Scope and limitations of computerized entrance

It is a democratic and open process.

Scope and limitations of computerized entrance

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Receipts and Payments Account: Income and Expenditure Account: Trading Account of incidental activities is not to be prepared. After going through this Unit, the students will be able to: Accounting for Partnership Firms: Provisions of the Indian Partnership Act in the absence of partnership deed.

Preparation of Profit and Loss Appropriation account- division of profit among partners, guarantee of profits. Change in the Profit Sharing Ratio among the existing partners — sacrificing ratio, gaining ratio, accounting for revaluation of assets and reassessment of liabilities and treatment of reserves and accumulated profits.

Preparation of revaluation account and balance sheet. Admission of a partner — effect of admission of a partner on change in the profit sharing ratio, treatment of goodwill as per AS 26treatment for revaluation of assets and re- assessment of liabilities, treatment of reserves and accumulated profits, adjustment of capital accounts and preparation of balance sheet.

Retirement and death of a partner: Preparation of loan account of the retiring partner. Dissolution of a partnership firm: Settlement of accounts — preparation of realization account, and other related accounts: The realized value of each asset must be given at the time of dissolution.

Scope and limitations of computerized entrance

Accounting for share capital: Public subscription of shares — over subscription and under subscription of shares; issue at par and at premium, calls in advance and arrears excluding interestissue of shares for consideration other than cash.

Accounting treatment of forfeiture and re-issue of shares.

Scope and limitations of computerized entrance

Disclosure of share capital in the Balance Sheet of a company. Accounting for Debentures Debentures: Issue of debentures at par, at a premium and at a discount. Issue of debentures for consideration other than cash; Issue of debentures with terms of redemption; debentures as collateral security-concept, interest on debentures.

Lump sum, draw of lots. Creation of Debenture Redemption Reserve. Related sections of the Companies Act, will apply. Analysis of Financial Statements: Exceptional items, extraordinary items and profit loss from discontinued operations are excluded.

Objectives, importance and limitations. Tools for Financial Statement Analysis: Comparative statements, common size statements, cash flow analysis, ratio analysis.

Meaning, Objectives, classification and computation. Current ratio and Quick ratio. Net Profit Ratio is to be calculated on the basis profit before and after tax. Adjustments relating to depreciation and amortization, profit or loss on sale of assets including investments, dividend both final and interim and tax.

Bank overdraft and cash credit to be treated as short term borrowings. Current Investments to be taken as Marketable securities unless otherwise specified. Features of Computerised Accounting System. Accounting Application of Electronic Spreadsheet.

Concept of electronic spreadsheet.

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