Description

SYLLABUS

 

(1)     Introduction to Management Accounting:   

Meaning and Definition, Scope, Functions, Objectives, Importance, Role of Management Accounting, Management Accounting Framework, Tools of Management Accounting.

 

(2)     Financial Statement Analysis:     

• Introduction to Corporate Financial Statements:
• Understanding the Balance sheet and Revenue statements with the headings and sub headings, Uses of financial statements, Users of Financial Statements.
• Financial Statement Analysis:
• Introduction and Meaning of Financial Statement Analysis, Steps, Objective, Types of Analysis.
• Ratio Analysis: Meaning, classification, Du Point Chart, advantages and limitations.

Balance Sheet Ratios:

• Current Ratio, Liquid Ratio, Stock Working Capital Ratio, Proprietary Ratio, Debt Equity Ratio, Capital Gearing Ratio,

Revenue Statement Ratios:

• Gross Profit Ratio, Expenses Ratio, Operating Ratio, Net Profit Ratio, Net Operating Profit Ratio, Stock Turnover Ratio.

Combined Ratio:

• Return on Capital employed (Including Long Term Borrowings), Return on Proprietor’s Fund (Shareholders Fund and Preference Capital), Return on Equity Capital, Dividend Payout Ratio, Debt Service Ratio, Debtors Turnover, Creditors Turnover.

 

(3)     Working Capital Management: (Practical Question)    

Concept, Nature of Working Capital, Planning of Working Capital, Estimation/Projection of  Working Capital Requirements in case of Trading and Manufacturing Organization, Operating Cycle.

 

(4)     Management of Profits/Dividend Policy:    

Meaning, Types, Factors influencing dividend policy, Forms of dividend. Determinants of Dividends Policy: Factors; Dividend Policy in India; Bonus Shares (Stock dividend) and Stock (Share) Splits; Legal, Procedural; and Tax Aspects associated with Dividend Decision.