Hello, I am Komal Garg, an enthusiastic and dedicated educator with a passion for fostering learning and growth in elementary students. With over two years of experience managing personal teaching classrooms, I am committed to creating a supportive and engaging environment where every student can thrive. My journey in education began with my undergraduate studies at S.D Public School, Jagadhri, where I was honored with the Best Student Award. This early recognition fueled my passion for learning and set the foundation for my academic pursuits. During my time at M.L.N College, Yamunanagar, where I pursued a Bachelor of Commerce, I actively participated in extracurricular activities, honing my organizational and communication skills. Building on this foundation, I continued my academic journey with a Master's of Commerce (M.Com) from DAV Girls College, Yamunanagar, where I further developed my expertise and prepared for national exams through seminars and practical experiences. Additionally, my pursuit of a Bachelor of Education at Dharma Institute allowed me to gain valuable teaching experience and certifications, solidifying my commitment to the field of education.

Degree: Bachelors of Commerce - University: M.L.N College

Degree: Masters of Commerce - University: DAV College

Degree: B.Ed - University: Dharma Institute

1. To provide an understanding of the principles of accounts and practice in recording transactions and interpreting individual as well as company accounts.

2. To develop an understanding of the form and classification of financial statements as a means of communicating financial information.

• Learning Objectives:

  SECTION A 

  UNIT 1. Partnership Accounts

  UNIT 2. Joint Stock Company Accounts

  UNIT 3. Financial Statement Analysis 

  UNIT 4. Cash Flow Statement (Only for Manufacturing Companies) 

  UNIT 5. Ratio Analysis 

  UNIT 6. Accounting Application of Electronic Spread Sheet

  UNIT 7. Database Management System (DBMS)

   

• Course Outline:

  SECTION A

   

  UNIT 1. Partnership Accounts 

  A. Fundamentals of Partnership 

   

  (i) Definition, meaning and features of a Partnership. Self-explanatory. 

  (ii) Provisions of The Indian Partnership Act, 1932, with respect to books of accounts.

  (i) Meaning and importance. (ii) Rules applicable in the absence of a partnership deed.

  (iii) Preparation of Profit and LossAppropriation Account and Partners’ Capital and Current Accounts. 

  (a) Profit and Loss AppropriationAccount. 

  (b) Partners’ capital accounts: fixed and fluctuating. 

  (c)Partners’ Current Accounts when fixed capital method is followedInterest on capital, interest on drawings, interest on current accounts (debit and credit) salary, commission to partners and managers, transfer to reserves, division of profit among partners, 

  (d) Guarantee of profits 

  (e) Past adjustments (Relating to intereston capital, interest on drawing, salaryand profit-sharing ratio). 

   

  NOTE:

  • Interest on loan given by the partner to the firm is to be taken as a charge against profits. This interest will be debited to the P/L account and credited to his loan account. 
  • Interest on loan taken by a partner from the firm should be credited to P/L account and debited to his capital/current account as the case may be. 
  • Rent due to a partner is a charge against profit and is to be credited to partners’ current account in case of fixed capital system or to partners’ capital account when capitals are fluctuating. 
  • Rectification of errors (past adjustments) through a single journal entry/ adjusting and closing journal entries, preparation of partners’ adjusted capital/current accounts.
  • Admission of manager as a Partner is excluded from the topic of past adjustments/guarantee of profits. 

  
   

  B. Goodwill 

  Concept of goodwill and mode of valuation. 

  (a) Meaning, nature and features of Goodwill. 

  (b) Factors affecting the value of goodwill. 

  (c) Mode of Valuation. Average profit method –

  •  Meaning and practical application. Simple average. Weighted average method. 
  • Super profit method – Meaning and practical application. Capitalization method – Meaning and practical application. Capitalization of average profit. 
  • Capitalization of super profit.

   

   NOTE: Capital Employed/Net assets are Total assets (excluding purchased goodwill, non-trade investments and fictitious assets) less outside liabilities. Investments to be taken as non-trade investments unless specified as trade investments. 

   

  C. Reconstitution of Partnership

   

  I. Admission 

  (i) Calculation of new profit-sharing ratio, sacrificing ratio and gaining ratio. Self-Explanatory

  (ii) Accounting treatment of goodwill on admission of a partner. Based on Accounting Standard -26 issued by the Institute of Chartered Accountants of India in the context of Intangible Assets. (a) Premium for goodwill paid privately. 

  (b) Premium for goodwill paid (in cash or kind) and retained in the business. 

  (c) Premium for goodwill paid and withdrawn by the old partners. 

  (d) When the incoming partner cannot bring premium for goodwill in cash, adjustments are to be done through his current account. 

  (e) Hidden goodwill. 

  (f) When goodwill appears in the old Balance Sheet. 

  (iii)Preparation of Revaluation Account.Preparation of a Revaluation Account where changes in the values of assets and liabilities are reflected in the new Balance Sheet after reconstitution of a partnership firm.

  (iv) Accounting treatment of accumulated profits and losses. General Reserve / Reserve Fund, Workmen Compensation Reserve/ Fund, Investment Fluctuation Reserve/Fund, Contingency Reserve, Profit and Loss Account (Debit and Credit balance) and Advertisement Suspense Account/ Deferred Revenue Expenditure. 

  (v) Adjustment of Capitals. 

  (a) Adjustment of old partner’s Capital Accounts on the basis of the new partner’s capital. 

  (b) Calculation of new partner’s capital on the basis of old partner’s adjusted capital. 

  (vi) Change in Profit-Sharing Ratio. Change in PSR takes place at the time of admission of a partnership firm. Accounting treatment of accumulated profits and losses through one journal entry: (Adjustment of the incoming partner’s share to be done through his current account-similar  to the treatment of goodwill not brought in cash.) Gaining Partners’ Cap/Current A/c Dr. To Sacrificing Partners Cap/Current (in case of profits). Sacrificing Partners’ Cap/Current A/c Dr. To Gaining Partners Cap/Current (in case of losses) General Reserve/ Reserve fund, Workmen Compensation Reserve/ Fund, Investment Fluctuation Reserve/ Fund, Contingency Reserve, Profit and Loss Account (Debit and Credit Balance) and Advertisement Suspense Account/ Deferred Revenue Expenditure. 

   

  NOTE: - Preparation of Balance Sheet during admission of a partner to be done in Horizontal format. - Memorandum revaluation account, Joint Life Policy, Individual life policy are excluded from the syllabus. - Admission of a partner during an accounting year is excluded from the syllabus.

   

  II. Retirement and death of a partner

   

  (i) Calculation of new profit-sharing ratio, gaining ratio and sacrificing ratio. Self-Explanatory. 

  (ii) Adjustment with regard to goodwill including hidden goodwill. Self-Explanatory. 

  (iii) Adjustment with regard to undistributed profits and losses. Self-Explanatory. 

  (iv) Adjustment with regard to share of profits of the retiring or deceased partner from the date of the last Balance Sheet to the date of retirement or death (on the basis of time or turnover). Through P & L Suspense A/c (in case of no change in PSR of remaining partners). Through Gaining Partners capital/ current A/c (in case of change in PSR of remaining partners). 

  (v) Preparation of Revaluation Account on retirement or death of a partner.Self-Explanatory. 

  (vi) Adjustment of capitals.

  (a) Readjusting the adjusted capital of the continuing partners in the new profit-sharing ratio. 

  (b) Adjusting the capitals of the continuing partners on the basis of the total capital of the new firm.

  (c) When the continuing partners bring in cash to pay off the retiring partners. 

  (vii) Calculation and payment of amount due to retiring partner. Self-Explanatory. 

  (viii) Preparation of retiring partner’s loan accounts and deceased partner’s executor’s loan account (with interest on loan accrued and due and interest on loan accrued but not due). Self-explanatory. 

  (ix) Change in Profit-Sharing Ratio. Change in PSR takes place at the time of retirement / death of a partnership firm. Accounting treatment of accumulated profits and losses through one journal entry: Gaining Partners’ Cap Current A/c Dr. To Sacrificing Partners’ Cap/Current (in case of profits). Sacrificing Partners’ Cap/Current A/c Dr. To Gaining Partners’ Cap/Current (in case of losses) General Reserve/ Reserve fund, Workmen Compensation Reserve/ Fund, Investment Fluctuation Reserve/ Fund, Contingency Reserve, Profit and Loss Account (Debit and Credit Balance) and Advertisement Suspense Account/ Deferred Revenue Expenditure. 

   

  NOTE:

   Preparation of Balance Sheet during retirement / death of a partner to be done in Horizontal format only. Memorandum Revaluation Account, Joint Life Policy, Individual life policy are excluded from the syllabus.

  
  
  
   

   III. Dissolution of a Partnership firm. 

   

  (i) Meaning of dissolution and settlement of accounts under Section 48 of The Indian Partnership Act 1932. Self- Explanatory

  (ii) Preparation of Memorandum Balance Sheet, Realization Account, Partner’s Loan Account, Partner’s Capital Account and Cash/Bank Account. Self-explanatory. 

   

  NOTE:

   When an asset or a liability is taken to the realization account any corresponding/related fund or reserve is also transferred to realization account and not to the partners’ capital accounts. When accounts are prepared on a fixed capital basis, partners’ current account balances are to be transferred to capital account. No adjustments are required to be passed through current account. Bank overdraft is to be taken to the Bank/Cash A/c and not to be transferred to realization account but bank loan must be transferred to realization account.

  •  If question is silent about the payment of a liability, then it has to be paid out in full. 
  • If the question is silent about the realization of an asset, its value is assumed to be nil. 
  • Loan taken from a partner will be passed through cash or bank account even if the partner’s capital account has a debit balance. 
  • Loan given to a partner will be transferred (debited) to his Capital account. 
  • Admission cum retirement, amalgamation of firms and conversion/sale to a company together with piecemeal distribution and insolvency of a partner / partners not required.

   

  2. Joint Stock Company Accounts 

   

  A. Issue of Shares Problems on issue of shares.

  (a) Issue of shares at par and premium under Companies Act, 2013. 

  (b) Issue of shares for considerations other than cash: To promoters (can be considered either through Goodwill account or Incorporation costs account). To underwriters. To vendors. 

  (c) Calls in arrears, calls in advance and interest thereon.. 

  (d) Over and under subscription (including pro-rata allotment). 

  (e) Preparation of Journal; Cash Book and Journal Proper; Ledger Accounts. 

  NOTE: In pro-rata allotment when shares are issued at a premium, excess money received on application will first be adjusted towards the share capital. Any excess thereon will be utilised towards the Securities Premium Reserve. When allotment or any call money is due, it is to be transferred to the calls in arrears account, on which interest, if provided in the Articles of Association, will be calculated. 

  (f) Forfeiture and reissue of shares at par, premium or discount. Self-explanatory. 

  (g) Disclosure of Share capital in the company’s Balance Sheet. 

  NOTE: Issue of bonus and rights shares, private placement of shares, sweat equity shares, employees’ stock option scheme, reservations for small individual participants and minimum tradable lots are not required.

  
   

  B. Issue of Debentures 

   

  Problems on issue of debentures (at par, at premium and at discount.) Problems on issue of debentures to include:

  (a) Issue of debentures at par, at premium and at discount under Companies Act 2013.

  (b) Issue of debentures as collateral security for a loan.

  (c) Issue of debentures for considerations other than cash. To promoters. To underwriters. To vendors 

  (d) Accounting entries at the time of issue when debentures are redeemable at par and premium. (e) Calls in arrears, calls in advance and interest thereon. 

  (f) Interest on debentures (with TDS). 

  (g) Disclosure of Debentures in the company’s Balance Sheet. 

  (h) Methods of writing off discount / loss on issue of debentures- when debentures are redeemable in a lump sum at the end of a specified period; when debentures are redeemable in instalments. 

  (i) Disclosure of discount on issue of debentures in the company’s Balance Sheet when debentures are redeemed in instalments

   

  C. Redemption of Debentures

  •  Creation of Debenture Redemption Reserve (wherever applicable)
  •  Redemption of debentures out of profits. 
  • Redemption of debentures out of capital. 
  • Redemption of debentures in a lump sum.
  •  Redemption of debentures in annual instalments by draw of lots.
  •  Redemption of debentures by purchase in the open market- for immediate cancellation; as an investment and then later cancelled. Self-Explanatory. 

   

  NOTE:

   I. Calculation of ex-interest and cum-interest are not required. 

   

  II. In case of redemption of debentures in annual instalments by draw of lots:

   (i) The entire DRI purchased for the redemption of the instalment of debentures is not sold at the end of the year but sold/further purchased to the extent to maintain 15% of the face value of the debentures to be redeemed in the next instalment. In case of redemption in equal instalments, DRI purchased for the first instalment remains invested till the last instalment. 

  (ii) Wherever applicable, DRR is transferred to General Reserve in proportion to the debentures redeemed.

   

  III. Rules relating to creation of Debenture Redemption Reserve (DRR):

  (i) Listed companies including NBFCs registered with RBI and HFCs registered with National Housing Bank (NHB) both for public issue as well as private placements do not require the creation of a DRR of 25 per cent of the value of outstanding non-convertible debentures.

  (ii) Unlisted NBFCs registered with RBI and HFCs registered with National Housing Bank (NHB) both for public issue as well as private placements do not require the creation of a DRR of 25 per cent of the value of outstanding non-convertible debentures. 

  (iii) For unlisted companies (other than NBFCs and HFCs), DRR is reduced from the present level of 25 per cent to 10 per cent of the outstanding debentures. Rules regarding Debenture Redemption Investment (DRI) 

  • Unlisted NBFCs and HFCs need not deposit any amount of its debentures maturing during the year with scheduled banks or invest it in specified government securities. 
  • The following companies will continue to invest or deposit, on or before 30thApril in each year, a sum which shall not be less than 15 per cent, of the amount of its debentures maturing during the year, ending on 31st March of the next year, in deposits with any scheduled bank, free from any charge or lien / in unencumbered securities of the Central Government or any State.Government / in unencumbered securities mentioned in Section 20 of the Indian Trusts Act, 1882/ in unencumbered bonds issued by any other company notified under Section 20 of the Indian Trusts Act, 1882: 

  (i) Listed companies including NBFCs registered with RBI HFCs National Housing Bank (NHB) and unlisted companies (other than NBFCs and HFCs).

  (ii) Unlisted companies (other than NBFCs and HFCs). 

   

  Basically, All India Financial Institutions regulated by RBI, Banking Companies for both public as well as privately placed debentures, other Financial Institutions within the meaning of Section 2(72) of the Companies Act, 2013 and unlisted NBFCs registered with RBI and HFCs registered with National Housing Bank (NHB) are exempted both, from creating DRR and from making a DRI.

   

  D. Final Accounts of Companies 

   

  Preparation of the Balance Sheet of a company (along with notes to accounts) as per Schedule III Part I of Companies Act 2013. As per the amendment made in Accounting Standard 4, dividend proposed for a year is not a liability till it has been approved by the shareholders. Thus, proposed dividend is not shown as a short-term provision in the current Balance Sheet of a company but disclosed in Notes to Accounts under Contingent Liabilities. All capital losses to be written off in the year in which they occur unless otherwise mentioned.

   

   NOTE: Schedule III Part II of Companies Act 2013 (Statement of Profit and Loss) is not required for the purpose of preparing final accounts of a Company. However, for the preparation of Comparative and Common Size Income Statements (Section B – Unit 4: Financial Statement Analysis), the extent and format of the Statement of Profit and Loss as per Schedule III Part II of the Companies Act 2013 to be studied is as follows:

   

• Recomended Audience:

  The audience of this course is students of Grade-12 from ICSE Board. All the Chapters are well designed and its coverage as per latest curriculum released by the board. Still Student have complete flexibility to enhance or modify the course coverage during the course of learning process with Teacher. We are expecting that students of Grade- 12 should drive their classes with teacher as per chapters mentioned and also as per syllabus of their school and applicable School district or Board

• Pre-Requisite Requirement:

   For attending this course, prior knowledge of Grade-11 Accountancy is required, this course assumes that students have prior experience with all the topics of Accounts of Grade-11 This is not an introductory class for absolute beginners on Accounts of Grade-11. Participants should already be familiar with the basic learning objective.

• Course Level:
  Intermediate
• Language of Teaching:
  English, Hindi
• Class Schedule Availiability:
  Morning