[vikash]

Sathyabama Institute of Science and Technology B.Com.LL.B - B.Com.LL.B. (Honours) SBA1303 Corporate Accounting- I Syllabus

Sathyabama Institute of Science and Technology School of Law

SBA1303 CORPORATE ACCOUNTING- I
L T P Credit Total Mark
4 1 0 4 100

UNIT 1 – FINAL ACCOUNTS OF COMPANIES 12 Hrs.
Legal position regarding final accounts of companies – Compliance with Accounting standards - Form and contents
of Statement of Profit, Loss and Balance Sheet –Instructions for preparation of Statement of Profit and Loss and Balance
Sheet; – Treatment of Managerial remuneration - dividend tax deducted - Declaration of dividends - Transfer to Reserves etc.
UNIT 2 – UNDERWRITING OF SHARES AND DEBENTURES 16 Hrs.
Introduction – Meaning of underwriting – Underwriting commission – Types of underwriting – Marked and Unmarked
applications – Journal entries in the books of the company and underwriters – Calculation of underwriters liability.

UNIT 3 – REDEMPTION OF DEBENTURES & PREFERENCE SHARES 16 Hrs.
Introduction – Meaning – Issue for debentures – Accounting procedure – Own debentures – Interest on own
debentures – Ex Interest and Cum Interest quotations,Redemption of debentures – Conversion of debentures in to shares –
Issue of Preference shares: Meaning – legal provisions –Creation of Capital Redemption Reserve Account (CRR) – Fresh
issue of shares – Issue of bonus shares – Preparation of Balance Sheet after redemption.

UNIT 4 – VALUATION OF GOODWILL AND SHARES 16 Hrs.
Valuation of Goodwill – Meaning of Goodwill – Need for Valuation of Goodwill – Factors Affecting Valuation of
Goodwill – Methods of Valuation – Average Profit Method – Super Profit Method – Annuity Method, Capitalization Method,
Valuation of Shares – Need for Valuation –Factors Affecting valuation of Shares, Net Asset Method – Yield Method – Fair
Value - Practical Problems

UNIT 5 – PROFIT PRIOR TO INCORPORATION 15 Hrs.
Meaning – Calculation of Profit with the help of Time –Sales – Weighted Ratio’s, Ascertainment of Profit or Loss
Prior to incorporation, Problems related to Trading and Profit and Loss Accounts based on sales ratios, time ratios and
weighted ratios.
Max. 75 Hours

COURSE OUTCOMES:
On the completion of the course the student will be able to
CO1: This course will provide a comprehensive understanding of all aspects relating to corporate accounting practices and
presentation of financial statements in organizations.
CO2: To enable the students to understand the procedure of preparing the accounts of corporate enterprises with the help of
the principles and regulations governing the same.
CO3: To know how the companies convert their shares into stocks, buyback of shares, employee stock options.
CO4: To acquaint students with the legal formats and special items and adjustments pertaining to Underwriting of shares and
Debentures, valuation of shares etc.
CO5: To understand the how profits or losses are distributed before and after incorporation of companies.
CO6: This Course will equip the students with the required Professional Skills

TEXT / REFERENCE BOOKS
1. Jain S.P. & Narang K.L (2010). Corporate Accounting, Kalyani Publishers, REP/Edition, New Delhi.
2. Anil Kumar, Rajesh Kumar (2010) Corporate Accounting, Himalayan Publishing House 5th Edition/Student Edition,
Mumbai.
3. Mukerjee & Hanif, Modern Accountancy, (2010), Tata McGraw Hill, New Delhi.
4. Dr. Maheshwari S.N & Dr. Maheshwari S.K, Advanced Accountancy, (2010), Vol.1, Vol.-2, Vikas Publishing House
Pvt. Ltd, New Delhi.
5. R.L. Gupta & M. Radhaswamy, Advanced Accountancy,(2008) Sultan Chand & Sons, New Delhi.

END SEMESTER EXAMINATION QUESTION PAPER PATTERN
Max. Marks:100 Exam Duration: 3 Hrs.
PART A: 6 Questions to be answered out of 8 questions and each question carries 5 Marks 30 Marks
PART B: 4 questions to be answered out of 8 questions (Internal Choice) and each question carries 10 Marks 40 Marks
PART C: 2 Questions to be answered out of 4 questions and each carries 15 marks 30 Marks