FUNCTIONAL ACCOUNTING

Paper Code: 
ATG 216
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:

CO68: Analyzethe aspects for solving practical problem in the field of Royalty business.

CO69: Interpretation of Financial Statements in the case of Department Accounts.

CO70: Analyze the concept of Branch Accounts

     
     
     

and applying them in preparation of accounts of national or international branch.

CO71: Develop an insight for applying fundamental principles of Investment Analysis and evaluation of firm’s financial performance and also under the concept of Insurance claim.

CO72: Analyzethe concept of Hire Purchase System and its calculations.

Explanations,

Discussion, Project,

Solving Questions

 

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects, Observation.

  

 

8.00
Unit I: 
Royalty and Lease

Royalty Accounts: Meaning of Minimum Rent, Short Working, Excess Working, Recoupment of Short Workings, Accounting in the books of Lessee and Lessor, Sub Lease
 

Accounting for Lease: Theoretical Concepts of lease

6.00
Unit II: 
Departmental Accounts

Advantage of Departmental Accounting, Allocation of Departmental Expenses, Distinction between Departmental Accounts and Branch Accounts, Cost Based Transfer Price, Market Based Transfer Price, Ascertainment of Departmental Profit

10.00
Unit III: 
Branch Accounts

Branch Accounts: -Difference between Branch and Departmental Accounts,

Dependent Branches: Method of Accounting for Branch Transactions Debtors System, Stock and Debtors System, Final Account System
 

Independent Branches: Incorporation of Branch Assets and Liabilities, Abridged Incorporation Foreign Branches

10.00
Unit IV: 
Accounting for Investment and Insurance Claims

Accounting for Investment: Fixed Income Bearing Securities, Variable Income Bearing Securities, Accounting Arrangement of Fixed Income Bearing Security, Purchase/Sale of Investment on the Date of Payment of Interest Purchase/Sale of Investment before the Date of Payment of Interest
 

Insurance Claims-Claims under fire insurance policies, Claim for Loss of Stock, Claim for Loss of Profit

11.00
Unit V: 
Hire Purchase and Installment System
Hire Purchase and Installment Sale Transaction: Nature of Hire Purchase Agreement, Ascertainment of Total Cash Price, Accounting Arrangement of Hire Purchase Transaction in the Books of Hire Purchaser and Hire Vendor, Hire Purchase Agreement for Goods of Small Value
 

Installment Payment System: Difference between Hire Purchase System and Installment Payment System, Accounting Arrangement,  In the Books of Buyer and Seller

Essential Readings: 
ESSENTIAL READINGS:

·        Gupta, R.L. & Gupta, V.K. Financial Accounting. Sultan Chand & Sons

·        Mukharjee, A., Hanif, M. Modern Accountancy. Tata Mc- Graw-Hill

·        Sehgal, A. & Sehgal, D. Fundamentals of Financial Accounting .  TaxMann’s

·        Jain. Khandelwal & Pareek. Financial Accounting. Ajmera Book Company

 

SUGGESTED READINGS:

·        Ghosh, T. P. Fundamentals of Accounting. Sultan Chand & Sons.

·        Goel, D. K., & Goel, R. Accountancy. Arya Publications.

·        Maheshwari, S. N. An Introduction to Accountancy. Vikash Publishers.

·        Tulsian, P. C. Accountancy. Tata Mc Graw Hill.

References: 

e-RESOURCES:

 

JOURNALS:

  • 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
  • Vikalpa: Journal for Decision Makers

 

Note- The candidate shall be permitted to use battery operated pocket calculator that should not have more than 12 digits, 6 functions and 2 memories and should be noiseless and cordless

 

Academic Year: 
2022-2023
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