Table of Contents
- Introduction: Building a Strong Foundation for CA Certification
- Familiarise Yourself with the Syllabus and Its Significance
- Use the ICAI Study Materials as Your Primary Resource
- Make Notes as You Study
- Solve Question Papers and Mock Tests
- Don’t Stress Yourself Over the Exams, Focus on Learning
- Conclusion
Introduction: Building a Strong Foundation for CA Certification
The CA Foundation exam is the first test you take in the CA Certification course if you are in high school. The syllabus is largely based on the 11th and 12th Commerce syllabus. You will be applying many concepts that you are studying in the board exams in a practical and more competitive context in CA Foundation exams. Through this blog, we will explore ways in which you can improve conceptual understanding for CA Foundation Exams.
Familiarise Yourself with the Syllabus and Its Significance
The CA Foundation syllabus is designed by the Institute of Chartered Accountants of India (ICAI). In the CA Foundation course, you are tested for the foundational subjects of Chartered Accountancy. You will prepare for four papers –
- Paper 1: Accounting
- Paper 2: Business Laws
- Paper 3: Quantitative Aptitude –
- Part A: Business Mathematics
- Part B: Logical Reasoning
- Part C: Statistics
- Paper 4: Business Economics
In these subjects, you will study the important rules of accounting, finance and business laws, economic concepts and mathematical and statistical concepts for financial decision-making.
| Accounting |
Business Laws |
Chapter 1: Theoretical Framework
- Unit 1: Meaning and Scope of Accounting
- Unit 2: Accounting Concepts, Principles, and Conventions
- Unit 3: Capital and Revenue Expenditures and Receipts
- Unit 4: Contingent Assets and Contingent Liabilities
- Unit 5: Accounting Policies
- Unit 6: Accounting as a Measurement Discipline – Valuation Principles, Accounting Estimates
- Unit 7: Accounting Standards
Chapter 2: Accounting Process
- Unit 1: Basic Accounting Procedures – Journal Entries
- Unit 2: Ledgers
- Unit 3: Trial Balance
- Unit 4: Subsidiary Books
- Unit 5: Cash Book
- Unit 6: Rectification of Errors
Chapter 3: Bank Reconciliation Statement
Chapter 4: Inventories
Chapter 5: Depreciation and Amortisation
Chapter 6: Bills of Exchange and Promissory Notes
Chapter 7: Preparation of Final Accounts of Sole Proprietors
- Unit 1: Final Accounts of Non-Manufacturing Entities
- Unit 2: Final Accounts of Manufacturing Entities
Chapter 8: Financial Statements of Not-for-Profit Organisations
Chapter 9: Accounts from Incomplete Records
Chapter 10: Partnership and LLP Accounts
- Unit 1: Introduction to Partnership Accounts
- Unit 2: Treatment of Goodwill in Partnership Accounts
- Unit 3: Admission of a New Partner
- Unit 4: Retirement of a Partner
- Unit 5: Death of a Partner
- Unit 6: Dissolution of Partnership Firms and LLPs
Chapter 11: Company Accounts
- Unit 1: Introduction to Company Accounts
- Unit 2: Issue, Forfeiture, and Re-Issue of Shares
- Unit 3: Issue of Debentures
- Unit 4: Accounting for Bonus Issue and Right Issue
- Unit 5: Redemption of Preference Shares
- Unit 6: Redemption of Debentures
|
Chapter 1: Indian Regulatory Framework
Chapter 2: The Indian Contract Act, 1872
- Unit 1: Nature of Contracts
- Unit 2: Consideration
- Unit 3: Other Essential Elements of a Contract
- Unit 4: Performance of Contract
- Unit 5: Breach of Contract and its Remedies
- Unit 6: Contingent and Quasi Contracts
- Unit 7: Contract of Indemnity and Guarantee
- Unit 8: Bailment and Pledge
- Unit 9: Agency
Chapter 3: The Sale of Goods Act, 1930
- Unit 1: Formation of the Contract of Sale
- Unit 2: Conditions & Warranties
- Unit 3: Transfer of Ownership and Delivery of Goods
- Unit 4: Unpaid Seller
Chapter 4: The Indian Partnership Act, 1932
- Unit 1: General Nature of Partnership
- Unit 2: Relations of Partners
- Unit 3: Registration and Dissolution of a Firm
Chapter 5: The Limited Liability Partnership Act, 2008
Chapter 6: The Companies Act, 2013
Chapter 7: The Negotiable Instruments Act, 1881
|
| Quantitative Aptitude |
Business Economics |
PART-A: BUSINESS MATHEMATICS
- Chapter 1: Ratio and Proportion, Indices, Logarithms
- Chapter 2: Equations
- Chapter 3: Linear Inequalities
- Chapter 4: Mathematics of Finance
- Chapter 5: Basic Concepts of Permutations and Combinations
- Chapter 6: Sequence and Series – Arithmetic and Geometric Progressions
- Chapter 7: Sets, Relations, and Functions, Basics of Limits and Continuity
- Chapter 8: Basic Applications of Differential and Integral Calculus in Business and Economics
PART-B: LOGICAL REASONING
- Chapter 9: Number Series, Coding, Decoding, and Odd Man Out
- Chapter 10: Direction Sense Test
- Chapter 11: Seating Arrangements
- Chapter 12: Blood Relations
PART-C: STATISTICS
- Chapter 13: Statistical Description of Data and Sampling
- Chapter 14: Measures of Central Tendency and Dispersion
- Chapter 15: Probability
- Chapter 16: Theoretical Distributions
- Chapter 17: Correlation and Regression
- Chapter 18: Index Numbers
|
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Chapter 1: Nature & Scope of Business Economics
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Chapter 2: Theory of Demand and Supply
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Chapter 3: Theory of Production and Cost
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Chapter 4: Price Determination in Different Markets
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Chapter 5: Business Cycles
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Chapter 6: Determination of National Income
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Chapter 7: Public Finance
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Chapter 8: Money Market
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Chapter 9: International Trade
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Chapter 10: Indian Economy
|
Use the ICAI Study Materials as Your Primary Resource
ICAI textbooks are the best resources for preparing for CA Foundation exams and all the successful CA aspirants recommend it as a primary study material.
- Accounts: ICAI’s Accounts textbooks have examples and practical questions with illustrations at the back of every chapter. It has theory and practical problems that will help you understand the rules of accounting, how and why the entries are made and implications from various perspectives such as taxation laws, finance management, company laws etc.
- Quantitative Aptitude: ICAI textbooks give examples and practice problems. If you prepare a reference list of formulas as you practice solving problems, you will have an excellent understanding of concepts and improve your speed. Furthermore, you will understand the delicate art of financial decision-making through mathematical and statistical analysis.
- Business Law: Business Law gets updated as per the emerging trends and ICAI regularly updates all their study material and online learning resources to reflect the latest updates. The Business Law textbooks enumerate the important laws, sections and rules. They are the best resource for understanding the accounting standards in the Indian context. Even as you memorise important sections, you will understand their purpose through the case studies that are provided in the books. This will help you learn the business best practices and national and international laws that regulate the financial decision-making process. You will also learn to write comprehensive and precise responses in a proper structure - Provision, Facts, Analysis, and Conclusion.
- Business Economics: The ICAI textbook covers important economics and commerce topics. The textbooks have case studies and practical problems that will help you build a practical context as to how macro and microeconomic elements affect accounts and vice versa.
Make Notes as You Study
As you study the subjects, start noting down important points, keywords, theorems, formulas, rules etc. Writing as you are reading helps with better retention and comprehension of information. Also, if you have notes in your handwriting, it will help you discern the meaning better. Create small booklets for formulas, important law terms and sections and often used keywords. As you refer to your notes, you will gain a better conceptual understanding of the topics and even spot links between the subjects and different topics.
Solve Question Papers and Mock Tests
An important part of your revision strategy for the CA Foundation exam is solving mock tests and previous years’ question papers while simulating the exam conditions. When you are under the pressure of finishing the paper in two hours, your understanding of the subject and mastery of the concepts will help you perform well.
Don’t Stress Yourself Over the Exams, Focus on Learning
Yes, the CA Foundation exam is the “elephant in the room”, but the aim of appearing for these exams is to earn the CA certification and build a career as a Chartered Accountant. For this, you have to be equipped with nuanced knowledge of the subjects and their application in practical situations. Furthermore, what you learn in the CA Foundation will have application in the next three stages of earning the CA certification. Hence, focus on learning and understanding the essence of these subjects rather than stress over which topic will be relevant to scoring in the exams.
Conclusion
The CA certification exams are highly competitive because the profession is demanding and requires strong knowledge of the subjects and their application. To become an ace Chartered Accountant, you have to put in the hard work to learn the nuances of the field. Though clearing the CA Foundation exam is paramount, your goal must be to strengthen your skills to become an excellent professional.
Jain PU College offers an integrated CA programme for PUC students in alliance with the ALLEN Institute. The course focuses on strengthening students’ conceptual understanding while teaching them the best strategies to score high. Learn more about the programme here.
