CS Executive Company Accounts Important Topics : SHARE CAPITAL

CS Executive Company Accounts Important Topics : CORPORATE RESTRUCTURING

• Types of Amalgamation
• Consideration
• Important Points to be noted in Connection with Acquisition of a Business
• Accounting for Amalgamations
• Acquisition of Business
• Meaning of Internal Reconstruction
• Significance of internal reconstruction
• Methods of internal reconstruction

CS Executive Company Accounts Important Topics : CONSOLIDATION OF ACCOUNTS

• Schedule III of the Companies Act, 2013

• Minority Interest
• Pre-acquisition Profits and Reserves of Subsidiary Company
• Pre-acquisition Losses of Subsidiary Company
• Profit on Revaluation of Assets of Subsidiary Company
• Loss on Revaluation of Assets of Subsidiary Company
• Goodwill or Cost Control
• Post-acquisition Profits or Losses
• Inter-company Unrealised Profits included in Unsold Goods
• Inter-company Transactions
• Contingent Liabilities
• Preference Shares in Subsidiary Company
• Bonus Shares
• Treatment of Dividend
• Holding Company Consisting of more than one Subsidiary

CS Executive Company Accounts Important Topics : VALUATION OF SHARES AND INTANGIBLE

ASSETS

• Valuation of Shares
• Valuation of Intangible Assets
• Internally Generated goodwill
• Cost of an Internally Generated Intangible Asset
• Recognition of an Expense on Intangible Asset
• Recoverability of the Carrying Amount – Impairment Losses
• Retirements and Disposals on Intangible Assets
• Valuation of Goodwill
• Methods of Valuing Goodwill
• Summary of Valuation of Goodwill

• Issue of Shares at Premium

• Forfeiture and Re-issue of Shares Allotted on Pro-rata Basis in Case of Over-subscription
• Buy-Back of Shares
• Issue of Bonus Shares
• Employee Stock Option Scheme
• Issue and redemption of Preference shares
• Underwriting of shares
• Underwriting Commission
• Marked and Unmarked Applications
• Accounting Treatment relating to Underwriting of Shares or Debentures

CS Executive Company Accounts Important Topics : DEBENTURES

• Issue of Debentures at Par

• Issue of Debentures at Premium
• Issue of Debentures at Discount
• Debentures Issued as Collateral Security
• Loss on Issue of Debentures
• Redemption of Debentures
• Conversion of Debentures into Shares
• Mobilisation of Funds for Redemption of Debentures

CS Executive Company Accounts Important Topics : FINAL ACCOUNTS OF COMPANIES

• Schedule III of the Companies Act, 2013

• Key features of Balance Sheet
• Key features Statement of Profit and Loss
• Treatment of special items under companies Act 2013
• Managerial Remuneration
• PART II of Schedule V
• Calculation of net profits for determining managerial remuneration
• Provision for Depreciation
• Preliminary Expenses
 CS Executive Company Accounts Important Topics : LIQUIDATION OF COMPANY

• B-List Contributories
• Fraudulent Preference
• Consequences of Winding up
• Preparation of the Statement of Affairs

CORPORATE FINANCIAL REPORTING

• Concept of Corporate Financial Reporting

• Disclosure of Significant Accounting Policies
• Development in Corporate Financial Reporting
• Characteristics of Corporate Financial Reporting
• Economic Value Added
• Market Value Added
• Shareholder Value Added (SVA)

CS Executive Company Accounts Important Topics : ACCOUNTING STANDARDS

• Objective of Accounting Standards

• Scope of Accounting Standards
• Compliance with the Accounting Standards
• AS-2 – Valuation of Inventories
• AS- 4 – Contingencies* and Events Occurring after the Balance Sheet Date
• AS-5 – Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
• AS-6 – Depreciation Accounting
• AS-9 – Revenue Recognition
• AS-10 – Accounting for Fixed Assets
• AS-14 – Accounting for Amalgamations
• AS-18 – Related Party Disclosures
• AS-19 – Leases
• AS-21 – Consolidated Financial Statements
 AUDITING CONCEPTS

• Basic principles governing an audit

• True and Fair View
• Materiality in Auditing
• Standards on Quality Control (SQCs)
• Advantages of an Independent Audit
• SA 230: Audit Documentations
• SA 320: Materiality in Planning and Performing an Audit
• SA 500: Audit Evidence
• SA 530: Audit Sampling
• SA 570 Going Concern
• SA 610: Using the work of Internal Auditors

TYPES OF COMPANY AUDIT

• Mandatory Rotation of Auditors

• Filling of casual vacancy
• Internal Audit
• Cost Audit
• CAG Audit
• Performance Audit
• CAG’s Role in functioning of financial committees of Parliament

CS Executive Company Accounts Important Topics : INTERNAL AUDIT

• Propriety Audit
• Efficiency Audit
• Techniques of Internal Audit
• Test Controls
• Internal Audit Process
• Review Controls
• Internal Audit Status vis-a-vis Statutory Audit
• Role of Internal Audit in corporate governance
 CS Executive Company Accounts Important Topics : INTERNAL CONTROL

• Internal control Elements

• Control Environment
• Limitations of Internal Control
• Internal Check
• Difference between Internal Control System and Internal Check System
• Difference between internal check and internal audit
• Difference between internal Control and Internal audit
• Techniques of Internal Control System
• Sampling in Audit Testing
• Inter-Firm Comparison
• Limitations of inter-firm comparison
• Intra-Firm Comparison
• Simple Random Sampling
• Systematic (Interval) Sampling
• Stratified (Cluster) Sampling

REVIEW OF INTERNAL CONTROL

• Review of Management Information System

• Review of Production/Modification Planning
• Review of Quality Management system
• Review of Maintenance Management System
• Review of working environment, safety and security
• Review of Personnel Policies

CS Executive Company Accounts Important Topics to prepare before

Exam

These topics should be read 1 day before exam :

Final Accounts and consolidation of accounts is must, do amalgamation

methods accounting, Value
Added Statements: Economic Value Added (EVA), Market Value Added,
Shareholders’ Value Added , convergence and Interpretation of IFRS,
Forfeiture of Shares, Redemption of debentures, Right Issue, ESOP
accounting, scrutiny of balance sheet, treatment of profit prior to incorporation,
Good will treatment

AUDITING – Internal Audit, Steps for Internal Control and Audit Evaluation,
Techniques of Internal Control System, Flow Charts, Internal Control
Questionnaires, Inter and Intra Firm comparison, various types of Audit, Audit
Plan , Audit Programme, Vouching and Verification, Test Checking and
Techniques of Test Checking