STATE COUNCIL OF EDUCATIONAL RESEARCH AND TRAINING

TNCF 2017 - DRAFT SYLLABUS

Subject : Accountancy and Auditing Class : XI

TOPIC CONTENT

Unit 1 : Evolution of Accounting - Meaning and Definition

Introduction to
of Accounting - Importance of Accounting -
Accounting
Functions of Accounting - Basic Accounting
terminologies - Branches of accounting [Financial,
Cost, Management, Social, Environmental, Human
Resource, etc.] - Bases of accounting - Users of
Accounting information - Role of Accountant in
Business.
Unit 2 : Book-keeping: Meaning & Definition, Features,
Conceptual Frame work of
Objectives, advantages and limitations of Book-
Accounting
keeping - Book-keeping Vs. Accounting –
Accountancy: Meaning - Accounting concepts and
conventions - Accounting Standards: An
introduction.
Unit 3 : Double entry system: Meaning and Advantages -
Books of Prime Entry
Transaction: Meaning- Accounting Equation –
Recording transactions as per accounting equation
approach - Account: Meaning and classification -
Journal entries: Meaning, Accounting Rules,
Steps in journalizing - Passing Journal entries
Unit 4 : Ledger: Meaning, Specimen ledger, Postings from
Ledgers
Journals to Ledger - Balancing the ledger account
Unit 5 : Trial Balance: Meaning, methods, purpose,
Trial Balance
specimen of a trial balance and limitations -
Preparation of Trial Balance
Unit 6 : Subsidiary books: Meaning and Advantages -
Subsidiary Books I
Purchase book and Purchase returns book - Sales
book and Sales returns book - Bills payable Book
and Bills receivable Book - Journal Proper -
Posting from subsidiary books to ledger accounts

Unit 7 : Cash Book: Meaning and importance - Kinds:

Subsidiary Books II -Cash
Single column, Two column and Three column
Book
cash books - Petty cash book: Simple and
analytical petty cash book: Ordinary and Imprest
system
Unit 8 : Meaning of Bank Reconciliation Statement and the
Bank Reconciliation
need for BRS - Causes of disagreement between
Statement
balance shown by cash book and the balance
shown by the bank statement - Procedure for
preparing BRS -Preparation of Bank Reconciliation
statement
Unit 9 : Error: Meaning - Errors at different stages of
Rectification of Errors
accounting - Classification of errors - Errors
disclosed by the Trial Balance and errors not
disclosed by the Trial Balance - Steps to locate
errors - Suspense account - Rectification of errors
Unit 10 : Capital and revenue expenditures - Capital and
Capital and Revenue
revenue receipts - Deferred revenue expenditure -
Transactions
Distinction between capital and revenue
expenditure -Distinction between Capital Receipt
and Revenue Receipt
Unit 11 : Meaning and definition of depreciation - Objects of
Depreciation Accounting
providing depreciation- Causes of depreciation -
Factors determining depreciation - Methods of
depreciation - Problems on Straight line and
Written-down value methods of depreciation
Unit 12 : Introduction to final accounts - Trading Account:
Final Accounts of Sole
Meaning, Format -Profit and Loss Account:
Proprietors I
Meaning, Format - Balance Sheet: Meaning,
Grouping and Marshalling of Assets and
Liabilities, Classification of assets and liabilities,
Format of a Balance Sheet - Methods of preparing
the final accounts: Horizontal form and Vertical
form - Opening entry and Closing entries -
Preparation of Final Accounts
Unit 13 : Adjustments:Closing stock, Outstanding expenses,
Final Accounts of Sole
Prepaid expenses, Accrued income, Income
Proprietors II – With
adjustments received in advance, Depreciation, Bad debts and
Provision for doubtful debts, Provision for discount
on debtors, Provision for discount on creditors,
Interest on capital, Interest on drawings,
Preparation of final accounts with adjustments
Unit 14 : Introduction to Computerised Accounting System,
Application of Computers
Meaning and Capabilities of Accounting
in Accounting
& Information system, Limitations of Computerised
Practical
Accounting , Computerised Accounting - ‘MS
Office’ - Practical with special reference to MS
Word and MS Excel
 STATE COUNCIL OF EDUCATIONAL RESEARCH AND TRAINING

TNCF 2017 - DRAFT SYLLABUS

Subject : Accountancy and Auditing Class : XII

Topics Contents

Unit 1 : Meaning & Definition - Features & Limitations -

Accounting from
Differences between incomplete records and double entry
Incomplete Records
system - Statement of Affairs Method: Steps to be
followed, Distinction between Statement of Affairs and
Balance Sheet - Conversion Method: Steps to be followed
Unit 2 : Introduction - Receipts and Payments Account: Meaning,
Accounts of Non-
Format - Income and Expenditure Account: Meaning,
profit Organisations
Format - Distinction between Receipts and Payments A/c
and Income and Expenditure A/c - Balance Sheet - Items
peculiar to non-profit organisations which require special
treatment
Unit 3 : Partnership: Meaning and Features - Features of Limited
Partnership
Liability Partnership - Partnership deed - Relevant
Accounts- Basic
Concepts provisions of Indian Partnership Act 1932 in the absence
of partnership deed - Types of Partners -
Fixed/fluctuating capital accounts - Interest on capital
and Interest on drawings - Salary and commission -
Division of profits among partners - Profit and loss
appropriation account
Unit 4 : Goodwill: Meaning, nature and factors affecting - Methods
Treatment of
Goodwill in of valuation of goodwill: Average Profit Method, Super
Partnership Profit Method and Capitalisation Method - Need for
Accounts
valuation of goodwill in partnership accounts
Unit 5 : Introduction - Determination of Sacrificing ratio and New
Partnership
Profit Sharing Ratio - Revaluation of assets and
Accounts –
Admission reassessment of liabilities - Adjustment for goodwill -
Accounting treatment of reserves and accumulated profits
- Preparation of Revaluation account, Capital account and
Balance Sheet of a new firm
Unit 6 : Meaning and reasons for retirement - Determination of
Partnership
Accounts- Gaining ratio and New Profit Sharing Ratio - Revaluation
Retirement of assets and reassessment of liabilities - Adjustment for
goodwill - Accounting treatment for distribution of
reserves and accumulated profits - Preparation of
Revaluation account, Capital account and Balance Sheet
after retirement
Unit 7 : Meaning - New Profit Sharing Ratio, Gaining Ratio -
Partnership
Accounts: Death of a Revaluation of Assets and liabilities - Adjustment for
Partner goodwill - Distribution of accumulated profits and losses -
Amount due to deceased partner’s executor - Settlement
of Amount Due
Unit 8 : Definition and characteristics of a Company- Different
Company Accounts
types of shares and share capital - Accounting treatment
for issue of shares at par, premium and discount - Over
subscription and under subscription of shares -
Accounting treatment for forfeiture and reissue of shares
Unit 9 : Audit of Sole Proprietor’s concern: Introductionand
Auditing of
benefits - Audit of Partnership Firms:Introduction -
Sole proprietor and
Partnership Firms Advantages derived by getting the accounts of a firm
audited - Procedure to be followed by newly appointed
auditor of a partnership - Audit on behalf of sleeping
partner - Audit on behalf of retiring partner - Audit on
behalf of representative of deceased partner executor -
Audit on behalf of a partner permanently residing abroad
Unit 10 : Audit of issue of shares - Audit procedure at application,
Audit of Companies
allotment and calls on shares - Audit of share certificate -
Audit of share transfer - Audit of share capital -
Professional ethics of an auditor - An introduction to
Standards of Auditing
Unit 11 : Application of computerised accounting system - 'Tally
Computer
Applications in with GST' package - Automating the accounting system-
Accounting Designing the Accounting Reports - Data exchange with
other information system - Practical on “Application of
Accounting Software – Accounts group and Generation of
Reports”
Unit 12 : Meaning of Electronic Data Processing (EDP) - EDP
Auditing in an
Electronic Data infrastructure - Characteristics of an EDP environment -
Processing Problems in EDP environment - Audit approach in an EDP
environment
environment - Auditing in an EDP environment -
Computer Assisted Auditing Techniques - Test data,
Controlled processing and Computer Audit Programmes
 STATE COUNCIL OF EDUCATIONAL RESEARCH AND TRAINING

TNCF 2017 - DRAFT SYLLABUS

Subject : Accountancy and Auditing Class : XII

Topics Contents

Unit 1 : Meaning & Definition - Features & Limitations -

Accounting from
Differences between incomplete records and double entry
Incomplete Records
system - Statement of Affairs Method: Steps to be
followed, Distinction between Statement of Affairs and
Balance Sheet - Conversion Method: Steps to be followed
Unit 2 : Introduction - Receipts and Payments Account: Meaning,
Accounts of Non-
Format - Income and Expenditure Account: Meaning,
profit Organisations
Format - Distinction between Receipts and Payments A/c
and Income and Expenditure A/c - Balance Sheet - Items
peculiar to non-profit organisations which require special
treatment
Unit 3 : Partnership: Meaning and Features - Features of Limited
Partnership
Liability Partnership - Partnership deed - Relevant
Accounts- Basic
Concepts provisions of Indian Partnership Act 1932 in the absence
of partnership deed - Types of Partners -
Fixed/fluctuating capital accounts - Interest on capital
and Interest on drawings - Salary and commission -
Division of profits among partners - Profit and loss
appropriation account
Unit 4 : Goodwill: Meaning, nature and factors affecting - Methods
Treatment of
Goodwill in of valuation of goodwill: Average Profit Method, Super
Partnership Profit Method and Capitalisation Method - Need for
Accounts
valuation of goodwill in partnership accounts
Unit 5 : Introduction - Determination of Sacrificing ratio and New
Partnership
Profit Sharing Ratio - Revaluation of assets and
Accounts –
Admission reassessment of liabilities - Adjustment for goodwill -
Accounting treatment of reserves and accumulated profits
- Preparation of Revaluation account, Capital account and
Balance Sheet of a new firm
Unit 6 : Meaning and reasons for retirement - Determination of
Partnership
Accounts- Gaining ratio and New Profit Sharing Ratio - Revaluation
Retirement of assets and reassessment of liabilities - Adjustment for
goodwill - Accounting treatment for distribution of
reserves and accumulated profits - Preparation of
Revaluation account, Capital account and Balance Sheet
after retirement
Unit 7 : Meaning - New Profit Sharing Ratio, Gaining Ratio -
Partnership
Accounts: Death of a Revaluation of Assets and liabilities - Adjustment for
Partner goodwill - Distribution of accumulated profits and losses -
Amount due to deceased partner’s executor - Settlement
of Amount Due
Unit 8 : Definition and characteristics of a Company- Different
Company Accounts
types of shares and share capital - Accounting treatment
for issue of shares at par, premium and discount - Over
subscription and under subscription of shares -
Accounting treatment for forfeiture and reissue of shares
Unit 9 : Audit of Sole Proprietor’s concern: Introductionand
Auditing of
benefits - Audit of Partnership Firms:Introduction -
Sole proprietor and
Partnership Firms Advantages derived by getting the accounts of a firm
audited - Procedure to be followed by newly appointed
auditor of a partnership - Audit on behalf of sleeping
partner - Audit on behalf of retiring partner - Audit on
behalf of representative of deceased partner executor -
Audit on behalf of a partner permanently residing abroad
Unit 10 : Audit of issue of shares - Audit procedure at application,
Audit of Companies
allotment and calls on shares - Audit of share certificate -
Audit of share transfer - Audit of share capital -
Professional ethics of an auditor - An introduction to
Standards of Auditing
Unit 11 : Application of computerised accounting system - 'Tally
Computer
Applications in with GST' package - Automating the accounting system-
Accounting Designing the Accounting Reports - Data exchange with
other information system - Practical on “Application of
Accounting Software – Accounts group and Generation of
Reports”
Unit 12 : Meaning of Electronic Data Processing (EDP) - EDP
Auditing in an
Electronic Data infrastructure - Characteristics of an EDP environment -
Processing Problems in EDP environment - Audit approach in an EDP
environment
environment - Auditing in an EDP environment -
Computer Assisted Auditing Techniques - Test data,
Controlled processing and Computer Audit Programmes