Master plan for ipcc - nov 13

Now that you would ask me the above things I said are just on paper and nothing much can be implemented practically. Well…!! The write up is not complete still.

At first stage, I said that we need read from good books. The best books available commercially in market are following –

-          Accounting Standards = D S Rawat,

-          Non – AS                      = P C Tulsian,

-          Law                              = Munish Bandhari.

-          Auditing                       = V. K Agarwal [A.S Foundation]

-         Cost and FM         =P C Tulsian (for Concepts) and S N Maheshwari                                            (for Problems)

-          Taxation                      = Padukas (for simplicity) or Singhania (for                                                 professional and in depth approach)

-          IT & SM                       = Institutes Material,

Refer the following link for more details, i found it more uselful. /articles/ipcc-reference-books-an-analysis-based-on-my-own-experience--10972.asp

Time Management:

            First stage       = 25^th June to 23^rd September         = 90 days,

            Second stage   = 24^th September to 16^th October  = 22 days,

            Third Stage      = 17^th October to 1^st November      = 14 days.

So, in short each subject requires just 15 days. [90days / 6 subjects]. Accounts is accounts, there has no differentiation between normal accounts and advanced accounting. The days taken up are not actual days required normally since theory subjects, if desired, can be done just in 7 days also.

Next is the resources required at a larger level would be –

-          Basic material  [ICAI material / reference books as above / good coaching material]

-          Practice modules’,

-          Compliers,

-          RTP`s and amendments.

Do not follow more than one book. This would create confusions always. It is better always to have only one school of thought rather than many.

Paper – 1 “Accountancy”

I would simply break the whole accounts in 3 parts –

(a)   Accounting Standards,

(b)   Company Accounts,

(c)    Non – Company Accounts.

(a)   Accounting Standards, reference material suggested over here is D S Rawat. The only intention here is that ICAI has asked us to be equipped with Standards completely and hence there is no other choice other than reading it professionally. This book has the best approach indeed with simplicity.

Simple perception here is that, all accounting standards are very well known to us which are asked up in group – 1. We just have to link each standard with another one and gather all information which is scattered at one place in our brains under a particular head called AS. We were much aware of basic accounting principles, valuation of stock, depreciation accounting, construction contracts at CPT level and Intermediate level, know just gather them in a sequence under AS – 1, 2, 6, 7, 10. Similarly when we read CFS, Investments accounting and Amalgamations in depth at (b) level i.e. under company accounts head we can easily gather under the head AS – 3, 12, 14. What`s next is about AS – 9 which is solely dedicated to revenue recognition principles or prudence concept.

(b)   Company accounts arena is also not harder. Do you know actually, accounting subject is not tuff for people who say accounts is easy for me…? It`s just creation of positivity and love for the subject. The whole of company accounts is based on journal entries only. Before starting up, it is required to make our base very harder and see that we can generate journal entries for nay complex and compound transaction. Most of this form basics to presentation and reporting areas like preparation of P&L, BS, CFS, Amalgamations.

(C) This area of accounts comprises nothing but the residual part. Even the most scoring stuff is seen here like Single entry system (almost equal to a puzzle game if accounts is your cup of tea), Average due date & Account Current, Self Balancing Ledgers, Basics of Partnership, NPO accounting and Environmental accounting.

A simple order to Accounts at group – 1 is as follows,

1.      Accounting Standards,

2.      Environmental accounting (compulsory question),

3.      CFS,

4.      Amalgamations,

5.      Single Entry,

6.      Profit prior to incorporation,

7.      NPO accounting,

8.      Special cases accounting,

9.      Partnership,

10.  ADD, AC & SBL`s.

Point 1 to Point 6 would cover almost 65 marks of the paper at group – 1.

Paper – 2 “Business Laws, Ethics and Communications” –

The simple approach here is that this paper of 100 marks is again divided into 4 parts –

(a)   Company Laws,           (30 Marks)

(b)   Business Laws,           (30 Marks)

(c)    Ethics,                       (20 Marks)

(d)   Communications          (20 Marks).

First of all the perception is required to be changed as against that law is not a theory paper, It is completely practical. Think that you are having your own company and obviously they are certain rules to be followed so try to know the rules and regulations first.

This paper is also easy to get an exemption provided that a conceptual clarity is required. Gone are the days when ICAI used to ask direct theory questions. Thanks to transformation in our system wherein this days, ICAI has started asking things in practical context. The very first thing is all about the basics of company law. Interesting things are found here like how do I form a company, what procedures are required to form a company and what type of company can I form and blah blah blah.. Next one is a Business law which is the favourite place of any student to score marks in law area. The practical and straight forward questions are asked here, especially in case of bonus, gratuity and EPF acts. NI act is the most practical and interesting area where all about pseudo money is learnt. Last but not least is the  Indian Contract act, already read in CPT but now a bit deeper.

Ethics and communications are a bit dry but not as dry as they should be since some funny stuff can be created. Remember, I said stupid logics some where above here. So start creating them now here in communications. Regarding Ethics, It`s just the way you have to conduct the business with morals, values etc.,

Order of studying law, ethics and communication –

1.      Communications,

2.      Ethics,

3.      Bonus Act,

4.      Gratuity Act,

5.      EPF,

6.      NI & Contract Acts,

7.      Company law in computerized world (almost Compulsory)

8.      Deed writings

9.      Company Law –

a.      Formation,

b.      Types,

c.       Amendments to MOA and AOA (almost compulsory)

d.      Section 77 to 80.

e.      Residuary.

Points 1 to 6 cover almost 60 marks again. One point of observation here is to be kept in mind is always have precision in law even if we are not able to read the whole syllabus. This is most important thing which I observed when I was writing my PCC exams. Law is law; represent it on as-is-where-is basis only. Give a literal presentation as required and asked. Read the point 3, 4, 5 in deep since they are not asked in air ever.

Paper – 3 “Costing and FM” –

A subject, were the students are grilled by examiners like CBI officers do. Indeed, this is also most favoured subject to pass easily without any efforts for many of them. The following points give out the best outlook to this subject at a glance –

-          Theory is asked evidently, prepare well and go. Take any good book and read it in deep. Do not leave any page unturn, whether it is interesting or bugging area. Theory had saved me in CA – Finals in this subject.

-          Many areas are really practical like standard costing, marginal costing where loads of formulas are given but it is difficult to remember all.

-          This is only a paper where formulas are seen the most, but think again, do we really require formulae’s? First think that we have to study this conceptually, but also do think that from where are this formula`s deriving from? There are logics behind it too. Understand those logics too instead of memorising them,

-          Few of the chapters are format based, this would save time and earn good marks but this will not save you always.

-          Compulsory Questions from Materials, Overheads are seen apart from standard costing and Marginal costing. Concentrate on it to the core.

-          Do not forget to have a glance at ICAI material, many a times in past up to 25 marks of paper was asked directly from it.

-          Attempt complete paper, the marks evaluation system is discussed below.

-          In FM, CFS or FFS is asked for sure, Do not miss a chance to earn your marks their at any cost.

-          Budgetary areas, Capital structuring areas is also important and scoring. Simple logics are there so understand it before trying to memorise them.

-          When there is a question of decision making or of choosing and alternative do NOT forget to give your comments on it along with the justification area.

-          Under first revision always prepare your own notes, Tick sums with new concepts so you can revise only those sums during revisions. This is an example of smart work.

Order of studying –

            The order given in ICAI material is most systematic way to learn. I can`t differentiate since all what is required to be learnt is a step by step process. Hence the same order of ICAI is to be followed and nothing is to be ignored specially any kind of theory.

Paper – 4 “Taxation”

This is another scoring area and also the best arena in CA world of practice. For some people Tax is really a pain, but it is not in fact and for some it is a theory again. But, an interest is to be created to learn about Tax, atleast not for the future but for earning marks and to get promoted to next level of CA curriculum. First and foremost thing is that know what AY is applicable to your examination and get an updated book of your choice as suggested above. Get to know from preface page, why Tax subject is required at your level and how it is going to affect your future. Tax structure at IPCC is divided in to 3 parts now examinations are most focused on practical issues rather than testing your bookish knowledge. Have a strong base. Be crystal clear. Read all provisions and do not ignore any areas. The most bugging areas like Capital gains are also to be read. Their exist simplicity and patience is required completely. Pen down important areas apart from the confusing sections and provisions. Stay abreasted with amendments, this can fetch good marks and this is the favourite place to get tested by an examiner.

This subject can be a boon at any cost. Getting an exemption is easy also, if desired. This approach might help you out –

-          Amendments,

-          VAT,                 (quite easy stuff but 100% clarity is demanded)

-          Service Tax      (not to forget the recent havocs created in this field)

-         Income Tax     (really not boring, but still smart study is demanded to enjoy its worthiness)

o   Heads of Income.

§  Salaries,

§  HP,

§  PGBP,

§  CG,

§  IOS.

o   Others.

§  Residential Status,

§  Agricultural Income,

§  Section 10, 11, 12,

§  Set off and Carry Forward,

§  Deductions,

§  Return Filings,

§  TDS, Advance Tax,

§  Special calculations.

Order of learning –

1.      Amendments,

2.      VAT,

3.      Service Tax,

4.      Residential status & section – 9,

5.      Agricultural Income,

6.      TDS / Advance Tax,

7.      Set – off and CF,

8.      HP

9.      IOS

10.    Salaries ( HRA, PF, VRS, Perquisites)

11.    Deductions,

12.    Return Filing,

13.    Section 10.

Point – 1 to point 6 would cover easily 60 marks. Have Clarity in concepts and yes only one person on earth can teach you this subject very easily, i.e. “YOU”. Take the Reference book, a pen and a note book, sit for continuous 15 days @ 12 hrs each and see you have learnt it. That’s not a JOKE….!!!!

I still have to write down for Group - 2, Its not just group - 2 but also many other areas like presenation, Motivation, Emotional Break down during exams, Approach to exam etc...,

It would surely take time, I would be back with all other above mentioned areas in next couple of days on the same thread itself. Till then, read above areas, interpret it and start applying them.

Take Care.

And yes..!!

This post was from bottom of my heart so i wish the minimum contraversies on it. If i find them so also, i wouldnt respond to them.

I should say it was great effort Karan Ji..

One should appreciate your efforts and using your time for the sake of caclub members

hOPE YOU POST THE SAME IN FILES SO THAT IT WILL BE HELPFUL TO STUDENTS

CA IPCC/FINAL ANNOUNCMENT/AMMENDMENTS FOR NOV2013 EXAM

GET READY FOR CA/CMA EXAMS--AN ARTICLE WHICH IS ALSO POSTED BY ICMA NEWS LETTER

Thanks & regards

Ganesh babu k

Nice one Karan...very much motivating and inspiring....can feel how much efforts you are taking for your students.....Keep it up and keep the spirit going.

As usual Nice Article bhai......

I will send to my friends....

Thankx a ton.. :)