12TH COMMERCE SYLLABUS

Chapter 1

Accounting for Not-for-Profit Organisation

Meaning and Characteristics of Not-for-Profit Organisation, Receipts and Payments Account, Income and Expenditure Account, Balance Sheet, and Preparation of Income and Expenditure Account and Balance Sheet from the given Receipts and Payments Account with additional information.

Chapter 2

Accounting for Partnership Firms - Fundamentals

Nature of Partnership, Partnership Deed, Maintenance of Capital Accounts of Partners, Preparation of Profit and Loss Appropriation Account - Division of Profit among Partners, Guarantee of Profit, Past Adjustments (Interest on Capital, Interest on Drawing, and Salary to Partners), and Preparation of Balance Sheet of a Partnership Firm.

Chapter 3

Goodwill: Nature and Valuation

Nature of Goodwill, Factors affecting Goodwill, Methods of Valuation of Goodwill - Average Profit Method and Super Profit Method.

Chapter 4

Change in Profit-Sharing Ratio Among the Existing Partners

Meaning of Admission of a Partner, Change in Profit-Sharing Ratio among the Existing Partners, Sacrificing Ratio and Gaining Ratio, Accounting Treatment of Goodwill, Revaluation of Assets and Liabilities, Adjustment of Capitals, and Accounting Treatment of Reserves and Accumulated Profits.

Chapter 5

Admission of a Partner

Meaning of Admission of a Partner, Effect of Admission of a Partner on the existing Profit Sharing Ratio, Accounting Treatment of Goodwill, Revaluation of Assets and Liabilities, Adjustment of Capitals, and Accounting Treatment of Reserves and Accumulated Profits.

Chapter 6

Accounting for Share Capital

Share and Share Capital, Issue and Allotment of Equity and Preference Shares, Calls in Advance and Arrears, Forfeiture of Shares, Re-issue of Forfeited Shares, Redemption of Preference Shares, and Accounting Treatment of Buyback of Shares.

Chapter 7

Redemption of Debentures

Debentures and Bonds, Types of Debentures, Issue of Debentures, Terms of Issue of Debentures, Interest on Debentures, Writing off Discount/Loss on Issue of Debentures, Redemption of Debentures, and Sources of Redemption of Debentures.

Chapter 8

Financial Statements of a Company

Financial Statements - Meaning and Significance, Balance Sheet and its Components, Profit and Loss Account and its Components, Cash Flow Statement, and Notes to Accounts.

Chapter 9

Analysis of Financial Statements

Financial Statement Analysis - Meaning and Significance, Objectives of Financial Statement Analysis, Tools of Financial Statement Analysis - Comparative Statements, Common-Size Statements, Trend Analysis, and Ratio Analysis.

Chapter 10

Accounting Ratios

Meaning and Significance of Accounting Ratios, Types of Ratios - Liquidity Ratios, Solvency Ratios, Turnover Ratios, and Profitability Ratios, Computation and Interpretation of Accounting Ratios.

Chapter 11

Cash Flow Statement

Meaning and Objectives of Cash Flow Statement, Preparation of Cash Flow Statement - Direct Method and Indirect Method, and Analysis of Cash Flow Statement.

Chapter 1

Introduction to Micro Economics

Meaning, Scope and Importance of Micro Economics, Central Problems of an Economy, Production Possibility Frontier, Opportunity Cost, and Micro Economic Models.

Chapter 2

Theory of Consumer Behaviour

Consumer's Equilibrium - Meaning and Assumptions, Marginal Utility Analysis, Law of Diminishing Marginal Utility, Budget Line, Consumer's Equilibrium using Utility Approach, and Indifference Curve Analysis.

Chapter 3

Production and Costs

Production Function - Meaning and Concepts, Short Run and Long Run Production Function, Law of Variable Proportions, Isoquants, and Producer's Equilibrium. Cost - Concept and Types, Short Run and Long Run Cost Curves, Average Cost and Marginal Cost.

Chapter 4

The Theory of the Firm under Perfect Competition

Market and Perfect Competition - Meaning, Features, Determination of Market Equilibrium and Price, Firm and Industry Equilibrium under Perfect Competition, Determination of Short Run and Long Run Equilibrium, and Optimal Input Combination.

Chapter 5

Market Equilibrium

Market Equilibrium - Meaning and Determination, Changes in Market Equilibrium, Price Elasticity of Demand, Income Elasticity of Demand, and Cross Elasticity of Demand.

Chapter 6

Non-Competitive Markets

Meaning and Features of Monopoly, Sources of Monopoly Power, Price-Output Determination under Monopoly, Price Discrimination, and Monopoly and Efficiency.

Chapter 7

Market Failure

Market Failure - Meaning, Types of Market Failure - Public Goods, Private Goods, Common Pool Resources, Externalities and Asymmetric Information, and Government Interventions to Correct Market Failure.

Chapter 8

Introduction to Macroeconomics

Meaning, Scope and Importance of Macroeconomics, Macroeconomic Variables, Circular Flow of Income, Aggregate Demand and Aggregate Supply, and Macroeconomic Models.

Chapter 9

National Income and Related Aggregates

Gross Domestic Product (GDP) - Meaning and Components, Nominal GDP and Real GDP, GDP and Welfare, and Methods of Calculating National Income.

Chapter 10

Money and Banking

Money - Meaning, Functions, and Types, Money Supply - Currency, Demand Deposits, and Other Deposits, Central Bank - Meaning, Functions and Role, Commercial Banks - Meaning and Functions, and Credit Creation by Commercial Banks.

Chapter 11

Determination of Income and Employment

Aggregate Demand and its Components, Determination of Income and Employment - Keynesian Theory, Consumption Function, Saving Function, Investment Function, and Equilibrium Level of Income and Employment.

Chapter 12

Government Budget and the Economy

Government Budget - Meaning, Objectives and Components, Classification of Government Expenditure, Revenue Receipts and Revenue Expenditure, Budget Deficit and Budget Surplus, Fiscal Policy - Meaning and Objectives, and Measures to Correct Deficit.

Chapter 13

Balance of Payments

Balance of Payments - Meaning, Components and Accounts, Foreign Exchange Rate - Meaning and Types, Determination of Exchange Rate, Managed Floating Exchange Rate System, and Balance of Payments Disequilibrium.

1

Relations and Functions

Types of relations and functions, composition of functions, invertible functions, binary operations, inverse trigonometric functions and their properties

2

Inverse Trigonometric Functions

Definition, range, domain, principal value branch, properties and graphs of inverse trigonometric functions

3

Matrices

Types of matrices, operations on matrices, transpose of a matrix, symmetric and skew symmetric matrices, elementary operations, inverse of a matrix, properties of determinants, adjoint and inverse of a square matrix, consistency and inconsistency of equations

4

Determinants

Introduction to determinants, properties of determinants, minors and cofactors, applications of determinants in finding the area of a triangle

5

Continuity and Differentiability

Continuity and differentiability of functions, algebra of continuous functions, mean value theorem, Rolle's theorem, theorems on increasing and decreasing functions, theorems on differentiability, maxima and minima of a function, rate of change of quantities, tangents and normals, approximation of small errors

6

Application of Derivatives

Applications of derivatives in various fields, rate of change of quantities, increasing and decreasing functions, tangents and normals, maxima and minima, Rolle's theorem and mean value theorem

7

Integrals

Integration as an inverse process of differentiation, integration of simple and composite functions, integration by substitution and by parts, integration using partial fractions, definite integrals and their properties, fundamental theorem of calculus, evaluation of definite integrals by substitution, properties of definite integrals

8

Application of Integrals

Integration as an inverse process of differentiation, indefinite integrals, definite integrals and their properties, fundamental theorem of calculus, evaluation of definite integrals, application of definite integrals in finding the area under simple curves, especially lines, circles, parabolas; area between any of the two above said curves (the region should be clearly identifiable).

9

Differential Equations

Definition, order and degree, general and particular solutions of a differential equation. Formation of differential equations whose general solution is given. Solution of differential equations by the method of separation of variables, homogeneous differential equations of first order and first degree. Solutions of linear differential equation of the type: dy/dx + py = q, where p and q are functions of x or constants. Bernoulli’s differential equation and its solution.

10

Vector Algebra

Vectors and scalars, magnitude and direction of a vector. Direction cosines and direction ratios of a vector. Types of vectors (equal, unit, zero, parallel and collinear vectors), position vector of a point, negative of a vector, components of a vector, addition of vectors, multiplication of a vector by a scalar, position vector of a point dividing a line segment in a given ratio. Definition, Geometrical Interpretation, properties and application of scalar (dot) product of vectors, vector (cross) product of vectors, scalar triple product of vectors.

11

Three Dimensional Geometry

Direction cosines and direction ratios of a line joining two points. Cartesian equation and vector equation of a line, coplanar and skew lines, shortest distance between two lines. Cartesian and vector equation of a plane. Angle between (i) two lines, (ii) two planes, (iii) a line and a plane. Distance of a point from a plane.

12

Linear Programming

Introduction, related terminology such as constraints, objective function, optimization, different types of linear programming (L.P.) problems, mathematical formulation of L.P. problems, graphical method of solution for problems in two variables, feasible and infeasible regions (bounded or unbounded), feasible and infeasible solutions, optimal feasible solutions (up to three non-trivial constraints).

13

Probability

Conditional probability, multiplication theorem on probability, independent events, total probability, Baye’s theorem, Random variable and its probability distribution, mean and variance of a probability distribution, repeated independent (Bernoulli) trials and Binomial distribution.

Chapter 1

Nature and Significance of Management

Management - Meaning, Nature, Characteristics, Importance, and Functions of Management.

Chapter 2

Principles of Management

Principles of Management - Meaning, Importance, and Types, Fayol's Principles of Management, Taylor's Scientific Management, and Recent Developments in Management.

Chapter 3

Business Environment

Business Environment - Meaning, Importance, Dimensions, Components, and Types of Environment.

Chapter 4

Planning

Planning - Meaning, Nature, Importance, Types of Plans, and Planning Process.

Chapter 5

Organising

Organising - Meaning, Nature, Importance, Steps in the Process of Organising, and Types of Organisation Structure.

Chapter 6

Staffing

Staffing - Meaning, Nature, Importance, Recruitment, Selection, Training and Development, and Appraisal.

Chapter 7

Directing

Directing - Meaning, Nature, Importance, Elements of Directing, and Communication.

Chapter 8

Controlling

Controlling - Meaning, Nature, Importance, Relationship between Planning and Controlling, and Techniques of Controlling.

Chapter 9

Financial Management

Financial Management - Meaning, Objectives, and Functions, Financial Planning - Meaning, Importance, and Steps, Capital Structure - Meaning, Factors Affecting Capital Structure, and Determination of Optimum Capital Structure.

Chapter 10

Financial Markets

Financial Markets - Meaning, Types, and Functions, Money Market - Meaning, Features, and Instruments, Capital Market - Meaning, Features, and Instruments, and Securities and Exchange Board of India (SEBI).

Chapter 11

Marketing Management

Marketing - Meaning, Functions, and Importance, Marketing Mix - Meaning and Elements, Product - Meaning, Classification, Branding, Packaging, and Labeling, and Price - Factors Affecting Pricing Decisions.

Chapter 12

Consumer Protection

Consumer Protection - Meaning, Importance, and Rights, Consumer Protection Act - Meaning, Objectives, and Salient Features, and Consumer Protection Councils - Meaning and Functions.

Chapter 13

Entrepreneurship Development

Entrepreneurship - Meaning, Characteristics, and Importance, Entrepreneurial Motivation, and Entrepreneurship Development Programmes (EDPs) - Meaning and Objectives.