Going Concern Assumption :

This concept assumes that an enterprise has an indefinite life or existence. It means that the intentions of the business are to continue for sufficiently longer period of time. It will not be dissolved or liquidated in the immediate future. If a machinery purchased is expected to last (to be used for) next 10 year, then the cost of machinery will be spread over the next 10 year for calculating net profit or loss of each year (Dep. Charged.)

The full cost of the machine would not be treated as expense in the year of purchase itself. Market value of the asset is irrelevant and is not recorded in the balance sheet, as these assets are not going to be sold in the near future.

Click on given link for class 11

<a aria-expanded="true" data-toggle="collapse" href="http://cbseacademic.nic.in/Revisedcurriculum_2021.html#collapse13">Revised Academic Electives - (Group-A)</a>

• <a href="http://cbseacademic.nic.in/web_material/CurriculumMain21/revisedsyllabi/SrSecondary/REVISEDAccountancy_2020-21.pdf" target="_blank">REVISED - Accountancy</a>

On July 7, HRD Minister Ramesh Pokhriyal announced a major CBSE syllabus reduction with 30% of the syllabus slashed for the year 2020-21 for classes 9 to 12 because of the reduction in classroom teaching time due to the Covid-19 pandemic and lockdown.

CBSE has rationalized the syllabus with the help of suggestions from NCERT and the same has been notified by a new CBSE notification as well.

Deleted syllabus of CBSE Class 12 Accountancy

Accounting can be defined as a process of reporting, recording, interpreting and summarising economic data. The introduction of accounting helps the decision-makers of a company to make effective choices, by providing information on the financial status of the business.

The American Institute of Certified Public Accountants (AICPA) had defined accounting as the “art of recording, classifying, and summarising in a significant manner and in terms of money, transactions and events which are, in part at least, of financial character, and interpreting the results thereof”.

<div style="padding:16px;"> <a href="https://www.instagram.com/reel/CDBC1exnHKd/?utm_source=ig_embed&utm_campaign=loading" style=" background:#FFFFFF; line-height:0; padding:0 0; text-align:center; text-decoration:none; width:100%;" target="_blank"> <div style=" display: flex; flex-direction: row; align-items: center;"> <div style="background-color: #F4F4F4; border-radius: 50%; flex-grow: 0; height: 40px; margin-right: 14px; width: 40px;"></div> <div style="display: flex; flex-direction: column; flex-grow: 1; justify-content: center;"> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; margin-bottom: 6px; width: 100px;"></div> <div style=" background-color: #F4F4F4; border-radius: 4px; flex-grow: 0; height: 14px; width: 60px;"></div></div></div><div style="padding: 19% 0;"></div> <div style="display:block; height:50px; margin:0 auto 12px; width:50px;"><svg width="50px" height="50px" viewBox="0 0 60 60" version="1.1" xmlns="https://www.w3.org/2000/svg" xmlns:xlink="https://www.w3.org/1999/xlink"><g stroke="none" stroke-width="1" fill="none" fill-rule="evenodd"><g transform="translate(-511.000000, -20.000000)" fill="#000000"><g><path d="M556.869,30.41 C554.814,30.41 553.148,32.076 553.148,34.131 C553.148,36.186 554.814,37.852 556.869,37.852 C558.924,37.852 560.59,36.186 560.59,34.131 C560.59,32.076 558.924,30.41 556.869,30.41 M541,60.657 C535.114,60.657 530.342,55.887 530.342,50 C530.342,44.114 535.114,39.342 541,39.342 C546.887,39.342 551.658,44.114 551.658,50 C551.658,55.887 546.887,60.657 541,60.657 M541,33.886 C532.1,33.886 524.886,41.1 524.886,50 C524.886,58.899 532.1,66.113 541,66.113 C549.9,66.113 557.115,58.899 557.115,50 C557.115,41.1 549.9,33.886 541,33.886 M565.378,62.101 C565.244,65.022 564.756,66.606 564.346,67.663 C563.803,69.06 563.154,70.057 562.106,71.106 C561.058,72.155 560.06,72.803 558.662,73.347 C557.607,73.757 556.021,74.244 553.102,74.378 C549.944,74.521 548.997,74.552 541,74.552 C533.003,74.552 532.056,74.521 528.898,74.378 C525.979,74.244 524.393,73.757 523.338,73.347 C521.94,72.803 520.942,72.155 519.894,71.106 C518.846,70.057 518.197,69.06 517.654,67.663 C517.244,66.606 516.755,65.022 516.623,62.101 C516.479,58.943 516.448,57.996 516.448,50 C516.448,42.003 516.479,41.056 516.623,37.899 C516.755,34.978 517.244,33.391 517.654,32.338 C518.197,30.938 518.846,29.942 519.894,28.894 C520.942,27.846 521.94,27.196 523.338,26.654 C524.393,26.244 525.979,25.756 528.898,25.623 C532.057,25.479 533.004,25.448 541,25.448 C548.997,25.448 549.943,25.479 553.102,25.623 C556.021,25.756 557.607,26.244 558.662,26.654 C560.06,27.196 561.058,27.846 562.106,28.894 C563.154,29.942 563.803,30.938 564.346,32.338 C564.756,33.391 565.244,34.978 565.378,37.899 C565.522,41.056 565.552,42.003 565.552,50 C565.552,57.996 565.522,58.943 565.378,62.101 M570.82,37.631 C570.674,34.438 570.167,32.258 569.425,30.349 C568.659,28.377 567.633,26.702 565.965,25.035 C564.297,23.368 562.623,22.342 560.652,21.575 C558.743,20.834 556.562,20.326 553.369,20.18 C550.169,20.033 549.148,20 541,20 C532.853,20 531.831,20.033 528.631,20.18 C525.438,20.326 523.257,20.834 521.349,21.575 C519.376,22.342 517.703,23.368 516.035,25.035 C514.368,26.702 513.342,28.377 512.574,30.349 C511.834,32.258 511.326,34.438 511.181,37.631 C511.035,40.831 511,41.851 511,50 C511,58.147 511.035,59.17 511.181,62.369 C511.326,65.562 511.834,67.743 512.574,69.651 C513.342,71.625 514.368,73.296 516.035,74.965 C517.703,76.634 519.376,77.658 521.349,78.425 C523.257,79.167 525.438,79.673 528.631,79.82 C531.831,79.965 532.853,80.001 541,80.001 C549.148,80.001 550.169,79.965 553.369,79.82 C556.562,79.673 558.743,79.167 560.652,78.425 C562.623,77.658 564.297,76.634 565.965,74.965 C567.633,73.296 568.659,71.625 569.425,69.651 C570.167,67.743 570.674,65.562 570.82,62.369 C570.966,59.17 571,58.147 571,50 C571,41.851 570.966,40.831 570.82,37.631"></path></g></g></g></svg></div><div style="padding-top: 8px;"> <div style=" color:#3897f0; 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Advantages of Government Company:

Accounting is the process of recording financial transactions pertaining to a business. The accounting process includes summarizing, analyzing and reporting these transactions to oversight agencies, regulators and tax collection entities. Accounting or accountancy is the measurement, processing, and communication of financial and non financial information about economic entities such as businesses and corporations. As a result of economic, industrial, and technological developments, different specialized fields in accounting have emerged. The famous branches or types of accounting include: financial accounting, managerial accounting, cost accounting, auditing, taxation, AIS, fiduciary, and forensic accounting.

1) NON MONETARY TRANSACTIONS

For eg, A quarrel between the production manager and the sales manager will not be recorded since its monetary effect cannot be measured with a fair degree of accuracy.

2) PERSONAL TRANSACTIONS

For eg, Rent paid by the proprietor for his house from his own pocket will not be recorded in the books of accounts unless it is paid from the cash withdrawn from business.

Loss is a decrease in net incom that is outside the normal operations of the business.

For example, if a person buys some goods fot 1000 rs and due damage in some goods he sells them all to a retailer for 950 rs.

An expense is a cost used up in earning revenues in a company's main operations. ... Expenses also include costs used up during the accounting period such as interest expense, insurance expense, and depreciation expense.

For example a soap company spends money for the advertisement of the product to attract customers and earn profit.

Examples of current assets include:

• Cash and cash equivalents: Treasury bills, certificates of deposit, and cash
• Marketable securities: Debt securities or equity that is liquid
• Accounts receivables: Money owed by customers to be paid in the short-term
• Inventory: Goods available for sale or raw materials

Examples of fixed assets include: 

• Vehicles (such as company trucks)
• Office furniture
• Machinery
• Buildings
• Land

Any valuable thing which has monetary value and owned by a business, is its asset. In other words, assets are the monetary values of the properties or the legal rights that are owned by the business organisations.

Fixed Assets− These are those assets that are hold for the long term and increase the profit earning capacity and productive capacity of the business. These assets are not meant for sale, for example, land, building machinery, etc.

Current Assets− Assets that can be easily converted into cash or cash equivalents are termed as current assets. These are required to run day to day business activities; for example, cash, debtors, stock, etc.

Users may be categorised into internal users and external users.

(A) Internal Users

• Owners: Owners contribute capital in the business and thus they are exposed to maximum risk. So, they are always interested in the safety of their capital.
• Management: Accounting information is used by management for taking various decisions.
• Employees: Employees are interested in the financial statements to assess the ability of the business to pay higher wages and bonus.

(B) External Users

• Banks and financial institutions: Banks and Financial Institutions provide loans to business. So, they are interested in financial information to ensure the safety and recovery of the loan.
• Investors: Investors are interested to know the earning capacity of business and safety of the investment.
• Creditors: Creditors provide the goods on credit. So they need accounting information to ascertain the financial soundness of the firm.
• Government: The government needs accounting information to assess the tax liability of the business entity.
• Researchers: Researchers use accounting information in their research work.
• Consumers: They require accounting information for establishing good accounting control, which will reduce the cost of production.

improves efficiency -

this system is more efficient in comparison to the traditional system . the computers make sure speed and accuracy in preparing the records and accounts and thus increases the efficiency of employees.

Greater accuracy-

computerised accounting make sure accuracy in accounting records and statements . it prevents clerical errors and omissions in records.

facilities standardization

computerised accounting provides standardization of accounting routines and procedures . therefore it ensure standardization in the accounting records.