FUNDAMENTALS OF ACCOUNTING

Paper Code: 
EFSG 116
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Outcomes (COs)

Course Outcomes

Learning and teaching strategies

Assessment Strategies

  
 

On completion of this course, the students will be able to:

CO26: Execute the accounting process and demonstrate the understanding of theoretical framework of accounting and accounting standards

CO27: Determine depreciation and value of inventory

CO28: Prepare Financial Statements and demonstrate its use for the growth of Organization.

CO29: Apply the concept of accounting for Hire Purchase System and lease.

CO30:Apply the concept of Branch Accounts  in preparation of accounts of branch

Interactive Lectures, Discussion, Tutorials, Reading assignments, Practical Cases, Power point presentation and Solving Questions.  

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects.

  

 

9.00
Unit I: 
Accounting Process and theoretical Framework of Accounting

• Accounting as an information system, the users of financial accounting information and their needs.
• Qualitative characteristics of accounting information.
• Functions, advantages and limitations of accounting.
• Branches of accounting, Bases of accounting- cash basis and accrual basis.
• The nature of financial accounting principles – Basic concepts and conventions: entity, money measurement, going concern, cost, realization, accruals, periodicity, consistency, prudence (conservatism), materiality and full disclosures.
• Financial accounting standards: Concept, benefits, procedure for issuing accounting standards in India. International Financial Reporting Standards (IFRS): - Need and procedures.
• Accounting Process: From recording of a business transaction to preparation of trial balance

9.00
Unit II: 
Depreciation

• Meaning and nature of depreciation
• Factors in the measurement of depreciation
• Methods of computing depreciation: straight line method and diminishing balance method
• Disposal of depreciable assets-change of method.
• Salient features of Indian Accounting Standard (Ind-AS): 2 (b)

9.00
Unit III: 
Preparation of final accounts:

• Capital and revenue expenditures and receipts: general introduction only.
• Preparation of financial statements of non-corporate business entities

9.00
Unit IV: 
Special Types of Accounting

• Accounting for Hire Purchase and Installment Systems: Calculation of interest, partial and full repossession
• Hire purchase trading (total cash price basis)
• Concepts of operating and financial lease (theory only)

9.00
Unit V: 
Accounting for Inland Branches

• Concept of dependent branches: accounting aspects
• Debtors system, Stock and debtors’ system
• Independent branches: concept-accounting treatment: important adjustment entries

Essential Readings: 

ESSENTIAL RESOURCES:
• Gupta, R.L., &Gupta, V.K.Financial accounting. Sultan Chand and sons
• Mukharjee, A., &Hanif, M. Modern accountancy. TataMcGrawhill.
• Sehgal, A., &Sehgal, D.Fundamentals of financialaccounting. TaxMan
• Jain, K. P. Financial accounting. Ajmera Book Company

References: 

SUGGESTED REFERENCE BOOKS:
• Tulsian, P.C, Accountancy Tata Mc Graw Hill
• GoelD.K ,Goel R., Accountancy Arya Publications
• Maheshwari, S.N., An Introduction to AccountancyVikash Publishers
• Ghosh, T. P., Fundamental of Accounting,Sultan Chand& Sons

e RESOURCES:
• https://books.google.co.in/books?id=0yYrDwAAQBAJ&printsec=copyright&redi...
• https://icmai.in/upload/Students/Syllabus 2012/Study_Material_New/Inter Paper5 Revised.pdf

REFERENCE JOURNALS:
• The Indian Journal of Commerce
• IUP Journal of Accounting Research
• The Chartered Accountant

Note: The candidate shall be permitted to use battery operated pocket calculator that should not have more than 12 digits, 6 functions and 2 memories and should be noiseless and cordless

Academic Year: 
2023-2024
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