G.S.

PUBLIC SCHOOL
A Senior Secondary School, Affiliated To C.B.S.E., New Delhi, Upto 10+2
ISO 9001:2015 CERTIFIED SCHOOL
Add: - Opp. Domchanch Thana, Domchanch, Koderma , Jharkhand

ACCOUNTANCY (Code No. 055)

Course Structure
Class-XI (2024-25)
Theory: 80 Marks 3 Hours
Project: 20 Marks
Units Periods Marks
Part A: Financial Accounting-1
Unit-1: Theoretical Framework 25 12
Unit-2: Accounting Process 115 44
Part B: Financial Accounting-II
Unit-3: Financial Statements of Sole Proprietorship 60 24

Part C: Project Work 20 20

PART A: FINANCIAL ACCOUNTING - I

Unit-1: Theoretical Frame Work

Units/Topics Learning Outcomes
Introduction to Accounting After going through this Unit, the students will be
 Accounting- concept, meaning, as a able to:
source of information, objectives,  describe the meaning, significance,
advantages and limitations, types of objectives, advantages and
accounting information; users of limitations of accounting in the
accounting information and their needs. modem economic environment with
Qualitative Characteristics of varied types of business and non-
Accounting Information. Role of business economic entities.
Accounting in Business.  identify / recognise the individual(s)
 Basic Accounting Terms- Entity, and entities that use accounting
Business Transaction, Capital, information for serving their needs of
Drawings. Liabilities (Non Current and decision making.
Current). Assets (Non Current,  explain the various terms used in
Current); Expenditure (Capital and accounting and differentiate between
Revenue), Expense, Revenue, different related terms like current and
Income, Profit, Gain, Loss, Purchase, non-current, capital and revenue.
Sales, Goods, Stock, Debtor, Creditor,  give examples of terms like
Voucher, Discount (Trade discount business transaction, liabilities,
and Cash Discount) assets, expenditure and purchases.
 explain that sales/purchases include
Theory Base of Accounting both cash and credit sales/purchases
relating to the accounting year.
 Fundamental accounting
assumptions: GAAP: Concept
 Basic Accounting Concept : Business
Entity,
 Money Measurement, Going Concern,  differentiate among income, profits and
gains.
Accounting Period, Cost Concept, Dual
 state the meaning of fundamental
Aspect, Revenue Recognition,
accounting assumptions and their
Matching, Full Disclosure, Consistency,
relevance in accounting.
Conservatism,
 describe the meaning of accounting
 Materiality and Objectivity
assumptions and the situation in
 System of Accounting. Basis of
which an assumption is applied during
Accounting: cash basis and accrual
the accounting process.
basis
 explain the meaning, applicability,
 Accounting Standards:
objectives, advantages and limitations
Applicability of Accounting
of accounting standards.
Standards (AS) and Indian
 appreciate that various accounting
Accounting Standards (IndAS)
standards developed nationally and
 Goods and Services Tax
globally are in practice for bringing
(GST): Characteristics and
parity in the accounting treatment of
Advantages.
different items.
 acknowledge the fact that recording of
accounting transactions follows double
entry system.
 explain the bases of recording
accounting transaction and to
appreciate that accrual basis is a
better basis for depicting the correct
financial position of an enterprise.
 Explain the meaning, advantages and
characteristic of GST.

Unit-2: Accounting Process

Units/Topics Learning Outcomes

Recording of Business Transactions After going through this Unit, the students will be
 Voucher and Transactions: Source able to:
documents and Vouchers,  explain the concept of accounting
Preparation of Vouchers, Accounting equation and appreciate that every
Equation Approach: Meaning and transaction affects either both the
Analysis, Rules of Debit and Credit. sides of the equation or a positive
 Recording of Transactions: Books of effect on one item and a negative
Original Entry- Journal effect on another item on the same
 Special Purpose books: side of accounting equation.
 Cash Book: Simple, cash book with  explain the effect of a transaction
bank column and petty cashbook (increase or decrease) on the assets,
liabilities, capital,
revenue and expenses.
  Purchases book  appreciate that on the basis of
 Sales book source documents, accounting
 Purchases return book vouchers are prepared for
 Sales return book recording transaction in the books
 Journal proper of accounts.
Note: Including trade discount, freight and cartage  develop the understanding of
expenses for simple GST calculation. recording of transactions in journal
 Ledger: Format, Posting from and the skill of calculating GST.
journal and subsidiary books,  explain the purpose of maintaining a
Balancing of accounts Cash Book and develop the skill of
preparing the format of different types
Bank Reconciliation Statement: of cash books and the method of
 Need and preparation, Bank recording cash transactions in Cash
Reconciliation Statement book.
Depreciation, Provisions and Reserves  describe the method of recording
 Depreciation: Meaning, Features, transactions other than cash
Need, Causes, factors transactions as per their nature in
 Other similar terms: different subsidiary books .
Depletion and Amortisation  appreciate that at times bank
 Methods of Depreciation: balance as indicated by cash book is
i. Straight Line Method (SLM) different from the bank balance as
ii. Written Down Value Method (WDV)
shown by the pass book / bank
Note: Excluding change of method
statement and to reconcile both the
 Difference between SLM and
balances, bank reconciliation
WDV; Advantages of SLM and
statement is prepared.
WDV
 develop understanding of preparing
 Method of recoding depreciation
bank reconciliation statement.
i. Charging to asset account
 appreciate that for ascertaining the
ii. Creating provision for
position of individual accounts,
depreciation/accumulated
transactions are posted from subsidiary
depreciation account
books and journal proper into the
 Treatment of disposal of asset
concerned accounts in the ledger and
 Provisions, Reserves, Difference
develop the skill of ledger posting.
Between Provisions and Reserves.
 explain the necessity of providing
 Types of Reserves:
depreciation and develop the skill of
i. Revenue reserve
ii. Capital reserve using different methods for computing
iii.General reserve
depreciation.
iv.Specific reserve
v. Secret Reserve  understand the accounting
 Difference between capital and treatment of providing
revenue reserve depreciation directly to the
concerned asset account or by
creating provision for depreciation
account.
 appreciate the method of asset
disposal through the concerned asset
account or by preparing asset
disposal account.
 appreciate the need for creating
reserves and
Trial balance and Rectification of Errors also making provisions for events
 Trial balance: objectives, which may belong to the current year
meaning and preparation but may happen in next year.
(Scope: Trial balance with balance method only)  appreciate the difference between
 Errors: classification-errors of reserve and reserve fund.
omission, commission, principles, and  state the need and objectives of
compensating; their effect on Trial preparing trial balance and develop
Balance. the skill of preparing trial balance.
 Detection and rectification of errors;  appreciate that errors may be
(i) Errors which do not affect trial committed during the process of
balance
accounting.
(ii) Errors which affect trial
 understand the meaning of different
balance
types of errors and their effect on trial
 preparation of suspense account.
balance.
 develop the skill of identification and
location of errors and their rectification
and
preparation of suspense account.

Part B: Financial Accounting - II

Unit 3: Financial Statements of Sole Proprietorship

Units/Topics Learning Outcomes

Financial Statements After going through this Unit, the students will be
Meaning, objectives and importance; able to:
Revenue and Capital Receipts; Revenue and  state the meaning of financial
statements the
Capital Expenditure; Deferred Revenue
 purpose of preparing financial
expenditure. Opening journal entry. Trading
statements.
and Profit and Loss Account: Gross Profit,
 state the meaning of gross profit,
Operating profit and Net profit. Preparation. operating profit and net profit and
develop the skill of preparing trading
Balance Sheet: need, grouping and
and profit and loss account.
marshalling of assets and liabilities.  explain the need for preparing balance
sheet.
Preparation. Adjustments in preparation of
 understand the technique of
financial statements with respect to closing
grouping and marshalling of assets
stock, outstanding expenses, prepaid
and liabilities.
expenses, accrued income, income received
 appreciate that there may be certain
in advance, depreciation, bad debts,
items other than those shown in trial
provision for doubtful debts, provision for
balance which may need adjustments
discount on debtors, Abnormal loss, Goods
while preparing financial statements.
taken for personal use/staff welfare, interest
 develop the understanding and skill to
on capital and managers commission.
do adjustments for items and their
Preparation of Trading and Profit and Loss
presentation in financial statements
account and Balance Sheet of a sole
like depreciation, closing stock,
proprietorship with adjustments.
 provisions, abnormal loss etc.
 develop the skill of preparation of
trading and
profit and loss account and balance
sheet.
Incomplete Records
Features, reasons and limitations.
Ascertainment of Profit/Loss by Statement of
Affairs method. (excluding conversion
method)

Part C: Project Work (Any One)

1. Collection of source documents, preparation of vouchers, recording of transactions with the help
of vouchers.
2. Preparation of Bank Reconciliation Statement with the given cash book and the pass book with
twenty to twenty-five transactions.
3. Comprehensive project of any sole proprietorship business. This may state with journal entries
and their ledgering, preparation of Trial balance. Trading and Profit and Loss Account and
Balance Sheet. Expenses, incomes and profit (loss), assets and liabilities are to be depicted using
pie chart / bar diagram.
 PROJECT WORK

It is suggested to undertake this project after completing the unit on preparation of financial
statements. The student(s) will be allowed to select any business of their choice or develop the
transaction of imaginary business. The project is to run through the chapters and make the
project an interesting process. The amounts should emerge as more realistic and closer to
reality.

Specific Guidelines for Teachers

Give a list of options to the students to select a business form. You can add to the given list:
1. A beauty parlour 10. Men's wear 19. A coffee shop
2. Men's saloon 11. Ladies wear 20. A music shop
3. A tailoring shop 12. Kiddies wear 21. A juice shop
4. A canteen 13. A Saree shop 22. A school canteen
5. A cake shop 14. Artificial jewellery 23. An ice cream
shop parlour
6. A confectionery shop 15. A small restaurant 24. A sandwich shop
7. A chocolate shop 16. A sweet shop 25. A flower shop
8. A dry cleaner 17. A grocery shop
9. A stationery shop 18. A shoe shop

After selection, advise the student(s) to visit a shop in the locality (this will help them to settle on
a realistic amounts different items. The student(s) would be able to see the things as they need
to invest in furniture, decor, lights, machines, computers etc.

A suggested list of different item is given below.

1. Rent 19. Wages and Salary
2. Advance rent [approximately three months] 20. Newspaper and magazines
3. Electricity deposit 21. Petty expenses
4. Electricity bill 22. Tea expenses
5. Electricity fitting 23. Packaging expenses
6. Water bill 24. Transport
7. Water connection security deposit 25. Delivery cycle or a vehicle purchased
8. Water fittings 26. Registration
9. Telephone bill 27. Insurance
10.Telephone security deposit 28. Auditors fee
11.Telephone instrument 29. Repairs & Maintenance
12.Furniture 30. Depreciations
13.Computers 31. Air conditioners
14.Internet connection 32. Fans and lights
15.Stationery 33. Interior decorations
16.Advertisements 34. Refrigerators
17.Glow sign 35. Purchase and sales
18.Rates and Taxes

At this stage, performas of bulk of originality and ledger may be provided to the students and
they may be asked to complete the same.

In the next step the students are expected to prepare the trial balance and the financial
statements.
 Suggested Question Paper Design
Accountancy (Code No. 055)
Class XI (2023-24)
Theory: 80 Marks 3 hrs.
Project: 20 Marks

S
N Typology of Questions Marks Percentage
1
Remembering and Understanding:
Exhibit memory of previously learned material by recalling facts, terms, basic
concepts, and answers.
44 55%
Demonstrate understanding of facts and ideas by organizing, comparing,
translating, interpreting, giving descriptions, and stating main ideas

3 Applying: Solve problems to new situations by applying acquired

knowledge, facts, techniques and rules in a different way. 19 23.75%

4
Analysing, Evaluating and Creating:
Examine and break information into parts by identifying motives or causes.
Make inferences and find evidence to support generalizations.
Present and defend opinions by making judgments about information, validity
17 21.25%
of ideas, or quality of work based on a set of criteria.
Compile information together in a different way by combining elements in a
new pattern or proposing alternative solutions.

TOTAL 80 100%

Part C: Practical Work

Prescribed Books:
Financial Accounting -I Class XI NCERT Publication
Accountancy -II Class XI NCERT Publication