CBSE Class 12 Accountancy Syllabus 2023-24 – Download PDF

The Central Board of Secondary Education has released the Class 12 Accountancy syllabus for the 2023-24 session. The board has updated the syllabus, so students must follow the revised syllabus.

The 12th Accounts syllabus includes all the chapters and units along with their marks weightage. The topics included in 12th Accounts help students develop a basic understanding of accounting work and its usage in businesses.

Check the complete article to know and download the Class 12 Accountancy syllabus pdf for the 2024 exams.

Must Check: Class 12th Commerce Coaching

Class 12 Accountancy Syllabus 2023-24

The syllabus for the 12th Accountancy subject (Code No. 055) is divided into three parts:

• A – Accounting for Not-for-Profit Organizations, Partnership Firms, and Companies
• B – Financial Statement Analysis
• C – Project Work

Also Check: Project of Class 12th Accountancy

Class 12 Accountancy Part A Syllabus

To cover the first Part A syllabus students will require Accountancy Book 1 and a few chapters from Accountancy Book 2. The mark weightage given to part A is 60 marks. Part A – Accounting for Not-for-Profit Organizations, Partnership Firms and Companies can further be divided into 3 units

Also, Check – Class 12th Economic Books pdf 2024

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

Topics covered in Unit 1:

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

Students need to cover the following important topics for unit 1 of the Part A Account syllabus.

1. Understand the meaning of a Not-for-profit organization and how it is different from a profit-making entity.
2. Understand the meaning and features of receipts and payments accounts, and also learn how to prepare receipts and payments accounts.
3. Understand income and expenditure features and learn to prepare income and expenditure accounts and balance sheets of a not-for-profit organization.

Some important checks by CBSE for Unit 1 :

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

Also, Check: Class 12th English Project 2024

Unit 2. Accounting for Partnership Firms

Topics covered in Unit 2:

• Change in the Profit Sharing Ratio among the existing partners
• Admission of a partner – effect of admission of a partner on change in the profit sharing ratio, and necessary treatments.
• Retirement and death of a partner: effect of retirement/death of a partner on change in profit sharing ratio, and necessary treatments.
• Calculation of deceased partner’s share of profit till the date of death.
• Dissolution of a partnership firm

Students need to cover the following important topics for unit 2 of the Part A Account syllabus.

1. Understand partnership, partnership firm, and partnership deed.
2. Should be able to list all the characteristic features of a partnership and the contents of the partnership deed.
3. Should also be able to identify the significance of the provision of the Partnership Act in the absence of a partnership deed.
4. Easily differentiate between fixed and fluctuating capital,  and be able to count them while preparing a Profit and Loss Appropriation Account, and should also learn how to involve guarantee of profits while preparing a P&L appropriation account.
5. Understand goodwill, and valuation of goodwill using different methods.
6. Modes of Reconstitution of a Partnership Firm, How to treat Admission of a New Partner  New Profit Sharing Ratio, Sacrificing Ratio
7. Adjustment for Accumulated Profits and Losses, Revaluation of Assets and Reassessment of Liabilities, Adjustment of Capitals
8. New Profit Sharing Ratio, Gaining Ratio, Treatment of Goodwill
9. Adjustment for Revaluation of Assets and Liabilities, Adjustment of Accumulated Profits and Losses

Some important checks by CBSE for Unit 2:

1. The realized value of each asset must be given at the time of dissolution.
2. In case, the realization expenses are borne by a partner, a clear indication should be given regarding the payment thereof.

Unit 3. Accounting for Companies

Topics covered in Unit 3:

• Accounting for Share Capital
  • Features and types of companies
  • Share and share capital: nature and types.
  • Accounting for share capital
  • Concept of Private Placement and Employee Stock Option Plan
  • Accounting treatment of forfeiture and reissue of shares.
  • Disclosure of share capital in the Balance sheet of a company.
• Accounting for Debentures

Students need to cover the following important topics for unit 3 of the Part A Account syllabus.

1. Understand Accounting for Share Capital for companies
2. Learn Features and kinds  of a Company
3. Understand Share Capital of a Company, Nature, and Classes of Shares  and Issue of Shares
4. Accounting Treatment and Forfeiture of Shares
5. Issue and Redemption of Debentures Meaning of Debentures
6. The distinction between Shares and Debentures, Types of Debentures, Issue of Debentures, Over Subscription, Issue of Debentures for Consideration other than Cash, Issue of Debentures as a Collateral Security
7. Terms of Issue of Debentures, Interest on Debentures, Writing off Discount/Loss on Issue of Debentures, Redemption of Debentures, Redemption by Payment in Lump Sum
8. Redemption by Purchase in Open Market
9. Redemption by Conversion

Some important checks by CBSE for Unit 3:

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

12th Accounts Syllabus and Chapters for Part B

To cover the  Part B of the syllabus students will require Accountancy Book 2. The marks weightage given to part A is 20 marks. Part B Financial Statement Analysis can further be divided into 2 units

Unit 4. Analysis of Financial Statements

Topics covered in Unit 4:

• Meaning, Nature, Uses and importance of financial Statement.
• Statement of P&L and Balance Sheet with major headings and subheadings.

Students need to cover the following important topics for unit 4 of the Part B Account syllabus.

1. Able to state the meaning, objectives, and limitations of financial statement analysis.
2. Learn the proper use of different tools of ‘financial statements analysis.
3. Are able to make Comparative Statements and  Common Size Statement
4. Understand the Meaning, objective, advantage, and limitation of each Accounting Ratios
5. Learn the formulas for all Types of Ratios
   1. Liquidity Ratios: Current ratio and Quick ratio.
   2. Solvency Ratios: Debt to Equity Ratio, Total, Asset to Debt Ratio, Proprietary Ratio and, Interest Coverage Ratio.
   3. Activity Ratios: Inventory Turnover Ratio, Trade Receivables Turnover Ratio, Trade Payables Turnover Ratio, and Working Capital Turnover Ratio.
   4. Profitability Ratios: Gross Profit Ratio, Operating Ratio, Operating Profit Ratio, Net Profit Ratio, and Return on Investment.

Some important checks by CBSE for Unit 4:

1.  The net Profit Ratio is to be calculated on the basis of profit before and after tax.
2. Statement of Profit and Loss and Balance Sheet in the prescribed form with major headings and subheadings (as per Schedule III to the Companies Act, 2013)
3. Exceptional items, extraordinary items, and profit (loss) from discontinued operations are excluded.

Unit 5. Cash Flow Statement

Topics covered in Unit 5: Meaning, objectives, benefits, Cash and Cash Equivalents, Classification of Activities and preparation.

Students need to cover the following important topics for unit 5 of the Part B Account syllabus

1. Understand the objectives  and benefits of the Cash Flow Statement
2. Learn about Cash and Cash Equivalents,  Cash Flows
3. Preparation of cash flow statement after ascertaining cash flow from operating activities, ascertainment of cash flow from investing and financing activities

Some important checks by CBSE for Unit 5:

(i) Adjustments relating to depreciation and amortization, profit or loss on the 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.

Accountancy Part C Project work

Part C is project work that can be submitted from March onwards. Students need to prepare a project file and also prepare for a written test and viva.

In order to assess the student on their practical knowledge, CBSE has also issued guidelines on preparing project files. Students can create a project file by referring to both the accounts book published by NCERT. Check our detailed blog on the 12th Accounts project for the 2023-24 session.

According to new guidelines published by the CBSE for the class 12th Accounts project, there will be only one project instead of three hence 10 Lectures were reduced in the same.

Check all the details about the class 12 practical exams of all the subjects for the 2024 exams.

Download Class 12 Accountancy Syllabus 2023 PDF

The Accounts syllabus is available for free on the CBSE official website. Or, you can download the syllabus pdf from the direct link we have mentioned below.

Class 12th Accounts Syllabus 2023-24 – Download PDF

Don’t Get Confused with Computer Accounting Syllabus

To sync the senior secondary curriculum with the latest industry trend, the CBSE board induced a new subject that is Computer accounting. The board has allowed students of class 12th to switch to computer accounting even if they were having accounts in class 11th.

For students who opted for computerized accounting, the syllabus remains similar except for unit-4. The regular Unit 4 Analysis of Financial Statements is replaced by a computer accounting unit. To cover the syllabus of computer accounting, students need to download a pdf of a computer accounting book from here. This book is divided into 5 chapters and has 150 pages.

How to Study for CBSE Class 12th Accounts Paper?

Account is a practical subject. Students need to understand the concept and do regular practicing to excel in this paper. Topics like the issue of shares and debentures will require a lot of practice. So, focus on these study tips to prepare for the 12th accounts paper and get good marks in class 12th result 2024:

1. Write down the concepts and theories on a chart and can keep it handy by sticking it in your room for quick reference,
2. Make notes and illustrate every aspect of the non-profit organization, partnership firms, and corporates  in your own words
3. Make charts of all the accounting ratios and try to memorize them in an interesting format.
4. While preparing accounting statements, identify the nature of the product and thoroughly analyze it before its treatment.

Students can download the class 12 accounts sample papers 2024 and practice for the board exams. You can also download the class 12th commerce question papers of Accounts, Maths, Economics, and BST by clicking on this link.

So, that’s all for the Class 12 Accountancy syllabus for the 2023-24 session. Students can download the pdf of the syllabus and refer it while preparing for the exams.

Check out: Courses after 12th

Students Also Asked

Ques 1. How many chapters are there in the 12th Accounts subject?

Ans. There are total 11 chapters in the class 12th Accounts subjects.

Ques 2. Is 12th Accountancy hard?

Ans. The Accounts subject is slightly difficult due to the vast syllabus. Furthermore, students can’t memorise this subject, they have to understand the concepts to answer the practical questions.

Ques 3. Is Ncert enough for the Class 12 Accounts exam?

Ans. NCERT must be the base for the Accounts paper. But, if students want to practice more questions and have a better understanding, they can refer to other books like DK Goel and TS Grewal.

Ques 4. From where to download the Class 12 Accountancy syllabus pdf?

Ans. Students can download the Accounts syllabus pdf from the official website of CBSE or from this page.