Accountancy - XII

The Class XII Accountancy syllabus for the academic year 2024-25 is structured as follows:

Part A: Accounting for Partnership Firms and Companies

Unit 1: Accounting for Partnership Firms

  • Features of Partnership and Partnership Deed
  • Capital Accounts: Fixed vs. Fluctuating, Profit & Loss Appropriation Account
  • Goodwill: Nature, Factors, and Valuation Methods (Average Profit, Super Profit, Capitalization)
  • Reconstitution of Partnership:
    • Change in Profit-Sharing Ratio: Sacrificing and Gaining Ratios, Revaluation of Assets and Liabilities
    • Admission of a Partner: Goodwill, Revaluation of Assets, and Adjustments
    • Retirement and Death of a Partner: Goodwill, Revaluation, Accumulated Profits, Capital Adjustment, Executor’s Account
  • Dissolution of Partnership Firm: Settlement of Accounts, Realization Account

Unit 2: Accounting for Companies

  • Share Capital: Types, Issue, and Allotment of Shares; Concepts of Private Placement and Employee Stock Option Plan (ESOP)
  • Accounting for Debentures: Issue of Debentures (at Par, Premium, Discount), Writing off Discounts/Losses on Issue, Redemption of Debentures

Part B: Financial Statement Analysis

Unit 3: Analysis of Financial Statements

  • Financial Statements of a Company: Nature, Purpose, and Structure (as per Schedule III of the Companies Act, 2013)
  • Financial Statement Analysis Tools: Comparative Statements, Common Size Statements, Ratio Analysis
  • Types of Ratios:
    • Liquidity Ratios: Current Ratio, Quick Ratio
    • Solvency Ratios: Debt to Equity, Proprietary, Interest Coverage
    • Activity Ratios: Inventory Turnover, Receivables Turnover, Payables Turnover, Working Capital Turnover
    • Profitability Ratios: Gross Profit, Operating Ratio, Net Profit, Return on Investment

Unit 4: Cash Flow Statement

  • Preparation of Cash Flow Statements (Indirect Method as per AS 3): Classification of Cash Flows, Adjustments for Non-Cash Items, Cash and Cash Equivalents

Part B (Alternative): Computerized Accounting

Unit 4: Computerized Accounting

  • Overview of Computerized Accounting Systems (CAS): Features, Applications, Structure
  • Electronic Spreadsheet Applications: Bank Reconciliation, Asset Accounting, Ratio Analysis, Data Representation
  • Using CAS: Data Entry, Account Creation, Adjusting Entries, Security Features

Part C: Project Work

  • Project File: Focus on financial statement analysis or computerized accounting aspects (e.g., ratios, cash flow statement)
  • Viva Voce: Assessment of understanding related to the project

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