2. Cost Ascertainment
(a) Material Cost
(i) Procurement procedures— Store procedures and documentation in respect of receipts
and issue of stock, Stock verification
(ii) Inventory control —Techniques of fixing of minimum, maximum and reorder levels,
Economic Order Quantity, ABC classification; Stocktaking and perpetual inventory
(iii) Inventory accounting
(iv) Consumption — Identification with products of cost centres, Basis for consumption
entries in financial accounts, Monitoring consumption.
(b) Employee Cost
(i) Attendance and payroll procedures, Overview of statutory requirements, Overtime, Idle
time and Incentives
(ii) Labour turnover
(iii) Utilisation of labour, Direct and indirect labour, Charging of labour cost, Identifying labour
hours with work orders or batches or capital jobs
(iv) Efficiency rating procedures
(v) Remuneration systems and incentive schemes.
(c) Direct Expenses
Sub-contracting — Control on material movements, Identification with the main product or
service.
(d) Overheads
(i) Functional analysis — Factory, Administration, Selling, Distribution, Research and
Development
Behavioural analysis — Fixed, Variable, Semi variable and Step cost
(ii) Factory Overheads — Primary distribution and secondary distribution, Criteria for
choosing suitable basis for allotment, Capacity cost adjustments, Fixed absorption rates
for absorbing overheads to products or services
(iii) Administration overheads — Method of allocation to cost centres or products
(iv) Selling and distribution overheads — Analysis and absorption of the expenses in
products/customers, impact of marketing strategies, Cost effectiveness of various
methods of sales promotion.
3. Cost Book-keeping
Cost Ledgers—Non-integrated accounts, Integrated accounts, Reconciliation of cost and financial
accounts.
4. Costing Systems
(a) Job Costing
Job cost cards and databases, Collecting direct costs of each job, Attributing overhead costs to
jobs, Applications of job costing.
(b) Batch Costing
(c) Contract Costing
Progress payments, Retention money, Escalation clause, Contract accounts, Accounting for
material, Accounting for plant used in a contract, Contract profit and Balance sheet entries.
(d) Process Costing
Double entry book keeping, Process loss, Abnormal gains and losses, Equivalent units, Interprocess
profit, Joint products and by products.
(e) Operating Costing System
5. Introduction to Marginal Costing
Marginal costing compared with absorption costing, Contribution, Breakeven analysis and profit
volume graph.
6. Introduction to Standard Costing
Various types of standards, Setting of standards, Basic concepts of material and Labour
standards and variance analysis.
Part II: Financial Management (50 Marks)
Objectives:
(a) To develop ability to analyse and interpret various tools of financial analysis and planning,
(b) To gain knowledge of management and financing of working capital,
(c) To understand concepts relating to financing and investment decisions, and
(d) To be able to solve simple cases.
Contents
1. Scope and Objectives of Financial Management
(a) Meaning, Importance and Objectives
(b) Conflicts in profit versus value maximisation principle
(c) Role of Chief Financial Officer.
2. Time Value of Money
Compounding and Discounting techniques— Concepts of Annuity and Perpetuity.
3. Financial Analysis and Planning
(a) Ratio Analysis for performance evaluation and financial health
(b) Application of Ratio Analysis in decision making
(c) Analysis of Cash Flow Statement.
4. Financing Decisions
(a) Cost of Capital — Weighted average cost of capital and Marginal cost of capital
(b) Capital Structure decisions — Capital structure patterns, Designing optimum capital
structure, Constraints, Various capital structure theories
(c) Business Risk and Financial Risk — Operating and financial leverage, Trading on Equity.
5. Types of Financing
(a) Different sources of finance
(b) Project financing — Intermediate and long term financing
(c) Negotiating term loans with banks and financial institutions and appraisal thereof
(d) Introduction to lease financing
(e) Venture capital finance.
6. Investment Decisions
(a) Purpose, Objective, Process
(b) Understanding different types of projects
(c) Techniques of Decision making: Non-discounted and Discounted Cash flow
Approaches — Payback Period method, Accounting Rate of Return, Net Present Value,
Internal Rate of Return, Modified Internal Rate of Return, Discounted Payback Period
and Profitability Index
(d) Ranking of competing projects, Ranking of projects with unequal lives.
7. Management of Working Capital
(a) Working capital policies
(b) Funds flow analysis
(c) Inventory management
(d) Receivables management
(e) Payables management
(f) Management of cash and marketable securities
(g) Financing of working capital.
Paper 5: Taxation
(One paper — Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Objectives:
(a) To gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the
contents below and
(b) To gain ability to solve simple problems concerning assessees with the status of ‘Individual’
and ‘Hindu Undivided Family’ covering the areas mentioned in the contents below.
Contents
Part I: Income-tax (75 marks)
1. Important definitions in the Income-tax Act, 1961
2. Basis of charge; Rates of taxes applicable for different types of assessees
3. Concepts of previous year and assessment year
4. Residential status and scope of total income; Income deemed to be received / deemed to
accrue or arise in India
5. Incomes which do not form part of total income
6. Heads of income and the provisions governing computation of income under different heads
7. Income of other persons included in assessee’s total income
8. Aggregation of income; Set-off or carry forward and set-off of losses
9. Deductions from gross total income
10. Computation of total income and tax payable; Rebates and reliefs
11. Provisions concerning advance tax and tax deducted at source
12. Provisions for filing of return of income.
Part II: Service tax and VAT (25 marks)
Objective:
To gain knowledge of the provisions of service tax as mentioned below and basic concepts of
Value added tax (VAT) in India.
Contents:
1. Service tax – Concepts and general principles
2. Charge of service tax and taxable services
3. Valuation of taxable services
4. Payment of service tax and filing of returns
5. VAT – Concepts and general principles.
Note: If new legislations are enacted in place of the existing legislations the syllabus will
accordingly include the corresponding provisions of such new legislations in the place of the existing
legislations with effect from the date to be notified by the Institute.
Students shall not be examined with reference to any particular State VAT Law.
Paper 6: Information Technology and Strategic Management
(One paper – Three hours – 100 Marks)
Level of Knowledge: Working knowledge
Section A: Information Technology (50 Marks)
Objective:
To develop an understanding of Information Technology and its use by the business as facilitator
and driver.
Contents
1. Introduction to Computers
(a) Computer Hardware
Classification of Computers - Personal computer, Workstation, Servers and Super computers
Computer Components - CPU, Input output devices, Storage devices
(b) BUS, I/O CO Processors, Ports (serial, parallel, USB ports), Expansion slots, Add on cards,
On board chips, LAN cards, Multi media cards , Cache memory, Buffers, Controllers and
drivers
(c) Computer Software
Systems Software - Operating system, Translators (Compilers, Interpreters and Assemblers),
System utilities
General Purpose Software/ Utilities - Word Processor, Spread Sheet, DBMS, Scheduler /
Planner, Internet browser and E-mail clients
Application Software - Financial Accounting, Payroll, Inventory
Specialised Systems – Enterprise Resource Planning (ERP) , Artificial Intelligence , Expert
Systems, Decision Support Systems – An Overview
2. Data Storage, Retrievals and Data Base Management Systems
(a) Data and Information Concepts: Bits, Bytes, KB, MB, GB, TB
(b) Data organization and Access
Storage Concepts : Records, Fields, Grouped fields, Special fields like date, Integers, Real,
Floating, Fixed, Double precision, Logical, Characters, Strings, Variable character fields
(Memo); Key, Primary key, Foreign key, Secondary key, Referential integrity, Index fields.
Storage techniques: Sequential, Block Sequential, Random, Indexed, Sequential access,
Direct access, Random access including Randomizing
Logical Structure and Physical structure of files
(c) DBMS Models and Classification:
Need for database, Administration, Models, DML and DDL (Query and reporting); Data
Dictionaries, Distributed data bases, Object oriented databases, Client Server databases,
Knowledge databases
(d) Backup and recovery – backup policy, backup schedules, offsite backups, recycling of
backups, frequent checking of recovery of backup
(e) Usage of system software like program library management systems and tape and disk
management systems – features, functionalities, advantages
(f) Data Mining and Data Warehousing - An overview
3. Computer Networks & Network Security
Sunday, September 20, 2009
PCC[professional competency course]
A-28
10 SYLLABUS OF PROFESSIONAL COMPETENCE COURSE (PCC)
OFFERED BY ICAI
These are the courses you have to pass as part of Chartered Accountancy First Stage (PCC or PE-II or Intermediate).
If a student pass these courses as part of Chartered Accountancy, he/she will get exemption for these courses in
B.Com (A&F).
BCO-005: Advanced Accounting 8 Credits
Objectives:
(a) To lay a theoretical foundation for the preparation and presentation of financial statements
(b) To gain working knowledge of the professional standards, principles and procedures of accounting and
their application to different practical situations,
(c) To gain the ability to solve simple problems and cases relating to company accounts including special
type of corporate entities, partnership accounts and
(d) To familiarize students with the fundamentals of computerized system of accounting
Contents:
1. Conceptual Framework for Preparation and Presentation of Financial Statements
2. Accounting Standards: An overview; standards setting process
Working knowledge of: AS 1: Disclosure of Accounting Policies; AS 2:Valuation of Inventories;
AS 3: Cash Flow Statements; AS 4: Contingencies and Events occurring after the Balance Sheet Date;
AS 5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies;
AS 6: Depreciation Accounting; AS 7: Construction Contracts (Revised 2002); AS 9: Revenue
Recognition; AS 10: Accounting for Fixed Assets; AS 11: The Effects of Changes in Foreign Exchange
Rates (Revised 2003); AS 12: Accounting for Government Grants; AS 13: Accounting for Investments;
AS 14: Accounting for Amalgamations; AS 15: Borrowing Costs AS 16: Borrowing Costs; AS 19:
Leases; AS 20: Earnings Per Share; AS 26: Intangible Assets; AS 29: Provisions, Contingent Liabilities
and Contingent Assets.
3. Company Accounts
(a) Preparation of financial statements - Profit and Loss Account, Balance Sheet and Cash Flow Statement;
(b) Profit (Loss) prior to incorporation; (c) Alteration of share capital, Conversion of fully paid shares
into stock and stock into shares, Accounting for bonus issue, Accounting for employee stock option
plan, Buy back of securities, Equity shares with differential rights, Underwriting of shares and debentures,
Redemption of debentures (d) Accounting for business acquisition, Amalgamation and reconstruction
(excluding problems of amalgamation on inter-company holding); (e) Accounting involved in liquidation
of companies, Statement of Affairs (including deficiency/surplus accounts) and liquidator’s statement of
account of the winding up.
4. Financial Statements of Banking, Insurance and Electricity Companies
5. Average Due Date, Account Current, Self-Balancing Ledgers
6. Financial Statements of Not-for-Profit Organisations
7. Accounts from Incomplete Records
8. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions; (b) Investment accounts; (c) Departmental and branch
accounts including foreign branches; (d) Insurance claims for loss of stock and loss of profit.
A-29
9. Advanced Issues in Partnership Accounts
Final accounts of partnership firms - Admission, retirement and death of a partner including treatment of
goodwill; Dissolution of partnership firms including piecemeal distribution of assets; Amalgamation of
partnership firms; Conversion into a company and Sale to a company.
10. Accounting in Computerised Environment
An overview of computerized accounting system - Salient features and significance, Concept of grouping
of accounts, Codification of accounts, Maintaining the hierarchy of ledger, Accounting packages and
consideration for their selection, Generating Accounting Reports.
Note: If either old Accounting Standards (ASs), Announcements and Limited Revisions to ASs are withdrawn
or new ASs, Announcements and Limited Revisions to ASs are issued by the Institute of Chartered
Accountants of India in place of existing ASs, Announcements and Limited Revisions to ASs, the syllabus
will accordingly include/exclude such new developments in place of the existing ones with effect from
the date to be notified by the Institute.
BCO-006: Auditing and Assurance 8 Credits
Objective:
To understand objective and concepts of auditing and gain working knowledge of generally accepted auditing
procedures and of techniques and skills needed to apply them in audit and attestation engagements and solving
simple casestudies.
Contents:
1. Auditing Concepts - Nature and limitations of Auditing, Basic Principles governing an audit, Ethical
principles and concept of Auditor’s Independence, Relationship of auditing with other disciplines.
2. Auditing and Assurance Standards - Overview, Standard-setting process,. Role of International Auditing
and Assurance Standards Board and Auditing and Assurance Standards Board in India.
3. Auditing engagement - Audit planning, Audit programme, Control of quality of audit work - Delegation
and supervision of audit work.
4. Documentation - Audit working papers, Audit files: Permanent and current audit files, Ownership and
custody of working papers.
5. Audit evidence - Audit procedures for obtaining evidence, Sources of evidence, Reliability of audit
evidence, Methods of obtaining audit evidence - Physical verification, Documentation, Direct confirmation,
Re-computation, Analytical review techniques, Representation by management.
6. Internal Control - Elements of internal control, Review and documentation, Evaluation of internal
control system, Internal control questionnaire, Internal control check list, Tests of control, Application
of concept of materiality and audit risk, Concept of internal audit.
7. Internal Control and Computerized Environment, Approaches to Auditing in Computerised
Environment.
8. Audit Sampling - Types of sampling, Test checking, Techniques of test checks. Analytical review
procedures.
9. Analytical review procedures.
10. Audit of payments - General considerations, Wages, Capital expenditure, Other payments and expenses,
Petty cash payments, Bank payments, Bank reconciliation.
11. Audit of receipts - General considerations, Cash sales, Receipts from debtors, Other Receipts.
A-30
12. Audit of Purchases - Vouching cash and credit purchases, Forward purchases, Purchase returns,
Allowance received from suppliers.
13. Audit of Sales - Vouching of cash and credit sales, Goods on consignment, Sale on approval basis, Sale
under hirepurchase agreement, Returnable containers, Various types of allowances given to customers,
Sale returns.
14. Audit of suppliers’ ledger and the debtors’ ledger - Self-balancing and the sectional balancing system,
Total or control accounts, Confirmatory statements from credit customers and suppliers, Provision for
bad and doubtful debts, Writing off of bad debts.
15. Audit of impersonal ledger - Capital expenditure, deferred revenue expenditure and revenue expenditure,
Outstanding expenses and income, Repairs and renewals, Distinction between reserves and provisions,
Implications of change in the basis of accounting.
16. Audit of assets and liabilities.
17. Company Audit - Audit of Shares, Qualifications and Disqualifications of Auditors, Appointment of
auditors, Removal of auditors, Powers and duties of auditors, Branch audit, Joint audit, Special audit,
Reporting requirements under the Companies Act, 1956.
18. Audit Report - Qualifications, Disclaimers, Adverse opinion, Disclosures, Reports and certificates.
19. Special points in audit of different types of undertakings, i.e., Educational institutions, Hotels, Clubs,
Hospitals, Hirepurchase and leasing companies (excluding banks, electricity companies, cooperative
societies, and insurance companies).
20. Features and basic principles of government audit, Local bodies and not-for-profit organizations,
Comptroller and Auditor General and its constitutional role.
Note: Candidates are expected to have working knowledge of relevant Auditing and Assurance Standards
issued by the ICAI with reference to above-mentioned topics.
BCO-007: Law, Ethics and Communication 8 Credits
Part A: Law (60 Marks)
Objective:
To test working knowledge of business laws and company law and their practical application in commercial
situations.
Contents:
Business Laws (30 Marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 Marks)
The Companies Act, 1956 - Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration - National Company Law Tribunal; Appellate Tribunal
(c) Incorporation of Company and Matters Incidental thereto
A-31
(d) Prospectus and Allotment, and other matters relating to use of Shares or Debentures
(e) Share Capital and Debentures
(f) Registration of Charges
(g) Management and Administration - General Provisions - Registered office and name, Restrictions on
commencement of business, Registers of members and debentures holders, Foreign registers of members
or debenture holders, Annual returns, General provisions regarding registers and returns, Meetings and
proceedings.
(i) Company Law in a computerized Environment - E-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the
corresponding provisions of such new legislations with effect from a date notified by the Institute.
Part B: Business Ethics (20 Marks)
Objective:
To have an understanding of ethical issues in business.
Contents:
1. Introduction to Business Ethics: The nature, purpose of ethics and morals for organizational interests;
Ethics and Conflicts of Interests; Ethical and Sooial Implications of bnsiness policies and decisions;
Corporate Social Responsibility; Ethical issues in Corporate Governance.
2. Environment Issues: Protecting the Natural Environment - Prevention of Pollution and Depletion of
Natural Resources; Conservation of Natural Resources.
3. Ethics in Workplace – Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection – Healthy competition and protecting consumer’s
interest.
5. Ethics in Accounting and Finance – Importance, issues and common problems.
Part C: Business Communication (20 Marks)
Objective:
To nurture and develop the communication and behavioural skills relating to business
Contents:
1. Elements of Communication
(a) Forms of Communication: Formal and Informal, Interdepartmental, Verbal and non-verbal; Active
listening and critical thinking; (b) Presentation skills including conducting meeting, press conference;
(c) Planning and Composing Business messages; (d) Communication channels; (e) Communicating
Corporate culture, change, innovative spirits; (f) Communication breakdowns; (g) Communication ethics;
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
Negotiating and bargaining; (i) Emotional intelligence - Emotional Quotient; (j) Soft skills - personality
traits; Interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings - Notice, Agenda, Minutes, Chairperson’s speech; (b) Press releases; (c) Corporate
announcements by stock exchanges; (d) Reporting of proceedings of a meeting.
3. Basic understanding of legal deeds and documents
(a) Partnership deed; (b) Power of Attorney; (c) Lease deed; (d) Affidavit; (e) Indemnity bond; (f) Gift
deed; (g) Memorandum and articles of association of a company; (h) Annual Report of a company.
A-32
BCO-008: Cost Accounting and Financial Management 8 Credits
Part A: Cost Accounting (50 Marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs,
(b) To be able to interpret cost accounting statements,
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and decision
making, and
(d) To be able to solve simple cases.
Contents:
1. Introduction to Cost Accounting
(a) Objectives and scope of Cost Accounting; (b) Cost centres and Cost units; (c) Cost classification for
stock valuation, Profit measurement, Decision making and control; (d) Coding systems; (e) Elements of
Cost; (f) Cost behaviour pattern, Separating the components of semi-variable costs; (g) Installation of a
Costing system; (h) Relationship of Cost Accounting, Financial Accounting, Management Accounting
and Financial Management.
2. Cost Ascertainment
(a) Material Cost: (i) Procurement procedures - Store procedures and documentation in respect of
receipts and issue of stock, Stock verification; (ii) Inventory control - Techniques of fixing of minimum,
maximum and reorder levels, Economic Order Quantity, ABC classification; Stocktaking and perpetual
inventory; (iii) Inventory accounting; (iv) Consumption -Identification with products of cost centres,
Basis for consumption entries in financial accounts, Monitoring consumption.
(b) Employee Cost: (i) Attendance and payroll procedures, Overview of statutory requirements, Overtime,
Idle time and Incentives; (ii) labour turnover; (iii) Utilisation of labour,’ Direct and indirect labour,
Charging of labour cost, Identifying labour hours with work orders or batches or capital jobs; (iv) Efficiency
rating procedures; (v) Remuneration systems and incentive schemes.
(c) Direct Expenses: Sub-contracting - Control on material movements, Identification with the main
product or service.
(d) Overheads: (i) Functional analysis - Factory, Administration, Selling, Distribution, Research and
Development Behavioural analysis - Fixed, Variable, Semi variable and Step cost; (ii) Factory Overheads
- Primary distribution and secondary distribution, Criteria for choosing suitable basis for allotment,
Capacity cost adjustments, Fixed absorption rates for absorbing overheads to products or services; (iii)
Administration overheads - Method of allocation to cost centres or products; (iv) Selling and distribution
overheads - Analysis and absorption of the expenses in products/customers, impact of marketing strategies,
Cost effectiveness of various methods of sales promotion.
3. Cost Book- keeping
Cost ledgers - Non-integrated accounts, Integrated accounts, Reconciliation of cost and financial accounts.
4. Costing Systems
(a) Job Costing: Job cost cards and databases, Collecting direct costs of each job, Attributing overhead
costs to jobs, Applications of job costing.
(b) Batch Costing
(c) Contract Costing: Progress payments, Retention money, Escalation clause, Contract accounts,
Accounting for material, Accounting for plant used in a contract, Contract profit and Balance
sheet entries.
(d) Process Costing: Double entry book keeping, Process loss, Abnormal gains and losses, Equivalent
units, Inter-process profit, Joint products and by products.
(e) Operating Costing System
A-33
5. Introduction to Marginal Costing
Marginal costing compared with absorption costing, Contribution, Breakeven analysis and profit volume
graph.
6. Introduction to Standard Costing
Various types of standards, Setting of standards, Basic concepts of material and labour standards and
variance analysis.
Part B: Financial Management (50 Marks)
Objectives:
(a) To develop ability to analyse and interpret various tools of financial analysis and planning,
(b ) To gain knowledge of management and financing of working capital,
(c) To understand concepts relating to financing and investment decisions, and
(d) To be able to solve simple cases.
Contents:
1. Scope and Objectives of Financial Management
(a) Meaning, Importance and Objectives; (b) Conflicts in profit versus value maximisation principle;
(c) Role of Chief Financial Officer.
2. Time Value of Money
Compounding and Discounting techniques- Concepts of Annuity and Perpetuity.
3. Financial Analysis and Planning
(a) Ratio Analysis for performance evaluation and financial health; (b) Application of Ratio Analysis in
decision making; (c) Analysis of Cash Flow Statement.
4. Financing Decisions
(a) Cost of Capital - Weighted average cost of capital and Marginal cost of capital; (b) Capital Structure
decisions - Capital structure patterns, Designing optimum capital structure, Constraints, Various capital
structure theories; (c) Business Risk and Financial Risk - Operating and financial leverage, Trading on
Equity.
5. Types of Financing
(a) Different sources of finance; (b) Project financing - Intermediate and long term financing;
(c) Negotiating term loans with banks and financial institutions and appraisal thereof; (d) Introduction to
lease financing; (e) Venture capital finance.
6. Investment Decisions
(a) Purpose, Objective, Process; (b) Understanding different types of projects; (c) Techniques of Decision
making: Non-discounted and Discounted Cash flow Approaches – Payback Period method, Accounting
Rate of Return, Net Present Value, Internal Rate of Return, Modified Internal Rate of Return, Discounted
Payback Period and Profitability Index; (d) Ranking of competing projects, Ranking of projects with
unequal lives.
7. Management of Working Capital
(a) Working capital policies; (b) Funds flow analysis; (c) Inventory management; (d) Receivables
management; (e) Payables management; (f) Management of cash and marketable securities; (g) Financing
of working capital.
A-34
BCO-009: Taxation 8 Credits
Part A: Income Tax (75 marks)
Objectives:
(a) gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the contents
below and
(b) To gain ability to solve simple problems concerning assessees with the status of ‘Individual’ and ‘Hindu
Undivided Family’ covering the areas mentioned in the contents below.
Contents:
1. Important definitions in the Income-tax Act, 1961
2. Basis of charge; Rates of taxes applicable for different types of assessees
3. Concepts of previous year and assessment year
4. Residential status and scope of total income; Income deemed to be received / deemed to accrue or arise
in India
5. Incomes which do not form part of total income
6. Heads of income and the provisions governing computation of income under different heads
7. Income of other persons included in assessee’s total income
8. Aggregation of income; Set-off or carry forward and set-off of losses
9. Deductions from gross total income
10. Computation of total income and tax payable; Rebates and reliefs
11. Provisions concerning advance tax and tax deducted at source
12. Provisions for filing of return of income.
Part B: Service tax and VAT (25 marks)
Objective:
To gain knowledge of the provisions of service tax as mentioned below and basic concepts of Value added tax
(VAT) in India.
Contents:
1. Service tax - Concepts and general principles
2. Charge of service tax and taxable services
3. Valuation of taxable services
4. Payment of service tax and filing of returns
5. VAT - Concepts and general principles.
Note: If new legislations are enacted in place of the existing legislations the syllabus will accordingly include
the corresponding provisions of such new legislations in the place of the existing legislations with effect
from the date to be notified by the Institute. Students shall not be examined with reference to any particular
State VAT Law.
A-35
BCO-010: Information Technology and Strategic Management 8 Credits
Part A: Information Technology (50 Marks)
Objective:
To develop an understanding of Information Technology and its use by the business as facilitator and driver.
Contents:
1. Introduction to Computers
(a) Computer Hardware: Classification of Computers - Personal computer, Workstation, Servers
and Super computers Computer Components - CPU, Input output devices, Storage devices
(b) BUS, I/O CO Processors, Ports (serial, parallel, USB ports), Expansion slots, Add on cards, On
board chips, LAN cards, Multi media cards, Cache memory, Buffers, Controllers and drivers
(c) Computer Software: Systems Software - Operating system, Translators (Compilers, Interpreters
and Assemblers), System utilities; General Purpose Software/ Utilities - Word Processor, Spread
Sheet, DBMS, Scheduler / Planner, Internet browser and E-mail clients; Application Software -
Financial Accounting, Payroll, Inventory; Specialised Systems”.. Enterprise Resource Planning
(ERP) , Artificial Intelligence , Expert Systems, Decision Support Systems - An Overvi.ew
2. Data Storage, Retrievals and Data Base Management Systems
(a) Data and Information Concepts: Bits, Bytes, KB, MB, GB, IB
(b) Data organization and Access: Storage Concepts: Records, Fields, Grouped fields, Special fields
like date, Integers, Real, Floating, Fixed, Double precision, Logical, Characters, Strings, Variable
character fields (Memo); Key, Primary key, Foreign key, Secondary key, Referential integrity,
Index fields; Storage tecbniques: Sequential, Block Sequential, Random, Indexed, Sequential
access, Direct access, Random access including Randomizing; Logical Structure and Physical
structure of files.
(c) DBMS Models and Classification: Need for database, Administration, Models, DMLand DDL
(Query and reporting); Data Dictionaries, Distributed data bases, Object oriented databases,
Client Server databases, Knowledge databases
(d) Backup and recovery - backup policy, backup schedules, offsite backups, recycling of backups,
frequent checking of recovery of backup
(e) Usage of system software like program library management systems and tape and disk
management systems - features, functionalities, advantages
(f) Data Mining and Data Warehousing - An overview
3. Computer Networks & Network Security
(a) Networking Concepts - Need and Scope, Benefits; Classification: LAN, MAN, WAN, VPN;
Peer-to-Peer, Client Server; Components- NIC, Router, Switch, Hub, Repeater, Bridge, Gateway,
Modem Network Topologies- Bus, Star, Ring, Mesh, Hybrid, Architecture :Token ring, Ethernet
Transmission Technologies and Protocols - OSI, TCP/IP, ISDN etc.; Network Operating System
(b) Local Area Networks- Components of a LAN, Advantages of LAN
(c) Client Server Technology: Limitation of Single user systems and need for Client Server
Technology; Servers - Database, Application, Print servers, Transaction servers, Internet servers,
Mail servers, Chat servers, IDS; Introduction to 3- tier and “n” tier architecture (COM, COM+)
(d) Data centres: Features and functions, Primary delivery centre and disaster recovery site
(e) Network Security: Need; Threats and Vulnerabilities; Security levels; techniques
4. Internet and other technologies
(a) Internet and world-wide web, Intranets, Extranets, applications of Internet, Internet protocols
(b) E-Commerce - Nature, Types (B2B, B2C, C2C), Supply chain management, CRM, Electronic
data interchange (EDI), Electronic fund transfers (EFT), Payment portal, E-Commerce security;
(c) Mobile Commerce, Bluetooth and Wi-Fi
5. Flowcharts, Decision Tables.
A-36
Part B: Strategic Management (50 Marks)
Objectives:
(a) To develop an understanding of the general and competitive business environment,
(b) To develop an understanding of strategic management concepts and techniques,
(c) To be able to solve simple cases.
Contents:
1. Business Environment: General Environment - Demographic, Socio-cultural, Macro-economic, Legal/
political, Technological and Global Competitive Environment.
2. Business Policy and Strategic Management: Meaning and nature; Strategic management imperative;
Vision, Mission and Objectives; Strategic levels in organisations
3. Strategic Analyses: Situational Analysis - SWOT Analysis, TOWS Matrix, Portfolio Analysis - BCG
Matrix.
4. Strategic Planning: Meaning, stages, alternatives, strategy formulation.
5. Formulation of Functional Strategy: Marketing strategy, Financial strategy, Production strategy,
Logistics strategy, Human resource strategy.
6. Strategy Implementation and Control: Organisational structures; Establishing strategic business units;
Establishing profit centers by business, product or service, market segment or customer; Leadership and
behavioural challenges.
7. Reaching Strategic Edge: Business Process Reengineering, Benchmarking, Total Quality Management,
Six Sigma, Contemporary Strategic Issues.
BCOL-101: 100 Hours Information Technology Training Programme 8 Credits
Syllabus
S1. No. Topic Duration
1. Computer Fundamentals 1 hr.
2. Operating Systems 6 hrs.
3. MS-Word 6 hrs.
4. MS-Excel 15 hrs.
5. MS-PowerPoint 5 hrs.
6. Data Bases 15 hrs.
7. MS-Office utilities 3 hrs.
8. Accounting package 20 hrs.
9. Computer Aided Audit Techniques 12 hrs.
10. Web Technology and E-Commerce 10 hrs.
11. Introduction to Visual Basic 5 hrs.
12 Digital Signature and Verification of Electronic Record 2 hrs.
Total 100 hrs.
Structure of Examination
Online Examination 60 Marks
Project Report to be evaluated by the BOS 20 Marks
Module tests 20 Marks
Pass Marks 60 Marks
10 SYLLABUS OF PROFESSIONAL COMPETENCE COURSE (PCC)
OFFERED BY ICAI
These are the courses you have to pass as part of Chartered Accountancy First Stage (PCC or PE-II or Intermediate).
If a student pass these courses as part of Chartered Accountancy, he/she will get exemption for these courses in
B.Com (A&F).
BCO-005: Advanced Accounting 8 Credits
Objectives:
(a) To lay a theoretical foundation for the preparation and presentation of financial statements
(b) To gain working knowledge of the professional standards, principles and procedures of accounting and
their application to different practical situations,
(c) To gain the ability to solve simple problems and cases relating to company accounts including special
type of corporate entities, partnership accounts and
(d) To familiarize students with the fundamentals of computerized system of accounting
Contents:
1. Conceptual Framework for Preparation and Presentation of Financial Statements
2. Accounting Standards: An overview; standards setting process
Working knowledge of: AS 1: Disclosure of Accounting Policies; AS 2:Valuation of Inventories;
AS 3: Cash Flow Statements; AS 4: Contingencies and Events occurring after the Balance Sheet Date;
AS 5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies;
AS 6: Depreciation Accounting; AS 7: Construction Contracts (Revised 2002); AS 9: Revenue
Recognition; AS 10: Accounting for Fixed Assets; AS 11: The Effects of Changes in Foreign Exchange
Rates (Revised 2003); AS 12: Accounting for Government Grants; AS 13: Accounting for Investments;
AS 14: Accounting for Amalgamations; AS 15: Borrowing Costs AS 16: Borrowing Costs; AS 19:
Leases; AS 20: Earnings Per Share; AS 26: Intangible Assets; AS 29: Provisions, Contingent Liabilities
and Contingent Assets.
3. Company Accounts
(a) Preparation of financial statements - Profit and Loss Account, Balance Sheet and Cash Flow Statement;
(b) Profit (Loss) prior to incorporation; (c) Alteration of share capital, Conversion of fully paid shares
into stock and stock into shares, Accounting for bonus issue, Accounting for employee stock option
plan, Buy back of securities, Equity shares with differential rights, Underwriting of shares and debentures,
Redemption of debentures (d) Accounting for business acquisition, Amalgamation and reconstruction
(excluding problems of amalgamation on inter-company holding); (e) Accounting involved in liquidation
of companies, Statement of Affairs (including deficiency/surplus accounts) and liquidator’s statement of
account of the winding up.
4. Financial Statements of Banking, Insurance and Electricity Companies
5. Average Due Date, Account Current, Self-Balancing Ledgers
6. Financial Statements of Not-for-Profit Organisations
7. Accounts from Incomplete Records
8. Accounting for Special Transactions
(a) Hire purchase and instalment sale transactions; (b) Investment accounts; (c) Departmental and branch
accounts including foreign branches; (d) Insurance claims for loss of stock and loss of profit.
A-29
9. Advanced Issues in Partnership Accounts
Final accounts of partnership firms - Admission, retirement and death of a partner including treatment of
goodwill; Dissolution of partnership firms including piecemeal distribution of assets; Amalgamation of
partnership firms; Conversion into a company and Sale to a company.
10. Accounting in Computerised Environment
An overview of computerized accounting system - Salient features and significance, Concept of grouping
of accounts, Codification of accounts, Maintaining the hierarchy of ledger, Accounting packages and
consideration for their selection, Generating Accounting Reports.
Note: If either old Accounting Standards (ASs), Announcements and Limited Revisions to ASs are withdrawn
or new ASs, Announcements and Limited Revisions to ASs are issued by the Institute of Chartered
Accountants of India in place of existing ASs, Announcements and Limited Revisions to ASs, the syllabus
will accordingly include/exclude such new developments in place of the existing ones with effect from
the date to be notified by the Institute.
BCO-006: Auditing and Assurance 8 Credits
Objective:
To understand objective and concepts of auditing and gain working knowledge of generally accepted auditing
procedures and of techniques and skills needed to apply them in audit and attestation engagements and solving
simple casestudies.
Contents:
1. Auditing Concepts - Nature and limitations of Auditing, Basic Principles governing an audit, Ethical
principles and concept of Auditor’s Independence, Relationship of auditing with other disciplines.
2. Auditing and Assurance Standards - Overview, Standard-setting process,. Role of International Auditing
and Assurance Standards Board and Auditing and Assurance Standards Board in India.
3. Auditing engagement - Audit planning, Audit programme, Control of quality of audit work - Delegation
and supervision of audit work.
4. Documentation - Audit working papers, Audit files: Permanent and current audit files, Ownership and
custody of working papers.
5. Audit evidence - Audit procedures for obtaining evidence, Sources of evidence, Reliability of audit
evidence, Methods of obtaining audit evidence - Physical verification, Documentation, Direct confirmation,
Re-computation, Analytical review techniques, Representation by management.
6. Internal Control - Elements of internal control, Review and documentation, Evaluation of internal
control system, Internal control questionnaire, Internal control check list, Tests of control, Application
of concept of materiality and audit risk, Concept of internal audit.
7. Internal Control and Computerized Environment, Approaches to Auditing in Computerised
Environment.
8. Audit Sampling - Types of sampling, Test checking, Techniques of test checks. Analytical review
procedures.
9. Analytical review procedures.
10. Audit of payments - General considerations, Wages, Capital expenditure, Other payments and expenses,
Petty cash payments, Bank payments, Bank reconciliation.
11. Audit of receipts - General considerations, Cash sales, Receipts from debtors, Other Receipts.
A-30
12. Audit of Purchases - Vouching cash and credit purchases, Forward purchases, Purchase returns,
Allowance received from suppliers.
13. Audit of Sales - Vouching of cash and credit sales, Goods on consignment, Sale on approval basis, Sale
under hirepurchase agreement, Returnable containers, Various types of allowances given to customers,
Sale returns.
14. Audit of suppliers’ ledger and the debtors’ ledger - Self-balancing and the sectional balancing system,
Total or control accounts, Confirmatory statements from credit customers and suppliers, Provision for
bad and doubtful debts, Writing off of bad debts.
15. Audit of impersonal ledger - Capital expenditure, deferred revenue expenditure and revenue expenditure,
Outstanding expenses and income, Repairs and renewals, Distinction between reserves and provisions,
Implications of change in the basis of accounting.
16. Audit of assets and liabilities.
17. Company Audit - Audit of Shares, Qualifications and Disqualifications of Auditors, Appointment of
auditors, Removal of auditors, Powers and duties of auditors, Branch audit, Joint audit, Special audit,
Reporting requirements under the Companies Act, 1956.
18. Audit Report - Qualifications, Disclaimers, Adverse opinion, Disclosures, Reports and certificates.
19. Special points in audit of different types of undertakings, i.e., Educational institutions, Hotels, Clubs,
Hospitals, Hirepurchase and leasing companies (excluding banks, electricity companies, cooperative
societies, and insurance companies).
20. Features and basic principles of government audit, Local bodies and not-for-profit organizations,
Comptroller and Auditor General and its constitutional role.
Note: Candidates are expected to have working knowledge of relevant Auditing and Assurance Standards
issued by the ICAI with reference to above-mentioned topics.
BCO-007: Law, Ethics and Communication 8 Credits
Part A: Law (60 Marks)
Objective:
To test working knowledge of business laws and company law and their practical application in commercial
situations.
Contents:
Business Laws (30 Marks)
1. The Indian Contract Act, 1872
2. The Negotiable Instruments Act, 1881
3. The Payment of Bonus Act, 1965
4. The Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
5. The Payment of Gratuity Act, 1972.
Company Law (30 Marks)
The Companies Act, 1956 - Sections 1 to 197
(a) Preliminary
(b) Board of Company Law Administration - National Company Law Tribunal; Appellate Tribunal
(c) Incorporation of Company and Matters Incidental thereto
A-31
(d) Prospectus and Allotment, and other matters relating to use of Shares or Debentures
(e) Share Capital and Debentures
(f) Registration of Charges
(g) Management and Administration - General Provisions - Registered office and name, Restrictions on
commencement of business, Registers of members and debentures holders, Foreign registers of members
or debenture holders, Annual returns, General provisions regarding registers and returns, Meetings and
proceedings.
(i) Company Law in a computerized Environment - E-filing.
Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the
corresponding provisions of such new legislations with effect from a date notified by the Institute.
Part B: Business Ethics (20 Marks)
Objective:
To have an understanding of ethical issues in business.
Contents:
1. Introduction to Business Ethics: The nature, purpose of ethics and morals for organizational interests;
Ethics and Conflicts of Interests; Ethical and Sooial Implications of bnsiness policies and decisions;
Corporate Social Responsibility; Ethical issues in Corporate Governance.
2. Environment Issues: Protecting the Natural Environment - Prevention of Pollution and Depletion of
Natural Resources; Conservation of Natural Resources.
3. Ethics in Workplace – Individual in the organisation, discrimination, harassment, gender equality.
4. Ethics in Marketing and Consumer Protection – Healthy competition and protecting consumer’s
interest.
5. Ethics in Accounting and Finance – Importance, issues and common problems.
Part C: Business Communication (20 Marks)
Objective:
To nurture and develop the communication and behavioural skills relating to business
Contents:
1. Elements of Communication
(a) Forms of Communication: Formal and Informal, Interdepartmental, Verbal and non-verbal; Active
listening and critical thinking; (b) Presentation skills including conducting meeting, press conference;
(c) Planning and Composing Business messages; (d) Communication channels; (e) Communicating
Corporate culture, change, innovative spirits; (f) Communication breakdowns; (g) Communication ethics;
(h) Groups dynamics; handling group conflicts, consensus building; influencing and persuasion skills;
Negotiating and bargaining; (i) Emotional intelligence - Emotional Quotient; (j) Soft skills - personality
traits; Interpersonal skills; leadership.
2. Communication in Business Environment
(a) Business Meetings - Notice, Agenda, Minutes, Chairperson’s speech; (b) Press releases; (c) Corporate
announcements by stock exchanges; (d) Reporting of proceedings of a meeting.
3. Basic understanding of legal deeds and documents
(a) Partnership deed; (b) Power of Attorney; (c) Lease deed; (d) Affidavit; (e) Indemnity bond; (f) Gift
deed; (g) Memorandum and articles of association of a company; (h) Annual Report of a company.
A-32
BCO-008: Cost Accounting and Financial Management 8 Credits
Part A: Cost Accounting (50 Marks)
Objectives:
(a) To understand the basic concepts and processes used to determine product costs,
(b) To be able to interpret cost accounting statements,
(c) To be able to analyse and evaluate information for cost ascertainment, planning, control and decision
making, and
(d) To be able to solve simple cases.
Contents:
1. Introduction to Cost Accounting
(a) Objectives and scope of Cost Accounting; (b) Cost centres and Cost units; (c) Cost classification for
stock valuation, Profit measurement, Decision making and control; (d) Coding systems; (e) Elements of
Cost; (f) Cost behaviour pattern, Separating the components of semi-variable costs; (g) Installation of a
Costing system; (h) Relationship of Cost Accounting, Financial Accounting, Management Accounting
and Financial Management.
2. Cost Ascertainment
(a) Material Cost: (i) Procurement procedures - Store procedures and documentation in respect of
receipts and issue of stock, Stock verification; (ii) Inventory control - Techniques of fixing of minimum,
maximum and reorder levels, Economic Order Quantity, ABC classification; Stocktaking and perpetual
inventory; (iii) Inventory accounting; (iv) Consumption -Identification with products of cost centres,
Basis for consumption entries in financial accounts, Monitoring consumption.
(b) Employee Cost: (i) Attendance and payroll procedures, Overview of statutory requirements, Overtime,
Idle time and Incentives; (ii) labour turnover; (iii) Utilisation of labour,’ Direct and indirect labour,
Charging of labour cost, Identifying labour hours with work orders or batches or capital jobs; (iv) Efficiency
rating procedures; (v) Remuneration systems and incentive schemes.
(c) Direct Expenses: Sub-contracting - Control on material movements, Identification with the main
product or service.
(d) Overheads: (i) Functional analysis - Factory, Administration, Selling, Distribution, Research and
Development Behavioural analysis - Fixed, Variable, Semi variable and Step cost; (ii) Factory Overheads
- Primary distribution and secondary distribution, Criteria for choosing suitable basis for allotment,
Capacity cost adjustments, Fixed absorption rates for absorbing overheads to products or services; (iii)
Administration overheads - Method of allocation to cost centres or products; (iv) Selling and distribution
overheads - Analysis and absorption of the expenses in products/customers, impact of marketing strategies,
Cost effectiveness of various methods of sales promotion.
3. Cost Book- keeping
Cost ledgers - Non-integrated accounts, Integrated accounts, Reconciliation of cost and financial accounts.
4. Costing Systems
(a) Job Costing: Job cost cards and databases, Collecting direct costs of each job, Attributing overhead
costs to jobs, Applications of job costing.
(b) Batch Costing
(c) Contract Costing: Progress payments, Retention money, Escalation clause, Contract accounts,
Accounting for material, Accounting for plant used in a contract, Contract profit and Balance
sheet entries.
(d) Process Costing: Double entry book keeping, Process loss, Abnormal gains and losses, Equivalent
units, Inter-process profit, Joint products and by products.
(e) Operating Costing System
A-33
5. Introduction to Marginal Costing
Marginal costing compared with absorption costing, Contribution, Breakeven analysis and profit volume
graph.
6. Introduction to Standard Costing
Various types of standards, Setting of standards, Basic concepts of material and labour standards and
variance analysis.
Part B: Financial Management (50 Marks)
Objectives:
(a) To develop ability to analyse and interpret various tools of financial analysis and planning,
(b ) To gain knowledge of management and financing of working capital,
(c) To understand concepts relating to financing and investment decisions, and
(d) To be able to solve simple cases.
Contents:
1. Scope and Objectives of Financial Management
(a) Meaning, Importance and Objectives; (b) Conflicts in profit versus value maximisation principle;
(c) Role of Chief Financial Officer.
2. Time Value of Money
Compounding and Discounting techniques- Concepts of Annuity and Perpetuity.
3. Financial Analysis and Planning
(a) Ratio Analysis for performance evaluation and financial health; (b) Application of Ratio Analysis in
decision making; (c) Analysis of Cash Flow Statement.
4. Financing Decisions
(a) Cost of Capital - Weighted average cost of capital and Marginal cost of capital; (b) Capital Structure
decisions - Capital structure patterns, Designing optimum capital structure, Constraints, Various capital
structure theories; (c) Business Risk and Financial Risk - Operating and financial leverage, Trading on
Equity.
5. Types of Financing
(a) Different sources of finance; (b) Project financing - Intermediate and long term financing;
(c) Negotiating term loans with banks and financial institutions and appraisal thereof; (d) Introduction to
lease financing; (e) Venture capital finance.
6. Investment Decisions
(a) Purpose, Objective, Process; (b) Understanding different types of projects; (c) Techniques of Decision
making: Non-discounted and Discounted Cash flow Approaches – Payback Period method, Accounting
Rate of Return, Net Present Value, Internal Rate of Return, Modified Internal Rate of Return, Discounted
Payback Period and Profitability Index; (d) Ranking of competing projects, Ranking of projects with
unequal lives.
7. Management of Working Capital
(a) Working capital policies; (b) Funds flow analysis; (c) Inventory management; (d) Receivables
management; (e) Payables management; (f) Management of cash and marketable securities; (g) Financing
of working capital.
A-34
BCO-009: Taxation 8 Credits
Part A: Income Tax (75 marks)
Objectives:
(a) gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the contents
below and
(b) To gain ability to solve simple problems concerning assessees with the status of ‘Individual’ and ‘Hindu
Undivided Family’ covering the areas mentioned in the contents below.
Contents:
1. Important definitions in the Income-tax Act, 1961
2. Basis of charge; Rates of taxes applicable for different types of assessees
3. Concepts of previous year and assessment year
4. Residential status and scope of total income; Income deemed to be received / deemed to accrue or arise
in India
5. Incomes which do not form part of total income
6. Heads of income and the provisions governing computation of income under different heads
7. Income of other persons included in assessee’s total income
8. Aggregation of income; Set-off or carry forward and set-off of losses
9. Deductions from gross total income
10. Computation of total income and tax payable; Rebates and reliefs
11. Provisions concerning advance tax and tax deducted at source
12. Provisions for filing of return of income.
Part B: Service tax and VAT (25 marks)
Objective:
To gain knowledge of the provisions of service tax as mentioned below and basic concepts of Value added tax
(VAT) in India.
Contents:
1. Service tax - Concepts and general principles
2. Charge of service tax and taxable services
3. Valuation of taxable services
4. Payment of service tax and filing of returns
5. VAT - Concepts and general principles.
Note: If new legislations are enacted in place of the existing legislations the syllabus will accordingly include
the corresponding provisions of such new legislations in the place of the existing legislations with effect
from the date to be notified by the Institute. Students shall not be examined with reference to any particular
State VAT Law.
A-35
BCO-010: Information Technology and Strategic Management 8 Credits
Part A: Information Technology (50 Marks)
Objective:
To develop an understanding of Information Technology and its use by the business as facilitator and driver.
Contents:
1. Introduction to Computers
(a) Computer Hardware: Classification of Computers - Personal computer, Workstation, Servers
and Super computers Computer Components - CPU, Input output devices, Storage devices
(b) BUS, I/O CO Processors, Ports (serial, parallel, USB ports), Expansion slots, Add on cards, On
board chips, LAN cards, Multi media cards, Cache memory, Buffers, Controllers and drivers
(c) Computer Software: Systems Software - Operating system, Translators (Compilers, Interpreters
and Assemblers), System utilities; General Purpose Software/ Utilities - Word Processor, Spread
Sheet, DBMS, Scheduler / Planner, Internet browser and E-mail clients; Application Software -
Financial Accounting, Payroll, Inventory; Specialised Systems”.. Enterprise Resource Planning
(ERP) , Artificial Intelligence , Expert Systems, Decision Support Systems - An Overvi.ew
2. Data Storage, Retrievals and Data Base Management Systems
(a) Data and Information Concepts: Bits, Bytes, KB, MB, GB, IB
(b) Data organization and Access: Storage Concepts: Records, Fields, Grouped fields, Special fields
like date, Integers, Real, Floating, Fixed, Double precision, Logical, Characters, Strings, Variable
character fields (Memo); Key, Primary key, Foreign key, Secondary key, Referential integrity,
Index fields; Storage tecbniques: Sequential, Block Sequential, Random, Indexed, Sequential
access, Direct access, Random access including Randomizing; Logical Structure and Physical
structure of files.
(c) DBMS Models and Classification: Need for database, Administration, Models, DMLand DDL
(Query and reporting); Data Dictionaries, Distributed data bases, Object oriented databases,
Client Server databases, Knowledge databases
(d) Backup and recovery - backup policy, backup schedules, offsite backups, recycling of backups,
frequent checking of recovery of backup
(e) Usage of system software like program library management systems and tape and disk
management systems - features, functionalities, advantages
(f) Data Mining and Data Warehousing - An overview
3. Computer Networks & Network Security
(a) Networking Concepts - Need and Scope, Benefits; Classification: LAN, MAN, WAN, VPN;
Peer-to-Peer, Client Server; Components- NIC, Router, Switch, Hub, Repeater, Bridge, Gateway,
Modem Network Topologies- Bus, Star, Ring, Mesh, Hybrid, Architecture :Token ring, Ethernet
Transmission Technologies and Protocols - OSI, TCP/IP, ISDN etc.; Network Operating System
(b) Local Area Networks- Components of a LAN, Advantages of LAN
(c) Client Server Technology: Limitation of Single user systems and need for Client Server
Technology; Servers - Database, Application, Print servers, Transaction servers, Internet servers,
Mail servers, Chat servers, IDS; Introduction to 3- tier and “n” tier architecture (COM, COM+)
(d) Data centres: Features and functions, Primary delivery centre and disaster recovery site
(e) Network Security: Need; Threats and Vulnerabilities; Security levels; techniques
4. Internet and other technologies
(a) Internet and world-wide web, Intranets, Extranets, applications of Internet, Internet protocols
(b) E-Commerce - Nature, Types (B2B, B2C, C2C), Supply chain management, CRM, Electronic
data interchange (EDI), Electronic fund transfers (EFT), Payment portal, E-Commerce security;
(c) Mobile Commerce, Bluetooth and Wi-Fi
5. Flowcharts, Decision Tables.
A-36
Part B: Strategic Management (50 Marks)
Objectives:
(a) To develop an understanding of the general and competitive business environment,
(b) To develop an understanding of strategic management concepts and techniques,
(c) To be able to solve simple cases.
Contents:
1. Business Environment: General Environment - Demographic, Socio-cultural, Macro-economic, Legal/
political, Technological and Global Competitive Environment.
2. Business Policy and Strategic Management: Meaning and nature; Strategic management imperative;
Vision, Mission and Objectives; Strategic levels in organisations
3. Strategic Analyses: Situational Analysis - SWOT Analysis, TOWS Matrix, Portfolio Analysis - BCG
Matrix.
4. Strategic Planning: Meaning, stages, alternatives, strategy formulation.
5. Formulation of Functional Strategy: Marketing strategy, Financial strategy, Production strategy,
Logistics strategy, Human resource strategy.
6. Strategy Implementation and Control: Organisational structures; Establishing strategic business units;
Establishing profit centers by business, product or service, market segment or customer; Leadership and
behavioural challenges.
7. Reaching Strategic Edge: Business Process Reengineering, Benchmarking, Total Quality Management,
Six Sigma, Contemporary Strategic Issues.
BCOL-101: 100 Hours Information Technology Training Programme 8 Credits
Syllabus
S1. No. Topic Duration
1. Computer Fundamentals 1 hr.
2. Operating Systems 6 hrs.
3. MS-Word 6 hrs.
4. MS-Excel 15 hrs.
5. MS-PowerPoint 5 hrs.
6. Data Bases 15 hrs.
7. MS-Office utilities 3 hrs.
8. Accounting package 20 hrs.
9. Computer Aided Audit Techniques 12 hrs.
10. Web Technology and E-Commerce 10 hrs.
11. Introduction to Visual Basic 5 hrs.
12 Digital Signature and Verification of Electronic Record 2 hrs.
Total 100 hrs.
Structure of Examination
Online Examination 60 Marks
Project Report to be evaluated by the BOS 20 Marks
Module tests 20 Marks
Pass Marks 60 Marks
CPT[common proficiency test]
Course Identification/Name
The course at this level is identified as
*
CPT » Common Proficiency Test
This is the entry level i.e. Lowest/First level at which a student
can start pursuing the Chartered Accountancy (professional accounting) course.
Course Duration
The minimum course duration as per the regulations of the institution is
*
CA_CPT — 2 months [6 months]
The course duration is the minimum time that a student has to spend on taking up the course at this level. It is the period starting from, the time the student gets registered for the course, to the time the student completes the course.
A student can appear at the first examination falling immediately after the completion of the minimum duration. The actual time that a student has to spend on the course (from registration to examination) is dependent on the actual date of registration.
Since examinations are conducted for the course only twice a year, the course duration can be assumed to be 6 months.
Are Graduates Required to take up this level?
The admission requirements for the second level of the course i.e. PCC (Professional Competency Course) stipulate that the student should have qualified in the CPT.
This level is thus the entry level for all the students. Even graduates have to take up this level.
When are the Examinations Conducted?
The main/final examinations for the course at this level (CPT) are conducted twice every year on the first sunday of the months of June and December. The examinations are generally conducted on specified dates every year. The dates do not change except under extraordinary circumstances.
*
June Examination
June 8, 2008; June 7, 2009;
*
December Examination
December 7, 2008; December 6, 2009;
Eligibilty of Supplementary Passed Candidates!!
There is no restriction of any sort on the eligibility of supplementary passed candidates to do these courses. One can pursue the course even if he/she is a supplementary passed candidate at the 10th (or equivalent examination) or the 10 + 2 (or equivalent examination).
Pursuing this level along with 10 + 2!!
The cours at this level is designed for being pursued by the students along with their 10 + 2 (intermediate). Though the CPT Course duration is only 3 months, the CPT examination can be only taken up after writing the 10 + 2 examinations or its equivalent.
There would also be no restriction for this level being taken up after 10 + 2 (Or) with regard to this level being pursued along with formal graduation course (B.Com).
Note
There is a restriction with regard to pursuing other courses while pursuing the next level (PCC) of this course.
Pursuing the subsequent levels along with Graduation
A student on passing the CPT would be taking up the PCC (professional competence course) which requires the student to undergo compulsory articleship training with a practicing Chartered Accountant for a three and half year period.
A student taking up the PCC and undergoing articleship training is permitted to take up only one of the specified courses during the period of training.
This in a way would impose a restriction on the students chance of taking up any and every course and that too in the regular mode.
ca,icwa,cs,cima,icma,acca,cpa,accounting,profession
ca,icwa,cs,cima,icma,acca,cpa,accounting,profession
Course Structure » Subjects to be Studied
The CPT (Common Proficiency Test) is an objective type examination of 4 hours duration divided into 2 sessions of 2 hours each.
Each session consists of two subjects with a total marks of 100. The examination is a multiple choice examination with negative marking.
To qualify at the CPT, a student has to obtain a total of 50% marks in all the papers together.
Subjects
*
Session I
o Section A : Fundamentals of Accounting
o Section B : Mercantile Laws
*
Session II
o Section C : General Economics
o Section D : Quantitative Aptitude
Subscribe to:
Posts (Atom)