Unit I: Accounting for Partnership
- Nature of Partnership Firm: Partnership deed (meaning, importance).
- Accounts of Partnership: Fixed v/s Fluctuating capital, Division of profit among partners, Profit and Loss Appropriation account, guarantee of profit to a partner, past adjustments.
Source: 2026 syllabus PDF, page 2
Unit II: Reconstitution of a Partnership firm
- Changes in profit sharing ratio among the existing partners – Sacrificing ratio and Gaining ratio.
- Accounting for Revaluation of Assets and reassessment of Liabilities and Distribution of reserves and accumulated profits.
- Goodwill: Nature, Factors affecting and Methods of valuation: Average profit, Super profit and Capitalisation methods.
- Admission of a Partner: Effect of admission of partner, Change in profit sharing ratio, Accounting treatment for goodwill, Revaluation of assets and reassessment of liabilities, Reserves adjustment/distribution of (accumulated profits) and adjustment of capitals.
- Retirement/Death of a Partner: Change in profit sharing ratio, Accounting treatment of goodwill, Revaluation of assets and reassessment of liabilities, Adjustment of Accumulated profits (Reserves), Preparation of deceased partner’s capital account and his executor’s account, Preparation of Loan Account.
Source: 2026 syllabus PDF, page 2
Unit III: Dissolution of Partnership Firm
- Meaning, Settlement of accounts: Preparation of Realisation Account and related Accounts (excluding piecemeal distribution, sale to a company and insolvency of a Partner).
Source: 2026 syllabus PDF, page 2
Unit IV: Company Accounts: Accounting for Share and Debenture Capital
- Features and type of companies.
- Share Capital: Meaning, Nature and Types
- Accounting for Share Capital: Issue and Allotment of Equity and Preference Shares; Over subscription and Under subscription; Issue at par and premium; Calls in advance, Calls in arrears, Issue of shares for consideration other than cash.
- Accounting treatment of Forfeiture of Shares and Re-issue of forfeited shares.
- Presentation of shares capital and Debentures in company’s balance sheet.
- Issue of Debenture – At par, premium and discount; Issue of debentures for consideration other than cash. Issue of debentures with terms of redemption, Debenture as collateral security- concept, Interest on debentures, writing off discount/Loss on issues of debenture.
Source: 2026 syllabus PDF, page 2
Unit V: Analysis of Financial Statements
- Financial Statements of a Company: Preparation of simple financial statements of a company in the prescribed form with major headings and sub headings.
- Financial Analysis: Meaning, Significance, Purpose and Limitations.
- Tools for Financial Analysis: Comparative statements, Common size statements.
- Accounting Ratios: Meaning and Objectives and types: Liquidity Ratio, Solvency Ratio, Activity Ratio, Profitability Ratio.
- Cash Flow Statement: Meaning and Objectives, Preparation, Adjustments related to depreciation, amortization, dividend and tax, purchase and profit or loss on sale of non- current assets (as per revised standard issued by ICAI).
Source: 2026 syllabus PDF, page 3
Alternative to Unit V — Unit V: Computerised Accounting System
- Overview of Concept and Types of Computerised Accounting System (CAS).
- Features of a Computerised Accounting System, Advantages, limitations
- Structure of a Computerised Accounting System: chart of accounts, Codification and Hierarchy of account heads.
- Accounting information system (AIS).
- Accounting Applications of Electronic Spreadsheet.
- Features offered by Electronic Spreadsheet. Applications of Electronic Spreadsheet in generating accounting information, preparing reports using pivot Table, common errors in spreadsheet, depreciation schedule, loan repayment schedule, payroll accounting.
- Graphs and Charts in electronic spreadsheet for Business Data.
Source: 2026 syllabus PDF, page 3