Group a Study Plan - CFA Program

8/8/2019 Group a Study Plan - CFA Program

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CFA ProgramFinancial Accounting (Text Book) - Study Plan

S.No Chapter Name Source

1. Introduction to Accounting and Financial Statements

The meaning of Accounting Attributes of Accounting Output of accounting process Use of financial Statements Generally Accepted Accounting Principles

Read Chapter I ofFA Vol I (TB)

2. The Accounting Process

Basics of accounting mechanics Types of Accounts Rules ofAccounts Books of Account - Recording of transaction injournal - Maintenance of special journals Posting oftransactions in the Ledger

Read Chapter III ofFA Vol I (TB)

3. Trial Balance and Adjustments

Extracting the Trial balance from ledger balances Error typesand detection Rectification of Errors Passing of DifferentAdjustment Entries

Read Chapter IX of

FA Vol I (TB)

4. Preparation of Financial Statements

Understanding Capital and Revenue expenditure Preparationof Trading and Profit and Loss Account Preparation of BalanceSheet

Read Chapter Xand XI of FA Vol I(TB)

5. Accounting of Inventories

Inventory Pricing for Raw materials, work-in-progress andfinished goods Valuation of inventories under differentmethods Cost of inventory Valuation of Inventory in special

circumstances International valuation and treatment ofInventory

Read Chapter V ofFA Vol I (TB)

6. Measurement and Recognition of Income & Expense

Principles of Revenue Recognition Methods of RevenueRecognition Revenue Recognition in different cases International treatment of Revenue Recognition

Read Chapter VI ofFA Vol I (TB)

7. Accounting of Long-Lived Assets

Capitalization versus Expensing Method of Depreciation -Changes in method of Depreciation Disclosures forDepreciation Component costs of Fixed assets Valuation ofFixed Assets in Special Cases - International Treatment of FixedAssets accounting Treatment of Borrowing Costs

Read Chapter VII ofFA Vol I (TB)

8. Accounting of Intangible Assets

Introduction to Intangible Assets - valuation of Goodwill International Treatment of Goodwill - Accounting for Patents,Trademarks, Copyrights and Know-how - Accounting forSoftware Development Costs - International Treatment ofResearch & Development Costs

Read Chapter I ofFA Vol II (TB)


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9. Principal Financial Statements

Requirements as to annual Accounts Contents of incomestatements and Balance Sheet Treatment of special items Financial Reporting - Disclosures of Accounting Policies Fundamental Errors and Changes in Accounting Policies Events

occurring after Balance Sheet Date

Read Chapter IV ofFA Vol II (TB)

10. Sources of Financial Information

Boards Report Requirements as to Presentation of FinancialStatements Auditors and Audit Report

Read Chapter V ofFA Vol II (TB)


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CFA ProgramFinancial Accounting (WorkBook) - Study Plan

Chp

No.

Chapter Name

1. Introduction to Accounting and Financial Statements

The meaning of Accounting Attributes of Accounting Output of accounting process Use of financial Statements Generally Accepted Accounting Principles

Read Introduction toAccounting andFinancial Statements;Part-I & Part-II ofVol.I (WB)

2. The Accounting Process

Basics of accounting mechanics Types of Accounts Rules ofAccounts Books of Account - Recording of transaction injournal - Maintenance of special journals Posting oftransactions in the Ledger

Read AccountingMechanics: BasicRecords; Part-I & Part-II of Vol.I (WB)

3. Trial Balance and Adjustments

Extracting the Trial balance from ledger balances Error types

and detection Rectification of Errors Passing of DifferentAdjustment Entries

Read Preparation ofFinancial Statements

Trial Balance andAdjustments; Part-I& Part-II of Vol.I (WB)

4. Preparation of Financial Statements

Understanding capital and revenue expenditure Preparationof Trading and Profit and Loss Account Preparation ofBalance Sheet

Read Preparation ofFinancial StatementsProfit and LossAccount and BalanceSheet; Part-I & Part-IIof Vol.I (WB)

5. Accounting of Inventories

Inventory Pricing for Raw materials, work-in-progress andfinished goods Valuation of Inventories under differentmethods Cost of inventory Valuation of Inventory in

special circumstances International valuation and treatmentof Inventory

Read Accounting ofInventories; Part-I &Part-II of Vol.I (WB)

6. Measurement and Recognition of Income & Expense

Principles of Revenue Recognition Methods of RevenueRecognition Revenue Recognition in different cases International treatment of Revenue Recognition

Read Accounting forReceivables; Part-I &Part-II of Vol.I (WB)

7. Accounting of Long-Lived Assets

Capitalization versus Expensing Method of Depreciation -Changes in method of Depreciation Disclosures forDepreciation Component costs of Fixed assets Valuation ofFixed Assets in Special Cases - International Treatment ofFixed Assets accounting Treatment of Borrowing Costs

Read Accounting forFixed Assets; Part-I &Part-II of Vol.I (WB)

8. Accounting of Intangible AssetsIntroduction to Intangible Assets - Valuation of Goodwill International Treatment of Goodwill - Accounting for Patents,Trademarks, Copyrights and Know-how - Accounting forSoftware Development Costs - International Treatment ofResearch & Development Costs

Read Accounting ofIntangible Assets;Part I & Part II of VolII (WB)


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9. Principal Financial Statements

Requirements as to Annual Accounts Contents of Incomestatements and Balance Sheet Treatment of special items Financial Reporting - Disclosures of Accounting Policies Fundamental Errors and Changes in Accounting Policies

Events occurring after Balance Sheet Date

Read Preparation ofFinancial Statementsof LimitedCompanies; Part I &Part II of Vol II (WB)

10. Sources of Financial Information

Boards Report Requirements as to Presentation of FinancialStatements Auditors and Audit Report

Read Statutory Auditand Annual Reports;Part I & Part II of VolII (WB)

The Model Question Papers in Part III of these workbooks are provided to givestudents a fair idea of the examination pattern. Students are requested toattempt only those questions relevant to the chapters that are included in theirstudy plan.


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CFA ProgramEconomics (Workbook) Study Plan

ChapterNo.

Chapter Name Source

Micro Economics Work Book

1. Market Forces of Supply and Demand Read Supply and DemandAnalysis in Part I and Part II ofMicro Economics Work Book

Determinants of individual demand-Determinants of individual supply-

Equilibrium price-Analyzing changes inequilibrium-How prices allocate resources

2. Elasticity Read Supply and DemandAnalysis in Part I and Part II of

Micro Economics Work Book

Determinants of price elasticity of demand-

Determinants of price elasticity of supply-

Microeconomic government policies-Analysis-of price ceilings-Analysis of price floors-

Market efficiency

3. Consumer Behavior and Analysis Read Consumer BehaviorAnalysis in Part I and Part II ofMicro Economics Work Book

Utility Theory- Law of Diminishing MarginalUtility- Downward Slope of Demand Curve-Substitution Effect and Income Effect-Derivation of Market Demand- Types ofDemand, Paradox of Value- Consumer Surplus,Consumer Equilibrium- Indifference Curves-Indifference Curve Analysis- EquilibriumPosition of Tangency- Deriving the DemandCurve through Indifference Curve- IncomeConsumption Curve

4. The Firm and Industry Organization Read Production Analysis,Analysis of Costs, MarketStructure I Perfect Competition,Market Structure II Monopoly,

Market Structure III Monopolistic Competition,Market Structure IV Oligopolyin Part I and Part II of MicroEconomics Work Book andPricing Factors of Productionin Part I of Micro EconomicsWork Book


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ChapterNo.

Chapter Name Source

Organization of the business firm-Basic types of

business firms-Costs of production-Opportunity

cos- explicit cost and implicit cost-Accounting

cost versus opportunity cost-The production

function-Fixed and variable costs-Average and

marginal cost-Cost curves and their shapes-

Diminishing returns and cost curves-Output

and costs in the long run- Firms in competitive

markets-Definition of competition-Revenue of a

competitive firm-Profit maximization for the

competitive firm-Accounting profit and

economic profit-The competitive firms supply

curve-The supply curve in a competitive

market-Monopoly-Barriers to entry (e.g.,

economics of scale, government licensing,

patents, control of essential resources)

How monopolies make production and pricing

decisions-Public policy and monopolies

Oligopoly Duopoly- Equilibrium for an

oligopoly- Game theory and the economics of

cooperation- Monopolistic competition-Price

and output in competitive markets with

differentiated products- Allocative efficiency in

monopolistic competition

5. Supply and Demand for Productive Resources Read Production Analysis,

Market Structure IV : Oligopoly

in Part I and Part II of Micro

Economics Work Book and

Pricing Factors of Production

in Part I of Micro Economics

Work Book

Demand for resources-Marginal productivity

and the firms hiring decision-Supply, demand,

and resource prices


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ChapterNo.

Chapter Name Source

Macro Economics Work Book

6. Measuring National Income ReadMeasurement ofMacroeconomic Aggregatesin Part I and Part II of MacroEconomics Work Book

Concept of national-National income-accounting- Measuring national income andprice, Gross Domestic Product (GDP)-components of GDP-Real versus nominal GDP,-GDP deflator-Using the GDP deflator to derivereal GDP- The consumer price index-Problemswith GDP as a measure of national product

7. Economic Growth Read Economic Growth,Development in Part I and PartII of Macro Economics WorkBook

Main factor of economic growth-savingrate/capital- Theory of economic growth-Capital accumulation and economic growth-Technological innovation and economicgrowth- Business cycles- Theory of exogenousbusiness cycle-Theory of endogenous businesscycle-Population growth- Human resourcesand economic growth- Physical capital-6.3Human capital-Technological progress-

Institutional environment (e.g.- property rights,political stability, competitive markets, stable

money and price, an open economy, moderatemarginal tax rates).

8. Economic Fluctuations and Unemployment Read Economic Fluctuations and

Unemployment in Part I ofMacro Economics Work Book

Descriptive terms in business cycle analysis-Index of leading economic indicators-Types ofunemployment- Problems of measuring

unemployment

9. Equilibrium in the real market ReadMeasurement of MacroEconomic Aggregates,

The Simple Keynesian Model ofIncome Determination, Income

Determination Model includingMoney and Interest and ModernEconomics: Fiscal Policy, Budget

Deficit and the Government inPart I and Part II of Macro

Economics Work Book


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ChapterNo.

Chapter Name Source

Consumption-Consumption function-Investment-Investment function-Governmentexpenditure- Government revenue and

Expenditure- Effect of government expenditureand tax on national income- Governmentexpenditure and crowding-out effect-Equilibrium relationship in the good/servicemarket: IS curve

10. Aggregate Demand and Aggregate Supply Read Fundamental of AggregateDemand and Aggregate Supply,Aggregate Supply Price Level andEmployment: MacroeconomicEquilibrium in the ClassicalModel, Aggregate Supply PriceLevel and Employment: Macroeconomic Equilibrium inKeynesian Model and PostKeynesian Macroeconomics inPart I of Macro EconomicsWork Book

The aggregate demand curve-Reasons fordownward sloping aggregate demand curve(e.g., wealth effect, interest rate effect, exchangerate effect)-Shifts in the aggregate demandcurve-The aggregate supply curve- Short-runaggregate supply curve, Long-run aggregatesupply curve- Shifts in the short-run aggregatesupply curve

11. Equilibrium in the Money Market Read Income DeterminationModel including Money andInterest, Money Supply andBanking System , AggregateSupply Price Level andEmployment: MacroeconomicEquilibrium in the ClassicalModel, Aggregate Supply PriceLevel and Employment: Macroeconomic Equilibrium inKeynesian Model and PostKeynesian Macroeconomics andModern Economics: Fiscal

Policy, Budget Deficits and theGovernment Debt in Part I ofMacro Economics and ,Aggregate Supply Price Leveland Employment: Macroeconomic Equilibrium inKeynesian Model in Part II ofMacro Economics Work Book


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ChapterNo.

Chapter Name Source

Demand for Money- Equilibrium relationship in

the monetary market-LM Curve- The MonetarySystem-Roles of Central Bank- Tools of money

control-open market operations- reserverequirements- Discount rate- Inflation: Causesand Consequences Causes of inflation- Quantity

theory of money- Fiscal/monetary policy andbusiness cycle-deflation/stagflation

The influence of monetary policy on aggregatedemand-Money supply and money demand

Transmission of monetary policy-Unanticipatedexpansionary monetary policy-

Unanticipated-restrictive monetary policy-

Timing of monetary policy-Anticipatedmonetary policy-The influence of fiscal policy

on aggregate demand- fiscal/monetary policyand business cycle- Monetary policy-Target ofmonetary policy-Instruments of monetary

policy-Transmission effect of monetary policyon real economy -Fiscal policy and thecrowding-out effect

12. Open Macro Economics Read the Relevant Portion ofPart I and Part II ofMacroeconomics Workbook

Balance of payments-Current-accounttransactions- Capital-account transactions-Governments intervention and money supply-

Determination of equilibrium in the openeconomy -Open macroeconomics model, effect offiscal policy, effects of monetary policy

The Model Question Papers in Part III of these workbooks are provided to give the students afair idea of the examination pattern. Students are expected to attempt only those questionsrelevant to the chapters that are included in their study plan

Note:Also read Introduction to Micro Economics in Part I of Micro Economics Work Book andMacro Economic Analysis An over view in Part I of Macro Economics Work Book.

The following Chapter need not be read in part I and part II. Trade and Exchange Rate Policies.


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CFA ProgramEconomics (Textbook) Study Plan

Chapter No. Chapter Name Source

Microeconomics

1. Market Forces of Supply and Demand Read Chapter II of MicroEconomics

Determinants of individual demand-Determinants of individual supply-

Equilibrium price-Analyzing changes inequilibrium-How prices allocate resources

2. Elasticity Read Chapter II andChapter VI of MicroEconomics

Determinants of price elasticity of demand-Determinants of price elasticity of supply-

Microeconomic government policies-Analysis-of price ceilings-Analysis of price floors-

Market efficiency

3. Consumer Behavior and Analysis Read Chapter III of MicroEconomics

Utility Theory- Law of Diminishing MarginalUtility- Downward Slope of Demand Curve-Substitution Effect and Income Effect-Derivation of Market Demand- Types ofDemand, Paradox of Value- Consumer Surplus,

Consumer Equilibrium- Indifference Curves-Indifference Curve Analysis- EquilibriumPosition of Tangency- Deriving the DemandCurve through Indifference Curve- IncomeConsumption Curve

4. The Firm and Industry Organization Read Chapter IV ChapterVI, Chapter VII, ChapterVIII, Chapter IX, Chapter Xof Micro Economics

Organization of the business firm-Basic types of

business firms-Costs of production-

Opportunity cos- explicit cost and implicit cost-

Accounting cost versus opportunity cost-The

production function-Fixed and variable costs-

Average and marginal cost-Cost curves and

their shapes-Diminishing returns and cost

curves-Output and costs in the long run- Firms

in competitive markets-Definition ofcompetition-Revenue of a competitive firm-

Profit maximization for the competitive firm-


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Accounting profit and economic profit-The

competitive firms supply curve-The supply

curve in a competitive market-Monopoly-

Barriers to entry (e.g., economics of scale,

government licensing, patents, control of

essential resources)-

How monopolies make production and pricing

decisions-Public policy and monopolies-

Oligopoly Duopoly- Equilibrium for an

oligopoly- Game theory and the economics of

cooperation- Monopolistic competition-Price

and output in competitive markets withdifferentiated products- Allocative efficiency in

monopolistic competition

5. Supply and Demand for Productive Resources Read Chapter IV, Chapter

IX and Chapter X of Micro

Economics

Demand for resources-Marginal productivity

and the firms hiring decision-Supply, demand,

and resource prices

MACROECONOMICS

6. Measuring National Income Read Chapter III of Macro

Economics

Concept of national-National income-

accounting- Measuring national income and

price, Gross Domestic Product (GDP)-

components of GDP-Real versus nominal GDP,-GDP deflator-Using the GDP deflator to derive

real GDP- The consumer price index-Problems

with GDP as a measure of national product

7. Economic Growth Read Chapter XII and

Chapter XVI of Macro

Economics

Main factor of economic growth-saving

rate/capital- Theory of economic growth-

Capital accumulation and economic growth-

Technological innovation and economic

growth- Business cycles- Theory of exogenous

business cycle-Theory of endogenous businesscycle-Population growth- Human resources

and economic growth- Physical capital-6.3

Human capital-Technological progress-

Institutional environment (e.g.- property rights,

political stability, competitive markets, stable

money and price, an open economy, moderate

marginal tax rates).


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8. Economic Fluctuations and Unemployment Read Chapter XI of

Macroeconomics

Descriptive terms in business cycle analysis-

Index of leading economic indicators-Types ofunemployment- Problems of measuringunemployment

9. Equilibrium in the real market Read Chapter III, Chapter

IV, Chapter V, ChapterXIV of Macroeconomics

Consumption-Consumption function-Investment-Investment function-Governmentexpenditure- Government revenue and

Expenditure- Effect of government expenditureand tax on national income- Governmentexpenditure and crowding-out effect-

Equilibrium relationship in the good/servicemarket: IS curve

10. Aggregate Demand and Aggregate Supply Read Chapter VI,Chapter VIII, Chapter IX

and Chapter X ofMacroeconomics

The aggregate demand curve-Reasons fordownward sloping aggregate demand curve(e.g., wealth effect, interest rate effect, exchange

rate effect)-Shifts in the aggregate demandcurve-The aggregate supply curve- Short-runaggregate supply curve, Long-run aggregate

supply curve- Shifts in the short-run aggregatesupply curve

11. Equilibrium in the Money Market Read Chapter V,Chapter VII, Chapter VIII,Chapter IX, Chapter X,

Chapter XII and ChapterXV of Macro Economics

Demand for Money- Equilibrium relationshipin the monetary market-LM Curve- The

Monetary System-Roles of Central Bank- Toolsof money control-open market operations-

reserve requirements- Discount rate- Inflation:Causes and Consequences Causes of inflation-Quantity theory of money- Fiscal/monetary

policy and business cycle-deflation/stagflation

The influence of monetary policy on aggregatedemand-Money supply and money demand

Transmission of monetary policy-

Unanticipated expansionary monetary policy-


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Unanticipated-restrictive monetary policy-

Timing of monetary policy-Anticipated

monetary policy-The influence of fiscal policy

on aggregate demand- fiscal/monetary policyand business cycle- Monetary policy-Target ofmonetary policy-Instruments of monetarypolicy-Transmission effect of monetary policyon real economy -Fiscal policy and the

crowding-out effect

12. Open Macro Economics Read Chapter VIII,Chapter IX, Chapter X,Chapter XIII, Chapter XIVand Chapter XV ofMacroeconomics

Balance of payments-Current-account

transactions- Capital-account transactions-Governments intervention and money supply-

Determination of equilibrium in the openeconomy -Open macroeconomics model, effect offiscal policy, effects of monetary policy

Note:Read Chapter I of Micro Economics for an introduction to micro economics and ReadChapter I and II of Macro economics for an overview of macroeconomic analysis.

The following chapters in the text book Macroeconomics are not to be read

Chapter XVII Trade and Exchange Rate Policies,

Chapter XVIII Technology Policy, and Chapter XIX Industrial Structure and Policy does not.

Documents

Group a Study Plan - CFA Program