ADVANCED CORPORATE ACCOUNTING

SUBJECT CODE:
CREDITS: 3

Course Objectives:
1. To Understand the process of appropriation of Profits between Pre and Post Incorporation
Period
2. To Enumerate the modes of winding up a company and prepare Deficiency/Surplus Account
3. To Appraise the accounting procedures for Amalgamation, Absorption and external
reconstruction with specific focus to AS-14 and Ind AS-103
4. To Examine and use different methods of Computation of Purchase Consideration
5. To Develop the procedures of internal reconstruction, the reconstruction account and the
balance sheet after reconstruction.
6. To Infer and Adapt the recent developments in the field of accounting

Course Outcomes:
At the end of the course, students will be able:

CO1 - To Categorise the expenses and profits between Pre and Post Incorporation Period

CO2 - To Prepare the liquidators final statement of accounts.

CO3 - To Determine the accounting procedures for Amalgamation, Absorption.
CO4 - To Interpret the impact of External and Internal reconstruction.
CO5 – To Modify the existing accounting system as per the current trends and recent developments
TOTAL HOURS – 45

NUMBER
OF
UNIT No. TOPIC
LECTURE
HOURS
1 Profit Prior to Incorporation 06
1.1 Meaning of Pre-Incorporation Period, Post Incorporation
Period
1.2 Calculation of Sales ratio, Time Ratio, Weighted ratio
1.3 Treatment of Capital and Revenue expenditure
1.4 Ascertainment of Pre and Post Incorporation of Profits by
preparing Statement of Profit and Loss Account
2 Liquidation of Companies 12
2.1 Meaning, salient features of liquidation
2.2 Types of Liquidation
2.3 Distinction between liquidation, Insolvency and Bankruptcy
2.4 Modes of Winding up
2.5 Order of Payment
2.6 Liquidator’s final statement of Accounts
3 Amalgamation, Absorption & External Reconstruction 15
3.1 Meaning of Amalgamation, Absorption & External
Reconstruction
 3.2 Methods of Purchase Consideration and Calculation
3.3 Entries and Ledger Posting in the books of Transferor company
and Transferee company with Balance sheet
3.4 Numericals on Absorption and External Reconstruction
3.5 AS-14: Accounting for Amalgamation
3.6 Differences between AS-14 and Ind AS-103
4 Internal Reconstruction 06
4.1 Meaning, Need of Internal Reconstruction
4.2 Distinction between Internal and External Reconstruction
4.3 Steps involved in Internal reconstruction
4.4 Reconstruction Account
4.5 Preparation of Balance Sheet after Reconstruction
5 Recent Developments in Accounting 06
5.1 Value Added Statements- Concept, Advantages, Limitations
5.2 Enviornmental/Green Accounting, Human Resource
Accounting, Brand Accounting
5.3 Lean Accounting- Meaning, Objectives, Steps of Lean
Accounting, Limitations of Traditional Accounting
5.4 Meaning of Forensic Accounting, Role of Forensic
Accountant

Text Books:

1. Monga J. R., Basic Corporate Accounting. Mayur Paperbacks, New Delhi.

2. Gupta Nirmal & Sharma Chhavi. Corporate Accounting Theory and Practice, Ane Books Pvt.
Ltd.

Reference Books:

1. Shukla M. C., Grewal T. S. & Gupta S. C., Corporate Accounting, S. Chand and Co. New
Delhi.
2. Maheshwari S. N. & Maheshwari S. K., Corporate Accounting. Vikas Publication, New
Delhi.
3. Mukherjee & Hanif. Corporate Accounting. Tata McGraw Hill, New Delhi.

Online References:

1. Corporate Accounting
https://www.drnishikantjha.com/booksCollection/Corporate%20Accounting%20.pdf
2. Corporate Accounting
https://books.google.co.in/books?
id=zB7zDwAAQBAJ&pg=PP7&source=gbs_selected_pages&cad=2#v=onepage&q&f=false
3. Corporate and Management Accounting
https://www.icsi.edu/media/webmodules/Corporate%20and%20Management
%20Accounting.pdf

Research Journals:
1. International Journal of Corporate Finance and Accounting.
https://www.igi-global.com/journal/international-journal-corporate-finance-accounting/67810
2. The Journal of Corporate Accounting and Finance.
https://www.researchgate.net/journal/Journal-of-Corporate-Accounting-Finance-1097-0053