CA Foundation Accounting study guide
CA Foundation Accounting · Work through your exam, one topic at a time.
The CA Foundation is the entry-level stage of the Chartered Accountancy Course offered by ICAI, the Institute of Chartered Accountants of India. ICAI describes itself on its home page as the body behind the CA Course, inviting candidates to "Join CA Course - Fulfill your Dreams" and to register through its student channels. This page is an independent study resource for candidates preparing for the Foundation Accounting paper; it is not affiliated with, endorsed by, or operated by ICAI, and it does not reproduce any official question bank. The Accounting paper, as mapped in this study profile, is organised into four areas: Accounting Principles and Processes; Accounting Standards and Guidance Notes; Preparation of Financial Statements; and Partnership and Other Advanced Accounting Topics. The CA Foundation Accounting study guide has 4 sections and about 1,449 words.
01Accounting Principles and Processes
This domain tests the conceptual foundation that makes financial statements comparable, plus the mechanical cycle that turns transactions into a trial balance. Expect journal entries, subsidiary books, rectification of errors, bank reconciliation and capital-versus-revenue distinctions.
340 words, about 2 min02Accounting Standards and Guidance Notes
These questions test whether you know which standard governs a situation and what it requires, not the full text. The Accounting Standards Board (ASB) of ICAI issues Accounting Standards; the Companies (Accounting Standards) Rules, 2021 make them applicable to companies.
360 words, about 2 min03Preparation of Financial Statements
This domain tests the final accounts of a sole proprietor - manufacturing, trading and profit & loss account and balance sheet - and above all the adjustment entries linking them. Most marks are lost by candidates who make an adjustment in one statement only.
374 words, about 2 min04Partnership and Other Advanced Accounting Topics
This domain covers partnership accounts and the introductory company accounts portion - share capital, issue and forfeiture. Partnership questions turn on the deed: where it is silent, the Partnership Act, 1932 applies - equal profits, no interest on capital or drawings, no salary, and 6% per annum interest on a partner's loan.
375 words, about 2 min