Corporate Accounting

Paper Code: 
COM 201
Credits: 
03
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

This course will enable the students to-

The objective of this course is to gain  knowledge of principle and procedure of corporate accounting and their application in different practical situations.

Course Outcomes (COs):

Course

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

Paper Code

Paper Title

COM 201

Corporate Accounting

CO 38 To provide the knowledge of companies, Shares and regulatory of companies.

CO 39 Describe the pattern of final accounts of the company.

CO 40 Provide the knowledge of issue and redemption of shares and debentures.

CO 41 Understand the methods of valuation of goodwill and shares.

CO 42 The ability to account the difference between profit and loss prior period to incorporation and post incorporation.

CO 43 A comprehensive understanding of the advanced issues in accounting for assets, liabilities and owner’s equity.

CO 44 The ability to prepare consolidated accounts for a corporate group.

CO 45 An understanding of the principles of accounting for investments in associates.

Approach in teaching:

Interactive Lectures, Discussion, Tutorials, assignments.

 

Learning activities for the students:

Self-learning assignments, Effective questions,  Giving tasks, Solving numerical problems

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments,  Individual projects

 

10.00

Accounting for shares: Demat Shares, Right Issue, Issue of Shares to Vendor, Issue of Shares to Promoters, Issue of Sweat Equity Shares, Employees Stock Option Scheme (ESOS), Bonus Issue

Redemption of Preference Shares and Buy Back of Shares: Introduction, Redemption of Preference Shares, Accounting Treatment, Calculation of Minimum Fresh issue of shares to comply with section 80 of the Act, Minimum Fresh Issue to Provide Funds for Redemption, Partly Called up Preference Shares and Redemption of Preference Shares, Fully Called up but partly paid up Shares and Redemption of Preference Shares, Buy Back of Equity Shares

7.00

Accounting For Debentures: Introduction, Meaning and Types of Debentures, Difference between Shares and Debentures, Accounting for Issue of Debentures, Treatment of Discount on issue of Debentures, Interest on Debentures, Meaning of Redemption of Debentures, Sources of Redemption of Debentures, Methods for Redemption of Debentures

8.00

Preparation of Financial Statements- Profit and Loss Account, Balance Sheet
Managerial Remuneration: Ascertaining Profit for Managerial Remuneration, Remuneration to Directors, Remuneration to Managers
Disposal of Profits: Transfer to Reserve, Dividends, Corporate Dividend Tax, Unpaid Dividend Account

10.00

Acquisition of Business, Pre-Incorporation Profit/Loss; Underwriting of Shares and Debentures: Meaning of Underwriting, Sub-Underwriters, Firm Underwriting, Underwriting Commission, Marked Applications, Calculation of Liability of Underwriters

10.00

Valuation of Goodwill: Features of Goodwill, Elements of Goodwill, Types of Goodwill, Accounting for Goodwill, Valuation of Non-Purchased Goodwill-Average Profit Method, Super Profit Method, Capitalization of Average Method, Capitalization of Super Profit Method, Annuity Method
Valuation of Shares: Need for Valuation, Factors Affecting Valuation of Shares, Methods of Valuation-Assets Backing Method, Yield Valuation Method

Essential Readings: 

1. Corporate Accounting-Agarwal, Jain, Sharma, Shah , Mangal (Ramesh Book Depot)
2. Modern Accountancy- A Mukherjee& M Hanif (Tata Mc Graw Hill)
3. Corporate Accounting-Jain, Khandelwal, Pareek (Ajmera Book Company)

References: 

1. Accounting Theory-L.S Porwal (Tata,Mc Graw Hill)
2. Advanced Accounts-Shukla, Grewal, Gupta (S.Chand)
3. Advanced Accountancy-S.N Maheshwari (Vikas Publishing House Pvt Ltd)
4. Advanced Accountancy- S.P Jain& K.L Narang , (Kalyani Publishers)

Academic Year: 
2020-2021
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