THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

COMMON PROFICIENCY TEST

SYLLABUS & EXAM Pattern
One Paper, Two Sessions

200 Marks

Pass 100 Marks

Section A: Fundamentals of Accounting

60 Marks

Min. 18 Marks

Section B: Mercantile Laws

40 Marks

12 Marks

Section C: General Economics

50 Marks

15 Marks

Section D: Quantitative Aptitude

50 Marks

15 Marks

Session I:

Session II:

Common Proficiency Test (CPT)

(One paper Four hours 200 Marks)
Level of Knowledge: Basic knowledge
SESSION I
(Two Sections Two hours 100 Marks)
Section A: Fundamentals of Accounting ( 60 Marks )(Min 18 Marks)
Objective:
To develop conceptual understanding of the fundamentals of financial accounting system.
Contents
1.

2.

Theoretical Framework
(i)

Meaning and Scope of accounting

(ii)

Accounting Concepts, Principles and Conventions

(iii)

Accounting Standards concepts, objectives, benefits

(iv)

Accounting Policies

(v)

Accounting as a measurement discipline valuation principles, accounting estimates

Accounting Process

Books of Accounts leading to the preparation of Trial Balance, Capital and revenue expenditures, Capital
and revenue receipts, Contingent assets and contingent liabilities, Fundamental errors including
rectifications thereof.
3.

Bank Reconciliation Statement

4.

Inventories
Basis of inventory valuation and record keeping.

5.

Depreciation accounting
Methods, computation and accounting treatment of depreciation, Change in depreciation methods.

6.

Preparation of Final Accounts for Sole Proprietors

7.

Accounting for Special Transactions

(a)

Consignments

(b)

Joint Ventures

(c)

Bills of exchange and promissory notes

(d)

Sale of goods on approval or return basis.

2

8.

Partnership Accounts
Final accounts of partnership firms Basic concepts of admission, retirement and death of a partner
including treatment of goodwill.

9.

Introduction to Company Accounts

Issue of shares and debentures, forfeiture of shares, re-issue of forfeited shares, redemption of
preference shares.
Section B: Mercantile Laws ( 40 Marks ) (Min 12 Marks)

Objective:
To test the general comprehension of elements of mercantile law
Contents
The Indian Contract Act , 1872: An overview of Sections 1 to 75 covering the general nature of
1.
contract , consideration , other essential elements of a valid contract , performance of contract and breach of
contract.
2.

The Sale of Goods Act, 1930: Formation of the contract of sale Conditions and Warranties

Transfer of ownership and delivery of goods Unpaid seller and his rights.
3.

The India Partnership Act, 1932: General Nature of Partnership Rights and duties of partners

Registration and dissolution of a firm.

SESSION II
(Two Sections Two hours 100 Marks)
Section C: General Economics ( 50 Marks ) (Min 15 Marks)
Objective:
To ensure basic understanding of economic systems, economic behaviour of individuals and
organizations.
Contents
(I)
Micro Economics
1. Introduction to Micro Economics
(a) Definition, scope and nature of Economics
(b) Methods of economic study
(c) Central problems of an economy and Production possibilities curve.
2. Theory of Demand and Supply
(a) Meaning and determinants of demand, Law of demand and Elasticity of demand Price, income and
cross elasticity
(b) Theory of consumer s behaviour Marshallian approach and Indifference curve approach
(c) Meaning and determinants of supply, Law of supply and Elasticity of supply.
3. Theory of Production and Cost
(a) Meaning and Factors of production
(b) Laws of Production The Law of variable proportions and Laws of returns to scale
(c) Concepts of Costs Short-run and long-run costs, Average and marginal costs, Total, fixed and variable
costs.
4. Price Determination in Different Markets
(a) Various forms of markets Perfect Competition, Monopoly, Monopolistic Competition and Oligopoly
(b) Price determination in these markets.

(II) Indian Economic Development

5. Indian Economy A Profile
(a) Nature of the Indian Economy
(b) Role of different sectors Agriculture, Industry and Services in the development of the Indian economy,
their problems and growth
(c) 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.
(d) Basic understanding of tax system of India Direct and Indirect Taxation
6. Select Aspects of Indian Economy
(a) Population Its size, rate of growth and its implication for growth
(b) Poverty Absolute and relative poverty and main programs for poverty alleviation
(c) Unemployment Types, causes and incidence of unemployment
(d) Infrastructure Energy, Transportation, Communication, Health and Education
(e) Inflation
(f) Budget and Fiscal deficits
(g) Balance of payments
(h) External debts.
7. Economic Reforms in India
(a) Features of economic reforms since 1991
(b) Liberalisation, Privatisation and Disinvestment
(c) Globalisation.
8. Money and Banking
(a) Money Meaning and functions
(b) Commercial Banks Role and functions
(c) Reserve Bank of India Role and functions, Monetary policy.
Section D: Quantitative Aptitude ( 50 Marks ) (Min 15 Marks)
Objective:
To test the grasp of elementary concepts in Mathematics and Statistics and application of the same as useful
quantitative tools.
Contents
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. Simple and Compound Interest including annuity Applications
5. Basic concepts of Permutations and Combinations
6. Sequence and Series Arithmetic and geometric progressions
7. Sets, Functions and Relations
8. Limits and Continuity Intuitive Approach

9. Basic concepts of Differential and Integral Calculus (excluding trigonometric functions)

10. Statistical description of data
(a) Textual, Tabular & Diagrammatic representation of data.
(b) Frequency Distribution.
(c) Graphical representation of frequency distribution Histogram, Frequency Polygon, Ogive
11. Measures of Central Tendency and Dispersion
Arithmetic Mean, Median Partition Values, Mode, Geometric Mean and Harmonic, Mean, Standard
deviation, Quartile deviation
12. Correlation and Regression
13. Probability and Expected Value by Mathematical Expectation
14. Theoretical Distributions
Binomial, Poisson and Normal.
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
A minimum of 30% marks in each section and minimum of 50% marks in aggregate of all the four section to
pass the cpt.

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

COMMON PROFICIENCY TEST December 2014
INSTRUCTIONS TO EXAMINEES
General Instructions
1. Immediately on receipt of admit card, please check whether the particulars printed therein are
correct viz. Name, Roll No., Registration No., Language of Question paper Booklet, Examination
Centre, etc. Please report to Additional Secretary (Exams) immediately if any discrepancy is noticed.
Further, please note the candidates are being permitted to appear in ensuing CPT examination on
PROVISIONAL basis subject to verification at the time of admission to Intermediate (IPC) Course i.e.
fulfilling the eligibility requirements for admission to CPT (examination) as stipulated in Regulation
25 D of the Chartered Accountants Regulations, 1988 of being registered with Board of Studies of
the Institute on or before 1st October, 2014 and having already passed or already appeared in 12th
Class or equivalent recognized examination before appearing in CPT.
2. It is advisable that every candidate visits the venue of the examination centre before hand to avoid
any inconvenience on the day of the examination.
3. Entry to the Examination Hall will begin half an hour before the start of the examination in each
session. Late entry will be allowed upto 15 minutes of the start of the examination in each session
and no candidate will be allowed to leave until the examination in each session is over.
4. A candidate must carry his admit card, black pen, HB pencil, eraser, sharpener to the examination
centre.
5. A candidate is eligible to appear in Common Proficiency Test to be held in December, 2014 if he
fulfills the eligibility requirements i.e he has been registered for Common Proficiency
Course/switched over from PEI to Common Proficiency Course on or before Ist October, 2014 and
has already passed or already appeared in 12th class recognized examination.
6. No reference material/study material, books etc. and blank papers for rough work will be allowed to
be taken inside the examination hall.
7. Every candidate will find his roll no. written against the seat allotted and he should occupy the
allotted seat only.
8. Every candidate is required to satisfy that the Question Paper Booklet given to him is of the medium
opted by him and contains the number of pages printed on the cover page of the booklet. In case of
any discrepancy, he should ask for exchange of the Question Paper Booklet immediately.
9. The candidate must write his 6 digits Roll Number, as allotted to him and printed in the Admit Card,
on OMR Answer Sheet in boxes in black pen and darken appropriate circles with HB Pencil. Similarly,
write Question Paper Booklet Number as also the code viz. A or B or C or D, as the case may be on
OMR Answer Sheet. He should not write his Name, Registration Number anywhere and also not
make any noting/scribbling on the Answer Sheet and Question Paper Booklet except in the space
provided for rough work.
10. Every candidate must sign the attendance register with Pen in each session separately against his
name in the appropriate place. It may be noted that every candidate must present himself in both
the sessions compulsorily. In case a candidate is present in the morning session and absent in the
afternoon session or viceversa, due to any reason whatsoever, he/she will be deemed to be absent
in both sessions of CPT and his/her result will not be processed/prepared/published. In other words
the result of such candidates shall be cancelled.
11. No candidate will leave the examination hall without the express permission of the Invigilator.
12. Battery operated Calculator upto 6 functions, 12 digits and 2 memories is allowed. Scientific
Calculator is not allowed.
13. Mobile Phone and all electronic gadgets (except Calculator as stated above) are strictly prohibited in
the examination centre/hall. Smoking, chewing tobacco / betel, intoxicant, etc. are prohibited. Any
violation will tantamount to adoption of unfair means.
Specific Instructions relating to Answer Sheet
14. Candidate should write in the OMR answer sheets, the correct Question Paper Booklet No.,
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THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

Roll Number and Question Paper Booklet Code as given to him/her viz. A or B or C or D, with black
ball point pen in the boxes and darken appropriate circles with good quality H.B. Pencil only. In case
any candidate fills in this information wrongly, the Institute will not take any responsibility for
rectifying the mistake. The Question Paper Booklet Code as darkened by the candidate will be final
and the result will be processed on the basis of the circle(s) darkened by him/her.
15. Each candidate will be given one Question Paper Booklet of English or Hindi language, as opted by
him, and one OMR Answer Sheet (in English language only ) for each session. He will be required to
surrender the Question Paper Booklet together with Answer Sheet at the conclusion of each session
of examination against acknowledgement by the Invigilator on the reverse side bottom portion of
the admit card. In other words, he will not be allowed to carry the Question Paper Booklet to home.
16. Each column in the answer sheet corresponds to the serial number of question given in the question
paper booklet. In each column, there are four circles which correspond to the four options for
answer of which one is to be darkened on the answer sheet only. Any answer marked/darkened in
the Question Paper Booklet will not be taken cognizance of and no marks will be awarded.
17. Candidates are required to sign in the OMR Answer Sheets and Attendance Register in the same
style as they have signed in their CPT exam application form and appearing in the Admit Card.
18. The Question Paper Booklet of each session will consist of 100 objective type questions. Each
question will be of one mark and for every question, four options for an answer will be given in the
Booklet. The candidate is required to select one amongst the options as his answer and darken with
HB Pencil that circle viz. A or B or C or D, as the case may be, to be the answer in the OMR answer
sheet.

Example

19. For each correct answer, one mark will be awarded. For each wrong answer, 1/4th of the mark
earmarked for each question will be deducted. Multiple darkened circles for a question will be treated
as wrong answer. And, for questions not answered i.e. blanks, a zero will be given.
20. A candidate to be eligible to be declared pass in CPT must secure at one sitting a minimum of thirty
percent marks in each section and a minimum of fifty percent marks in aggregate of all the sections
comprised in CPT (Examination), subject to the principle of negative marking. Please see the
illustration below:
Session

Section

Morning

Morning

Maximum
Marks

Minimum*
Marks

Fundamentals
of
Accounting

60

18

Mercantile
Laws

40

Subject

12

Timings

10.30 A.M.
to
12.30 P.M.
(IST)

Reporting
Time

10.00 A.M.
(IST)

BREAK FROM 12.30 P.M. TO 1.30 P.M. (IST)

Afternoon

General
Economics

50

15

2.00 P.M. to
4.00 P.M.

1.30 P.M.
(IST)
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THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

Afternoon

Quantitative
Aptitutde
Total

21.

22.

23.

24.

25.

50

15

200

100*

(IST)

* Note : From June, 2013 CPT onwards, in order to pass the CPT (Examination), a candidate is
required to secure, at one sitting, a minimum of 30 percent marks in each section and a
minimum of 50 percent marks in the aggregate of all sections.
Merit List upto 10th rank out of the candidates securing a minimum of 60 percent marks will be
prepared and candidates concerned will be informed. A candidate scoring 70 percent marks and
above will be declared to have passed with Distinction.
A candidate has the option to erase the answer if he wants to change the answer already darkened.
In such a case, he should erase it completely with good quality eraser and ensure that no mark is
visible after erasing.
Candidates are required to maintain complete discipline in the examination hall and any
misdemeanor on his part (i.e. talking to, receiving / giving any help, copying from any text, defying
instruction of the Invigilator etc.) will tantamount to adoption of unfair means in the examination. In
such a situation, the candidate concerned will be expelled from the examination and will be subject
to disciplinary action, as deemed fit, as per the Chartered Accountants Regulations, 1988.
Candidates may bring a card board or clip board on which nothing should be written so that they
have no difficulty in darkening circles in OMR Answer Sheet as the tables provided in the
examination hall may or may not have even or smooth surface.
For any inadvertent printing mistake or framing of the question, he should write to the Additional
Secretary (Exams), ICAI within a week of the date of CPT examination.

If the registration number column is blank or registration number printed is not correct on the Admit Card,
please verify the same with the Common Proficiency Course registration number quoted in the letter of
registration received from the concerned Regional Office of the Institute for correctness. Such a candidate
may write his correct Common Proficiency Course registration number and date of registration to Common
Proficiency Course in the registration no. column with pen in the attendance register in the examination
hall.

MOBILE PHONES ARE BANNED IN THE EXAMINATION CENTRES.