CA Final Paper 1 - Financial Reporting

Study Notes

Here you can download various notes as released by various authors from time to time:

     

Recommended Books

Best Book is what suits one Best. It is obviously uncommon to know which one suits you best or not. Keeping that in mind, we are here providing you some recommended books by various authors which you can refer to for your preparation.

ICAI Study Material

CA Final Old Paper 1: Financial Reporting

CA Final New Paper 1: Financial Reporting

Other Recommended Books

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Syllabus

Currently, ICAI is providing CA Course under 2 schemes i.e. Old Scheme & New Scheme. ICAI has recently drafted its new scheme syllabus. 

Those students who are enrolled under New Scheme will refer New Syllabus and those with the existing scheme will refer Old Syllabus only

However, For every attempt, ICAI announces the applicable syllabus for a particular attempt covering inclusions and exclusions from the following pre-defined syllabus.

Click here to download the applicable syllabus for the upcoming attempt

CA Final Old

PAPER 1: FINANCIAL REPORTING 

(One paper – Three hours – 100 marks) 

Level of Knowledge: Advanced knowledge 

Objectives: 

(a) To gain ability to analyze financial statements including consolidated financial statements of group companies and financial reports of various types of entities, 

(b) To gain ability to apply valuation principles, 

(c) To familiarise with recent developments in the area of financial reporting, 

(d) To gain ability to solve financial reporting and valuation cases. 

Contents: 

1. Accounting Standards and Guidance Notes on various accounting aspects issued by the ICAI and their applications. 

2. Introduction of Indian Accounting Standards (Ind AS); Comparative study of ASs vis-a-vis Ind ASs; Carve outs/ins in Ind ASs vis-à-vis International Financial Reporting Standards (IFRSs). 

3. Corporate Financial Reporting - Issues and problems with special reference to published financial statements. 

4. Accounting for Corporate Restructuring (including inter-company holdings). 

5. Consolidated Financial Statements of Group Companies Concept of a Group, purposes of consolidated financial statements, minority interest, Goodwill , Consolidation procedures – Minority interests, Goodwill, Treatment of pre- acquisition and postacquisition profit . Consolidation with two or more subsidiaries, consolidation with foreign subsidiaries. Consolidated profit and loss account, balance sheet and cash flow statement. Treatment of investment in associates in consolidated financial statements. Treatment of investments in joint ventures in consolidated financial statements. 

6. Accounting and reporting of financial instruments Meaning, recognition, derecognition and offset, compound financial instruments Measurement of financial instruments Hedge accounting Disclosures 

7. Share based payments Meaning, Equity settled transactions, Transaction with employees and non- employees Determination of fair value of equity instruments Vesting conditions 3 Modification, cancellation and settlement Disclosures 

8. Financial Reporting by Mutual funds, Non-banking finance companies, Merchant bankers, Stock and commodity market intermediaries. 

9. Valuation 

(a) Concept of Valuation 

(b) Valuation of Tangible Fixed Assets 

(c) Valuation of Intangibles including brand valuation and valuation of goodwill 

(d) Valuation of liabilities 

(e) Valuation of Shares 

(f) Valuation of Business 

10. Developments in Financial Reporting 

(a) Value Added Statement 

(b) Economic Value Added, Market Value Added, Shareholders’ Value Added 

(c) Human Resource Reporting 

Note 

If either old Accounting Standards (ASs), Guidance Notes (GNs), Announcements and Limited Revisions to ASs are withdrawn or new ASs, GNs, Announcements and Limited Revisions to AS are issued by the Institute of Chartered Accountants of India in place of existing ASs, GNs, Announcements and Limited Revisions to AS, the syllabus will accordingly exclude/include such new developments in the place of the existing ones with effect from the date to be notified by the Institute.    

CA Final New

PAPER – 1: FINANCIAL REPORTING 

(One paper – Three hours – 100 Marks) 

Objectives: 

(a) To acquire the ability to integrate and solve problems in practical scenarios on Indian Accounting Standards for deciding the appropriate accounting treatment and formulating suitable accounting policies. 

(b) To gain the prowess to recognize and apply disclosure requirements specified in Indian Accounting Standards while preparing and presenting the financial statements. 

(c) To develop the skill to prepare financial statements of group entities which includes subsidiaries, associates and joint arrangements based on Indian Accounting Standards. 

(d) To develop an understanding of the various forms of reporting (other than financial statements) and accounting for special transactions, and apply such knowledge in problem solving. 

Contents: 

1. Framework for Preparation and Presentation of Financial Statements in accordance with Indian Accounting Standards (Ind AS). 

2. Application of Indian Accounting Standards (Ind AS) with reference to General Purpose Financial Statements (i) Ind AS on First time adoption of Indian Accounting Standards (ii) Ind AS on Presentation of Items in the Financial Statements (iii) Ind AS on Measurement based on Accounting Policies (iv) Ind AS on Income Statement (v) Ind AS on Assets and Liabilities of the Financial Statements including Industry specific Ind AS (vi) Ind AS on Items impacting the Financial Statements (vii) Ind AS on Disclosures in the Financial Statements (viii) Other Ind AS 

3. Indian Accounting Standards on Group Accounting (i) Business Combinations and Accounting for Corporate Restructuring (including demerger) (as per Ind AS) (ii) Consolidated and Separate Financial Statements (as per Ind AS) 

4. Accounting and Reporting of Financial Instruments (as per Ind AS) 

5. Analysis of Financial Statements 

6. Integrated Reporting 

7. Corporate Social Responsibility Reporting 

Notes: 

1. If either a new Indian Accounting Standard (Ind AS) or Announcements and Limited Revisions to Ind AS are issued or the earlier one are withdrawn or new Ind AS, Announcements and Limited Revisions to Ind AS are issued in place of existing Ind AS, Announcements and Limited Revisions to Ind AS, the syllabus will accordingly include / exclude such new developments in the place of the existing ones with effect from the date to be notified by the Institute. 

2. The specific inclusions / exclusions in any topic covered in the syllabus will be effected every year by way of Study Guidelines.

Revision Test Papers

ICAI releases revision test papers for every attempt which contains all the relevant amended provisions applicable for the upcoming attempt and a bunch of questions for all or selected chapters.

A student must note that these Revision Test papers are must to do before exams because it has been seen that sometimes direct questions are asked in exams from Revision Test Papers.

You can download all the relevant RTPs here below:

   

Mock Test Papers

ICAI releases mock test paper series for every attempt which is the best source to know the depth of revision status of a student.

A student must note that these Mock Test papers are must to do before exams because it has been seen that sometimes direct questions are asked in exams from Mock Test Papers.

You can download all the relevant MTPs here below:

CA Final Old:

             

CA Final New:

                  

Past Year Question Papers

Here you can find all previous Question Papers of Previous Year:

         

Quick Revision Reference

ICAI provides a quick revision reference to its students which is a very helpful tool for exams. You may download the same from here below:

• CA Final New
• CA Final Old