Detailed Lesson Plan
Preparation of final accounts under Companies Ordinance 1984
Companies Ordinance 1984, Fourth Schedule.
General, Trading Account, Profit and loss Account, Profit and loss appropriation account,
Balance Sheet and treatment of certain items in preparing Companies Financial Statements like dividends, reserves, excise duty and sales tax, long term loans and current maturity, issue of shares, allowances for bad debts, rectification of errors, workers profit participation fund, worker‘s welfare fund, bank margins and guarantees.
Consolidated Financial Statements, IAS27.
Prepare Consolidated Income Statement and Balance Sheet of undertakings.
Treatment in Consolidated Financial Statements of Minority interest, Pre and Post acquisition reserves, goodwill, dividends, bonus shares, intra group transactions, prefereance shares, debentures and mid year acquisitions.
Business Combinations
Amalgamation, Absorption and
Reconstruction. Departmental Accounting
Advantages of departmental accounts. Departmental accounts when separate set of books are maintained and when all departments are kept together. Allocation of departmental expenses. Inter departmental transfers. Cost based transfer price, market based transfer price.
Branch Accounting
Types of Branches, Debtor System, Stock and Debtor system, Sale of goods above and below invoice price, Final account system, whole sale and retail profit at branch.
Joint Venture and consignment
Features of a Joint Venture, methods of maintaining accounts, abnormal and normal losses
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Valuation of unsold stock. Cost price method and invoice price method Advance made by consignee.
Accounting for Leases IAS-17
Basic lease accounting issues and procedures, Accounting for finance lease in the books of lessor and lessee including financial statement disclosures, Accounting for operating lease, Bargain purchase option, residual value (guaranteed and un guaranteed), depreciation, initial direct costs.
Accounting for Construction Contracts and IAS-11
Basic concepts and rules Contract revenues and costs Profit and loss recognition Percentage completion method- cost to cost method Accounting entries and financial statement disclosures Work certified and uncertified