Name of the Program: Bachelor of Commerce ([Link].
)
Course Code: [Link]. 2.1
NAME OF THE COURSE: ADVANCED FINANCIAL ACCOUNTING
COURSE CREDITS NO. OF HOURS TOTAL NO. OF
PER WEEK TEACHING HOURS
4 CREDITS 4 HOURS 56 HOURS
Pedagogy: Classroom lecture, Case studies, Tutorial classes, Group discussion,
Seminar & field work etc.,
Course Outcomes: On successful completion of the course, the students will be
able to
a. Understand & compute the amount of claims for loss of stock & loss of Profit.
b. Learn various methods of accounting for hire purchase transactions.
c. Deal with the inter-departmental transfers and their accounting treatment.
d. Prepare financial statements from incomplete records.
e. Outline the emerging trends in the field of accounting
SYLLABUS: HOURS
Module-1: Insurance Claims for Loss of Stock 12
Meaning, Need and Advantages of Fire Insurance-Special terminologies in Fire
Insurance Claims – Insurer, Insured, Premium, Salvage, Insurance Policy, Sum
Assured, Under Insurance, over insurance Average Clause, Claim. Problems on
Ascertainment of Fire Insurance Claim including problems on abnormal line of
goods-Problems
Module - 2: Hire Purchase Accounting 12
Meaning of Hire Purchase and Installment Purchase System- difference between
Hire Purchase and Installment Purchase – Important Definitions – Hire Purchase
Agreement – Hire Purchase Price – Cash Price – Hire Purchase Charges –
Calculation of Interest – Calculation of Cash Price – Journal Entries and Ledger
Accounts in the books of Hire Purchaser only. (Asset Accrual Method only)-
Problems
Module -3: Departmental Accounts 12
Meaning and Features of Departmental Undertaking-Examples of Department
Specific Expenses and Common Expenses -Need and Bases of Apportionment of
Common Expenses-Preparation of Statement of Trading and Profit and Loss in
Columnar form, Statement of General Profit and Loss and Balance Sheet – Simple
problems involving Inter Departmental Transfers at Cost Price (vertical form)-
Problems
Module-4: Conversion of Single-Entry System intoDouble 12
Entry System
Single entry system- Meaning – Features – Merits – Demerits – Types. Conversion
into Double Entry system – Need for Conversion – Preparation of Statement of
Affairs – Cash book – Memorandum Trading Account – Total Debtors Account –
Total Creditors Account – Bills Receivable Account – Bills Payable Account –
Statement of Trading and Profit & Loss and Balance Sheet-Problems
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Module -5: Emerging Trends in Accounting
08
Digital transformation of Accounting – Big Data Analytics in Accounting- Cloud
Computing in accounting- Green Accounting- Human Resource Accounting,
Inflation Accounting, Database Accounting (Meaning and Features only)
Skill Development Activities:
1. Identify the procedure & documentations involved in the insurance claims.
2. Prepare the purchase table with imaginary figures.
3. Identify the common expenditures of a departmental undertaking
4. Identify latest innovations and developments in the field of accounting.
5. Prepare a Memorandum Trading Account with imaginary figures.
6. Identify the latest accounting trends.
Reference Books:
1. S.N. Maheshwari, and. S. K. Maheshwari. Financial Accounting. Vikas
Publishing House, New Delhi, 6thEdition.
2. B.S. Raman (2008), Financial Accounting Vol. I & II, United Publishers &
Distributors
3. [Link] Kumar, [Link] Kumar and [Link] – Financial Accounting,
Himalaya Publishing House, New Delhi
4. SP Iyengar (2005), Advanced Accounting, Sultan Chand & Sons, Vol.1.
5. Robert N Anthony, David Hawkins, Kenneth A. Merchant, (2017)
Accounting: Text and Cases, McGraw-Hill Education, 13thEdition.
6. Charles T. Horngren and Donna Philbrick, (2013) Introduction to Financial
Accounting, Pearson Education, 11thEdition.
7. J.R. Monga, Financial Accounting: Concepts and Applications. Mayur Paper
Backs, New Delhi, 32ndEdition.
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