Business Accounting

Paper Code: 
CBTM 202
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course Objectives:

  1. Understand the fundamentals of financial accounting, the principles and concepts underlying them.

 

Course Outcomes (COs):

Course

Learning outcomes

(at course level)

Learning and teaching strategies

Assessment

Strategies

Paper Code

Paper Title

CBTM 202

Business Accounting (Theory)

CO 49 Understand and apply accounting concepts, principles and conventions for their routine monetary transaction.

CO 50 Explain Journal, Subsidiary books, ledger, Trial Balance and rectifying journal entries.

CO 51Familiarize with the various methods of depreciation.

CO  52 Prepare Bank Reconciliation Statement.

CO 53 Create and Prepare financial statements in accordance with Generally Accepted Accounting Principles

CO 54 Understand the process of issue, forfeiture and reissue of shares.

Approach in teaching:

Interactive Hours, Discussion, Tutorials, Reading assignments, Demonstration

 

Learning activities for the students:

Self learning assignments, Effective questions, Seminar presentation, Group tasks

Class test, Semester end examinations, Quiz, Assignments, Presentation, Individual and group projects

 

 

12.00
Unit I: 

Introduction to Financial Accounting- Definition and its usefulness, Scope and Limitations. Users of Accounting Information.

Generally Accepted Accounting Principles- Concepts and Conventions. 

Recording of Transactions in Journal. three columns Cash Book , Preparation of Ledger Accounts 

 

12.00
Unit II: 

An overview of Subsidiary books – Purchase Book, Purchase Returns Book, Sales Book, and Sales Returns Book

Introduction to International Financial Reporting Standards (IFRS).

Depreciation Accounting -Methods of charging Depreciation –

Straight-line Method and Written-down-value Method.

 

12.00
Unit III: 

Bank reconciliation statement: Need for reconciliation between Cashbook and bank passbook, problems relating to the preparation of Bank reconciliation statement

Preparation of Trial Balance.

Rectification entries: Classification of Errors, Location of Errors, Rectification of Errors, Suspense Account, Effect on profit.

 

12.00
Unit IV: 

Preparation of Financial Statements: Preparing Trading Account, Profit & Loss Account and Balance Sheet for a Sole Proprietor.

Understanding contents of Financial Statements of a Joint Stock Company as per Companies Act 2013.

 

12.00
Unit V: 

Issue and Forfeiture of Shares: Introduction, Types of Companies, Types of Shares, SEBI Guidelines on Issue of Shares including Demat Account, Accounting for issue of shares, Right Issue, Bonus issue, Issue of Shares to Vendor, Sweat Equity Shares, Employees Stock Option Scheme (ESOS), Forfeiture and Reissue of Shares.

 

Essential Readings: 

Book Readings:
1. Maheshwari, S. N., An Introduction to Accountancy, Vikas Publishers, New Delhi
2. Mukharjee, A. and Hanif, M., Modern Accountancy, Tata McGraw Hill, New Delhi
3. Sehgal, Ashok and Sehgal, Deepak, Fundamentals of Financial Accounting, Taxmann Allied Services, New Delhi.
4. T.P. Ghosh, Financial Accounting for Managers: Taxmann Allied Services Pvt.Ltd.
5. Jain, Khandelwal and Pareek, Financial Accounting, Ajmera Book Company, Jaipur
6. Tulsian, P.C., Accountancy, Tata McGraw-Hill, New Delhi
7. Goel, D.K. and Goel, Rajesh, Accountancy, Arya Publications, New Delhi
8. Ghosh, T.P., Fundamentals of Accounting, Sultan Chand & Sons, New Delhi.

Academic Year: 
2022-2023
  • Printer-friendly version
  • PDF version