Corporate Accounting

Paper Code: 
DBBA 501D
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

This course will enable the students to -

1. Provide the knowledge of companies, Shares and regulatory of companies.

2. Provide the knowledge of issue of shares and issue of debentures.

Course Outcomes (COs):

Course

Learning outcomes

(at course level)

Learning and teaching strategies

Assessment

Strategies

Paper Code

Paper Title

DBBA 501D

Corporate Accounting

CO 253: Recognize accounting entries related to issue, reissue and forfeiture of shares

CO 254: Discuss the accounting treatment of issue of bonus shares, right shares, sweat equity shares and ESOP.

CO 255: Understanding the concept and methods of redemption of preference shares.

CO 256: Develop an understanding about the accounting treatment of issue and redemption of Debentures.

CO 257: Recognize the methods of winding up of a company.

CO 258: Prepare Liquidators Final Statement of Accounts.

 

Approach in teaching:

Interactive Hours using whiteboards, Questioning & Discussion, Reading assignments, Frequent or unannounced quizzes.

 

Learning activities for the students:

Self learning assignments, Effective questions,  presentation, Solving problems of unsolved questions

 

Class test, Semester end examinations, Quiz,  Assignments, Class interaction

 

12.00
Unit I: 
Accounting for Share Capital

Accounting for Share Capital – Issue, Forfeiture, and Re-issue of Forfeited Shares; Issue of Bonus Shares and Right Shares; Concept of Book Building, Dematerialization, and Employees Stock option Scheme.
Issue of Shares to Vendors, Promoters, and Issue of Sweat Equity Shares.

12.00
Unit II: 
Accounting for Debentures:

Accounting for Debentures: Types of Debentures; Difference between Shares and debentures, Accounting treatment for Issue of Debentures, Treatment of Discount on issue on Debentures and Interest on Debentures

12.00
Unit III: 
Redemption of Debentures

Redemption of Debentures – Introduction, Methods of redemption of debentures- Conversion into shares or new debentures, Payment in lump sum: Sinking Fund Method, Annual drawings: Redemption by purchase from open market.

12.00
Unit IV: 
Redemption of Preference Shares

Redemption of Preference Shares: Concept, Methods of redemption of preference shares- redemption out of profits, redemption by way of issuing new shares, redemption partly out of profits and partly out of new issue of shares, redemption by conversion in new shares .
Buy Back of Shares.

12.00
Unit V: 
Accounts of Companies Liquidation:

Accounts of Companies Liquidation: Methods of winding up of company, statement of affairs, preferential payment, Deficiency or surplus Account, Procedure of preparing the Liquidators final statement of account.

Essential Readings: 

1. Maheshwari, S. N., An Introduction to Accountancy, Vikas Publishers, New Delhi
2. Mukharjee, A. and Hanif, M., Modern Accountancy, Tata McGraw Hill, New Delhi
3. Sehgal, Ashok and Sehgal, Deepak, Fundamentals of Financial Accounting, Taxmann Allied Services, New Delhi.
4. Jain, Khandelwal and Pareek, Financial Accounting, Ajmera Book Company, Jaipur
5. Tulsian, P.C., Accountancy, Tata McGraw-Hill, New Delhi
6. Goel D.K. and Goel Rajesh, Accountancy, Arya Publications, New Delhi
7. Ghosh, T.P., Fundamentals of Accounting, Sultan Chand & Sons, New Delhi.

Academic Year: 
2021-2022
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