As we all know, ICAI announced new scheme of education and training for CA curriculum on 1st July 2023, on CA day. but the applicability of the same course will be from May 2024.
If you are looking for new syllabus for CA Foundation and wants to know which the topics being included or removed. We have tried to compare both old syllabus and new syllabus, Let's dive into this.
Under New Syllabus of CA Foundation 2024, Correspondence reporting which was combined subject under Business laws and Business Correspondence reporting has been removed, Now Business laws is for 100 marks alone. In From the 4th Subject that is Business Economics and Commercial Knowledge has been also removed now it is for 100 marks but CA inter topics being added in Business Economics.
Comparison Between Old and New Schemes
| Subject | Old Scheme Marks | New Scheme Marks |
|---|---|---|
| Principles and Practice of Accounting | 100 | 100 |
| Business Laws and Business Correspondence | 60 + 40 | 100 |
| Business Mathematics, Logical Reasoning, and Statistics | 40 + 20 + 40 | 100 (40, 20, 40) |
| Business Economics and Commercial Knowledge | 60 + 40 | 100 |
Detailed Syllabus of CA Foundation under New Scheme
(I)Accounting;
1. Theoretical Framework
- (i) Meaning and Scope of Accounting.
- (ii) Accounting concepts, principles, and conventions.
- (iii) Capital and revenue expenditure, capital and revenue receipts, contingent assets, and contingent liabilities.
- (iv) Accounting policies.
- (v) Accounting as a measurement discipline – valuation principles, accounting estimates. Accounting Standards - concepts and objectives.
2. Accounting Process
- (i) Recording accounting transactions: principles of double-entry bookkeeping, books of original entry - journal, subsidiary books, cash book, ledger-format, posting from journal and subsidiary books, balancing of accounts.
- (ii) Preparation of trial balance.
- (iii) Rectification of errors.
3. Bank Reconciliation Statement
- Introduction, reasons, and preparation of bank reconciliation statement.
4. Inventories
- Meaning, basis, and technique of inventory valuation, cost of inventory, net realizable value, and record system.
5. Depreciation and Amortization
- Tangible and intangible assets - Meaning and difference, concepts, methods of computation, and accounting treatment of depreciation/amortization, change in depreciation method.
6. Bills of Exchange and Promissory Notes
- Meaning of bills of exchange and promissory notes and their accounting treatment; accommodation bills.
7. Preparation of Final Accounts of Sole Proprietors
- Elements of financial statements, closing adjustment entries, trading account, profit and loss account, and balance sheet of manufacturing and non-manufacturing entities.
8. Financial Statements of Not-for-Profit Organizations
- Significance and preparation of receipt and payment account, income and expenditure account, and balance sheet, difference between profit and loss account and income and expenditure account.
9. Accounts from Incomplete Records (excluding preparation of accounts based on ratios).
10. Partnership and LLP Accounts
- (i) Final accounts of partnership firms and LLPs.
- (ii) Admission, retirement, and death of a partner including treatment of goodwill.
- (iii) Dissolution of partnership firms and LLPs including piecemeal distribution of assets.
11. Company Accounts
- (i) Definition of shares and debentures.
- (ii) Issue of shares and debentures, forfeiture of shares, re-issue of forfeited shares.
- (iii) Redemption of preference shares and debentures (excluding purchase and redemption of own debentures and sinking fund method).
- (iv) Accounting for bonus issue and right issue.
(II) Business Laws
1. Indian Regulatory Framework
- Major Regulatory Bodies such as Ministry of Finance, Ministry of Corporate Affairs, SEBI, RBI, IBBI, Ministry of Law and Justice, etc.
2. The Indian Contract Act, 1872
- General nature of contract
- Consideration
- Other essential elements of a valid contract
- Performance of contract
- Breach of contract
- Contingent and Quasi Contract
- Contract of Indemnity and Guarantee
- Contract of Bailment and Pledge
- Contract of Agency
3. The Sale of Goods Act, 1930
- Formation of the contract of sale
- Conditions and Warranties
- Transfer of ownership and Delivery of goods
- Unpaid seller and his rights
4. The Indian Partnership Act, 1932
- General Nature of Partnership
- Rights and Duties of partners
- Reconstitution of firms
- Registration and Dissolution of a firm
5. The Limited Liability Partnership Act, 2008
- Introduction - covering nature and scope
- Essential features
- Characteristics of LLP
- Incorporation and Differences with other forms of organizations
6. The Companies Act, 2013
- Essential features of the company
- Corporate veil theory
- Classes of companies
- Types of share capital
- Incorporation of a company
- Memorandum of Association
- Articles of Association
- Doctrine of Indoor Management
7. The Negotiable Instruments Act, 1881
- Meaning of Negotiable Instruments
- Characteristics
- Classification of Instruments
- Different provisions relating to Negotiation
- Presentment of Instruments
- Rules of Compensation
(III) Quantitative Aptitude
The whole syllabus of Quantitative Aptitude shall be divided into three broad areas:
- Business Mathematics
- Logical Reasoning
- Statistics
PART A: BUSINESS MATHEMATICS (40 MARKS)
Ratio and Proportion, Indices and Logarithms:
- Ratio and proportion and Time and work-related problems
- Laws of Indices, Exponents, and Logarithms
- Anti Logarithms
Equations:
- Linear Simultaneous linear equations up to three variables
- Quadratic and Cubic equations in one variable
- Applications in Business-related problems
Linear Inequalities:
- Linear Inequalities in one and two variables
- Solution space
Mathematics of Finance:
- Simple Interest
- Compound Interest
- Nominal and Effective Rate of Interest
- Present Value
- Net Present Value
- Future Value
- Perpetuity
- Annuities
- Sinking Funds
- Calculating EMI (Equated Monthly Installments)
- Calculations of Returns: Nominal and Effective rate of Return
- Compound Annual Growth Rate (CAGR)
Permutations and Combinations:
- Basic concepts of Permutations and Combinations
- Introduction, the factorial, permutations, results
- Circular permutations, permutations with restrictions
- Combinations with standard results
Sequence and Series:
- Introduction to Sequences and Series
- Arithmetic and Geometric progression
- Relationship between Arithmetic Mean (AM) and Geometric Mean (GM)
- Sum of n terms of special series
- Business Applications
Sets, Relations, and Functions:
- Basics of Sets, Relations, and Functions
- Basics of Limits and Continuity functions
Basic Applications of Differential and Integral Calculus in Business and Economics (Excluding the trigonometric applications).
PART B: LOGICAL REASONING (20 MARKS)
9. Number Series, Coding, and Decoding, and Odd Man Out11.Direction Tests12.Seating Arrangements13.Blood Relations
PART C: STATISTICS (40 MARKS)
Unit 1: Statistical Representation of Data:
- Diagrammatic representation of data
- Frequency distribution
- Graphical representation of Frequency Distribution:
- Histogram
- Frequency Polygon
- Ogive
- Pie-chart
Unit 2: Sampling:
- Basic principles of sampling theory
- Comparison between sample survey and complete enumeration
- Some important terms associated with sampling
- Types of sampling
- Sampling and non-sampling errors
- Measures of Central Tendency and Dispersion:
- Mean, Median, Mode
- Mean Deviation
- Quartiles and Quartile Deviation
- Standard Deviation
- Coefficient of Variation
- Coefficient of Quartile Deviation
- Probability:
- Independent and dependent events
- Mutually exclusive events
- Total and Compound Probability
- Bayes' theorem
- Theoretical Distributions:
- Random variables
- Discrete and Continuous Random variables
- Expectation of a discrete random variable
- Theoretical Distributions:
- Binomial Distribution
- Poisson Distribution - basic application
- Normal Distribution - basic applications
- Correlation and Regression:
- Scatter diagram
- Karl Pearson’s Coefficient of Correlation
- Rank Correlation
- Regression lines
- Regression equations
- Regression coefficients
- Index Numbers:
- Uses of Index Numbers
- Problems involved in the construction of Index Numbers
- Methods of construction of Index Numbers
- BSE SENSEX and NSE
(IV) Business Economics
1. Introduction to Business Economics
- Meaning and scope of Business Economics.
- Basic Problems of an Economy and Role of Price Mechanism.
2. Theory of Demand and Supply
- Meaning and Determinants of Demand
- Law of Demand and Elasticity of Demand – Price, Income, and Cross Elasticity.
- Theory of Consumer’s Behaviour – Indifference Curve approach.
- Meaning and Determinants of Supply
- Law of Supply and Elasticity of Supply
- Market Equilibrium and Social Efficiency.
3. Theory of Production and Cost
- Meaning and Factors of Production, Short Run and Long Run.
- Law of Production – The Law of Variable Proportions and Laws of Returns to Scale.
- Producer’s Equilibrium.
- Concepts of Costs – Short-run and long-run costs, Average and Marginal Costs, Total, Fixed and Variable Costs.
4. Price Determination in Different Markets
- Market Structures: Perfect Competition, Monopoly, and Monopolistic Competition.
- Using Game Theory to study Oligopoly.
- Price Determination in these Markets.
- Price-Output Determination under different Market Forms.
5. Determination of National Income
- Macro Economic Aggregates and Measurement of National Income.
- Determination of National Income:
- Keynes’ Two Sector Basic Model,
- Three Sectors and Four Sectors Models.
6. Business Cycles
- Meaning
- Phases
- Features
- Causes behind these Cycles
7. Public Finance
- Fiscal functions: An Overview, Centre and State Finance.
- Market Failure/ Government intervention to correct market failure.
- Process of budget making: Sources of Revenue, Expenditure Management, and Management of Public Debt.
- Fiscal Policy.
8. Money Market
- Concept of Money Demand.
- Important theories of Demand for Money.
- Concept of Money Supply, Cryptocurrency, and other new terminology.
- Monetary Policy.
9. International Trade
- Theories of International Trade including theories of intra-industry trade by Krugman.
- Trade Policy – The Instruments of Trade Policy.
- Trade Negotiations.
- Exchange Rates and its economic effects.
- International Capital Movements: Foreign Direct Investment.
10. Indian Economy (Before 1950 - Chanakya and Nand Vansh, OECD Paper (1950- 1991), Basic knowledge 1991 Onwards
To download old and New Syllabus for CA Foundation Old Syllabus, New Syllabus
People Also Ask (FAQs)
When will the new syllabus for CA Foundation become applicable?
Answer: The new syllabus for CA Foundation will become applicable from May 2024.
What changes have been made to the CA Foundation syllabus in the new scheme?
Answer: Under the new syllabus for CA Foundation 2024, Correspondence reporting has been removed from the Business laws and Business Correspondence reporting subject. Business laws is now a standalone subject with 100 marks. Additionally, Business Economics and Commercial Knowledge has been modified with the inclusion of CA inter topics.
What are the major topics covered in the Accounting section of the new CA Foundation syllabus?
Answer: The Accounting section of the new CA Foundation syllabus covers topics such as Theoretical Framework, Accounting Process, Bank Reconciliation Statement, Inventories, Depreciation and Amortization, Bills of Exchange and Promissory Notes, Preparation of Final Accounts of Sole Proprietors, Financial Statements of Not-for-Profit Organizations, Accounts from Incomplete Records, Partnership and LLP Accounts, and Company Accounts.
What are the key subjects covered in the Business Laws section of CA Foundation?
Answer: The Business Laws section of CA Foundation covers subjects such as Indian Regulatory Framework, The Indian Contract Act, 1872, The Sale of Goods Act, 1930, The Indian Partnership Act, 1932, The Limited Liability Partnership Act, 2008, The Companies Act, 2013, and The Negotiable Instruments Act, 1881.
What are the areas of study within the Quantitative Aptitude section of CA Foundation?
Answer: The Quantitative Aptitude section of CA Foundation is divided into three broad areas: Business Mathematics, Logical Reasoning, and Statistics. Business Mathematics includes topics like Ratio and Proportion, Equations, Linear Inequalities, Mathematics of Finance, Permutations and Combinations, Sequence and Series, Sets, Relations, and Functions, and Basic Applications of Differential and Integral Calculus. Logical Reasoning covers Number Series, Coding, Decoding, Odd Man Out, Direction Tests, Seating Arrangements, and Blood Relations. The Statistics part includes Statistical Representation of Data, Sampling, Measures of Central Tendency and Dispersion, Probability, Theoretical Distributions, Correlation and Regression, and Index Numbers.