Tamil Nadu Public Service Commission
Syllabus
Financial and Cost Accountancy
(Final)
Code: 434
Unit I: Accounting (30 Questions)
Accounting Standards–GAAP-AS-applicability, interpretation, scope and compliance-
IFRS- Ind AS 2, 10, 115, 16, 21, 20, 23, 37 & 38.
Company Accounts - Presentation of Financial Statements as per Schedule III of
Companies Act 2013- Statement of Profit or Loss, Balance Sheet, Change in Equity,
Cash flow statement
Accounting of Banking, Electricity and Insurance Companies
Accounting for Cooperative Societies
Branch and Departmental Accounts(including foreign branches)
Accounting for non-profit organizations and incomplete records
Computerized Accounting System(ERP features and advantages)
Unit II: Auditing (30 Questions)
Nature and scope and significance of auditing
Audit Engagement, Audit Programme, Audit working papers, Audit note book audit
evidence and audit report
Internal check, internal control and internal audit-industry specific
Reporting requirements of under companies act-report vs certificate, contents of the
report and qualifications in the report.
Cost audit and Secretarial audit
Auditing of different types of undertaking-education, hospitals, cooperative
societies, trusts.
Unit III: Financial Management (25 Questions)
Meaning-objectives-scope of financial management
Sources of Funds-Introduction of Financial Markets-Capital & Money Markets
Tools for Financial Analysis- Ratio, Funds flow analysis, Cash flow analysis
Cost of Capital, Capital Structure and Leverages
Working Capital Management-Financing-Cash, Inventory, Receivables and Payables
Capital Budgeting.
Risk Management-risk measurement-risk analysis-Value at Risk (VAR)- Capital
Adequacy Norms & Income Recognition Norms (NPA) in NBFCs.
Unit IV: Taxation (30 Questions)
Direct Taxation-Residential Status-Heads of Income and Computation of Total Income
under various heads- assessment of income of different persons - TDS/TCS/Advance
Tax- Income Computation and Disclosure standards (Basic Concepts only) - Taxation as
applicable to Government undertaking and Cooperative Societies. Due dates and
compliances. Effects of non compliance and penalty. Tax audit provisions under I.T. Act
Indirect Taxation- Canons of Taxation- Customs Law - Goods and Services Tax (GST) -
CGST-SGST-IGST- Cess- Registration - Supply- Time of Supply-Value of Supply- Place
of Supply-E-Invoicing, E-Way Bill, Input tax credit- Reverse Charge Mechanism (RCM) -
Payment of Taxes, Penalties.
1
Unit V: Commercial Law, Industrial Law & Company Law (20 Questions)
MSMED Act 2006.
Laws and Regulations relating to Cyber Security and Data Protection.
Factories Act
Payment of Gratuity Act
Employees Provident Fund Act 1952
Employees State Insurance Act 1948
Payment of Bonus Act 1965
Minimum Wages Act 1948
Companies Act 2013-Promotion - Formation and related procedures – Types–
Appointment and duties of Directors, Loans and Deposits, CSR, Salient features of
Insolvency and Bankruptcy Code.
Unit VI: Management Accounting (15 Questions)
Introduction to Management Accounting - Relationship between Management accounting
and cost accounting-Decision Making tools
Analysis and Interpretation of Financial Statements
Learning Curve- concepts and its application
Unit VII: Cost Management (10 Questions)
Life Cycle costing
Target Costing
Kaizen Costing
Value analysis and Engineering
Throughput Costing
Business Process Re-engineering
Back flush costing
Activity Based Costing (ABC).
Unit VIII: Decision Making Techniques (15 Questions)
Marginal Costing-CVP analysis-Profit Volume Graph-Decision involving alternative
choices - Make or Buy; Evaluation of Orders; Multiple scarce: Product sales
Pricing Decisions - New Product pricing- use of costs in pricing – sensitivity analysis-
monopoly pricing-competitive pricing-Transfer pricing - Costing of Service Sectors
Variance Analysis and Reporting-Material, Labour, Overheads, Turnover and Profit.
Unit IX: Performance Evaluation & Improvement Tools (15 Questions)
Balanced Score Card
Supply Chain Management
Key Performance Indicators (KPI) like ROI, Economic Value Added (EVA).
Bench Marking
Six sigma, Statistical Quality Control
Plan-Do-Check Action
Management Information Systems(MIS)
2
Total Productivity Management(TPM)and Total Quality Management (TQM)
SWOT analysis
Profitability Analysis.
Unit X: Business Valuation (10 Questions)
Meaning of Value, Valuation and Business Valuation
Valuation Methods-Non Discounted cash flow method-Discounted Cash Flow Method-
Free Cash flow Method, Net Present Value Method (NPV)- Profitability Index Method(PI)
- Internal Rate of Return Method(IRR)
Valuation of Inventory
Valuation of Investments
Valuation of Intangibles
Valuation of Human Resources
Valuation of Equity
Dated: 20.10.2023
