CORPORATE ACCOUNTING

Paper Code: 
AAF 314
Credits: 
3
Contact Hours: 
45.00
Max. Marks: 
100.00
Objective: 

Course Outcomes (COs):

Course Outcomes

Learning and teaching strategies

Assessment Strategies

  
 

On completion of this course, the students will be able to:

CO95: Assess knowledge about companies, Shares, and regulations of companies.

CO96: Discriminate between issue and redemption of shares and debentures.

CO97: Prepare P&L, Balance Sheet as per the Schedule and ascertain profit for remuneration purpose.

CO98: Gain knowledge about underwriting of shares and debentures.

CO99: Evaluate the methods of valuation of goodwill and shares.

Interactive Lectures, Discussion, Tutorials, assignments, Self-learning assignments, Effective questions,  Giving tasks, Solving numerical problems

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments,  Individual projects

 

 

10.00
Unit I: 

·         Accounting for shares: Demat Shares, Right Issue, Issue of Shares to Vendor, Issue of Shares to Promoters, Issue of Sweat Equity Shares, Employees Stock Option Scheme(ESOS), Bonus Issue.

·         Redemption  of  Preference  Shares  and  Buy  Back  of  Shares: Introduction, Redemption of Preference Shares, Accounting Treatment, Calculation of Minimum Fresh issue of shares to comply with section 80 of the Act, Minimum Fresh Issue to Provide Funds for Redemption, Partly Called up Preference Shares and Redemption of Preference Shares, Fully Called up but partly paid up Shares and Redemption of Preference Shares, Buy Back of Equity Shares

 

7.00
Unit II: 

·         Accounting For Debentures: Introduction, Meaning and Types of Debentures, Difference between Shares and Debentures, Accounting for Issue of Debentures, Treatment of Discount on issue of Debentures, Interest on Debentures, Meaning of Redemption of Debentures, Sources

8.00
Unit III: 

·         Preparation  of  Financial  Statements: Profit  and  Loss  Account, Balance Sheet as per Schedule VI

·         Managerial  Remuneration:  Ascertaining  Profit  for  Managerial Remuneration, Remuneration to Directors, Remuneration to Managers

·         Disposal  of  Profits:  Transfer  to  Reserve,  Dividends,  Corporate Dividend Tax, Unpaid   Dividend   Account

 
 
10.00
Unit IV: 

·         Acquisition of Business, Pre-Incorporation Profit/Loss, Underwriting of Shares and Debentures: Meaning of Underwriting, Sub-Underwriters,  Firm  Underwriting,  Underwriting  Commission, Marked Applications, Calculation of Liability of Underwriters
 
10.00
Unit V: 

·         Valuation of Goodwill: Features of Goodwill, Elements of Goodwill, Types of  Goodwill, Accounting for  Goodwill, Valuation  of  Non-Purchased  Goodwill-Average  Profit  Method,  Super  Profit  Method, Capitalization  of  Average  Method,  Capitalization  of  Super  Profit

            Method, Annuity Method

·         Valuation of Shares: Need for Valuation, Factors Affecting Valuation of  Shares,  Methods  of  Valuation-Assets  Backing  Method,  Yield Valuation Method
 
Essential Readings: 

·         Corporate Accounting-Agarwal, Jain, Sharma, Shah , Mangal (Ramesh Book Depot)

·         Modern Accountancy- A. Mukherjee & M. Hanif (Tata McGraw Hill)

·         Accounting-Jain, Khandelwal, Pareek (Ajmera Book Company) 

References: 

·         Accounting Theory-L.S. Porwal (Tata,McGraw Hill)

·         Advanced Accounts-Shukla, Grewal, Gupta (S.Chand)

·         Advanced Accountancy-S.N Maheshwari (Vikas Publishing House Pvt Ltd)

·         Advanced Accountancy- S.P Jain& K.L Narang , (Kalyani Publishers)

·         Corporate Accounting - Anil, Rajesh Mariyappa ( Himalaya Publishing House) 

·         https://www.khanacademy.org/economics-finance-domain/ap-macroeconomics/a...

·         Business Perspectives and Research

·         FIIB Business Review

·         Harvard Business Review

·         IUP Journal of Accounting Research

·         Jindal Journal of Business Research

·         Nirma University Journal of Business & Management Studies

·         Oorja

·         The Chartered Accountant

·         The ICFAI reader

·         The Indian Journal of Commerce

 

Academic Year: 
2022-2023
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