Changes in ICAI CPT Syllabus

The name of CPT has been changed to Foundation Course. Few years ago, this entrance exam was also known by its current name “Foundation course”.

The entrance exam was based on multiple choice questions – MCQ which is now changed to partially foundation descriptive exam. It means that June 2019 aspirants have to write answers just like other levels of CA examination rather than just tick mark on it.

Earlier students could register for CPT 6 months before the examination. Now, the registration starts 9 months before so that they will get sufficient time for preparing and clarifying their first attempt with ease. As the exam is partially descriptive, so it requires extra effort of passing so read all the latest notifications carefully before starting preparation and making strategies.

Now, the CA aspirants get an additional paper which they have to solve within a given time. Therefore, as per the new syllabus of CPT, it is partially MCQ and partially descriptive. No need to take stress because those are expert in written examination can easily grasp these new alterations. On the other hand, those are not comfortable in the descriptive paper so they have to work hard and understand smartly.

The new foundation course (CPT) consists of two additional papers –

General English – 40 marks

Business and Commercial Knowledge – 40 marks

Papers for CPT –

Fundamentals of Accounting (60 Marks)

Mercantile Law (40 Marks)

General Economics (50 Marks)

Quantitative Aptitude (50 Marks)

The exam pattern of ICAI CA CPT is prepared by ICAI. The CA CPT exam pattern is essential for CA aspirants to prepare as it contains the mode and medium of exam, type of questions, topic-wise weightage, marking scheme and more. Check the CA CPT exam pattern below

CA CPT Syllabus 

Section A: Fundamentals of Accounting (60 marks)

1. Theoretical Framework
   • Meaning and Scope of accounting
   • Accounting Policies
   • Accounting Concepts, Principles and Conventions
   • Accounting as a measurement discipline – valuation principles, accounting estimates
   • Accounting Standards – concepts, objectives, benefits
2. Accounting Process
   • Capital and revenue receipts
   • Contingent assets and contingent liabilities
   • Books of Accounts leading to the preparation of Trial Balance
   • Fundamental errors including rectifications thereof
   • Capital and revenue expenditures
3. Bank Reconciliation Statement
4. Inventories
   • Basis of inventory valuation and record keeping
5. Depreciation accounting
   • Change in depreciation methods
   • Methods, computation and accounting treatment of depreciation
6. Preparation of Final Accounts for Sole Proprietors
7. Accounting for Special Transactions
   • Joint Ventures
   • Sale of goods on approval or return basis
   • Consignments
   • Bills of exchange and promissory notes
8. Partnership Accounts
   • Retirement and death of a partner including treatment of goodwill
   • Final accounts of partnership firms
   • Basic concepts of admission
9. Introduction to Company Accounts
   • Re-issue of forfeited shares
   • Redemption of preference shares
   • Forfeiture of shares
   • Issue of shares and debentures

Section B: Mercantile Laws (40 marks)

1. The Indian Contract Act, 1872
   • Breach of contract
   • Performance of contract
   • An overview of Sections 1 to 75 covering the general nature of contract, consideration, and other essential elements of a valid contract
2. The Sale of Goods Act, 1930
   • Conditions and Warranties
   • Unpaid seller and his rights
   • Formation of the contract of sale
   • Transfer of ownership and delivery of goods
3. The India Partnership Act, 1932
   • Registration and dissolution of a firm
   • General Nature of Partnership
   • Rights and duties of partners

1. Micro Economics
2. Introduction to Micro Economics
   • Definition, scope and nature of Economics
   • Methods of economic study
   • Central problems of an economy and Production possibilities curve
3. Theory of Production and Cost
   • Meaning and Factors of production
   • Laws of Production – The Law of variable proportions and Laws of returns to scale
   • Concepts of Costs- Short-run and long-run costs, Average and marginal costs, Total, fixed and variable costs
4. Price Determination in Different Markets
   • Various forms of markets – Perfect Competition, Monopoly, Monopolistic Competition and Oligopoly
   • Price determination in these markets
5. Theory of Demand and Supply
   • Meaning and determinants of demand, Law of demand and elasticity of demand  Price, income and cross elasticity
   • Theory of consumer ’s behaviour–Marshallian approach and Indifference curve approach
   • Meaning and determinants of supply, Law of supply and Elasticity of supply
6. Indian Economic Development
7. Economic Reforms in India
   • Features of economic reforms since 1991
   • Liberalisation, Privatisation and Disinvestment
   • Globalisation
8. Indian Economy- A Profile
   • Nature of the Indian Economy
   • Role of different sectors – Agriculture, Industry and Services in the development of the Indian economy, their problems and growth
   • National Income of India – Concepts of national income, Different methods of measuring national income, Growth of national income and per capita income in various plans.
   • Basic understanding of tax system of India – Direct and Indirect Taxation
9. Money and Banking
   • Money– Meaning and functions
   • Commercial Banks– Role and functions
   • Reserve Bank of India– Role and functions, Monetary policy
10. Select Aspects of Indian Economy
    • Population– Its size, rate of growth and its implication for growth
    • Poverty– Absolute and relative poverty and main programs for poverty alleviation
    • Unemployment– Types, causes and incidence of unemployment
    • Infrastructure Energy, Transportation, communication, Health and Education
    • Inflation
    • Budget and Fiscal deficits
    • Balance of payments
    • External debts

Section D: Quantitative Aptitude (50 marks)

1. Ratio and proportion, Indices, Logarithms
2. Equations
   • Linear– simultaneous linear equations up to three variables,
   • Quadratic and cubic equations in one variable,
   • Equations of a straight line
   • Intersection of straight lines
   • Graphical solution to linear equations
3. Inequalities
   • Graphs of inequalities in two variables- common region
4. Basic concepts of Permutations and Combinations
5. Sets, Functions and Relations-
6. Simple and Compound Interest including annuity- Applications
7. Sequence and Series– Arithmetic and geometric progressions
8. Basic concepts of Differential and Integral Calculus (excluding trigonometric functions)
9. Limits and Continuity Intuitive Approach
10. Statistical description of data
    • Textual, Tabular & Diagrammatic representation of data
    • Graphical representation of frequency distribution– Histogram, Frequency Polygon, Ogive
    • Frequency Distribution
11. Measures of Central Tendency and Dispersion
    • Arithmetic Mean, Median – Partition Values, Mode, Geometric Mean and Harmonic, Mean, Standard deviation, Quartile deviation
12. Theoretical Distributions
    • Binomial, Poisson and Normal
13. Correlation and Regression
14. Probability and Expected Value by Mathematical Expectation
15. Sampling Theory
    • Basic Principles of sampling theory
    • Comparison between sample survey and complete enumeration
    • Errors in sample survey
    • Some important terms associated with sampling
    • Types of sampling
    • Theory of estimation
    • Determination of sample size
16. Index Numbers