cash flow statement)

Preparation of financial statements as per Companies Act. (excluding

cash flow statement)

AS 1 in relation to final accounts of companies (disclosure of accounting policies)

Methods of Redemption of fully paid up Preference Shares as per Companies Act, 2013: The proceed of a fresh issue of shares, the capitalisation of undistributed profits and a combination of both, calculation of minimum fresh issue to provide the fund for redemption,

(Question on entries and/or Balance Sheet)

Note: Companies governed by Section 133 of the Companies Act, 2013 and comply with the accounting standards prescribed for them. Hence, the balance in security premium account not to be utilised for premium payable on redemption of preference shares.

Methods of redemption of debentures: By payment in lumpsum and by payment in instalments (excluding from by purchase in open market), Conversion.

(Question on entries. ledgers and/or Balance Sheet and /or redemption of preference shares).

Preparation  of  separate,  combined  and  columnar  Profit  and  Loss  Account.

including different basis of allocation of expenses/ incomes.

(b)       Trend Analysis.

(c)        Comparative Statement.

(d)       Common Size Statement.

NOTE: Practical Problems based on the above (a) to (d)

(i)         Current Ratio

(ii)        Liquid Ratio

(iii)      Stock Working Capital Ratio

(iv)      Proprietary Ratio

(v)        Debt Equity Ratio

(vi)      Capital Gearing Ratio

(i)         Gross Profit Ratio

(ii)        Expenses Ratio

(iii)      Operating Ratio

(iv)      Net Profit Ratio

(v)        Net Operating Profit Ratio

(vi)      Stock Turnover Ratio

(i)         Return on Capital employed (Including Long Term Borrowings)

(ii)        Return on proprietor’s Fund (Shareholders Fund and Preference Capital)

(iii)      Return on Equity Capital

(iv)      Dividend Pay out Ratio

(v)        Debt Service Ratio

(vi)      Debtors Turnover

(vii)     Creditors Turnover

Preparation of  Cash Flow Statement  with reference to Accounting Standard No. 3. (Indirect method only)

(A) Concept, Nature of Working Capital, Planning of Working Capital.

(B) Estimation/Projection of Working Capital Requirements in case of Trading and Manufacturing Organization.

(C) Operating Cycle Practical Problems.

Qualifications in Audit Report, Disclaimers in Audit Report

Adverse Opinion, Disclosures, Reports and Certificate

Approach to audit in CIS environment

Use of computer for internal and management audit purposes

Audit tools, test packs, computerized audit programmes

Special aspects in Audit of E-Commerce Transaction.

The Chartered Accountant Act

Schedules

Members who are deemed to be in Practice

Significance of the Certificate of Practice

Disabilities for purpose of Membership

Disciplinary Procedure

Professional Misconduct

Auditing and Investigation.

Steps in Investigation.

Special aspects in connection with Business Investigation.

Types of Investigation (only introduction).

Meaning of Due Diligence.

Purpose of Due Diligence.