Class 12

Download CBSE Class 12 Accounts Syllabus 2021 (Revised edition)

Download-CBSE-Class-12-Accounts-Syllabus-2021-(Revised-edition)

Accountancy is an essential subject for commerce students. You should not only focus on scoring marks but also learn the theories and concepts of the subject. CBSE Class 12 Accountancy Syllabus will help you a lot in your further education if you plan to make a career in the commerce field (like becoming a Chartered Accountant) because CBSE has designed the curriculum to prepare your knowledge base for higher studies.

The CBSE Class 12th Accountancy Syllabus is updated every year. However, CBSE has specially made a big change for class 12 students. 30% of the topics have been removed from the new Accountancy syllabus for class 12.

CA Wizard brings to you the new CBSE Class 12 Accountancy Syllabus in this article. The marks weightage and deleted topics list are also available. We also have some essential tips for you in the article. You can also download the PDF versions from the links provided.

  

CA Wizard provides the latest updates related to CBSE class 12th exams. We also help class 12 students in their career after 12th. We have provided complete information on the CA course. It is the best career option right now as the demand for CA is on the rise.

Marks Weightage in CBSE Class 12 Accountancy 

TopicsTopicsMarks
Part AAccounting for Not-for-Profit Organizations, Partnership Firms and Companies 
 Unit 1. Financial Statements of Not-for-Profit Organizations 10
 Unit 2. Accounting for Partnership Firms30
 Unit 3. Accounting for Companies20
  Total60
Part BFinancial Statement Analysis 
 Unit 4. Analysis of Financial Statements12
 Unit 5. Cash Flow Statement8
  Total20
Part CProject Work 

Project File 4

Marks Written Test 12 Marks (One Hour)

Viva Voce 4 Marks

20
 OR 
Part BComputerized Accounting 
 Unit 4. Computerized Accounting20
Part C20
 Total Marks100
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Question Paper Design

Typology of QuestionsMarks Percentage
Remembering and Understanding4455%
Applying1923.75%
Analysing, Evaluating and Creating1721.25%
Total 80100%

CBSE Class 12 Accountancy Syllabus 2020-21

Part A: Accounting for Not-for-Profit Organizations, Partnership Firms and Companies

Unit 1: Financial Statements of Not-for-Profit Organizations

  • Not-for-profit organizations: concept. 
  • Receipts and Payments Account: features and preparation. 
  • Income and Expenditure Account: features, preparation of income and expenditure account and balance sheet from the given receipts and payments account with additional information. 

Scope: 

  1. Adjustments in a question should not exceed 3 or 4 in number and restricted to subscriptions, consumption of consumables, funds and sale of assets/ old material/funds. 
  2. Entrance/admission fees and general donations are to be treated as revenue receipts. 
  3. Trading Account of incidental activities is not to be prepared.’

Unit 2: Accounting for Partnership Firms

  • Partnership: features, Partnership Deed. 
  • Provisions of the Indian Partnership Act 1932 in the absence of partnership deed.  
  • Fixed v/s fluctuating capital accounts. Preparation of Profit and Loss Appropriation account- division of profit among partners, guarantee of profits. 
  • Past adjustments (relating to interest on capital, interest on drawing, salary and profit sharing ratio). 
  • Goodwill: nature, factors affecting and methods of valuation – average profit, super profit and capitalization. 

Note: Interest on partner’s loan is to be treated as a charge against profits. Goodwill to be adjusted through partners capital/ current account (AS 26) 

Accounting for Partnership firms – Reconstitution and Dissolution. 

  • Change in the Profit Sharing Ratio among the existing partners – sacrificing ratio, gaining ratio, accounting for revaluation of assets and reassessment of liabilities and treatment of reserves and accumulated profits. Preparation of revaluation account and balance sheet. 
  • Admission of a partner – effect of admission of a partner on change in the profit sharing ratio, treatment of goodwill (as per AS 26), treatment for revaluation of assets and reassessment of liabilities, treatment of reserves and accumulated profits 
  • Retirement and death of a partner: effect of retirement / death of a partner on change in profit sharing ratio, treatment of goodwill (as per AS 26), treatment for revaluation of assets and reassessment of liabilities, adjustment of accumulated profits and reserves and preparation of balance sheet. 
  • Calculation of deceased partner’s share of profit till the date of death. 
  • Dissolution of a partnership firm: meaning of dissolution of partnership and partnership firm, types of dissolution of a firm. Settlement of accounts – preparation of realization account, and other related accounts: capital accounts of partners and cash/bank a/c (excluding memorandum balance sheet, piecemeal distribution, sale to a company and insolvency of partner(s)). 

Note: 

(i) The realized value of each asset must be given at the time of dissolution. 

(ii) In case, the realization expenses are borne by a partner, clear indication should be given regarding the payment thereof. 

Unit – 3 Accounting for Companies 

Accounting for Share Capital 

Share and share capital: nature and types. 

  • Accounting for share capital: issue and allotment of equity and preferences shares. Public subscription of shares – over subscription and under subscription of shares; issue at par and at premium, calls in advance and arrears (excluding interest), issue of shares for consideration other than cash. 
  • Concept of Private Placement and Employee Stock Option Plan (ESOP). 
  • Accounting treatment of forfeiture and reissue of shares. 
  • Disclosure of share capital in the Balance Sheet of a company. 

Accounting for Debentures 

  • Debentures: Issue of debentures at par, at a premium and at a discount. Issue of debentures for consideration other than cash; Issue of debentures with terms of redemption; debentures as collateral security concept, interest on debentures. Writing off discount / loss on issue of debentures. 

Note: Discount or loss on issue of debentures to be written off in the year debentures are allotted from Security Premium Reserve (if it exists) and then from Statement of Profit and Loss as Financial Cost (AS 16). 

Note: Related sections of the Companies Act, 2013 will apply.

Part B: Financial Statement Analysis 

Unit 4: Analysis of Financial Statements

Financial statements of a Company: 

Statement of Profit and Loss and Balance Sheet in prescribed form with major headings and sub headings (as per Schedule III to the Companies Act, 2013) 

Note: Exceptional items, extraordinary items and profit (loss) from discontinued operations are excluded. 

  • Financial Statement Analysis: Objectives, importance and limitations. 
  • Tools for Financial Statement Analysis: Comparative statements, common size statements, cash flow analysis, ratio analysis. 
  • Accounting Ratios: Meaning, Objectives, classification and computation. 
  • Liquidity Ratios: Current ratio and Quick ratio.
  • Solvency Ratios: Debt to Equity Ratio, Total Asset to Debt Ratio, Proprietary Ratio and Interest Coverage Ratio. 
  • Activity Ratios: Inventory Turnover Ratio, Trade Receivables Turnover Ratio, Trade Payables Turnover Ratio and Working Capital Turnover Ratio. 
  • Profitability Ratios: Gross Profit Ratio, Operating Ratio, Operating Profit Ratio, Net Profit Ratio and Return on Investment.

Note: Net Profit Ratio is to be calculated on the basis of profit before and after tax.  

Unit 5: Cash Flow Statement 

Meaning, objectives and preparation (as per AS 3 (Revised) (Indirect Method only)

Note: 

(i) Adjustments relating to depreciation and amortization, profit or loss on sale of assets including investments, dividend (both final and interim) and tax. 

(ii) Bank overdraft and cash credit to be treated as short term borrowings. 

(iii) Current Investments to be taken as Marketable securities unless otherwise specified. 

Note: Previous years’ Proposed Dividend to be given effect, as prescribed in AS-4, Events occurring after the Balance Sheet date. Current years’ Proposed Dividend will be accounted for in the next year after it is declared by the shareholders.

OR

Part B: Computerised Accounting 

Unit 3: Computerised Accounting 

Overview of Computerised Accounting System 

  • Introduction: Application in Accounting. 
  • Features of Computerised Accounting System. 
  • Structure of CAS. 
  • Software Packages: Generic; Specific; Tailored. 

Accounting Application of Electronic Spreadsheet. 

  • Concept of electronic spreadsheet.
  • Features offered by electronic spreadsheet. 
  • Application in generating accounting information – bank reconciliation statement; asset accounting; loan repayment of loan schedule, ratio analysis 
  • Data representation- graphs, charts and diagrams. 

Using Computerized Accounting System. 

  • Steps in installation of CAS, codification and Hierarchy of account heads, creation of accounts. 
  • Data: Entry, validation and verification. 
  • Adjusting entries, preparation of balance sheet, profit and loss account with closing entries and opening entries.
  • Need and security features of the system. 

Database Management System (DBMS) 

  • Concept and Features of DBMS.
  • DBMS in Business Application. 
  • Generating Accounting Information – Payroll. 

Prescribed Books: 

Accountancy -I Class XII NCERT Publication 

Accountancy -II Class XII NCERT Publication 

Accountancy – Computerised Accounting System Class XII NCERT Publication 

Deleted CBSE Class 12 Accountancy Syllabus 2020-21

Part A: Accounting for Not-for-Profit Organizations, Partnership Firms and Companies 

Unit 2: Accounting for Partnership Firms 

Accounting for Partnership firms – Reconstitution and Dissolution. 

  • Admission of a partner – adjustment of capital accounts and preparation of balance sheet. 
  • Retirement and death of a partner: adjustment of capital accounts. Preparation of loan account of the retiring partner. 
  • Preparation of deceased partner’s capital account and his executor’s account. 

Unit – 3 Accounting for Companies 

Accounting for Debentures 

  • Redemption of debentures-Methods: Lump sum, draw of lots. 

Revised Project Work and Practical Syllabus 

From session 2020-21 onwards, there would be only ONE project (specific) to be prepared. 

You can refer to the CBSE guidelines for more information on Part B’s project and Part C’s practical work.

CBSE Guidelines Practical Work Accountancy

Download Class 12th Accountancy Syllabus 2020

You can download the PDF of the officially released new syllabus of CBSE Accountancy class 12 from the link below. The list of topics deleted from the syllabus for 2020-21 is also given below. . 

Revised CBSE Class 12 Syllabus 2020-21 PDF

Deleted Topics from the CBSE Class 12 Accountancy Syllabus 2020-21 PDF 

Preparation Tips

  • CBSE designs the accountancy exam paper at a moderate difficulty level. You should refer to the marking weightage given above in the article to know which topics are important for your exam preparation. Unit two and three of part A are very important as they make up for half of the marks in the accountancy exam. 
  • To complete the accountancy syllabus before the exam, you should make a proper timeline for your studies. 
  • Your accountancy project and practical exam are also very important as it consists of 20 marks out of the total marks. You should definitely give some time to this practical work so that you can secure 20 marks in your exam. These 20 marks are easy to score for you and a chance to improve your grades.
  • The sample papers and marking scheme given by CBSE for the 2020-21 session is also important for you. Do not forget to solve the sample papers and check your answers with CBSE’s marking scheme. For more practice, solve previous year question papers. 
  • Most importantly, keep doing regular revisions. You can make short notes for formulas and concepts of certain chapters and units or the whole syllabus for quick revision.

FAQs CBSE Class 12 Accountancy Syllabus

  • Has CBSE changed the class 12th accountancy syllabus for 2020-21 exams?

Yes, CBSE has announced a 30% reduction in the class 12 Accountancy syllabus.

  • Has CBSE changed the class 12th accountancy syllabus for 2020-21 exams?

Yes, CBSE has announced a 30% reduction in the class 12 Accountancy syllabus.

  • Has CBSE changed the class 12th accountancy syllabus for 2020-21 exams?

Yes, CBSE has announced a 30% reduction in the class 12 Accountancy syllabus.

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