ICSE CISCE 12th 2018 Commerce Business Studies , Economics Syllabus 2018 Unit wise Download PDF

(ii) Sources of finance for a Joint Stock Company.

• (a) Different types of shares: equity, preference. Bonus shares, rights issue, ESOP, Sweat Equity Shares, Retained earnings.
• (b) Loan capital: debentures.
• (c) Loans from commercial banks and Financial Institutions.
• (d) Short-term sources of funds.

(iii) Banking – latest trends.

(ii) Nature of Management – Science, Art and Profession.

(iii) Importance of Management.

(iv) Principles of Management: nature of principles; need for principles.

(v) Functions of Management: Planning; Organising; Staffing; Directing; Controlling and Coordinating.

(ii) Marketing Mix.

(iii) Consumer protection: rights of consumers, methods of consumer protection.

Law of Diminishing Marginal Utility, Law of Equimarginal Utility, consumer’s equilibrium through utility approach (Cardinal) and indifference curve analysis (Ordinal).

(ii) Elasticity of demand: meaning, types of elasticity of demand, measurement of elasticity of demand; factors affecting elasticity of demand.

(iii) Supply: meaning; difference between stock and supply; determinants of supply; Law of Supply; movement and shift of the supply curve; elasticity of supply.

(iv) Market Mechanism: Equilibrium and disequilibrium; Equilibrium price and effect of changes in demand and supply on the equilibrium price. Simple applications of tools of demand and supply.

(v) Concept of production and production function (short run and long run production function), returns to a factor, total, average and marginal physical products; Law of Variable Proportions and its three stages.

(vi) Cost and revenue: Basic concepts of cost; fixed cost, variable cost, total cost, marginal cost and average cost – their relationships; opportunity cost; short run and long run cost curves. Revenue: meaning; average revenue, marginal revenue and total revenue and their relationships under perfect competition and imperfect competition, Producer’s equilibrium.

(vii) Main market forms: perfect competition, monopolistic competition, oligopoly, monopoly, monopsony; characteristics of the various market forms; equilibrium of a firm in perfect competition under short run and long run.

(ii) Banks: functions of commercial bank; high powered money, credit creation by commercial banks; Central Bank: functions.

(ii) Government Budget: meaning, types and components.

(ii) Concepts and definition of NY, GNP, GDP, NNP, private income, personal income, personal disposable income, National Disposable Income and per capita income; relationship between the income concepts.

(iii) Methods of measuring National Income: product or value-added method; income method and expenditure method with simple numericals based on them.

(ii) Functions of an office.

(iii) Office services – secretarial support, record management, distribution of mail, control of stationery, reception, operation of switchboards, duplicating and copying, etc.

(iv) Centralisation or decentralisation of office services.
(v)Departments in a large office: production; personnel; marketing; finance and accounting; secretarial.

(vi) Role of the office as an information processing centre.

(vii) Office Manager: functions and his qualities.

(ii) Principles and factors involved in the selection of office site.

(iii) Office layout: meaning; purposes; principles; steps; types.

(iv) Physical factors: outline of the effects of – lighting, ventilation, noise, cleanliness, etc. on the office work

(ii) Steps in organisation of office.

(iii) Principles of organisation.

(iv) Types of organisations – line, functional, line and staff, committee.

(v) Features of the above organisation structures.

(vi) Meaning of departmentalisation.

(vii)Methods of departmentalisation (function, territory, process, production or service).

(viii)Visual presentation of – organisation; structure (organisation chart – meaning, purpose and type of organisation charts).

(iii) Meaning of delegation.

(iv) Principles/rules of delegation of authority.

(v) Distinction between centralisation and decentralisation of authority.

(vi) Office manuals.

(ii) Filing – characteristics of a good filing system; classification of records for filing (alphabetical, numerical, etc.); modern methods – vertical, horizontal, lateral and suspension; equipment; types of files; filing routine; disposal of obsolete documents.

(iii) Indexing: importance; types – page index, card index, strip index, rotary index.

(iv) Micro-filing: merits and demerits; types – roll film, fiche, jackets, etc.

(v) Meaning of electronic filing.

(ii) Types of photocopying; reflex, diazo, electrostatic, dual spectrum etc.

(iii) Printing: considerations for the choice between in-house and outside printing; offsetprinting and letter press printing.

(iv) Typewriters: manual; electric; automatic; electronic.(iv) Typewriters: manual; electric; automatic; electronic.

(ii) Merits and demerits of office automation.

(iii) Uses of – adding and listing machines; calculators; cash registers; computers.

(iv) Components of computers for processing data: input units; central processing unit; output units; backing store.

(v) Elementary knowledge of the types of computers: main frame, mini, micro.

(i) Definition, meaning and features of a Partnership. Self explanatory.

(ii) Provisions of The Indian Partnership Act, 1932, with respect to books of accounts.

(a) Meaning and importance.

(b) Rules applicable in the absence of a partnership deed.

(iii) Preparation of Profit and Loss Appropriation Account and Partners’ Capital and Current Accounts.

(a) Profit and Loss Appropriation Account.
(b) Partners’ capital accounts: fixed and fluctuating.

(c)Partners’ Current Accounts when fixed capital method is followed Interest on capital, interest on drawings, interest on current accounts (debit and credit) salary, commission to partners and managers, transfer to reserves, division of profit among partners,

(d) Guarantee of profits

(e) Past adjustments (Relating to interest on capital, interest on drawing, salary and Profit Sharing Ratio).

(a) Meaning, nature and features of Goodwill.

(b) Factors affecting the value of goodwill.

(c) Mode of Valuation

. • Average profit method – Meaning and practical application. − Simple average. − Weighted average method

• Super profit method – Meaning and practical application.

• Capitalization method – Meaning and practical application. − Capitalization of average profit. − Capitalization of super profit.

(i) Calculation of new profit sharing ratio, sacrificing ratio and gaining ratio. Self Explanatory (ii) Accounting treatment of goodwill on admission of a partner. Based on Accounting Standard –26 issued by the Institute of Chartered Accountants of India in the context of Intangible Assets.

(a) Premium for goodwill paid privately.

(b) Premium for goodwill paid (in cash or kind) and retained in the business.

(c) Premium for goodwill paid and withdrawn by the old partners.

(d) When the incoming partner cannot bring premium for goodwill in cash, adjustments are to be done through his current account.

(e) Hidden goodwill.

(f) When goodwill appears in the old Balance Sheet.

(iii)Preparation of Revaluation Account. Preparation of a Revaluation Account where changes in the values of assets and liabilities are reflected in the new Balance Sheet after reconstitution of a partnership firm

(iv) Accounting treatment of accumulated profits and losses. General Reserve / Reserve Fund, Workmen Compensation Reserve/ Fund, Investment Fluctuation Reserve/Fund, Contingency Reserve, Profit and Loss Account (Debit and Credit balance) and Advertisement Suspense Account/ Deferred Revenue Expenditure.

(v) Adjustment of Capitals.

(a) Adjustment of old partner’s Capital Accounts on the basis of the new partner’s capital.

(b) Calculation of new partner’s capital on the basis of old partner’s adjusted capital.

(vi) Change in Profit Sharing Ratio. Change in PSR takes place at the time of admission of a partnership firm. Accounting treatment of accumulated profits and losses through one journal entry: Gaining partners cap/current A/c Dr. To sacrificing Partners cap/current (in case of profits).

(a) Issue of shares at par and premium under Companies Act, 2013.

(b) Issue of shares for considerations other than cash

• To promoters (can be considered either through Goodwill account or Incorporation costs account).

• To underwriters.

• To vendors.

(c) Calls in arrears, calls in advance and interest thereon including the preparation of ledger accounts.

(d) Over and undersubscription (including prorata allotment).

(b) Issue of debentures as collateral security for a loan.

(c) Issue of debentures for considerations other than cash.

• To promoters.

• To underwriters.

• To vendors

(d) Accounting entries at the time of issue when debentures are redeemable at par and premium.

(e) Interest on debentures (with TDS).

(f) Disclosure of Debentures in the company’s Balance Sheet.

(g) Disclosure of discount on issue of debentures in the company’s Balance Sheet when debentures are redeemed in instalments.

•  Creation of Debenture Redemption Reserve (DRR).
•  Redemption of debentures out of profits.
• Redemption of debentures out of capital.
• Redemption of debentures in a lump sum.
• Redemption of debentures in annual instalments by draw of lots.
• Redemption of debentures by purchase in the open market

(ii) Calculation of net cash flows from operating activities based on Indirect Method only. Preparation of a Cash Flow Statement from two consecutive years’ Balance Sheet with or without adjustments. Preparation of complete/partial cash flow statement from extracts of Balance Sheets and Statements of P/L with or without adjustments.

(iii) Preparation of Cash Flow Statement on basis of operating, investing and financing activities

1. Current Ratio: Current Assets Current Liabilities
Current Assets = Current Investments + Inventories (excluding Loose Tools and Spare Parts) + Trade Receivables + Cash and Bank Balance + Short-term Loans and Advances + Other Current Assets Current Liabilities = Short term borrowings + Trade payables + Other Current Liabilities + Short term Provisions

(ii) Features offered by Electronic Spreadsheet.

An understanding of basic features of electronic spreadsheets such as: Creating worksheet, entering data into worksheet, heading information, data, text, dates, alphanumeric values, saving & quitting worksheet. Opening and moving around in an existing worksheet. Toolbars and Menus, keyboard shortcuts. Working with single and multiple workbooks – copying, renaming, moving, adding and deleting, copying entries and moving between workbooks. Formatting of worksheet- Auto format, changing alignment, character styles, column width, date format, borders and colours. Previewing and Printing worksheet – Page setting, Print titles, Adjusting margins, Page break, headers and footers. Formulas – summation, subtraction, division, multiplication, average and percentage. Functions: date, if-then- else, freezing panes.

(iii) Application of spreadsheets in generating the following accounting information:

1. Payroll Components of payroll – Basic, HRA, DA and TA, CCA, deduction for PF and income tax.

2. Data Presentation Graphs and charts- using wizards, various charts type, formatting grid lines and legends, previewing & printing charts Database – creation, sorting, query and filtering a database.

(ii) DBMS in Business Application. Database design, tables, fields, relationships, forms reports and indexing. The following examples of DBMS in business application: • Accounting Information

• Debtors and Creditors

• Bank Reconciliation Statement

• Asset Accounting