Beruflich Dokumente
Kultur Dokumente
ON
PROFESSIONAL EXAMINATIONS
Objectives
This course is designed to impart knowledge about the impact of nature of special
business transactions and also of organisation structure on accounting. This course also
covers accounting of financial institutions and public utilities.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Joint Venture Accounts, Consignment Accounts, Branch 25%
and Departmental Accounts
Hire-Purchase and Installment Accounting, Lease 25%
Accounting, Royalty Accounts, Accounting for Garments
Enterprises
Integrated Accounting System as practiced in Industrial 25%
Enterprises in Bangladesh, Accounting for NGO’s and
enterprises in Export Processing Zones, Accounting for
Not-for-profit Organizations
Accounts of Banks, Accounts of Insurance Companies 25%
Accounting for Public Utilities Concerns
100%
Contents
01. Joint Venture Accounts: Difference between Joint Venture and
Consignment, Accounting for Joint Venture, No. separate books of Joint
Venture, Joint Venture Account, Memorandum Joint Venture Account,
Separate Books for Joint Venture, Joint Bank Account, Joint Venture
Account, Joint Venture Investment Account, Interest Calculation, Account
Current.
02. Consignment Accounts: Difference between sales and consignment,
Account sales, Accounting treatment in consignor’s books, Valuation of
unsold stock, Treatment of commission, bad debt and Del Credere
Commission, treatment of loss of goods on consignment, Stock
deficiencies, insured and uninsured stock losses-goods on consignment at
selling price, treatment of discount on bill of exchange, accounting
treatment in consignee’s book.
03. Branch and Departmental Accounts: Distinction between Branches
and Departments, Branch selling only for cash, Branch selling both for
cash and credit, Goods invoiced at selling price, Branch maintaining
independent Accounts, Foreign branches, Departmental Accounts.
04. Hire-Purchase and Installment Accounting: Hire-Purchase:
Definition, Accounting treatment in the books of buyer and seller,
Treatment of repossession. Installment: Hire-purchase versus Installment,
Determination of Installments Accounting, treatment for installment both
in purchaser’s and seller’s books.
05. Lease Accounting: Concept of Lease, Economics of Leasing,
Accounting for Lease, Accounting by Lessor : Opening Leases, Direct
Financial Lease and sale type Leases, Accounting by Leases : Opening
Lease, Capital Lease, Sales & Lease back [IAS 17].
06. Royalty Accounts: Introduction, Minimum Rent or Deed Rent, Short-
workings, Journal Entries, Ledger Accounts, Records in the book of
Landlords, Treatment in final accounts.
07. Accounting for Garments Enterprises: Finalisation of accounts of
garments enterprises with special references to currency translation and
back-to-back L/C. [IAS 15, IAS 21].
08. Integrated Accounting System as practised in Industrial
Enterprises in Bangladesh.
09. Accounting for NGO’s and enterprises in Export Processing
Zones.
10. Accounting for Not-for-profit Organisations: Accounting
Procedures, Receipts and Payments Account. Income & Expenditure
Account, Balance Sheet.
11. Accounts of Banks: Provisions of the Banking Companies Act, 1991
relating to Accounts and Audit-Book-keeping : Principal and subsidiary
books, Ledgers, General and Subsidiary, Internal control & checks,
Designing a system of accounting for bank, important items of a Balance
Sheet, Full particulars of Book debts. Auditors Report, prescribed forms of
Profit & Loss Account and Balance Sheet of a bank, Financial powers of
managing directors and directors, Reserve fund and cash reserve,
Restrictions on loans and advances, Maintenance of liquid assets [IAS
30].
12. Accounts of Insurance Companies: Provisions of the Insurance Act of
1938 relating to investment, loans, management, investigation,
commission---rebates etc.
Preparation of Revenue Account and Balance Sheets for life Insurance and
General Insurance. Insurance Claim Settlement.
13. Accounting for Public Utilities Concerns: Accounting for Railways,
Electricity, Telephone, WASA & Gas Distribution Authority. Treatment of
Replacement and Renewals under Double Accounts System.
***
Section II : Cost Accounting
1.50 hours
Half paper 50
marks
Objective
The course is designed to acquaint students with a comprehensive knowledge of
established practices of cost accumulation methods and learn the application of this
knowledge to basic planning, control and decision-making. The course covers job order,
process costing and standard cost systems. It is programmed to equip candidates with
fundamentals of accounting for material. Labour and manufacturing expenses: and
understanding of the importance of the role of the cost accounting in planning and
controlling the wide range of organisational and manufacturing costs.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Introduction, Cost Terminology and Cost Flows 15%
Costing and Control of Materials, Costing and Control of 20%
Labour, Costing and Control of Manufacturing Overhead
Allocating Costs to departments, Activity-Based Costing 20%
(ABC)
Job-Order Costing, Process Costing 25%
Costing for Joint Products and By-Products 20%
Operation Costing and Back flash Costing
100%
Contents
01. Introduction: Cost Accounting Defined; Comparison of Cost Accounting
and Financial Accounting; The Role of Cost Accounting; Cost Data for
Management Purposes; Methods and technique of Cost Accounting;
Characteristics of an Ideal Cost Accounting System; Applications of Cost
Accounting; Modern Trends in Cost Accounting.
02. Cost Terminology and Cost Flows: Cost object; Cost; Expense and
Loss; Cost Categories, Cost associated with Time of Incurrence, Cost
Reactions to Changes in Activity, Cost Classifications on Financial
Statements; Components of Product Cost; Accumulation of Product Costs;
Cost of Goods Manufactured and Sold.
03. Costing and Control of Materials: Classification of Materials;
Accounting for Materials; Pricing the Issue of Materials; Periodic Inventory
system and Perpetual Inventory System; Planning Material Requirement;
Ordering Cost; Holding Cost and EOQ; Effect of quantity Discounts on EOQ;
Safety Stock and Reorder Point.
Maximum and Minimum Stock Levels; JIT and Material Control; Material
Requirement Planning (MRP); ABC Analysis.
04. Costing and Control of Labour: Productivity and Labour Costs; Costs
included in Labour; Accounting for labour; Time-keeping, Computation of
Total Payroll and Allocation of Payroll costs: Jourrnalizing Labour Costs;
Special Problems Relating to Accounting for labour; Labour Cost Control,
Labour Turnover and Control of Labour Turnover.
05. Costing and Control of Manufacturing Overhead: Manufacturing
Overhead Costs, Actual vs. Normal Costing of Manufacturing Overhead;
Production Capacity, Predetermined Overhead Rates; Departmental vs.
Plantwide Overhead Rates; Separate Variable and Fixed Overhead
Application Rates; Separating Mixed Costs- High-low Method and Least
Squares Regression Analysis; Using Flexible Budgets in Setting
Predetermined Overhead Rates; Disposition of Underapplied and
Overhead; Causes of Underapplied Overhead.
06. Allocating Costs to departments: Cost Allocation through Cost Pools;
Allocation of Service Department Costs; Reasons for Service Department
Cost Allocations, Methods of Service Department Cost Allocation-Direct
Method, Step Method, Algebraic Method and Reciprocal Method.
07. Activity-Based Costing (ABC): Methods; Identifying Activities that Use
Resources; Cost Drivers and choosing Cost Drivers, Assigning Costs Using
Activity, Based Costing, Benefits of ABC, Criticism of ABC.
08. Job-Order Costing: Job-Order Costing; Job Cost Sheet; Accounting for
Materials and Labour in Job-Order System; Factory Overhead Application;
Spoiled Units, Defective Units, Scrap and Waste in Job Order Cost System.
09. Process Costing: Process vs. Job-Order Costing; Determination of
Equivalent Units; Cost of Production Report; Weighted Average and FIFO
Process Costing Methods; EUP Calculations and Cost Assignments.
10. Costing for Joint Products and By-Products: Joint Products and By-
Products, Allocating Joint Costs-Physical Measure of Allocation and
Monetary Measure of Allocation, Accounting for By-Products.
11. Operation Costing and Back flush Costing
Schedule of recommended text & books
# Polimeni, Fabozzi and Adelberg – Cost Accounting (3rd Edn.)
# Barfeld, Ralborn & Dalton – Cost Accounting -Traditions & Innovations (1st Edn.)
# L.Gayle Rayburn – Cost Accounting -Using A Cost Management Approach (4th Edn.)
# Michael Maher – Cost Accounting -Creating Value for Management (5th Edn.)
# Barfeld, Ralborn & Kinney – Cost Accounting -Traditions & Innovations (3rd Edn.)
***
Paper II : Taxation-1
03 hours
Full paper 100 marks
Aim: The aim is to examine:
- The basic principal of income tax and the rules relating thereto;
- The application of those principles and rules in practical situations;
- The basic principles and rules relating to value added tax (VAT0 and
application of those principles and rules in practical situations.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Income tax 65%
Preliminary (Chapter-I): Definitions, Administration (Chapter-II): Income
tax authorities and their Powers (Chapter-XIV), Taxes Appellate
Tribunal(Chapter-III) including Taxes Appellate Tribunal (Procedure)
Rules-1985, Charge of income tax (Chapter-IV), Computation of income
(Chapter-V), Exemption and allowances (Chapter-VI), Payment of tax
before assessment (Chapter-VII), Return and Statement (Chapter-VIII),
Assessment (Chapter-IX), Liability in special cases (Chapter-X), Special
provisions relating to avoidance of tax(Chapter XI), Requirement of
furnishing Certain Information(Chapter XII), Imposition of penalty
(Chapter–XV), Recovery of tax (Chapter –XVI), Double Taxation relief
(Chapter-XVII), including tax-treaties, Refunds (Chapter-XVIII), Appeal
and reference(Chapter-XIX), Protection of Information(Chapter-XX),
Offenses and Prosecution(XXI), Miscellaneous (Chapter-XXII) and
Schedules. The First Schedule: PART A- Approved Superannuation
funds, PART B- Recognised Provident Funds & PART C – Approved
Gratuity Funds. The Second Schedule: Rates of income tax in some
special cases. The Third Schedule: Computation of Depreciation
Allowance, The Fourth Schedule: Computation of profits and gains of
Insurance Business. The Fifth Schedule: PART A – Computation of the
profits or gains from the exploration and production of petroleum
(including natural gas) and the determination of the tax thereon and PART
B – Computation of profits and gains from the exploration and extraction
of mineral deposits (other than oil and natural gas) in Bangladesh. The
Sixth Schedule: PART A – Exclusions from total income PART B –
Exemptions and allowances for assessees being resident. The Seventh
Schedule: Computation of relief from Income tax by way of credit in
respect of Foreign tax.
Value Added Tax (VAT): 35%
Fair knowledge with respect to principles and practices of VAT including
practical problems
100%
Statutes/Rules/legal references:
1. Income tax (IT):
a. Income Tax Ordinance (No.XXXVI) of 1984 – including updated amendments
made by the annual FO/FA thereto:
IT Manual: Part-I : Sections: 01 – 187
: Schedules: 01 – 7
b. Income Tax Rules (SRO No.39-L/85 of 14 January 1985) 1984 – including
updated amendments made thereto: Rules: 01-67
c. Various Notifications/SROs and Orders made from time to time there under.
2. Value Added Tax (VAT):
a. VAT Act (No.22) of 1991 – including updated amendments made by the annual
FO/FA thereto: Sections 01-73 and Schedules 1-3 thereto
b. VAT Rules 1991: SRO No.178 – Law/91/3-Mushak of 12 June 1991 – including
updated amendments made thereto: Rules 01-43 and Forms: Mushak: 01-29
c. Various Notifications/SROs and Orders made from time to time there
under.
3. Customs Act (No.IV) of 1969 – updated:
Import-duty (ID), Supplementary-duty (SD) under VAT law and Infrastructure
Development Sur-charge (IDSC) under Finance Act (No.15) of 1997.
4. Court Fees Act (No.VII) of 1870 – dated
5. Stamps Act (No.II) of 1899 – updated
6. Registration Act (No.XVI) of 1908 – updated
7. Motor Vehicles Tax:
Motor Vehicles Tax Act (Bengal Act No.I) of 1932 – updated
Motor Vehicles Ordinance (No.LV) of 1983 – updated
8. Travel Tax: Finance Act (No.XXIII) of 1980 – updated &
Finance Ordinance (No.XLV) of 1986 – updated
Paper III : Auditing & Business
Law 03 hours
Full paper 100 marks
Section I :
Auditing
1.5 hours
Half paper 50 marks
Objectives
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Audit Principles and Procedures: 40%
Position of an Auditor 30%
Principles of Auditing 30%
100%
Contents
6. Audit Principles and Procedures:
Audit Administration
Audit Strategy
Audit Methodology
- Accounting System and Internal Control
- Planning
- Controlling
- Documentation
- Review of Financial
- Audit Evidence
• Stages of an Audit
• Tests of Control
• Substantive Procedures
• Review Techniques
• Formulation of Audit Opinion
• Internal Control System :
- Meaning, Objectives and Types of Internal Control
- Basic Principles Governing Accounting Systems and Related Internal
Controls
- Significance of an adequate and effective system of Internal Control
- Essential Characteristics of an Internal Control System
• Plan of Organisation
• Management Supervision
• Authorisation Procedures
• Recording Procedures
• Custody Procedures
- Risk Assessment and Internal Control
- Internal
- Meaning, Nature and Scope of Audit
- Objectives of Audit
- Need for and purpose of audit
- Primary and secondary objectives and advantages of audit
- Essential Features (Characteristics) of Audit
- Reviewing
- Testing
- Comparing
- Reporting Functions
- Types and Classes of Audit
- Statutory and Non-Statutory audit
- Internal and External audit
- General and Independent audit
- Compliance and Comprehensive audit.
02. Position of an Auditor
Audit appointment and Engagement letters
Companies Act (1994) Provisions regarding:
- Appointment and Removal of Auditor
- Rights and powers of Auditor
- Responsibilities and duties of Auditor
- Qualification and Disqualification of Auditor
- Remuneration of Auditor
Financial and Accounting Responsibilities of Directors
03. Principles of Auditing
Elementary knowledge of :
- Accounting and Auditing Standards
- General (Basic) Principles Governing an Audit
- Ethical Guidelines and Technical Standards
General Understanding of:
- Financial Statements and Accounting Policies
Accounting Concepts and Consideration of :
- Going Concern-Consistency-Accruals
- Prudence-Substance over Form-Materiality
Audit Conceptualization of :
- Auditor’s Reasonableness
- Professional Judgement
- Audit’s Duty of Care
- Audit Materiality
- Audit Independence
True and Fair View Audit Opinion
Schedule of recommended text & books
Bank Audit Guide – ICAB Publication
Insurance Audit Guide – ICAB Publication
Modern Auditing & Assurance Services – Gill
Modern Auditing – Gill
Information System Auditing & Assurance – Hall
Auditing : Integrated Concepts and Procedures – Taylor
Modern Auditing – Boynton
Principles & Practice of Auditing – Pagare, Dinkar
Contemporary Auditing – Kamal Gupta
Auditing Principles and Procedures – Dr. Khawaja Amjad Saeed
Members Handbook, ICAB
IFAC Handbook of Auditing & Ethics Pronouncements
IFAC Code of Ethics for Professional Accountants
IFAC Handbook of Technical Pronouncements – International Information Technology
Guidelines IFAC Handbook of Technical Pronouncements – International Public
Sector Accounting Standards
Section II : Business
Law
1.5 hours
Half paper 50 marks
Objectives
The object of study of Business Law by the students who are preparing themselves for
the profession of chartered accountants, should be to make themselves familiar with the
different aspects and provisions of Commercial Laws which they may come across in
discharging their professional responsibilities.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
The Law of contract in detail, including contract of indemnity, 30%
Guarantee, Bailment, pledge and Law of agency
Different types of business concern-proprietorship partnership 40%
and Limited Companies and Corporations created by Law, a
Comparative study only and not a detail study
Sale of Goods Act, 1930- Salient Features and provisions, the 30%
Law relating to insolvency including Bankruptcy, Negotiable
Instruments Act 1882, the Arbitration Act 1940
100%
Contents
01. The Law of Contract in detail, including Contract of Indemnity,
Guarantee, Bailment, Pledge and Law of agency.
02. Different types of business concern-Proprietorship, Partnership, Limited Companies
and Corporations created by Law-a-comparative study only and not a detailed study.
03. The Sale of Goods Act, 1930-Salient features and provisions
04. The Laws relating to Insolvency including Bankruptcy
05. The Negotiable Instruments Act, 1882
06. The Arbitration Act, 1940
Schedule of recommended text & books
# Sale of goods Act, 1930- Salient Features and Provisions
# Laws relating to Insolvency including Bankruptcy
# Negotiable Instruments Act, 1882
# Arbitration Act, 1940
Paper IV : Information
Technology
03 hours
Full paper 100 marks
Objectives
To assess (a) understanding of basic and current concepts of Information Technology
and financial knowledge of a modern personal computer and popular productivity
software software package, (b) both benefits and relevance of application of Information
Technology in modern business keeping in view the demands of business/ management
and the current trend in Information Technology. (Business Information Systems include
Management Information System. Decision Support System, Enterprise Resource
Planning and others needed for achieving the objectives of that particular business).
Terminology:
Information Technology (IT) refers to the total system of hardware and software in a
standalone or connected environment as the technology today for manipulation of
information for its various users.
Personal Computer (PC) is a desktop, tower based or notebook micro computer which is
mainly used a standalone PC or as a workstation connected to bigger to another
computer system.
Software packages are application software sold normally off the shelf as a package
often called shrink wrapped software.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Brief history of Computers 5%
Basic Concepts and essential terminologies 15%
Basic Networking and Communication concepts 15%
Elements of data processing 15%
Security 5%
Modern trends in Information Technology 10%
Effective Business Information System with use of Information 15%
Technology where relevant
Computerised Financial/Accounting System 15%
Establishment of Standards and Controls in general in 5%
Computerized Business Systems
100%
Contents
6. Brief history of Computers
i. History of computers, generations of computers; evolution of
Personal Computers.
02. Basic Concepts and essential terminologies
i. Types of computers (digital, analog and hybrid) and distinctions between them
ii. Computer hardware
6. Software
iv. Operating systems-single user (MSDOS/Windows 95), multiuser (Unix) and
networking (Netware, Windows NT)
v. Utility Softwares
vi. Tools languages-High level (procedural and Visual and Object oriented)/low
level and fourth generation languages (4 GLs)
vii. Application softwares (Accounting Packages, Office ’97 and other productivity
softwares)
viii. Input / Output devices
ix. Physical constituent parts of Personal Computer
x. Main memory, cache memory, video memory, buffers, virtual memory
xi. External storage-hard discs, floppy discs, tapes, Data, CD’s and VCD’s
xii. Configuration of a Personal Computer
For Section: 3
# Tananburn – Computer Network
# Minasi – The complete Network & Maintenance Guide
# Jaisal – Networking Technology
For Section: 5, 7 & 8
# Awad – System Analysis & Design
# Obrien – Management Information System
# Lawdon – Management Information System
# Gupta – Management Information System
For Section: 6
# BPB Publication – Internet Complete
# Jaisal – Networking Technology
Professional Examination II (PE II)
This course is designed to cover both micro and macro level accounting. At micro level,
emphasis is given on company accounts including mergers, acquisitions and insolvency.
At macro level, the course will cover governmental and national income accounting.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Company Accounts 30%
Accounting for Construction Contracts, Accounting for
Taxes on Income, Accounting for Research & 20%
Development Costs 20%
Merger & Reorganisation, Group of Companies, 15%
Insolvency Accounts 15%
Government Accounting
National Income Accounting
100%
Contents
6. Company Accounts: Preparation of final accounts in accordance with
statutory and accounting standards-Revenue recognition: recognition at
point of sales-before delivery-after delivery-Revenue recognition for
special sales transactions-Franchise. Provisions and Reserves-Taxation-
Directors’ emoluments-Fixed Assets and Depreciation.
Issue of Prospectus, shares and debentures-Redemption of debentures-Dividend
payments-Issue of Bonus Shares & Right Shares-Shares Split-Disclosure
requirements as per the Companies Act 1994 and the Securities & Exchange
Commission Act 1993. Preparation of Final Accounts.
02. Accounting for Construction Contracts: [IAS 11]: Types of
contracts-Accounting treatments of construction contract, costs and
revenue-The basis of pecialized revenue on construction costs-Percentage
of completion method-Completed contract method-Accounting for
construction contracts-Disclosure [IAS 11]
03. Accounting for Construction Contracts: [IAS 12]: Tax payable
Method-Deferral Method-Liability Method-Tax Losses-Financial Presentation
[IAS 12]
04. Accounting for Research & Development Cost: [IAS 9]: Research
and Development-Costs of Research and Development Activities-
Accounting Treatment of Research and Development Costs-Disclosure.
05. Merger & Reorganisation: [IAS 22]: Accounting for Business
Purchase-Amalgamation-Absorption and Reconstruction.
06. Financial Statements of Group of Companies: Accounting for
Holding Companies [IAS 27]: Need for consolidation of Financial
Statements-Scope of consolidated Financial Statements-Consolidation
procedures-Consolidated Profit & Loss Account-Consolidated Balance
Sheet.
Accounting for Investment in Associates: [IAS 28]: The Equity Method-The Cost
Method-Choice of Accounting Method in Consolidated Financial Statements.
07. Accounting relating to Insolvency: Individual and Partnership
firms
6. Government Accounting: Nature and scope of Government
Accounting; Summary of differences to commercial accounting;
Government Accounting in developing countries-general observations.
The frame-work and structure of government accounting in Bangladesh;
Comptroller and Auditor General’s powers and duties; public accounts
of central and local government; System of accounts; Finance and
revenue accounts; Period accounts; Budgets; Annual Development
Programme; public sector corporations and other government
enterprises; Taxation and other revenue.
Paper II : Advanced
Auditing 03 hours
Full paper 100 marks
Objectives
As an advanced level Professional Examination, the Syllabus is intended to enable
candidates to consolidate their knowledge and professional competence to conduct an
adequate, effective audit on the financial information on a given situation. The
examination is designed to assess the candidate’s skill and understanding in the
application of the principles, methodologies and practices involved in general and
pecialized audit situations. In answering examination questions, candidates are expected
to have relevant developments of the contents of applicable International Standards on
Auditing based on subject matters covered.
The whole of the Auditing Syllabi from Foundation Exam to Professional Exam III
(aggregating 200 marks) should be viewed in totality as a continuous process for learning
and application of the candidate’s knowledgeability and understanding thereof in practical
audit situations. Candidates are expected to have cumulative knowledge of the subject
matters covered in the Auditing Syllabi of earlier examinations.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Introduction, Objectives and Status of Audit 10%
Audit Principles and Methodologies 30%
Professional Ethics, Audit Independence and Concepts 20%
EDP, Group Accounts and Non-Financial Audit 20%
Specialised Audits and Reports 20%
100%
Contents
6. Introduction, Objectives and Status of Audit
• Development of Auditing
• Meaning, Nature and Features of an Audit
• Objective of an Audit
• Types and Classes of Audit
• Terms of Audit Engagement
• Legal and Professional Considerations
• Auditors’ and Directors’ Responsibilities Regarding Financial
Statements
Legal Position of an Auditor
- Companies Act 1994
- Securities & Exchange Rules 1987
Other Laws and Regulations
Accounting and Auditing Standards
- Meaning Objectives and Significance
- Standard Setting/Adoption Process
IASC & IFAC (IAPC)/ACAB
02. Audit Principles and Methodologies
• Audit Administration
• Audit Methodology
• Audit Strategy
• Stages of an Audit
• Tests of Control
• Substantive Procedures
• Review Techniques
• Formulation of Audit Opinion
• Accounting and Internal Control Systems
- Meaning, Objectives & Basic Principles Governing Accounting
- System and Related Internal Controls
- Types, Characteristics and Significance of an Internal Control
System
- Risk Assessment and Internal Controls
- Internal Check
- Internal Audit
- Internal Control Memorandum, ICQ & ICE
- Evaluation of Controls and Impact on Audit Work
Letter of Weakness
Planning an Audit
- Meaning, Objectives and Basic Principles of Planning
- Knowledge of Client’s Business
- 1st year Audit Engagement
- Planning Considerations and Memorandum
- Interim and Final Audit
- Audit Risk and Materiality levels
- Audit Risk and Materiality levels
- Audit Plans and Programmes
- Budgeting and Staffing
- Reliance on Internal Audit
Multi Location Engagements
Controlling an Audit
- Meaning, Objectives and Basic Principle of Controlling
- Audit Control Procedures
- Delegation and Supervision of Work
- Review of Working Papers, Notes and Queries
Time and Costs Monitoring
Quality Control
- Principles and Purpose of Quality Control
- Appropriate Skills and Competence
- Establishment and Monitoring of Procedures
- Quality Control Reviews
Documentation of Audit work
- Meaning, Objectives and Basic Principle of Documentation
- Recording of work done
- Types and purpose of working papers
- Evidence of reviews, conclusions and actions
- Evaluation of significant matters
Audit Evidence
- Meaning, Objectives and Basic Principle of Audit Evidence
- Nature and Sources
- Existence
- Ownership
- Sufficiency
- Relevance
- Reliability
Audit Techniques and Procedures
- Inspection, Enquiry and Observations
- Computation and Appraisal
- Management Representations
- Sampling Techniques
- Substantive Testing
- Analytical Review
- Depth Checking
- Directional and Rotational Testing
- Use of CAATs
- Reliance on other Auditors and Experts
Audit Verification Procedures-Final Audit
- Nature, Objectives and Procedures of Verification
- Basic Verification Techniques & Methodologies
- Compliance Procedures, Substantive Procedures & Art
- Cut off Procedures, Attendance at Stock taking and Circularization of
Debtors & Creditors, etc.
- Vouching and Verification Procedures in respect of relevant Balance
Sheet and Profit & Loss A/c Items
Audit Conclusion and Reporting (Auditor’s Report on)
- Overall Review of Financial Statements and Audit Work
- Post-Audit Reviews
- Considerations for Formulation of True and Fair View Audit opinion
- Basic Elements of Auditor’s Report
- Events and Circumstances
- Types of Audit Opinion
- Unqualified Audit Opinion (with illustrations)
- Qualifications in Auditor’s Report (with illustrations)
- Qualified Opinion
- Disclaimer Opinion
- Adverse Opinion
03. Professional Ethics, Audit Independence and Concepts
- Professional Ethics
Bangladesh C.A. Bye-laws, 1973
IFAC Guidelines on Professional Ethics
- Audit Independence
- Audit Concepts
Auditor’s Reasonableness and Professional Judgements
Truth and Fairness of Financial Statements
Going Concern
Audit Materiality
Related Party Transactions
Audit Sampling
Management Representations
Subsequent Events & Contingencies
04. EDP, Group Accounts and Non-Financial Audit
• EDP Audit
Auditing in Computer Information System (CIS) Environment
Internal Controls in a CIS Environment
Computer Assisted Audit Techniques (CAAT)
• Group Accounts Audit
• Joint Audits
• Non-Financial Audit
Management (Operations) Audit
Performance Audit
Social Audit
Environment Audit
05. Specialised Audits and Reports
Audit of:
• Banks
• Insurance Companies
• Other Financial Institutions (e.g. Investment/Merchant Bank & Finance
Cos.)
• Charities, Trusts and Co-operatives, Provident and Pension Funds
• Educational Institutions and Friendly Societies
• Public Sector Corporations and Projects
• Value of Money Audit
• Cost Audit
• Investigations
• Prospectus and Profit Forecast
• Audit of Accounting Estimates
• Examination of Prospective Financial Statements
• Audit of Small Businesses
• Review Engagements
• Reports of Proprietorship and Partnership
• Accountants’ Report
• Other Information in Documents Containing Audited Financial
Statements
• Auditor’s Report on Special purpose Audit Engagement
Schedule of recommended text & books
Bank Audit Guide – ICAB Publication
Insurance Audit Guide – ICAB Publication
Modern Auditing & Assurance Services – Gill
Modern Auditing – Gill
Information System Auditing & Assurance – Hall
Auditing : Integrated Concepts and Procedures – Taylor
Modern Auditing – Boynton
Principles & Practice of Auditing – Pagare, Dinkar
Contemporary Auditing – Kamal Gupta
Auditing Principles and Procedures – Dr. Khawaja Amjad Saeed
Members Handbook, ICAB
IFAC Handbook of Auditing & Ethics Pronouncements
IFAC Code of Ethics for Professional Accountants
IFAC Handbook of Technical Pronouncements – International Information Technology
Guidelines IFAC Handbook of Technical Pronouncements – International Public
Sector Accounting Standards
Contents
6. Provisions of the Companies Act 1994
02. Other Laws, Rules and Regulations
(a) The Insurance Act 1938;
(b) The Bank Company’s Act 1991;
I Laws relating to Securities & Exchange
(d) Laws relating to Finance and Leasing Companies
Paper IV : Management
Accounting 03
hours
Full paper 100 marks
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
1.Introduction 5%
2. Variable Costing &Cost- Volume, Pricing, Relevant 20%
Costing 5%
3. Managing Quality and Time 35%
4. Standard Costing, Revenue Variances and budgeting
Process:
(i) The Basic Framework of Budgeting
(ii) Master Budget
(iii) Flexible Budget 20%
(iv) Other Aspects of Budgeting
5. (i) Responsibility Accounting and Transfer Pricing in
Decentralised Organisation 15%
(ii) Performance Evaluation
6. (i) Quantitative Models for Planning and Control
(ii) Economics of Information
100%
Contents
01. Limited Company’s Financial Statements: Contents of Annual Reports :
Board of Directors-Financial History-Year at a glance-Statement of Value
Added-Chairman’s Statement-Report of Board of Directors-Auditor’s
Report-Profit & Loss Account-Balance Sheet-Cash Flow Statement-Notes to
Accounts.
Explanation and critical evaluation of: Provisions of the Companies Act, 1994 :
Sections 182, 183, 184, 185, 189 and 191.
Provisions of the Securities and Exchange Rules, 1987.
6. Group Accounts: Consolidated Balance Sheet and Profit and Loss
Account – Notes to Accounts. Provisions of the Companies Act, 1994 :
Sections 186, 187 and 188.
6. Accounts of Bank and Insurance Companies: Profit & Loss Account and
Balance Sheet of Banks & Insurance Companies. Provisions of the
Companies Act, 1994 : Section 192. The Insurance Act, 1938 : Sections
6, 7, 8, 9, 10, 11, 12. The Bank Company’s Act, 1991 : Section 32-44.
04. Other Financial Reporting Issues: Limited Companies: Organisation and
Shareholder’s Equity : Ordinary Shares & Preferred Shares--- Their
Characteristics-Role of underwriters-Share Pricing, Market Value; Book
Value and Market Price.
Reporting of Unusual Events [IAS 6] : Developing predictive information-Reporting Unusual
events-Continuing operation-Discontinuing operation-Earning per share-Fully diluted &
earnings per share.
Special Types of Liabilities: Debentures and Bonds Payable-Accounting for bonds---The
Concept of Present value etc. Lease obligations-Capital Leases-Deferred Income Taxes.
6. Fund Flow & Cash Flow Statements [IAS 6] : Distinction between Fund
Flow Statement and Cash Flow Statement. Preparation of Fund Flow
Statement. Preparation of Cash Flow Statement.
06. Framework for preparation and Presentation of Financial Statements:
Objectives of Financial Statements – Underlying Assumptions-
Qualitative Characteristics of Financial Statements-True and Fair View-
Elements of Financial Statements-Recognition of Elements of Financial
Statements-Measurement of Elements of Financial Statements-Concept of
Capital and Capital Maintenance.
6. International Accounting Standards as adopted in Bangladesh:
Standards relating to disclosure of accounting policies-Valuation and
presentation of inventories-Consolidated financial statements-
Depreciation Accounting-Information to be disclosed in Financial
Statements-Statement of Changes in Financial Position-Unusual and
Prior Period items and Changes in Accounting Policies-Contingencies
and errors occurring after Balance Sheet date-Reporting Financial
Information by Segments-Property, Plant and Equipment-Accounting for
Leases- Accounting for Investments in Associates-Financial Reporting in
Hyperinflationary situations-Disclosures in Financial Statements of
Banks and Similar Financial Institutions [Corporation with SSAP and
FAS].
Section II : Professional
Issues
03 hours
Half paper 50 marks
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Audit Independence 5%
Harmonization of Accounting/Auditing Profession 15%
Professional Ethics 5%
Non-financial Auditing 10%
Computerization of Accounting/Auditing functions 5%
CASE STUDY-Simulation of Practical Financial 20%
Reporting and Auditing practice
Cost Audit 10%
Audit of Group Companies, Holding/Subsidiaries, 10%
Associates 5%
Joint Audit 15%
Audit approaches and Methodology in EDP Environment and
Internal Control System
100%
Contents
1. Audit Independence
• ICAB Bye-laws
• IFAC Guidelines
2. Harmonization of Accounting/Auditing Profession
• Globalization of Accounting/Auditing Profession
• Future of Accounting/Auditing Profession
• Challengers and Opportunities of Accounting/Auditing Profession
• Emerging Challenges of New Millennium-Positioning/re-positioning the
profession for the New Millennium
• WTO-its implication on Accountancy/Auditing Profession
• Challenges and Opportunities under WTO/GATS
• National vs. International Standards
• Implementation of IAS & ISA-Implication of Financial Reporting and
Audit Practice in Bangladesh
• Roles of IFAC, IASC, IOSCO, WTO, etc. on Accountancy Profession
• Mutual Recognition of Accounting Qualifications (AQ) & Cross Boarder
Practice of Accountancy Profession-Threats, Challenges, Opportunities-
SWOT
Accountant’s roles as (future) Business Managers, Business Analysis and
Advisors (proaction)
Attainment of IFAC Standards as Benchmark
Education-Entry requirements Syllabus
Examination
Experience
CPE (PQE)
3. Professional Ethics
• Value from Money-Its applications, benefits and limitations
4. Non-financial Auditing
- NFA-Types, Objectives, Methods and Stages
- Management
- Performance Audit
- Social Audit
- Environment Audit
5. Computerization of Accounting/Auditing functions
• Tea Plantation
• Upazila/Municipal Corporation
• Hotels, Construction Firms
• Stock Brokerage Firm
• HP and Leasing Companies
• PSC and SOE (BJMC, BTMC, BSEC Projects
7. Cost Audit
6. Joint Audit
• Using the work of another Auditor [ISA 5]
Paper II Taxation
II
03 hours
Full paper 100 marks
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Income Tax: 60%
Expert knowledge of law and practice of Income-Tax
including practical problems and interpretation of
statute/rules/regulations
Other Taxes: 25%
Value Added Tax (VAT0 and Gift tax including practical
problems
Customs: Import duty etc., Court fees, Stamp-duty, 15%
Registration fee, Motor vehicles tax and Travel tax
100%
Statutes/Rules/legal references:
***
Contents
01. Role and Objective of Financial Management
Introduction: Financial Management Decisions; Objectives of Financial
Management; Agency Problems; Financial Objectives of Public Enterprises.
02. Financial Markets and Institutes
Financial Markets-Money Markets and Capital Markets, Primary Markets and
Secondary Markets, Organized and Over-the Counter Markets; The Efficiency
of Financial Markets-Allocative Efficiency, Operational Efficiency, Information
Processing Efficiency; Role of Financial Institute in Financial Markets;
International Financial Market.
03. Essential Concepts in Financial Management
The Time Value of Money; Analysis of Risk and Return; Capital Asset Pricing
Model; Arbitrage Pricing Theory.
04. Valuation of Securities
(i) Characteristics and Valuation of Fixed-Income Securities: Characteristics of
Long-Term Debts; Bond Valuation; Characteristics of Preferred Stock; Valuation
of Preferred Stock.
(ii) Characteristics and Valuation of Common Stock- Characteristics of Common
Stock-Valuation of Common Stock; Valuation of Closely Held Firms.
05. Portfolio Theory and Capital Asset Pricing Model
Portfolio and Portfolio Management; Market Portfolio; Efficient Portfolio; Selection
of Optional Portfolio; Objectives of Portfolio Management; Portfolio Risks-Systematic
and non-systematic Risks; Analysis of a Two-Asset Portfolio, Extension to a Multi-
Asset Portfolio; Risk-free Asset Combined with Risky Securities; Capital Asset
Pricing Model; Implication of Capital Asset Pricing Model (CAPM); Criticism of
CAPM.
06. Source of Finance
(i) Long-term Sources: Ordinary Shares; Preference Shares; Debt Finance-
Debentures, Convertible and Warrants.
(ii) Lease Financing: Types of Lease-Operating Lease, Finance Lease, Sale and
Leaseback, Leverage Lease; Lease or Buy Decisions.
(iii) Short-term Finance: Trace Credit; Accrued Expenses and Deferred Income;
Accounts Receivable Financing Factoring; Factoring; Short-Term Loan.
(iv) Financing of Small Business; Venture Capital; Business Angles.
***
Paper IV : Strategic
Management 03
hours
Full paper 100 marks
Objectives
The course is designed to test candidates analytical ability in multidisciplinary areas to
provide effective information for proactive management decisions in strategic business
planning and effective resources allocation.
Specification Grid
Syllabus Contents Weightage
(Indicative grouping of areas) (Indicative %)
Concepts of Strategic Management 15%
Strategic Analysis 25%
Strategic Formulation 30%
Strategy Implementation 30%
100%
Contents
01. Concepts of Strategic Management
Strategy and Strategic Management Defined; Importance of Strategic Management;
Tasks of Strategic Management; Strategery Managers and their Roles; Strategy-
Making Tasks; Factors shaping the Strategy and Ethics.
02. Strategic Analysis: The Role of Situation Analysis is Strategy-Making;
The Methods of Industry and Competitive Analysis; Identifying Dominant
Economic Characteristics of Industry, Forces that change Industry,
Analyzing Strength of Competitive Forces, Competition Analysis,
Pinpointing the Key Factors for Competitive Success.
Company Situation Analysis.
Evaluating Current Strategy; SWOT Analysis; Strategic Cost Analysis and Activity-
Cost Chains; Competitive Strength Assessment; Determining Strategic Issues that
need to be addressed.
03. Strategic Formulation: Managing for Competitive Advantage:
Competitive Advantages; Market Focus and Competitive Advantages;
Strategic Management in different stages of Market Life Cycles.
Managing for Customer Value: Managing Strategically at the Functional Level;
Kaizen-Continually Improving Customer Value; Strategic developments in Six Critical
Functions.
Corporate Diversification Strategic: Role of Diversification; Evaluating Benefit of
Diversification; Managerial Behavior that Limits Benefits of Diversification; Forms of
Diversification, Means of Diversification; Divestments-Neglected side of
Diversification.
04. Strategy Implementation: Translating Strategy in Action and
Achieving Integration. Framework for understanding Implementation
Issues; Technical aspects of Strategy Implementation; Achieving
Integration.
Strategy Implementation—Organisation Structure, Budgets and Support Systems:
Dimensions of Structure, Type of Structures-Linkages to Strategy; Linking Budgets
with Strategy; Putting Internal Administrative Support Systems in Place-Creating
Strategy-Supportive Policies and Procedures, Installing Supporting Systems.
Strategy Implementation-Control, Commitment, Culture and Leadership: Strategic
Control and Evaluation; Developing an Effective Reward Structure; Developing a
Strong Organisational Culture; Exerting Strategic Leadership.
***