India · CBSE Learning Outcomes
Class 12 Accountancy.
The Class 12 Accountancy curriculum focuses on developing a deeper understanding of accounting principles and practices in business entities. It covers accounting for partnership firms, companies, and the analysis of financial statements to equip students with practical financial evaluation skills as per the CBSE framework.
01Accounting for Partnership Firms
This unit covers the fundamentals of partnership accounting, including admission, retirement, death of a partner, and dissolution of the firm.
Introduction to partnership features, the partnership deed, and maintenance of capital accounts. Students learn to distribute profits among partners using the Profit and Loss Appropriation Account.
Accounting treatment when a new partner is admitted, including the calculation of the new profit-sharing ratio and sacrificing ratio. It also covers the valuation and treatment of goodwill and the revaluation of assets and liabilities.
Ascertaining the retiring or deceased partner's share of profit and goodwill. Preparation of the deceased partner's capital account and the executor's account.
Understanding the meaning of dissolution and the settlement of accounts. Preparation of the Realisation Account and the final settlement of partners' capital accounts.
02Accounting for Companies
Students explore the accounting processes for share capital and debentures, along with the preparation of company financial statements.
Features and types of companies, and the process of issuing shares. Accounting treatment for over-subscription, calls-in-arrears, forfeiture, and reissue of shares.
Understanding debentures as a source of borrowed funds and their types. Accounting entries for the issue of debentures for cash and for consideration other than cash.
Preparation of the Statement of Profit and Loss and Balance Sheet as per Schedule III of the Companies Act, 2013. Focus on major headings and sub-headings.
03Analysis of Financial Statements
This unit introduces tools and techniques to analyze financial statements, including accounting ratios and cash flow statements.
Introduction to financial statement analysis and its significance. Techniques include comparative statements and common-size statements.
Meaning, objectives, and classification of accounting ratios. Calculation and interpretation of liquidity, solvency, activity, and profitability ratios.
Meaning and objectives of the Cash Flow Statement as per AS 3 (Revised). Preparation of the statement by classifying activities into operating, investing, and financing.
04Computerised Accounting System
An overview of computerised accounting systems, focusing on the practical application of electronic spreadsheets and accounting software.
Concept, features, and structure of a Computerised Accounting System (CAS). Comparison between manual and computerised accounting processes.
Using spreadsheets for accounting applications like loan repayment schedules and payroll accounting. Focus on basic formulas and financial functions.
Practical application of accounting software for recording transactions and generating reports. Steps for creating a company, ledgers, and voucher entries.