PAPER – 1 : PRINCIPLES AND PRACTICE OF ACCOUNTING

(One paper – Three hours – 100

Marks)

Objective:
T o develop an understanding of the basic c onc epts and princ iples of Ac c ounting and ac
quire the ability to apply the same in preparing financ ial statements and simple problem
solving.
Contents:
1. Theoretical Framework
(i) Meaning and Sc ope of ac c ounting
(ii) Ac c ounting Conc epts, Princ iples and Conventions
(iii) Ac c ounting terminology - Glossary
(iv) Capital and revenue expenditure, Capital and revenue rec eipts, Contingent
assets and c ontingent liabilities
( v) Ac c ounting Polic ies
( vi) Ac c ounting as a Measurement Disc ipline – Valuation Princ iples, Ac c
ounting
Estimates.
( vii) Ac c ounting Standards – Conc epts and Objec tives.
( viii) Indian Ac c ounting Standards – Conc epts and Objec tives.
2. Accounting Process
(i) Books of Ac c ounts
(ii) Preparation of T rial Balance
(iii) Rec tific ation of Errors.
3. Bank Reconciliation Statement
Introduc tion, reasons, preparation of bank rec onc iliation statement.
4. Inventories
Cost of inventory, Net realizable value, Basis and tec hnique of inventory valuation
and rec ord keeping.
5. Concept and Accounting of Depreciation
Conc epts, Methods of c omputation and ac c ounting treatment of deprec iation, Change
in deprec iation methods.
6. Accounting for Special Transactions
(i) Bills of exchange and promissory notes
Meaning of Bills of Exc hange and Promissory Notes and their Ac c ounting T
reatment; Ac c ommodation bills.
(ii) Sale of goods on approval or return basis
Meaning of goods sent on approval or return basis and ac c ounting
treatment.
(iii) Consignments
Meaning and Features of c onsignment business, Differenc e between sale
and c onsignment, Ac c ounting treatments for c onsignment transac tions and
events in the books of c onsignor and c onsignee.
(iv) Average due Date
Meaning, Calc ulation of average due date in various
situations.
(v) Account Current
Meaning of Ac c ount Current, Methods of preparing Ac c ount
Current.
7. Final Accounts of Sole Proprietors
Elements of financ ial statements, Closing Adjustment Entries, T rading Ac c ount,
Profit and Loss Ac c ount and Balanc e Sheet of Manufac turing and Non -manufac turing
entities.
8. Partnership Accounts
(i) Final Ac c ounts of Partnership
Firms
(ii) Admission, Retirement and Death of a Partner inc luding T reatment of
Goodwill
(iii) Introduc tion to LLPs and Distinc tion of LLPs from
Partnership.
9. Financial Statements of Not-for-Profit Organizations
Signific anc e of Rec eipt and Payment Ac c ount, Inc ome and Expenditure Ac c ount
and Balanc e Sheet, Differenc e between Profit and Loss Ac c ount and Inc ome and
Expenditure Ac c ount. Preparation of Rec eipt and Payment Ac c ount, Inc ome
and Expenditure Ac c ount and Balanc e Sheet.
10. Introduction to Company Accounts
(i) Definition of shares and debentures
(ii) Issue of shares and debentures, forfeiture of shares, re-issue of forfeited shares
(iii) Statement of Profit and Loss and Balanc e Sheet as per Sc hedule III to the Companies
Ac t, 2013.
 PAPER – 2 : BUSINESS LAWS AND BUSINESS CORRESPONDENCE
AND REPORTING
(One paper – Three hours – 100
Marks)

SECTION A : BUSINESS LAWS (60 MARKS)

Objective:
T o develop an understanding of signific ant provisions of selec t business laws and ac quire
the ability to address basic applic ation-oriented issues.
Contents
1. The Indian Contract Act, 1872: An overview of Sec tions 1 to 75 c overing the general natu r
e of c ontrac t, c onsideration, other essential elements of a valid c ontrac t, performanc
e of c ontrac t, breac h of c ontrac t, Contingent and Quasi Contrac t.
2. The Sale of Goods Act, 1930: Formation of the c ontrac t of sale, Conditions and Warranti e
s , T ransfer of ownership and delivery of goods, Unpaid seller and his rights.
3. The Indian Partnership Act, 1932: General Nature of Partnership, Rights and duties of
partners, Rec onstitution of firms, Registration and dissolution of a firm.
4. The Limited Liability Partnership Act, 2008 : Introduc tion- c overing nature and sc ope,
Essential features, c harac teristic s of LLP, Inc orporation and differenc es with other forms
of organizations.
5. The Companies Act, 2013 : Essential features of c ompany, c orporate veil theory, Classes o
f c ompanies, types of share c apital, Inc orporation of c ompany, Memorandum of Assoc
iation, Artic les of Assoc iation, Doc trine of Indoor Management
Note: If new legislations are enacted in place of the ex isting legislations, the syllabus would
include the corresponding provisions of such new legislations with effect from dates notified by
the Institute.

SECTION B : BUSINESS CORRESPONDENCE AND REPORTING (MARKS 40)

Objective:
T o ac quire and develop good c om munic ation skills requisite for business c orrespondenc e
and reporting.
 Part – I: Communication

1. Communication
(i) T ypes
(ii) Direc tions
(iii) Network
(iv) Proc ess
(v) Problems
(vi) Barriers
(vii) T ypes of
Communication a)
Interpersonal Skills b)
Listening Skills
c) Emotional Intelligence
(viii) Sample Questions with Answers
(ix) Exerc ises.
Part – II : Sentence Types and Word Power

2. Sentence Types (Direct-Indirect, Active -Passive Speech)

(i) Sentenc e: Definition
(ii) Classific ation of sentenc e based on c
onnotation a) Assertive sentenc es
b) Interrogative sentenc
es c) Imperative sentenc
es
d) Exc lamatory sentenc
es e) Optative sentenc es
(iii) Sentenc e Struc ture
a) Subjec t and Predic ate
b) Verb (Auxiliary, Finite)
c) Objec t (Direc t, Indirec
t)
 d) Complement
e) Adjunc t or
Adverbial f) Clause
Struc ture
g) T ypes of Clauses
- Independent c lauses
- Dependent c lauses
- Relative or noun c lauses
(iv) T ypes of sentenc es
a) Simple sentenc e
b) Compound sentence
c) Complex sentenc e
d) Compound-complex sentence
(v) Direc t-Indirec t
Speech a) Introduc tion
b) Proc edure for c onverting Direc t speec h into Indirec t speec h
- Rules for c onverting Direc t speec h into Indirec t speec h
- Change in pronouns
- Change in tenses
- Change in modals
- Changes for Imperative sentenc es
- Changes for Exc lamatory sentenc es
- Changes for Interrogative sentenc es
- Punc tuation in Direc t speec h
c) Rules for c onverting Indirec t speec h into Direc t speec h
(vi) Ac tive Passive Voic e: Introduc tion
a) Usage : Ac tive vs. passive voic
e b) Reasons for using Passive
voic e
 c) Changing Passive voic e to Ac tive
voic e d) Changing Ac tive voic e to
Passive voic e
e) Suggestions for using Ac tive and Passive voic e
(vii) Verbs Voic e Ac tive or
passive
(viii) Exerc
ises
3. Vocabulary Root Words, Synonyms, Antonyms, Prefixes, Suffixes), Phrasal verbs,
Collocations and Idioms.
(i) Introduc
tion
(ii) Signific ance of improving voc
abulary
(iii) How to improve voc
abulary
(iv) Root words
(v) Synonyms and
Antonyms
(vi) Words formed by using
Prefixes (vii) Words formed by
using Suffixes (viii) Phrasal verbs
(ix) Colloc ations
(x) Idioms
(xi) Exerc
ises
Part – III : Comprehension Passages and Note Making

4. Comprehension Passages
(i) Introduc tion to Comprehension Passages
(ii) Points to ponder
(iii) Sample Passages with answers
(iv) Exerc ises
5. Note Making
(i) Introduc tion to Note Making
(ii) Signific ance of Note Making
(iii) Detailed Format Heading(Title)
 a) Sub-heading
b) Indentation
c) Points
d) Use of abbreviations
e) Summary
f) Content
g) Expression
(iv) Steps to Comprehend and summarize text
(v) Helpful Hints
(vi) Sample Passages with Notes
(vii) Exerc ises
Part – IV : Developing Writing Skills

6. Introduction to Basic Writing

(i) Introduc tion
(ii) Proc ess of writing
(iii) Styles of Writing
(iv) Signific ance of writing skills for students
(v) Writing Conventions
(vi) Charac teristic s of good writing
(vii) Do’s and Don’ts of good writing
7. Précis Writing
(i) What is Préc is writing?
(ii) Features of good Préc is writing
(iii) How to write a Préc is
(iv) Do’s and Don’ts of Préc is writing
(v) Examples (Passages with Préc
is) (vi) Exerc ises
8. Article Writing
(i) What is an Artic le?
(ii) Essential elements of Artic le Writing
(iii) Detailed Format
a) T itle
b) By- Writer’s Name
c) Body
- Introduc tion
- Main Idea-Support
- Conc lusion
d) Sample Artic les
e) Exerc ises
9. Report Writing
(i) What is a Report?
(ii) Essential elements of Report Writing
(iii) Kinds of Reports
a) Reporting for a Meeting/Assembly
b) Reporting for a Newspaper
c) Reporting for a Magazine
(iv) Detailed Format for (iii)
above a) T itle
b) By- Writer’s Name
c) Plac e,
Date d) Body
- What
- When
- Where
- Who
- How
e) T ips and Conventions of Report Writing
 f) Sample Reports
g) Exerc ises
10. Writing Formal Letters
(i) T ypes of
Letters a)
Circ ulars
b) Complaints
c) Memos
d) Promotional Content
e) Sales
f) Rec overy/Remittanc es
(ii) Detailed format for (i)
above a) Date
b) Salutation
c) Subjec t
d) Body of the letter
- First paragraph
- Sec ond paragraph
e) Complimentary Closure
(iii) Points to Remember
(iv) Sample Letters
(v) Exerc ises
11. Writing Formal Mails
(i) How to Write a Formal Mail?
(ii) Writing Effec tive Mails
(iii) Essential elements of Mails
a) Subjec t line
b) Formal Greetings
c) T arget Audienc e(Reader)
d) Clarity and Conc iseness
 e) Formal Closing
f) Proof read
g) Feedbac k
(iv) T ips and Conventions of Mails
(v) Sample Mails
(vi) Exerc ises
12. Resume Writing
(i) Essential Elements of Resume
a) Name and c ontac t
details b) Objec tive
Summary
c) Ac ademic Qualifications and Ac
hievements d) Co-c urric ular Ac hievements
e) T raining Programs attended/c
ompleted f) Strengths
g) Interests/Hobbies
h) Dec laration
i) Signature
(ii) Resume Writing T ips and Conventions
(iii) Sample Resumes
(iv) Exerc ises
13. Meetings
(i) Notic e
(ii) Agenda
(iii) Drafting minutes
(iv) Ac tion T aken Report
 PAPER –3: BUSINESS MATHEMATICS, LOGICAL REASONING
AND STATISTICS
(One paper – Three hours – 100 Marks)
Objective:
(a) T o develop an understanding of the basic mathematic al and statistic al tools and
their applic ation in Business, Financ e and Ec onomic s.
(b) T o develop logic al reasoning skills and apply the same in simple problem solving.
Contents:
Part – A. Business Mathematics (40 Marks)
1. Ratio and Proportion, Indices and Logarithms
Ratio and Proportion (Business Applic ations related to Ration and Proportion) Laws of
Indic es, Exponents and Logarithms and Anti Logarithms.
2. Equations and Matrices
(i) Equations: Simultaneous linear equations up to three variables, Quadratic and Cubic
equations in one variable.
(ii) Matric es: Algebra of Matric es, Inverse of a Matrix and determinants, solving system
of
equations by Cramer’s Rule (involving not more than three variables).
3. Linear Inequalities with Objective Functions and Optimization w.r.t. objective
function.
4. Time value of Money
(i) Simple Interest
(ii) Compound interest
(iii) Deprec iation
(iv) Effec tive Rate of Interest
(v) Present Value
(vi) Net Present Value
(vii) Future Value
(viii) Perpetuity
(ix) Annuities
 (x) Sinking Funds
(xi) Valuation of Bonds
(xii) Calc ulating of
EMI
(xiii) Calc ulations of
Returns:
a) Nominal Rate of Return
b) Effec tive Rate of
Return
c) Compound Annual growth rate (CAGR)
5. Permutations and Combinations
Basic c onc epts of Permutations and Combinations: Introduc tion, the Fac torial, Permutatio
n s , results, Circ ular Permutations, Permutations with restric tions, Combinations with
standard results.
6. Sequence and Series
Introduc tion Sequenc es, Series, Arithmetic and Geometric progression, Relationship
between
AM and GM and Sum of n terms of spec ial
series
7. Sets, Relations and Functions
8. Basic applications of Differential and Integral calculus (Exc luding the trigonometric
applic ations), Applic ations of Marginal Cost and Marginal Revenue etc .,
Part – B: Logical Reasoning (20 Marks)
1. Number series, Coding and Dec oding and odd man out.
2. Direc tion T ests
3. Seating Arrangements
4. Blood Relations
5. Syllogism
 Part – C: Statistics (40 Marks)
1. Statistical description of Data
Statistic al Representation of Data, Diagrammatic representation of data, Frequenc
y distribution, Graphic al representation of Frequenc y Distribution – Histogram,
Frequenc y Polygon, Ogive, Pie-c hart.
2. Measures of Central tendency and Dispersion
Measures of Central T endenc y and Dispersion: Mean Median, Mode, Mean
Deviation, Quartiles and Quartile Deviation, Standard Deviation, Co -effic ient
of Variation, Coeffic ient of Quartile Deviation.
3. Probability
Probability: Independent and dependent events; mutually exc lusive events. T otal
and
Compound Probability and Mathematic al Expec
tation.
4. Theoretical Distributions
T heoretic al Distributions: Binomial Distribution, Poisson distribution – Basic applic
ation and Normal Distribution – Basic applic ations.
5. Correlation and Regression
Correlation and Regression: Sc atter diagram, Karl Pearson’s Coeffic ient of
Correlation Rank Correlation, Probable Error and Probable limi ts. Regression lines,
Regression equations, Regression c oeffic ients.
6. Index Numbers and Time Series
(i) Index Numbers: Uses of Index Numbers, Problems involved in c onstruc tion of Index
Numbers, Methods of c onstruc tion of Index Numbers.
(ii) Time Series Analysis – Components of T ime Series and Calc ulation of T rend by
Moving Average Method.
 PAPER – 4 : BUSINESS ECONOMICS AND BUSINESS AND
COMMERCIAL KNOWLEDGE
(One paper – Three hours – 100 Marks)

PART I : BUSINESS ECONOMICS (60 Marks)

Objective:
T o develop an understanding of the c onc epts and theories in Business Ec onomic s and
apply suc h c onc epts and theories in simple problem solving.
1. Introduction to Business Economics
(i) Meaning and sc ope of Business Ec onomics
(ii) Basic Problems of an Ec onomy and Role of Pric e Mec hanism.
2. Theory of Demand and Supply
(i) Meaning and determinants of demand, Law of demand and Elastic ity of demand ─
Pric e, inc ome and c ross elastic ity
(ii) T heory of c onsumer’s behaviour – Marshallian approac h and Indifferenc e c
urve approac h
(iii) Meaning and determinants of supply, Law of supply and Elastic ity of
supply. (iv) Demand Forec asting
3. Theory of Production and Cost
(i) Meaning and Fac tors of produc tion
(ii) Laws of Produc tion – T he Law of Variable proportions and Laws of Returns to Sc ale,
Produc er’s equilibrium
(iii) Conc epts of Costs ─ Short-run and long-run c osts, Average and marginal c osts, T
otal, fixed and variable c osts.
4. Price Determination in Different Markets
(i) Various forms of markets – Perfec t Competition, Monopoly, Monopolistic
Competition and Oligopoly
(ii) Pric e determination in these markets.
5. Business Cycles
(i) Meaning
(ii) Phases
(iii) Features.
 (iv) Causes behind these
Cycles.

PART – II : BUSINESS AND COMMERCIAL KNOWLEDGE (40 MARKS)

Objective:
T o develop an understanding of c ommon business and c ommerc ial c onc epts and to
keep abreast with developments in the business and c ommerc ial world.
Contents:
1. Business and Commercial Knowledge – An Introduction
Nature of Business, Profession and Employment. Objec tives of Business. Ec onomic
and
Non-Ec onomic Ac tivities, Forms of Business
Organizations.
2. Business Environment
Mic ro and Mac ro Environment, Elements of Mic ro Environment –
Consumers/Customers, Competitors, Organization, Market, suppliers,
Intermediaries, Elements of Mac ro Environment – Demographic , Ec onomic ,
Politic al-legal, Soc io-c ultural, T ec hnologic al, Global Environment.
3. Business Organizations
Overview of selec ted Indian and Global
Companies.
4. Government Policies for Business Growth
Polic ies c reating c onduc ive business environment suc h as Liberalization,
Privatization, Foreign Direc t Investment.
5. Organizations Facilitating Business
(i) Indian Regulatory Bodies – RBI, SEBI, CCI,
IRDAI
(ii) Indian Development Banks – IFCI, SIDBI, EXIM Bank,
NABARD
6. Common Business Terminologies
(i) Financ e and Stoc k & Commodity Markets T
erminology. (ii) Marketing T erminology.
(iii) Banking T
erminology.
(iv) Other Business T
erminology.
Note: Students are expec ted to read at least one financ ial newspaper and one
business magazine on a regular basis. T hey may also watc h a business c hannel to
remain updated about the developments related to c ommerc ial world.