Courses
Courses for Kids
Free study material
Offline Centres
More
Store Icon
Store

CBSE Class 12 Accountancy 2023-24: Updated Syllabus

ffImage
Last updated date: 29th Mar 2024
Total views: 646.8k
Views today: 8.46k
MVSAT 2024

CBSE Class 12 Accountancy Syllabus - Free PDF Download

The NCERT Accountancy syllabus for Class 12 focuses on developing a strong understanding of the nature and significance of accounting information in business operations. It aims to enhance logical reasoning, analytical skills, and judgment among students. The syllabus includes three parts, A, B, and C, with Part B offering a choice between two subjects. It is essential for Class 12 students to dedicate themselves to thorough preparation for this crucial subject.


To begin their preparations, students must familiarize themselves with the revised NCERT Accountancy syllabus for Class 12. Vedantu provides a concise presentation of the syllabus, offering a clear overview of each chapter's contents by expert teachers. This resource serves as a valuable guide for students, aiding them in their study planning.


For easy access, students can download the latest CBSE Class 12 Accountancy syllabus in PDF format from the link provided. Going through the syllabus will provide students with a comprehensive understanding of the topics they will cover in Accountancy throughout the academic year. By referring to the NCERT Accountancy syllabus for Class 12 by Vedantu, students can effectively navigate the curriculum, enabling them to excel in their Accountancy studies.


Some of the key topics covered in the syllabus include:

  • Partnership accounts

  • Company accounts

  • Financial statement analysis

  • Accounting for not-for-profit organizations

  • Accounting for share capital and debentures

  • Cash flow statement

  • Accounting application of electronic spreadsheet


CBSE Class 12 Accountancy Revised Syllabus 2023-24

Sl.No

Units Name

Periods

Marks 

Part A

Accounting for Partnership Firms and Companies

Unit 1: Accounting for Partnership Firms

105

36

Unit 2: Accounting for Companies

45

24

Part  B

Financial Statement Analysis

Unit 3: Analysis of Financial Statements

30

12

Unit 4: Cash Flow Statement

20

8

Part  C

Project Work 

Project File


20

4

Written Test

12

Viva Voice

4

OR

Part  B

Computerized Accounting


Unit 4: Computerized Accounting

50

20

Part  C

Practical Work


Practical File 



20

4


Practical Examination

12


Viva Voice

4

CBSE Class 12 Accountancy Revised Syllabus 2023-24

Part A:  Accounting For Partnership Firms And Companies 

Unit-1: Accounting For Partnership Firms 

Partnership: features, Partnership Deed.  

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

Fixed v/s fluctuating capital accounts. Preparation of Profit and Loss Appropriation account- division of profit among partners, guarantee of profits.

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

Goodwill: meaning, nature, factors affecting and methods of valuation - average profit, super profit and capitalization.


Note: Interest on partner's loan is to be treated as a charge against profits. 

Goodwill: meaning, factors affecting, need for valuation, methods for calculation (average profits, super profits and capitalization) , adjusted through partners capital/ current account or by raising and writing off goodwill (AS 26)

Accounting for Partnership Firms - Reconstitution and Dissolution.  

Change in the Profit Sharing Ratio among the existing partners - sacrificing ratio, gaining ratio, accounting for revaluation of assets and reassessment of liabilities and treatment of reserves, accumulated profits and losses. Preparation of revaluation account and balance sheet.

Admission of a Partner - effect of admission of a partner on change in the profit sharing ratio, treatment of goodwill (as per AS 26), treatment for revaluation of assets and reassessment of liabilities, treatment of reserves, accumulated profits and losses, adjustment of capital accounts and preparation of capital, current account and balance sheet.

Retirement and Death of a Partner: effect of retirement / death of a partner on change in profit sharing ratio, treatment of goodwill (as per AS 26), treatment for revaluation of assets and reassessment of liabilities, adjustment of accumulated profits, losses and reserves, adjustment of capital accounts and preparation of capital, current account and balance sheet. Preparation of loan account of the retiring partner.

Calculation of deceased partner’s share of profit till the date of death. Preparation of deceased partner’s capital account and his executor’s account.

Dissolution of a Partnership Firm: meaning of dissolution of partnership and partnership firm, types of dissolution of a firm. Settlement of accounts - preparation of realization account, and other related accounts: capital accounts of partners and cash/bank a/c (excluding piecemeal distribution, sale to a company and insolvency of partner(s)).

Note: 

(i) If the realized value of tangible assets is not given it should be considered as realized at book value itself. 

(ii) If the realized value of intangible assets is not given it should be considered as nil (zero value). 

(ii) In case, the realization expenses are borne by a partner, clear indication should be given regarding the payment thereof.

Unit-3:  Accounting for Companies

Accounting for Share Capital 

Features and types of companies  

Share and share capital: nature and types.  

Accounting for share capital: issue and allotment of equity and preferences shares. Public subscription of shares - over subscription and under subscription of shares; issue at par and at premium, calls in advance and arrears (excluding interest), issue of shares for consideration other than cash.  

Concept of Private Placement and Employee Stock Option Plan (ESOP), Sweat Equity.  

Accounting treatment of forfeiture and reissue of shares.  

Disclosure of share capital in the Balance Sheet of a company.  

Accounting for Debentures  

Debentures: Meaning, types, Issue of debentures at par, at a premium and at a discount. Issue of debentures for consideration other than cash; Issue of debentures with terms of redemption; debentures as collateral security-concept, interest on debentures. Writing off discount / loss on issue of debentures.

Note: Discount or loss on issue of debentures to be written off in the year debentures are allotted from Security Premium Reserve (if it exists) and then from Statement of Profit and Loss as Financial Cost (AS 16)  

Part B: Financial Statement Analysis 

Unit 4: Analysis of Financial Statements

Financial statements of a Company:

Meaning, Nature, Uses and importance of financial Statement. After going through this Unit, the students will be able to:  develop the understanding of major headings Statement of Profit and Loss and Balance Sheet in prescribed form with major headings and sub headings (as per Schedule III to the Companies Act, 2013)  

Note: Exceptional items, extraordinary items and profit (loss) from discontinued operations are excluded.  

  • Financial Statement Analysis: Meaning, Significance Objectives, importance and limitations.  

  • Tools for Financial Statement Analysis: Cash flow analysis, ratio analysis.

  • Accounting Ratios: Meaning, Objectives, Advantages, classification and computation.

  • Liquidity Ratios: Current ratio and Quick ratio.  

  • Solvency Ratios: Debt to Equity Ratio, Total Asset to Debt Ratio, Proprietary Ratio and Interest Coverage Ratio. Debt to Capital Employed Ratio.  

  • Activity Ratios: Inventory Turnover Ratio, Trade Receivables Turnover Ratio, Trade Payables Turnover Ratio, Fixed Asset Turnover Ratio, Net Asset Turnover Ratio and Working Capital Turnover Ratio.  

  • Profitability Ratios: Gross Profit Ratio, Operating Ratio, Operating Profit Ratio, Net Profit Ratio and Return on Investment.

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

Unit 5: Cash Flow Statement  

Meaning, objectives Benefits, Cash and Cash Equivalents, Classification of Activities and preparation (as per AS 3 (Revised) (Indirect Method only)  

Note: 

(i) Adjustments relating to depreciation and amortization, profit or loss on sale of assets including investments, dividend (both final and interim) and tax. 

(ii) Bank overdraft and cash credit to be treated as short term borrowings. 

(iii) Current Investments to be taken as Marketable securities unless otherwise specified.


Note: Previous years’ Proposed Dividend to be given effect, as prescribed in AS-4, Events occurring after the Balance Sheet date. Current years’ Proposed Dividend will be accounted for in the next year after it is declared by the shareholders.

Project Work

One specialised project based on a company's financial statement analysis that covers any two of the following:

1. Comparative and common size financial statements

2. Accounting Ratios

3. Segment Reports

4. Cash Flow Statements

OR

Part B: Computerised Accounting

Unit 4: Computerised Accounting Overview of Computerised Accounting System

  • Introduction: Application in Accounting.

  • Features of Computerised Accounting System.

  • Structure of CAS.

  • Software Packages: Generic; Specific; Tailored.


Accounting Application of Electronic Spreadsheet

  • Concept of electronic spreadsheet.

  • Features offered by electronic spreadsheet.

  • Application in generating accounting information – bank reconciliation statement; asset accounting; loan repayment of loan schedule, ratio analysis

  • Data representation- graphs, charts and diagrams.


Using Computerised Accounting System.

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

  • Data: Entry, validation and verification.

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

  • Need and security features of the system.


CBSE Class 12 Study Materials

CBSE Class 12 NCERT Solutions

CBSE Class 12 Important Questions

CBSE Class 12 NCERT Exemplar Solutions

CBSE Class 12 Sample Papers

CBSE Class 12 Previous Year Question Papers


Conclusion:

The NCERT revised syllabus for Class 12 Accountancy serves as a comprehensive and well-structured framework for students. Developed by Vedantu in accordance with CBSE guidelines, the syllabus covers a wide range of topics, focusing on both theoretical understanding and practical application. By adhering to the syllabus, students can develop a deep comprehension of Accountancy concepts and enhance their laboratory skills. The NCERT syllabus provides valuable insights into the examination pattern and question paper design, allowing students to prepare effectively. With dedicated effort and systematic study, students can excel in the CBSE Class 12 Accountancy Board Exam and embark on a successful academic journey.

FAQs on CBSE Class 12 Accountancy 2023-24: Updated Syllabus

1. What is a Profit and Loss Statement?

Profit and loss statement is a financial document that summarises revenues, expenses, and costs of an organisation in a certain period, i.e. a quarter or a financial year. It is also regarded as an income statement. This statement's significance is that it provides an overview of a company's ability to generate profit by various methods or its inability to do the same. 


Typically, companies publish this document alongside their balance sheet. Moreover, it is a crucial part of an organisation's business plan as it displays how a company manages its funds and how it can produce a turnover.


2. What are the Types of Accounting?

Accounting has 7 branches, and each one of them has a different purpose and requires specialisation to work in that particular section. These eight branches include financial accounting, which is the standard accounting process. Cost accounting is mainly used internally to assess a firm's operations. On the other hand, auditing provides an overview of a company's performance in a particular period.


Managerial accounting helps senior professionals to understand the position of that particular firm. Tax accounting is purpose-built to manage the taxes, and it is compliant with the IT department's regulations. Forensic accounting helps detect frauds, and fiduciary accounting helps manage a business or property for others.


3. What is a Matching Principle?

Matching principle is a fundamental guideline of accounting. It asks a firm to report expenses on the income statement only during the period when it was generated.


Moreover, it appears on the liability section on a balance sheet at the end of an accounting period. This concept is associated with adjusting entries and accrual basis of accounting. Moreover, if future benefits of a cost are not clear, it must be charged as an expense immediately.

4. Which should I opt for between Financial Statement Analysis and Computerised Accounting?

It depends on you, what do you want to learn. Financial Statement Analysis brings you a lot of new experiences that will help you gain conscience about different financial things associated with a company. On the other hand, Computerised Accounting will help you with computer-based accounting software and other applications that companies use in their day to day work. Many students opted for computerised accounting as it involves interaction with digital learning. If you want to add extra weight to your resume, go for Computerised Accountancy, it shows you have done something to implement textbook learning.

5. Where can I find other resources related to CBSE Syllabus for Class 12 Accountancy Term (1 & 2) 2023-24?

Students can download textbook solutions and previous year papers from the Vedantu website or install the Vedantu app to download it directly on their mobile phones and tablets. Past year questions assist you in your exam preparations to come across difficulties and patterns of the paper. CBSE has revised the Accountancy syllabus that you can find attached on this page. It will help you plan your studies according to the terms.  

6. What are Profit and Loss Statements in CBSE Syllabus for Class 12 Accountancy Term (1 & 2) 2023-24? 

The Profit and Loss statement summarises an organisation revenue, expenses and costs, i.e. a quarter or a financial year. It is also called an income statement. The statement's significance is that it provides an overview of a company able to generate profit by various methods or its inability to do the same. Most of the time, companies publish this document alongside their balance sheet. In class 12 CBSE, you learn the basics of accountancy that makes you understand; how an organisation financially works.

7. What is included in the Project Work in CBSE Syllabus for Class 12 Accountancy Term (1 & 2) 2023-24?

In part C of the Class 12 Accountancy syllabus, CBSE has included Project Work. It includes completing a file based on the studies and sitting for a written exam. It also consists of a viva in each term. It covers 20 marks out of 100, 10 for each term. Students can follow the CBSE guidelines provided above for more information. Project work offers you exposure to the new experiences of life and teaches you the practical use of the lessons you learn in your class. 

8. Does the Accountancy subject help after Class 12?

Yes, it does help you. If you opt for any commerce course for your graduation after class 12, you will find this subject more helpful than any others. Class 12 includes only the basics of accountancy that builds a base. Also, it is a compelling subject to study; it gives you knowledge about the financial window of today’s companies. Top courses that students opt for after class 12th are Chartered Accountancy (CA), Bachelor of Commerce (B.Com).