CBSE 12th Accountancy Board Exam 2026 Highly Expected Topics in 15 Minutes

With the CBSE Class 12 Accountancy Board Exam 2026 scheduled for 24th February, students need a focused list of highly expected topics that have consistently appeared in previous board papers and carry high weightage.

Instead of going through the entire syllabus again, you will focus only on areas that are frequently tested such as Goodwill adjustments, Revaluation Account, Sacrificing Ratio, Share Capital, Debentures, Financial Statements formats, Comparative Statements, and the Cash Flow Statement.

Below are the Class 12 Accountancy Boards 2026 Highly Expected Topics every student must prepare: 

Partnership Fundamentals

Four key areas in this chapter are critical from an examination perspective:

1. Interest on Drawings: A firm understanding of how to calculate interest on drawings is essential.

2. Past Adjustments: Be prepared for questions involving the correction of past errors or omissions. This typically requires passing a single adjustment entry. Common scenarios include:

• Interest on capital provided at an incorrect rate.

• Salary or bonus to partners omitted entirely before distributing profits.

3. Guarantee Given to a Partner: This topic requires an adjustment entry for various cases:

• Guarantee given by all partners in a specific ratio.

• Guarantee given by only the remaining partners.

• Guarantee given by a single, specific partner.

4. Charge vs. Appropriation of Profit: This is a highly important concept. Distinguish between treating an item as a charge against profit (deducted regardless of profit or loss) or as an appropriation of profit (distributed only if profits are available).

Goodwill: Nature and Valuation

While all formulas and valuation methods are required, the most challenging questions involve profit adjustments.

• Calculating Goodwill with Profit Adjustments: Be prepared to handle adjustments such as:

• Overvaluation or undervaluation of closing stock.

• Rectification of abnormal losses (e.g., loss due to fire).

• Accounting for omitted expenses (e.g., manager's commission).

• Deducting fair partner remuneration.

• Correcting errors where capital expenditure was treated as revenue or vice-versa.

Change in Profit-Sharing Ratio (PSR)

The concepts in this chapter are foundational for all subsequent chapters on partnership reconstitution.

• Gaining and Sacrificing Ratio: The calculation of these ratios is a fundamental skill that is important across all reconstitution chapters (Admission, Retirement, Death, and Change in PSR).

• Adjustment of Past Reserves & Losses: You may be asked to pass a single adjustment entry to account for accumulated profits or losses without distributing them.

• Revaluation of Assets & Liabilities (Without Affecting Book Values): This is a very important topic. Give effect to revaluation without changing Balance Sheet figures by passing a single adjustment entry, debiting gaining partners' capital accounts and crediting sacrificing partners' capital accounts for the net effect.

Admission of a Partner

A full-fledged question from this chapter is highly probable and is a topic that must not be skipped.

The comprehensive question will likely require the preparation of:

• Capital Accounts (and potentially Current Accounts).

• The new Balance Sheet after the partner's admission.

• All associated adjustments for revaluation, goodwill, reserves, and accumulated losses.
  Adjustment of Capital: This is a critical component with two main variations:

• Scenario 1: Adjusting the old partners' capital accounts based on the new partner's capital contribution.

• Scenario 2: Calculating the required capital contribution for the new partner based on the combined capital of the old partners.
  These adjustments can be routed through Cash or the partners' Current Accounts.

Retirement and Death of a Partner

Similar to Admission, a full-fledged question is expected, often as a choice against an Admission problem. It covers similar adjustments for goodwill, capital, and the balance sheet.

Unique and Important Topics:

• Preparation of the Retiring Partner's Loan Account, showing the settlement of dues in installments with interest.

• Preparation of the Deceased Partner's Executor's Account, detailing payments until the final amount is settled.

Dissolution of a Partnership Firm

The emphasis in this chapter is firmly on conceptual clarity, demonstrated through journal entries.

• Journal Entries: This is the most important aspect. Even in a comprehensive question, you may be asked to provide only the journal entries instead of ledger accounts. Strong command of journal entries for every dissolution event is critical.

• Realisation Account: A thorough understanding of how to prepare the Realisation Account is fundamental.

Company Accounts: Issue of Share Capital

This is a major chapter with several crucial topics.

• Issue of Shares for Consideration Other Than Cash: Master entries for issuing shares when purchasing assets or an entire business.

• Calculating excess application money.

• Adjusting excess money towards allotment and future calls.

• Processing refunds.

• Handling calls-in-arrears from shareholders in a pro-rata allotment scenario.

• Forfeiture and Re-issue of Shares: This includes the full cycle of forfeiture, re-issue (at par, premium, or discount), and the final calculation of the amount transferred to Capital Reserve.

• Balance Sheet Presentation: Practice full-length questions concluding with the Balance Sheet, including detailed Notes to Accounts for Share Capital and Reserves & Surplus. Be prepared for questions that directly ask for the Balance Sheet or a Cash Book without requiring full journal entries.

Company Accounts: Issue of Debentures

Key topics revolve around redemption conditions and special use cases.

• Issue of Debentures from the Point of View of Redemption: Focus on scenarios where debentures are issued with specific redemption terms (e.g., issued at a discount, redeemable at a premium). This leads to the creation of a Loss on Issue of Debentures Account.

• Writing Off Discount/Loss on Issue: Know the rules for writing off this loss using either the Securities Premium or the Statement of P&L.

• Debentures as Collateral Security: Understand both accounting treatments:

• Method 1: Passing a journal entry for the issue and reflecting it in the Balance Sheet.

• Method 2: Providing disclosure only in the Notes to Accounts without a formal journal entry.

Analysis of Financial Statements (Book 3)

This book contains several distinct but equally important topics.

• Formats of Financial Statements: It is absolutely crucial to memorize the format of the Balance Sheet and the Statement of Profit and Loss as per Schedule III, including all major heads and sub-heads.

• Comparative and Common-Size Statements: Expect a guaranteed question from this topic.

• Ratio Analysis:

• A strong grip on all formulas is the first step.

• Key Ratios to focus on due to their calculation complexity are: Interest Coverage Ratio (ICR), Operating Ratio & Operating Profit Ratio, Proprietary Ratio.

• (Memory Tip: The Operating Ratio and the Operating Profit Ratio are complementary and always sum to 100%.)

• Important Question Formats: Calculation of missing values (e.g., opening/closing stock from Inventory Turnover Ratio) and "Effect on Ratio" questions (improve, decline, or not change).

• Cash Flow Statement:

• A full-fledged, long-form question is expected.

• Operating Activities: This is the most important section. Master the sequence of adding back non-cash/non-operating expenses and deducting non-operating incomes.

• Ledger Accounts: Know how to prepare a Fixed Asset Account and its corresponding Provision for Depreciation Account.

• Treatment of Dividend and Interest: Be clear on the treatment of interim, final, and proposed dividends, as well as interest on debentures and bank loans, including cases where assumptions are necessary.