ADVANCED ACCOUNTS

Advance Accounts is a subject which includes the concept of accounts done in group 1. It covers finalization of accounts of various entities, books of non-going concerns and some other company related affairs. This subject has lot of accounting standard which are also important for Audit paper. It is a very scoring subject with negligible theory portion. Since the numbers of chapters are not very high so each topic is of great importance. Small question of 4 marks to full questions of 15 marks can be asked from any of the topics. Practice little more question to score high in this subject.

Syllabus:

(One paper – three hours – 100 marks)

Objectives:

  1. To have an understanding of the conceptual framework for the preparation and presentation of financial statements;
  2. To gain working knowledge of the professional standards and application of accounting principles to different practical situations; and
  3. To gain the ability to solve advanced problems in the case of different entities.

Contents

  1. Conceptual Framework for Preparation and Presentation of Financial Statements.
  2. Accounting Standards
    Working knowledge of: AS 4 , AS 5, AS 11, AS 12, AS 16, AS 19, AS 20, AS 26, AS 29
  3. Advanced Issues in Partnership Accounts Dissolution of partnership firms including piecemeal distribution of assets; Amalgamation of partnershipfirms; Conversion into a company and Sale to a company.
  4. Company Accounts
    • Accounting for employee stock option plan, Buy back of securities, Equity shares with differential rights, Underwriting of shares and debentures, Redemption of debentures.
    • Advanced problems for business acquisition, Amalgamation and reconstruction (excluding problems of amalgamation of inter-company holding).
    • Accounting involved in liquidation of companies, Statement of Affairs (including deficiency/surplus accounts) and Iiquidator’s statement of account of the winding up.
    • Financial Statements of Banking, Insurance and Electricity Companies.
  5. Accounting for Special Transactions Departmental and branch accounts including foreign branches