Committee Members:

1. Shri M S Subrahmanyam, DG (Commercial Audit), Hyderabad

2. Ms. Alka Rehani Bhardwaj, DG (GA)
3. Sh. Manish Kumar-II, DG (F&C)
4. Sh. Sandip Roy, DG (Central Railway)
5. Shri Saurabh Kumar Mallick, DG (Central Region)
6. Sh. ShailendraVikram Singh, DG (PC)
7. Sh. Bijit Kumar Mukherjee, PD (Local Bodies)
8. Shri Sumant Narain, PD (Northern Railways)
9. Shri Vikram D Murugaraj, PDA (Railway Commercial)
10. Shri V S Venkatanathan, PDA (Defence), Chandigarh,

Convenor: Shri Purushottam Tiwary, DG (Exam)

Chairperson: Shri K.S. Subramanian, ADAI (Staff)

 Group- I

PC 1: Language Skills (For all branches)

Duration: 3 hours Maximum Marks: 100
Objective:

1.
ideas clearly, correctly and in a concise manner.
2. To test the ability of the candidate to analyse information before drafting an audit
product.

Detailed Syllabus:
Type of Questions #: Descriptive

1. Draft paragraph/ Draft Audit Comments- (range 25-30 marks)

Candidates would be expected to frame a Draft Paragraph or Draft Audit Comments
from the given material (may include contents from Compliance Audit, Performance Audit
and/ or Financial Statements of Autonomous Bodies/ PSUs & Accounts of State/ Central
Government).

2. Short Essay- (500 words; range 20- 25 marks)

Candidates would be required to write one essay from four/ five given topics. They will
be expected to keep closely to the subject of the essay to arrange their ideas in orderly fashion
and to write concisely. Credit will be given for effective and exact expression.

3. Precis- (one third length of the given passage; range 20-25 marks)
The candidate is expected to write a summary or a gist of the main points of a
comprehensive passage that is supposed to cover the main essence/ idea of the passage in her/
his own words.

4. Answering questions after reading a passage (range 10-15 marks)

Candidates would be given a passage to read and comprehend and to answer three to
five short questions in clear, concise and correct language.

5. Letter writing/ drafting OM- (range 10-15 marks)

Candidates would be asked to write an official/ Demi official letter or to draft an Office
Memorandum on a given subject.
 Reading Material
1. MSO Audit Section 7 Chapter 3 Preparation of Audit Report.
2. Style Guide as prescribed by the Department.
3. Precis and Draft by Muthuswamy and Brinda
4. Karyalay Sahayika- a book published by Kendriya Sachivalaya, Hindi Parishad, New
Delhi.
5. Books which may contain question, standard of which is similar to the Indian Banking
Services for Clerical Grade and Probationary Officers
 Group- I

PC 2: Government Audit (For all branches)

Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objectives:

Audit, type of audits and auditing process, new development in audit

Mandate of C&AG of India and ability to apply rules provision for audit at all stages.
Note:
While the details of different types of audit will be covered in respective Group II

audits and their applicability.

Different rules/ provisions that form criteria for audit should not be asked to test
knowledge of candidates as part of this paper. However, the questions may be asked
about applicability of such rules. In such a case, the rule provision may be provided to
candidates as part of case.

I. ate: (Weightage 15 per cent)

Definition, type of audits

Vision and Mission of C&AG of India
Constitution of India (relevant provisions related to C&AG of India)
i. Part I, Article-12
ii. Part V (Procedures in financial matters- Article 112-117, Chapter V- C&AG of
India- Article 148-151)
iii. Part VI (Procedures in financial matters- Article 202-207)
iv. Part IX, IX A (The Panchayats, the Municipalities, along with 11th and 12th
schedules), 73rd and 74th Constitutional Amendment Acts.
v. Part XI (along with 7th schedule)
vi. Part XII- Chapter I and II
C&AG of India (Duties Power & Conditions of Service) Act 1971, Regulations on
Audit and Accounts 2020.

II. Principles and Standards of Auditing: (Weightage 25 per cent)

International Standards- INTOSAI Principles and selected standards and guidance.

i. ISSAI- 1, 10, 100, 200, 300, 400
III. Audit Process: (Weightage 30 per cent)

Planning and Designing of Audit:

Understanding the entity, risk analysis (parameters and techniques), audit
programming, desk review, Audit design matrix (identifying criteria and appropriate
audit methodology).
Execution
Entry/ exit conference, audit requisition/ audit enquiry/ audit observation, Audit
evidence (characteristics, evidence gathering and analysis techniques)
Reporting
Different types of audit reports of IAAD, Executive summary, characteristics of good
audit report
Follow up
PAC/Legislative Committees (constitution, interaction with IAAD and different
reports), ATN/ATR

IV. Audit Specialisations: (Weightage 10 per cent)

Environment audit, role of audit in relation to fraud & Corruption, Audit of PPP, Audit
of internal controls

V. Statistics and its application for audit: (Weightage 20 per cent)

Descriptive statistics
Graphical and numerical representation of data
Measures of central tendency (mean, median, mode) and dispersion
Basic Concepts of Correlation.
Sampling techniques (Questions should test the ability of candidates to apply statistical
concepts in a typical audit situation)

Reading Material
1. Constitution of India (relevant provisions related to C&AG of India)
2. C&AG of India (Duties Power & Conditions of Service) Act 1971
3. Regulations on Audit and Accounts 2020
4. Standards 2017
5. Audit Quality Management Framework
6. Internal Controls Evaluation Manual of C&AG
7. Public Private Partnerships in Infrastructure Project Public Auditing Guidelines of
C&AG
8. Environment and Climate Change Auditing Guidelines issued by C&AG
9. Standing Order on Role of Audit in Relation to Cases of Fraud and Corruption issued
by C&AG.
10. Statistics for Economics (Text Book for Class XI)
https://ncert.nic.in/textbook.php?kest1=0-9
11. ISSAI- 1, 10, 100, 130, 200, 300, 400 (https://www.issai.org/professional-
pronouncements/)
12. Style Guide of IA&AD
 Group- I
PC 3: Information Technology (Theory and Practical) (all branches)
Duration: 2 hours Maximum Marks: 100

Objectives:

1. To test IT Skills: This area would cover basic skills in word processing, electronic
spreadsheets and presentation skills (in other words the basic MS Office suite).
The thrust would be on assessing database handling skills. What is far more
important and relevant today, is for the auditor to be able to adopt a database driven
approach. The moment an auditor sees or uses data he should be able to visualise
the data in a data structure. Most of the other skills will emanate from this skill of
the auditor. Even today, it is not infrequent to find auditors using word processors
for data. Even spreadsheet has its limitations while handing data. Most offices do
not have a comprehensive database of auditee units with all the relevant attributes
for carrying out a risk based selection of units during the annual audit planning
exercise. This is because offices have the auditee data scattered in word and excel
files. An auditor with database handling skills would be able to address this issue.
Likewise in Performance Audits (PAs) guidelines include exhaustive data
collection in spreadsheets. The information collected in spreadsheets from various
offices has to be manually collated. An auditor with a data driven approach would
be able to provide efficient and effective solution for this as well.

2. To test Skills required to audit in a computerised environment: This area

would test skills on Data acquisition and import from the IT systems of the auditee.

3. To test IS Audit Skills: This area would test skills of the auditor in conducting IS
Audit. The auditor ought to have clarity in regard to the distinction between IS
Audit and use of IT for Audit.

A. Information Technology (Theory) 40 Marks

1.1 Fundamentals of Computers & Information Technology 10 Marks

1.1.1 Introduction to Computers and their components- Hardware, CPU, Memory
devices etc
1.1.2 Basic Software tools MS Word, MS Excel and MS PowerPoint, Operating System,
its keyfunctions, ERP Systems.
1.1.3 Basic Computer Network concepts- LAN/ WAN/ Internet, server infrastructure,
endpointdevices
1.1.4 Cloud computing basic concepts (IAAS, PAAS, SAAS)

1.2 Database Management Systems 10 Marks

1.2.1. Data and database - basic concepts of DBMS and RDBMS, designing a
database,Normalization.
 1 2 2. Relational database (Integrity constraints- primary, foreign keys, different types of
Relationships)
1 2 3 Concept of action query, Joins, views, data manipulation etc.

1.3. Governance and Management of Information Systems in India 05 Marks

1.3.1. IT Act 2000 (and subsequent amendments)
1.3.2. IT (reasonable security practices and procedures and sensitive personal data and
information rules-2011)
1.3.3 Guidelines for Indian Government Websites (GIGW)
1 3.4. National e-Governance Plan (NeGP) and associated MMPs (Mission Mode
Projects)
1.3.5. Digital India Programme, e-Kranti mission

1.4. Protection of Information Assets 05 Marks

1.4.1. Basic criteria for information protection - Confidentiality, Integrity and
nonrepudiability,Availability of data
1.4.2. Privacy principles, principles of personally identifiable information (PII)
1.4.3. Physical access and environment control
1.4.4. Information system attack methods and current OWASP vulnerabilities

1.5. Information System Auditing Process 05 Marks

1.5.1. CAG's Standing order on auditing in an IT environment (August 2020)
1.5.2. Type of controls (Control objective and measures, General and IS specific controls)
1.5.3. CAATs, continuous auditing techniques

1.6. Information systems acquisition, development and implementation 05 Marks

1.6.1. System Development Life Cycle (SDLC) phases.

Suggested reading material/ references:

1. CAG's Standing order on auditing in IT environment.
2. WGITA-IDI handbook on IT audit for Supreme Audit Institutions.
3 For 1.3 - Acts/Rules can be used for reading material.
4 Introduction to Computers by Peter Norton Seventh Edition published by Tata-
McGraw-Hill Education Pvt. Ltd., New Delhi.
5 Cyber Security Guidelines for Government Employees (current version) compiled and
circulated by MEITY NIC.
6 Checklist for Involvement of Audit in the System Development Phases of Information
Technology Systems printed by the IT Audit Wing (iCISA).

B. Information Technology (Practical) 60 Marks

I. WORD 2019 10 Marks
Formatting Text, Paragraphs, Sections, and objects, Creating and Managing
Tables, List, Index, Reference Table, hyperlink, Mail merge, File Compare,
embedding documents, Bookmarks, Comments, Headers, Footers, Track Changes,
 Configuring documents to print or save.

II. EXCEL 2019 20 Marks

Creating and Managing Worksheets and Workbooks, Importing Text, CSV, MS-
Access datain Excel, Functions (Text, Numeric and Date), Logical functions (IF,
AND, OR NOT), Formulas, Graphs, fill and Flash fill, Sorting, Advance Filters,
Lookup, Data Validation, Conditional Formatting, Data analysis using Pivot tables,
Creating Power Pivot, What if analysis, Recording Macros,Configuring Worksheets
and Workbooks to print or save.

III. Access 2019 20 Marks

Creating and Managing a Database, Tables with fields of different data types,
Formatting, captions, Validation Rule, Validation text, Indexed etc, Creating
Different types of relationships between more than two databases, use of
Primary/Foreign Key to Link Between two relatedDatabases, extracting data from
single and multiple tables, applying And/Or criteria, Input of data directly by
adding records. Designing Queries. Save/edit/delete Queries, Import/Export from
Excel, Text File, Import from Saved exports, Share Point. Create Forms for
Tables/Queries, Creating/Formatting Reports using Report tool.

IV. Power Point 2019 10 Marks

Create Presentation, Modify presentation themes, Add and edit text to slides, Add
new slides inpresentation. Insert clipart images and shapes to slides, Insert/modify
tables and charts, Add sound and video to a slide presentation, Insert and edit
animations and slide transitions, Display a speaker-lead and self-running
presentation, Print/Save Slides.
 Group- I

PC-4: Financial Rules, Service Rules and Basic Principles of Government

Accounts and CPWA
(Civil Accounts, Civil Audit & Local Audit)

Duration: 2 hours Maximum Marks: 100

Questions would primarily be Case Study based

Objectives:

To te Services Rules, understanding of basic principles

of Government Accounts, General Financial Rules and their application in preparation of the
Annual Accounts of States.

Section I. Service rules and regulations Weightage: 15%

Syllabus

Provisions of the following Rules and Regulations:

1. Fundamental Rules & Supplementary Rules (Part I): - Provisions relating to the following:
(a) General Conditions of Service
(b) Pay, Additions to Pay and Pay Fixation
(c) Dismissal, Removal and Suspension
(d) Retirement
(e) Medical Certificate of Fitness on first entry
2. Fundamental Rules & Supplementary Rules (Part II): Travelling Allowance Rules
3. Fundamental Rules & Supplementary Rules (Part III): CCS (Leave) Rules 1972
4. Central Civil Services (Joining Time) Rules
5. Central Civil Services (Classification, Control and Appeal Rules)
6. Central Civil Services (Conduct) Rules
7. General Provident Fund (Central Services) Rules
8. CCS Pension Rules 1972
9. Defined Contribution Pension Scheme (New Pension Scheme)

Section II. General Financial Rules. Weightage: 15 %

Syllabus
1. Central Government Accounts (Receipts and Payment) Rules, 1983.
2. General Financial Rules, 2017 (Chapters 1,2,3,4,5,7,9,10,11 &12)
3. Delegation of Financial Powers Rules 1978
Section III. Civil Accounts Weightage: 70 %
Syllabus
1. Government Accounting Rules,1990- Chapter on General outline of the system of
Accounts
2. Account Code for Accountant General
3. List of Major and Minor Heads of Accounts of Receipts and Disbursements of the Central
and State Governments
4. olume-I
(Chapters 3,4,5,6,7,10,11,16,17,19 &20)
5. -II (Chapters
1 & 2)
6. Civil Accounts Manual (Revised second edition 2007) issued by Controller General of
Accounts, Ministry of Finance, Department of Expenditure, New Delhi
(Chapter 1-paragraphs No. 1.2,1.4,1.12, Chapter 4-paragraphs No. 4.6,4.7,4.8 and
-
paragraph No. 7.16, Chapter 8, Chapter 10-paragraphs No.10.3,10.4,10.9 and Annexure
-paragraph 16.1 and Chapter 17- paragraphs No. 17.7 and 17.10)
7. Central Public Works Accounts Code with Appendices
8. -I (Chapter
8-Accounts of Public works & Chapter 9-Accounts of Forests)
9. Book of Forms referred in CPWA Code

Reference Books:

1. Fundamental Rules and Supplementary Rules for Central Services Part I, II&III
2. Central Civil Services (Classification, Control and Appeal Rules)
3. Central Civil Services (Conduct) Rules
4. Fundamental Rules & Supplementary Rules- Part IV: Dearness allowance, Dearness
Relief and House Rent Allowance
5. Central Civil Services (Joining Time) Rules
6. General Provident Fund (Central Services) Rules
7. CCS Pension Rules 1972
8. Defined Contribution Pension Scheme (New Pension Scheme)
9. General Financial Rules 2017
10. Central Government Account (Receipts & Payments) Rules 1983
11. Delegation of Financial Powers Rules (DFPR) 1978
12. Government Accounting Rules 1990 published by Controller General of Accounts
13. Accounting Rules for Treasuries 1992
14. Account Code for Accountants General
15. Account Code Volume III
16. List of Major and Minor Heads of Accounts of Union and States (LMMH)
17. Comptroller & Auditor General Manual of Standing Orders (A&E) Volume I, II & III
18. Civil Accounts Manual, issued by Controller General of Accounts, Ministry of Finance,
19. Department of Expenditure, GOI
20. CPWD Works manual 2014
21. Book of Forms referred in CPWA Code
 Group- I

Revised PC 5: Financial Rules, Service Rules & Principles of Defence

Accounts
Duration: 2 hours Maximum Marks: 100

Questions would primarily be Case Study based

Objective:

a. To test understanding of Service Rules & Regulations relating to central services in

general & defence services in particular
b. To test understanding of the financial rules, regulations & their delegation
c. To test understanding of government accounting in general & the principles of defence
accounting in particular

Detailed Syllabus:
I. Service Rules & Regulations relating to Central Services in general & Defence
Services in particular
II. Financial rules, regulations and their delegation
III. Government Accounting in general & the Principles of Defence Accounting in
particular

Section I: Service Rules and Regulations relating to Central Services in general & Defence
Services in particular [40 percent]
Provisions relating to the following

1. Government rules and regulations governing Central Government Staff along-with

rules & instructions on service matters
2. Pay rules for the Officers & Personnel Below Officer Rank of the Armed Forces.
3. Pay & Allowances Regulations for the Officers & Personnel Below Officer Rank of
the Armed Forces
4. Leave Rules for the Armed Forces Personnel
5. Pension regulations for the Officers & Personnel Below Officer Rank of the Armed
Forces
6. Travel Regulations for the Armed Forces Personnel

Reading material /Suggested Reading:

1. Fundamental Rules & Supplementary Rules - Part I : General Rules
2. Fundamental Rules & Supplementary Rules- Part III : CCS (Leave) Rules 1972
3. Central Civil Services ( Classification, Control and Appeal Rules)
 4. Central Civil Services ( Conduct ) Rules
5. Army Officers Pay Rules 2017
6. Army Pay Rules 2017
7. GOI, MoD lr. No. 1(16)/2017/D(Pay Services) dtd. 18.09.2017 addressed to The
Chief of Army Staff, The Chief of Naval Staff & The Chief of Air Staff
8. Air Force Officers Pay Rules, 2017
9. Air Force Pay Rules ,2017
10. Navy Officers Pay Regulations 2017
11. Navy Pay Regulations , 2017
12. Pay & Allowances Regulations (Officers) of the Army (Rev. Edn. 1954)
13. Pay & Allowances Regulations for JCOs, ORs and Non-Combatant for Army (Rev.
Edn. 1979)
14. Leave Rules for the Services Volume I (Army) 2018
15. Navy (Pay & Allowances) Regulations 1966
16. Navy Leave Regulations 2019
17. Pay & Allowances Regulations for the I.A.F. (Rev. Edn.) 1955
18. Leave Rules for the Service Volume III (Air Force) 1954
19. Pension Regulations for the Army, Part I (2008)
20. Pension Regulations for the Army, Part II (2008)
21. Pension Regulations for the Air Force (1961) , Part I
22. Pension Regulations for the Air Force (1961) , Part II
23. Navy (Pension) Regulations, 1964
24. Defence Service Regulations -Travel Regulations

Section II: Financial rules, regulations and their delegation [30 percent]
Provisions relating to the following:
1. Rules and orders of Government of India dealing with matters involving public
finances
2. Policies and procedures for procurement of Goods, Works and hiring of Consultants
3. Rules relating to delegation of Financial Powers
4. Rules regulating custody of Consolidated Fund of India, Contingency Fund of India,
payment and withdrawal from these funds
5. Rules relating to custody of Public Moneys, payments into and withdrawals from
Public Account of India
6. Rules for transactions pertaining to Government Ministries and Departments
7. Financial Regulations pertaining to Defence Services
8. Schedule of procurement powers pertaining to the Defence Services.

Reading material /Suggested Reading:

1. General Financial Rules 2017
2. Manual for procurement of works (June 2022)
3. Manual for procurement of goods (June 2022)
4. Manual for procurement of consultancy & other services (June 2022)
5. Delegation of Financial Power Rules, 1978
 6. Central Government Accounts (Receipt & Payments) Rules 2022 & Subsidiary
Instructions to Central Government Account (Receipts & payments) Rules, 2022
7. DSR-Financial Regulations Part I ( Vol I ) Revised Edition 1983
8. DSR-Financial Regulations Part II (Revised Edition 1968) ( Reprint 1988)
9. DFPDS 2021

Section III: Government Accounting in general & the principles of defence accounting
in particular [30 percent]
Provisions relating to the following:
1. Government budget meaning, objectives and components
2. Constitutional provisions related to budgeting and appropriation of funds
3. Process involved in the preparation of Government budget
4. Budget documents presented in Parliament
5. General principles of Government Accounting

6. Instructions and procedures relating to accounting, compilation, consolidation of

annual accounts and inter-departmental/inter-governmental adjustments by Defence
Accounts Department
7. Classification of Code heads for booking of receipts and expenditure (Revenue
Account & Capital Expenditure) pertaining to Defence Services

8. Classification of code heads for booking of expenditure in respect of civil

organizations within Ministry of Defence and other ministries.

Reading material /Suggested Reading:

1. Budget Documents including Budget at a glance, key budget documents such as
Annual Financial Statements, Demand for grants, Finance bill, Appropriation
bill/Act etc.
2. Government Budget Principles and Practice - Dr. C.N. Sudarsanana, Foreword by
Shri T. N. Chaturvedi
3. Government Accounting Rules 1990

4. Defence Account Code (2014 Edn.)

5. Classification Hand Book, Defence Services Receipts & Charges (2014)

6. Pamphlet of Revenue, Debt and remittance Heads (2010)

7. General Directions of Major and Minor Heads of Account of Union and States (2nd
Reprint of Fourth Edition)
 Group- I

PC-6: Financial Rules, Service Rules and Basic Principles of Postal and
Telecom Accounts
(Finance & Communication Audit)
Duration: 2 Hours Maximum Marks: 100

Questions would primarily be Case Study based

Objective:

To evaluate the knowledge of accounting, service and financial rules and preparation
and maintenance of Accounts in Department of Posts / Telecommunications.

Detailed Syllabus:

I. Service Rules 30 Marks

a. Fundamental Rules & Supplementary Rules:
Provisions relating to the following:
(i) General Conditions of Service
(ii) Pay, Additions to Pay and Pay Fixation
(iii) Dismissal, Removal and Suspension
(iv) Retirement
(v) Medical Certificate of Fitness on first entry
b. Travelling Allowance Rules
c. CCS (Leave) Rules 1972
d. Central Civil Services ( Joining Time ) Rules
e. Central Civil Services ( Classification, Control and Appeal Rules)
f. Central Civil Services ( Conduct ) Rules
g. General Provident Fund ( Central Services ) Rules
h. CCS Pension Rules 1972
i. Defined Contribution Pension Scheme (New Pension Scheme)

II. Financial Rules and Accounting procedures of Postal / Telecom Department - 40 Marks
a. General Financial Rules 2017,
b. Central Government Receipts and Payment Rules,
c. Delegation of Financial Powers etc.
d. Account Manuals of Department of Posts / Telecom
III. Accounts of Postal / Telecom Department 30 Marks
a. Maintenance of Accounts in conformity with Postal, Telecom and Civil Accounts
Manuals
b. Understanding of Principles of preparation of Accounts of the Departments
c. Classification of Accounts and relationship with Budget allocations

Reading material /Suggested Reading:

1. General Financial Rules, 2017

2. Central Government Accounts (Receipt and Payment Rules) 1983.
3. Schedule of Financial powers of Postal Services Board, Deptt. of Posts Rules, 1978
4. Delegation of Financial Powers Rules, 1978
5. Postal Accounts Manuals
6. Government Accounting Rules, 1990
7. P&T FHB Volume-I & II
8. Civil Accounts Manual.
9. Postal Manual Volume- II & VI (Part-II)
10. Manual of S.B. Control pairing and Internal Check Organization
11. Post Office Guide (Part-I & Part-IV)
12. List of Major and Minor Heads (LMMH)
13. Manual of Standing Orders (MSO) Audit
14. Fundamental Rules & Supplementary Rules - Part I : General Rules
15. Fundamental Rules & Supplementary Rules- Part II : T.A. Rules
16. Fundamental Rules & Supplementary Rules- Part III : CCS (Leave) Rules 1972
17. Fundamental Rules & Supplementary Rules- Part IV: Dearness allowance, Dearness
Relief and House Rent Allowance
18. Central Civil Services (Joining Time) Rules
19. Central Civil Services (Classification, Control and Appeal Rules)
20. Central Civil Services (Conduct) Rules
21. General Provident Fund (Central Services) Rules
22. CCS Pension Rules 1972
23. Defined Contribution Pension Scheme (New Pension Scheme)
 Group- I

PC-7 Railways Service Rules, Financial Rules, and Principles of Railways

Accounts
[For Railways Audit]
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objective:

To test in-
Service Rules, and Principles of Railways Accounts.
Detailed Syllabus and Reading Material
I. Service Rules (30% weightage)
Provisions governing railways service, labour laws, establishment rules etc. will be covered.
The syllabus will be based entirely on Acts, statutory provisions, and departmental publications
of the Indian Railways.
The syllabus and reading material shall be as below:
No. Syllabus and Reading Material Remarks
1 The Railways Act, 1989
1 Chapter II A: Rail Land Development Authority The following (4) chapters
2 Chapter III: Commissioners of Rail Safety have been omitted:
3 Chapter IV: Construction and Maintenance of I: Preliminary
Works II: Railway Administrations
4 Chapter IV A: Land Acquisition for a Special XII: Accidents
Railway Project XIV: Regulation of Hours of
5 Chapter V: Opening of Railways Work and Period of Rest
6 Chapter VI: Fixation of Rates
7 Chapter VII: Railway Rates Tribunal
8 Chapter VIII: Carriage of Passengers
9 Chapter IX: Carriage of Goods
10 Chapter X: Special Provisions as to Goods Booked
to Notified Stations
11 Chapter XI: Responsibilities of Railway
Administrations as Carriers
12 Chapter XIII: Liability of Railway Administration
for Death and Injury to Passengers due to Accidents
13 Chapter XV: Penalties and Offences
14 Chapter XVI: Miscellaneous
2 Indian Railway Establishment Code, Volume-I
1 Chapter 1: General
2 Chapter 2: General Conditions of Service The following (5) chapters
3 Chapter 4: Extension of Service and Re- have been omitted:
employment of persons previously in Government 3: Termination of Service
Service 6: Medical Attendance and
4 Chapter 5: Leave Rules Treatment Rules
5 Chapter 10: State Railway Gratuity Rules 7: Law Suits against Railway
6 Chapter 11: Joining Time Rules Servants
7 Chapter 12: Compensation for Injuries and Loss of 8: Staff Benefit Fund
Personal Property 9: Provident Fund Rules
3 Indian Railway Establishment Code, Volume-II
1 Chapter 13: Railway Fundamental Rules Pay and The following chapter has
Increments been omitted:
2 Chapter 14: Dearness and Other Compensatory 19: Confidential Reports
Allowances (Deleted)
3 Chapter 15: Overtime and Running Allowances for

4 Chapter 16: Travelling Allowances

5 Chapter 17: House Rent and Compensatory (City)
Allowances
6 Chapter 18: Retirement
7 Chapter 20: Foreign Service and Deputation
4 Indian Railway Establishment Manual, Volume I
1 Chapter 4: Scales of Pay applicable to Principal The following (7) chapters
categories of non-gazetted staff have been omitted:
2 Chapter 6: Pay, increments and efficiency bars 1: Recruitment, training,
3 Chapter 7: Compensatory and other allowances confirmation and re-
4 Chapter 8: Dearness Allowance employment
5 Chapter 9: Running Allowance Rules 2: Rules governing
6 Chapter 10: Arrears claims and recoveries of promotion of Subordinate
overpayments Staff
7 Chapter 11: Advances 3: Rules Regulating seniority
8 Chapter 13: Absorption of medically incapacitated of non-gazetted Railway
staff in alternative employment Servants
5: Percentage of Posts fixed
for various categories
12: Change in name
14: Forwarding of
applications from serving
Railway employees for posts
outside Railways
16: Holidays and Special
Casual Leave
5 Indian Railway Establishment Manual, Volume II
1 Chapter XVII: Railway quarters and Recovery of The following (7) chapters
Rent have been omitted:
2 Chapter XVIII: Attachments of pay and Allowances XIX: Apprentices
for Debt XX: Casual Labour
3 Chapter XXIV: Grants-in-Aid XXI: Staff Cars
XXII: Staff Welfare
XXIII: Cooperative Societies
 XXV: Rules for the
recognition of Service
Associations of Railway
Servants
XXVI: Staff Council and
negotiating machinery
6 Railway Services (Pension) Amendment Rules, 2016
1 Chapter IV: Emoluments and Average Emoluments The following (7) chapters
2 Chapter V: Classes of Pensioners and Conditions have been omitted:
governing their grant I: Preliminary
3 Chapter VI: Regulation of Amounts of Pension II: General Conditions
4 Chapter VII: Determination and Authorization of III: Qualifying Service
amounts of Pension and Gratuity IX: Family Pension and
Death-cum-Retirement
Gratuity in respect of
Railway Servant dying while
in Service
X: Sanction of Family
Pension and Residuary
Gratuity in respect of
deceased pensioners
XI: Payment of Pension
XII: Miscellaneous
7 Indian Railways Administration and Finance An Introduction
1 Chapter III: Railways, the Public and Parliament The following (7) chapters
2 Chapter V: Management Accountability have been omitted:
3 Chapter VI: Electronic Data Processing - General I: Evolution of Indian
Application Railways Historical
4 Chapter VIII: Operational and Financial Planning Background
5 Chapter XI: Disallowances and Objections II: Structure and Objectives
of Railway Management
IV: Employee Relations
VII: The Separation
Convention
IX: Economics of Rail
Transport
X: Advances and Arrear
Claims
XII: Records of Service
II. Railways Financial Rules (20% weightage)

Provisions governing the Railways Financial Management and Administration will be covered.
The syllabus will be based entirely on departmental publications of the Indian Railways.
The syllabus and reading material shall be as below:
No. Syllabus and Reading Material Remarks
8 Indian Railways Financial Code, Volume I
1 Chapter ii: Financial Appraisal of Railway Projects The following (5) chapters
2 Chapter iii: Railway Budget have been omitted:
3 Chapter iv: Parliamentary Financial Control i: Financial Organization
Appropriation Accounts Historical Background
4 Chapter v: Budgetary and Expenditure Control vi: Contracts General
Finance/Management Reporting Principles
5 Chapter vii: Allocation of Expenditure viii: Inter Railway and Inter
6 Chapter xi: Reporting and Investigation of Loss of Departmental Service
Cash, Stores or Other Railway Property ix: Inter Railway and Inter

x: Petty Contingent Expenses

Cash Imprest
9 Indian Railway Code for Engineering Department
1 Chapter III: Traffic Survey The following (4) chapters
2 Chapter VI: Investment Planning and Works have been omitted:
Budget I: Organization and
3 Chapter VII: Estimates Administration
4 Chapter VIII: Rules for the acquisition of land II: Modes of Investigation of
5 Chapter IX: Procedure for the acquisition of land Railway Projects
6 Chapter X: The Custody, Management and Disposal IV: Engineering Survey
of Land Reconnaissance, Preliminary
7 Chapter XI: The Execution of Works and Final Location Surveys
8 Chapter XII: Contracts for Work V: Engineering Survey
9 Chapter XIII: Initial Records Project Reports Techno
10 Chapter XIV: Initial Accounts of Revenue and Economic Survey Report and
Works Expenditures Feasibility Report
11 Chapter XVII: Completion of Railway Projects
12 Chapter XVIII: Miscellaneous Works
13 Chapter XIX: Buildings and Rents
III. Principles of Railways Accounts (50% weightage)

Provisions governing the Railways Accounts will be covered. The syllabus will be based
entirely on departmental publications of the Indian Railways.
The syllabus and reading material shall be as below:
No. Syllabus and Reading Material Remarks
10 Indian Railway Code for Accounts Department, Part I
1 Chapter II: Structure of Railway Accounts The following (9) chapters
2 Chapter VI: Suspense Accounts have been omitted:
3 Chapter VIII: Internal Check I: Departmental Regulations
4 Chapter X: Internal Check of Pension Payments III: Compilation of Railway
5 Chapter XI: Bills Accounts
6 Chapter XII: Check of Establishment Charges - IV: Remittance Transactions
General India
7 Chapter XV: Finance Functions V: Remittance Transactions
8 Chapter XVI: Miscellaneous Expenditure Outside India
9 Chapter XVII: Inspection of Executive Offices VII: Annual Accounts and
10 Chapter XVIII: Security Deposits Returns
IX: Provident Fund Accounts
XIII: Check of Pay Rolls
Officers
XIV: Check of Pay Rolls
Staff
XIX: Cash and Pay
Department
11 Indian Railway Code for Accounts Department, Part II
1 Chapter XX: Check of Traffic Earnings - The following (1) chapter
Introductory has been omitted:
2 Chapter XXI: Check of Passenger Traffic Earnings XXV: Check of Out/City
3 Chapter XXII: Check of Other Coaching Traffic Booking
Earnings Agencies/JTBS/YTSK Bills
4 Chapter XXIII: Check of Goods Traffic Earnings
5 Chapter XXIV: Refund of Unclaimed Overcharges
and Check of Refund Lists Overcharge Sheets and
Compensation Claims
6 Chapter XXVI: Check of Terminal Tax on Goods
and Parcels
7 Chapter XXVII: Check of Station Balance Sheets
8 Chapter XXVIII: Accounts Office debits, and their
clearance
9 Chapter XXIX: Carriage Bills and the Accounts
Office Balance Sheet
10 Chapter XXX: Check of Handling Bills
11 Chapter XXXI: Accounts of Worked Lines,
including Private and non-Government Railways
12 Chapter XXXII: The Traffic Book
13 Chapter XXXIII: Inspection of Station Accounts
14 Chapter XXXIV: Check of Traffic relating to
Railway Materials and Stores
12 Indian Railways Financial Code, Volume II
1 Classification of Revenue Expenditure (Appendix-
I)
2 Classification of Capital and Other Works
Expenditures (Appendix-II)
3 Classification of Earnings (Appendix-III)
 Group- I

PC-8: Financial Rules, Basic Principles of Government and Public Works

Accounts, Service Rules and Accounting Standards

(Commercial Audit)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based/Practical oriented

Objective:

principles of Government Accounts, Public Works Accounts and Accounting Standards

applicable to Government, Autonomous Bodies and Companies

Detailed Syllabus:
I. Financial Rules and Principles of Government Accounts in the following Rules:
(20 Marks)
(a) Government Accounting Rules, 1990:
Chapter on General outline of the system of Accounts.
(b) General Financial Rules, 2017
(c) Delegation of Financial Powers Rules, 1978
(d) Central Government (Receipts & Payments) Rules, 1983

II. Introduction to Finance and Appropriation Accounts of Union and State Governments
and their Statements (10 Marks)

III. Provisions of Central Public Works Accounts Code (20 Marks)

(a) Central Public Works Accounts Code with Appendices

(b) Accounts Code Volume-III
-I
-- Chapter 8 Accounts of Public Works
(d) CPWD Works Manual, 2019

IV. Service Rules (20 Marks)

Provisions of the following Rules and Regulations:

1. Fundamental Rules & Supplementary Rules:

Provisions relating to the following:
(a) General Conditions of Service
(b) Pay, Additions to Pay and Pay Fixation
(c) Dismissal, Removal and Suspension
(d) Retirement
(e) Medical Certificate of Fitness on first entry
2. Travelling Allowance Rules
3. CCS (Leave) Rules 1972
4. Central Civil Services (Joining Time) Rules
5. Central Civil Services (Classification, Control and Appeal Rules)
6. Central Civil Services (Conduct) Rules
7. General Provident Fund (Central Services) Rules
8. CCS Pension Rules 1972
9. Defined Contribution Pension Scheme (New Pension Scheme)

V. Accounting Standards: (30 Marks)

(a) The Companies (Accounting Standards) Rules, 2021

(b) Indian Accounting Standards (Ind AS) notified by the Ministry of Corporate Affairs from
time to time, with special reference to the following Standards (as amended from time to
time):

(i) Ind AS 1 Presentation of Financial Statements

(ii) Ind AS 2 Inventories
(iii)Ind AS 7 Statement of Cash flows
(iv) Ind AS 8Accounting Policies, Changes in Accounting Estimates and Errors
(v) Ind AS 10 Events occurring after Reporting Period
(vi) Ind AS 16 Property, Plant and Equipment
(vii)Ind AS 19 Employee Benefits
(viii)
Ind AS 20 Accounting for Government Grants and Disclosure of Government
Assistance
(ix) Ind AS 36 Impairment of Assets
(x) Ind AS 37 Provisions, Contingent Liabilities and Contingent Assets
(xi) Ind AS 115 Revenue from Contracts with customers

(c) Uniform Format of Accounts for Central Autonomous Bodies

Reading material /Suggested:

The latest versions and amendments issued from time to time may be referred to:
1. Government Accounting Rules, 1990
2. General Financial Rules, 2017
3. Delegation of Financial Powers Rules, 1978
4. Central Government (Receipts & Payments) Rules, 1983
5. Central Public Works Accounts Code
6. Accounts Code Volume-III
7. Central Public Works Department Works Manual, 2019.
8. Comptroller & Auditor General Manual of Standing Orders (MSO) (A&E) Volumes-I and
II
9. Fundamental Rules & Supplementary Rules - Part I: General Rules
10. Fundamental Rules & Supplementary Rules- Part II: T.A. Rules
11. Fundamental Rules & Supplementary Rules- Part III: CCS (Leave) Rules 1972
12. Fundamental Rules & Supplementary Rules- Part IV: Dearness allowance, Dearness Relief
and House Rent Allowance
13. Central Civil Services (Joining Time) Rules
14. Central Civil Services (Classification, Control and Appeal Rules)
15. Central Civil Services (Conduct) Rules
16. General Provident Fund (Central Services) Rules
17. CCS Pension Rules 1972
18. Defined Contribution Pension Scheme (New Pension Scheme)
19. Indian Accounting Standards (Ind AS) notified by the Ministry of Corporate Affairs from
time to time
20. The Companies (Accounting Standards) Rules, 2021
21. Uniform Format of Accounts for Central Autonomous Bodies, prescribed by Government
of India
 Group- II

PC 9: Basic Financial Accounting and Analysis of Financial Statements

(Commercial)
Civil Accounts, Civil Audit & Local Audit Branch, Defence Audit, Finance &
Communication Audit, Railway Audit
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based/Practical oriented

Objective:

and apply the same in preparing and analyzing the financial statements

Detailed Syllabus:
I. Financial Accounting: (70 Marks)

1. Financial Accounting: Nature and Scope, Limitations of Financial Accounting, Basic

concepts and Conventions, Generally Accepted Accounting Principles (GAAP)
2. Accounting Process: From recording of transactions to preparation of Financial Statements,
Books of original entry, Journal, Ledger, Preparation of Bank Reconciliation Statement,
Trial Balance and Rectification of Errors
3. Depreciation, Provisions and Reserves
4. Final Accounts of Sole Proprietorship Concerns, Non-Profit Organizations
5. Accounts of Joint Stock Companies Accounting for Share Capital and Borrowings,
preparation of Final Accounts
6. Analysis of Financial Statements: Ratio Analysis, Common-Size Statements, Comparative
Statements, Trend Analysis, Funds Flow Analysis/Statements, Cash Flow
Analysis/Statements

II. Accounting Standards: (30 Marks)

(a) Introduction to Accounting Standards issued by the Institute of Chartered Accountants

of India with special reference to the following Standards (as amended from time to
time):

AS-1: Disclosure of Accounting Policies

AS-2: Valuation of Inventories
AS-3: Cash Flow Statements
AS-4: Contingencies and Events occurring after the Balance Sheet Date
AS-5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting
Policies
 AS-9: Revenue Recognition
AS-10: Property, Plant and Equipment
AS-12: Accounting for Government Grants
AS-15: Employee Benefits
AS-28: Impairment of Assets
AS-29: Provisions, Contingent Liabilities and Contingent Assets

(b) Uniform Format of Accounts for Central Autonomous Bodies

Reading material /Suggested:

Financial Accounting:
1. Introduction to Accounting by T.S. Grewal
2. Principles and Practice of Accountancy by R.L Gupta and V.K. Gupta
3. Financial Accounting by S.N Maheshwari
4. Basic Financial Accounting by Bhushan Kumar Goyal
5. Basic Book-keeping and Accounts by L. Cuthbert Cropper

Accounting Standards:
1. Compendium of Accounting Standards issued by the Institute of Chartered Accountants of
India
2. Uniform Format of Accounts for Central Autonomous Bodies, prescribed by Government
of India
 Group- II

PC 10: Advanced Accounting and Cost & Management Accounting

(Commercial Audit)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based/Practical oriented

Objectives:

(1) Various accounting concepts, conventions and standards and apply them in preparation and
presentation of financial statements and in analysing the inter-relationship between various
elements of financial statements
(2) Cost accounting concepts, elements of cost, costing methods, techniques and their
application for managerial decision-making

Detailed Syllabus:
Section I--Advanced Accounting (60 marks)

1. Basic concepts of Accounting: single and double entry, Accounting concepts and
conventions, Books of Original Entry, Bank Reconciliation, Journal, Ledgers, Trial Balance,
Rectification of Errors, Distinction between Capital and Revenue Expenditure
2. Bills of Exchange
3. Depreciation Accounting
4. Valuation of Inventories
5. Adjusting and closing entries, Manufacturing, Trading, Profit & Loss and Profit & Loss
Appropriation Accounts, Balance Sheet
6. Accounts of Non-profit organisations--Receipts and Payments and Income & Expenditure
Accounts and Balance Sheet
7. Insurance Claims
8. Accounts from Incomplete Records
9. Royalty and Lease Accounts
10. Company Accounts including Consolidated Financial Statements
11. Accounts of Specialized Entities: Public Utilities Enterprises-- Accounting formats
prescribed by Electricity Act (Electricity utilities)
12. Branch and Departmental accounts
13. Concepts of interim reporting, Segment reporting, Corporate Social Responsibility
14. Accounting for Joint Ventures
15. Analysis of Financial Statements: Ratio Analysis, Common-Size Statements, Comparative
Statements, Trend Analysis, Funds Flow Analysis/Statements, Cash Flow Analysis/Statements

Section II Cost & Management Accounting (40 Marks)

1. Cost Accounting Concepts

2. Prime Cost: Materials, Labour and Direct Expenses
3. Overheads--Factory Overheads, Office and Administration Overheads, Selling and
Distribution Overheads
4. Books of Accounts in Cost Accounting
5. Cost Accounting Records Rules
6. Reconciliation of Cost and Financial Accounts
7. Job, Batch and Contract Costing
8. Process Costing, Operation Costing and Operating Costing
9. Production Accounts and Cost Sheets
10. Marginal Costing, Differential Costs and Cost Volume Profit Relationship
11. Standard Costing including Variance Analysis
12. Capital Budgeting and Discounted Cash Flow Techniques

Reading Material/ Suggested

Advanced Accounting and Cost & Management Accounting:
1. Advanced Accountancy by R.L. Gupta.
2. Advanced Accounts by Shukla, Grewal and Gupta
3. Advanced Accounting by S.P. Jain and K.L. Narang
4. Advanced Accounts by Karim
5. Basic Financial Accounting by Bhushan Kumar Goyal
6. Companies Act, 2013.
7. Accounting formats prescribed by Electricity Act
8. Advanced Cost Accounting by Saxena and Vashisht
9. Advanced Cost Accounting by S.P. Jain and K.L. Narang
10. Principles and Practice of Cost Accounting by: N. K. Prasad
11. Cost Accounting Records Rules issued by Government of India
12. Cost Audit Standards issued by the Institute of Cost Accountants of India
 Group- II

PC11- Advanced Government Accounts and Government Accounting

Standards
(Civil Accounts)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objective:

1. To test understanding of Financial Statements / Annual accounts of the States

2. To assess the knowledge of accounting in digital environment
3. To evaluate the understanding of the concept of Natural Resource Accounting and
Asset Account preparation
4. To assess the knowledge of Government accounting standards issued by GASAB and
Cash based International Public Sector Accounting Standards (IPSAS)

Detailed Syllabus:
A. Finance and Appropriation Accounts and introduction to CFRA:

(Weightage 20%)
(i) Time schedule and Instructions for preparation and submission of Accounts
(ii) Form of Appropriation Accounts, Form of Statement showing grant-wise details
of estimates and actuals in respect of recoveries adjusted in accounts in reduction
of expenditure etc.
(iii) Form of the Statements, Appendices, etc. incorporated in Finance Accounts
(iv) General Checks to be exercised while compiling/ preparing Accounts including
checks to be exercised by I.T.A. in scrutiny of Accounts
(v) Submission of Draft Accounts to Accountant General (Audit)
(vi) Certificate of the A.G. (A&E) & Certificate of the A.G. (Audit) including
emphasis of matter
(vii) Instructions to be followed in the printing of Accounts, Forwarding of Bond
copies to the C.A.G etc.
(viii) Mandate and details regarding compilation of CFRA, overview and visual
presentation CFRA dashboard

B. Processes in the compilation of accounts by State Accountants General:

(Weightage -30%)
(i) Duties and powers of the Comptroller and Auditor General in relation to
compilation of accounts as provided in the Constitution of India and as laid down

(ii) Delegation of Powers

 (iii) General Instructions regarding procedure of Accounting
(iv) Debt. Deposit and Remittance Transactions, Review of Balances
(v) Maintenance of Provident Fund, Pension and Gazetted Entitlement
(vi) Introduction to Budget Review and State FRBM targets and its application during
the compilation of Accounts, surrender, re-appropriation orders etc.

C. Accounting in digital environment: (Weightage -20%)

(i) Basic understanding of functioning of treasuries

a. Computerization of treasuries and Introduction to IFMS in the States
including the basic modules included (* different states are in different stages
of IFMS maturity). These include Budget Module, DDO/Treasury Module,
Human Resource Management Module, e-Receipt/Payment Module, AG
Module and any other module specific to state concerned.
(ii) Transactions with RBI including difference in Cash Balances, flow of e-receipts
and reconciliation of Reserve Bank Deposits (RBD) and accounting of various
interest-bearing Reserve Funds
(iii) Treasury inspection in e-environment including checklist to be followed
(iv) Introduction to PFMS and inputs from PFMS for the relevant Statements/
Appendices of Finance Accounts
(v) E-Kuber -Government payments/disbursements of RBI through E-Kuber and
role of Treasury, DDO, Agency Banks and Accountant General including failed
transactions

D. Natural Resource Accounts and Asset Account Preparation: (Weightage -10%)

(i) Sustainable Development Goals related to Natural Resources

(ii) United Nations -The System of Environmental-Economic Accounting 2012
Central Framework (SEEA Central Framework) introduction, Resources to be
accounted, shortlisted minerals in India for accountal
(iii) Introduction to Panchamrit - National
declaration
(iv) Mandate for imposition of taxes on resources and preparation of Asset Accounts
(v) Asset Accounting tables and templates

E. Government Accounting Standards and Cash based IPSAS: (Weightage -20%)

(i) Constitution of Government Accounting Standards Advisory Board (GASAB),

structure of the board and responsibilities
(ii) Indian Government Accounting Standards (IGASs) formulated by GASAB are
for cash system of accounting and become mandatory from the effective date
after their notification by Ministry of Finance, Govt. of India. IGAS 1, 2 and 3
notified by Government of India and their compliance in Finance Accounts of
the states
 (iii) Cash based International Public Sector Accounting Standards (IPSAS) issued
by International Public Sector Accounting Standards Board (IPSASB)-
Introduction
(iv) Introduction to accrual accounting in India limitation of cash-based accounting
and advantages of accrual accounting.

Reading material /Suggested Reading:

1. (Chapters 1,5,10,11,12,13 and 19 of
Vol I and the entire Vol II)
2. Civil Account Manual issued by Ministry of Finance (Chapter 5 and 8)
3. Accounts code for Accountants Generals (All topics except process of compilation,
preparation of MCA and forms of Govt. Accounts)
4. Introduction to Indian Government Accounts and Audit by P. Muthuswamy (General
reading)
5. Government Accounting Principles and Practices by R. Ramanathan (General
reading)
6. Accounting Rules for Treasuries, 1992
7. Government Accounting Rules, 1990 (Chapters 4,5,6 and 7)
8. Finance Accounts of State Governments available on www.cag.gov.in (for formats of
Statements/Appendices)
9. Toolkit of PFMS issued by CGA and IFMS issued by various States
10. Documents and guidelines related to e-Kuber issued by RBI
11. Guidelines on Treasury Inspections in e-Environment (Post IFMS) issued by GA wing
vide No. 1112/GA-143/2020 date 22/10/2020
12. Hitting the targets_population and the SDGs (Goals 6,7,12,13,14 and 15)
13. Paper on United Nations -The System of Environmental-Economic Accounting 2012
Central Framework (SEEA Central Framework) (Chapters 1 to 5)
14. Panchamrit COP26 _National declaration by Prime Minister
15. Concept paper on Natural Resource Accounting in India by GASAB (Chapters 9 and
10)
16. Templates on Asset Accounting on Mineral &Non-renewable energy resources in
States (Chapter 6 and 7)
17. Indian Government Accounting Standards (IGASs) issued by Government Accounting
Standards Advisory Board (GASAB) (IGAS 1, 2 and 3 available on
 Group- II

PC-12: Performance Audit and Compliance Audit

(All branches except Civil Accounts)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objective:

The objective of the paper is to assess the extent to which the candidate has gained
knowledge and acquired skills to conceptualise, design, conduct, and report the performance
and compliance audits

Guidelines, Manuals, and other material

Performance Audit Guidelines of C&AG

Compliance Audit Guidelines of C&AG

its appendices V1 presently)

presently)
International Standards of Supreme Audit Institutions (ISSAI) 300, 400, 3000 and
ISSAI 4000
Audit Quality Management Framework Guidelines issued by C&AG

Budget documents

Detailed Syllabus (Indicative from the above manuals and guidelines)

Performance Audit (Part I): 40-60 Marks

Key principles,
Strategic Planning Process
Topic Selection
Pilot Study,
Audit Objectives, Approaches, Scope, criteria, and methodology and engaging
stakeholders
Audit risks and assurance
Audit Design Matrix, Audit Findings Matrix,
Conducting the Audit, including Evidence gathering and analysis
Determining Cause and Effect
Findings, Conclusion and Recommendations
Reporting and communication style
 Follow-up on audit results
Audit Outputs, Outcomes, and Impact
Output- Outcome Framework and Outcome Budget
Input - Output model and the three Economy, Efficiency, and Effectiveness
Outputs and outcomes for programs/ schemes and their indicators
Segregation of functions and monitoring: To check if the different functions
purchasing, providing, regulating, financing, etc. have been segregated by the
government or not
Data analysis techniques and visualisation:
Regression analysis
Pareto analysis
Identification of critical factors and expenditure commensurate to their
criticality
Causal analysis
Alignment of policies and processes: Evaluate if the ecosystem process, guidelines,
policies, programs is aligned to the targets or not

Pattern/ Suggested type of Questions: Of the total, 25% -40 % (of 40-60 marks) marks can
test theoretical knowledge through MCQ. The examiner can include topical questions.

The remaining portion can be three- five case studies (PA reports) followed by 10-15
related questions per case study to test the applied knowledge and skills. The PA reports may
be chosen from diverse areas social sector (health, education), infrastructure (transport,
power), environment and climate change, financial, industry and corporate affairs. A case
study can be on outcome-based audits. We could try to move towards impact evaluation using
data analysis also. The examinee can also be made to suggest the scope of improvement in a
case study.

Compliance Audit (Part II): 40-60 Marks

ts for conducting a compliance audit

Annual Audit Plan for coverage of Compliance Audit
Planning compliance audits
Identification of core areas, Citizen centric issues, and impact of non-compliance (So what?)
Performing Audit Procedures and gathering and evaluating evidence
Reporting and follow-up compliance audits
Documentation of Compliance Audits
Other topics include Audit Risk, Audit approach, Audit procedures, Quality Control,
drafting audit reports, and constructive and feasible recommendations.

Pattern/ Suggested type of Questions: Of the total, 25% -40 % (of 40-60 marks) marks can
test theoretical knowledge through MCQ. Topical questions, especially those highlighted in
the media, can be included.
 The remaining portion can be two- four case studies (Draft paragraphs) followed by
8-12 related questions per DP to test the applied knowledge and skills of the examinee. The
DPs can be chosen from diverse areas and include issues like fraud detection and corruption.
The examinee can also be made to suggest improvements in the Draft Paragraphs.
 Group- II

PC 13: GOVERNMENT BUDGETING AND FLOW OF RESOURCES

(Civil Accounts)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objectives:

To test the knowledge of government budgeting, budgeting process, budget documents

and their review
To assess the understanding of different sources of revenue for Governments,
allocation, and flow of resources/funds between Union and/or state governments.

Detailed Syllabus
I. Government Budgeting (Weightage 35 percent)
a. Government budget meaning, objectives and components
b. Constitutional provisions related to budgeting and appropriation of funds
c. Process involved in the preparation of Government budget
d. Budget documents presented in Parliament/State Legislature
e. Budget Review* including-
i. Pre-Budget scrutiny, previous year' comments by Accountant General office
on Budget including Responses to the observations/important concerns noticed
during last Budget Review,
ii. Post Budget scrutiny, Correctness of Classification, Scrutiny of
Supplementary Budget.
iii. Review of Outside Budget Pronouncements by State Government
iv. Review of Budget Speech

(*Budget Review of State budget to be done jointly by Accountant General Audit and
Accounts Offices)

II. Fiscal Responsibility and Budget Management. (FRBM) Act, 2003 (Weightage
10 percent)
a. Objective
b. Provisions of FRBM Act
c. Fiscal policy statements under FRBM Act
d. FRBM Act exemptions/escape clause

III. Government Deficit (Weightage 20 percent)

a. Balanced/Surplus/Deficit Budgeting
 b. Measures of Government Deficit i.e., revenue deficit, fiscal deficit, primary deficit
etc. and their implications on fiscal health of governments
c. Deficit management through internal & external debt
d. Off budget borrowing

IV. Flow of Resources/funds (Weightage 35 percent)

a. Sources of revenue for Union and State- Union/State/Concurrent List
b. Financial Relation Between Union and States - Constitutional Provisions
c. Different Grant-in-aids given by the Union Government to State Governments (ex-
Statutory, Discretionary etc.) and/or Panchayati Raj Institutions (ex- tied grants
etc.) and related constitutional provisions
d. Distribution of Tax/ Non-tax Revenues
e. Article 280- Finance commission
f. Key recommendations of the latest Finance commission related to devolution of
funds/distribution of financial resources to states

Reading material /Suggested Reading:

Constitutional provisions related to budgeting and appropriation of funds- (Articles
112- 117, 202-207)
Government Financial Rules 2017 Chapter 3 Budget Formulation and
Implementation, Chapter 9- Grants-in-aid and Loans, Chapter-10 Budgeting and
accounting of Externally Aided Projects and Chapter -11 Government Guarantees.
Budget Documents including Budget at a glance, key budget documents such as Annual
Financial Statements, Demand for grants, Finance bill, Appropriation bill/Act etc.
Government Budget Principles and Practice - Dr. C.N. Sudarsanana, Foreword by
Shri T. N. Chaturvedi
Fiscal Responsibility and Budget Management Act,2003
Constitution provisions related to financial allocation between centre and state (Article
268-281, 282-291)
Latest Finance Commission Report
Study of topics related to flow of resources from Union and State Governments i.e.,
Grants-in-Aid, Compensation of GST, Centrally Sponsored Schemes, Central
Assistance, EAP, from the latest report of Finance Commission. Guidelines/ orders
issued by Union Government on constitution of SNA.
MSO (A&E), Vol. 1, Ch.4
Checklist issued by CAG HQs dated 6 April 2022 regarding Budget Review
 Group- II

PC-14: Financial Audit (All branches except Civil Accounts)

Duration: 2 hours Maximum Marks: 100

Questions would primarily be Case Study based

Objective:

To evaluate the concept, understanding, skills, procedures and methodology for

auditing Financial Statements of the Union and state Government, their autonomous bodies
and for certification of externally aided projects

To test the knowledge of Government Budgeting and understanding of different sources

of revenue for Government, allocation and flow of resources/funds between union and/or state
Governments

Detailed Syllabus

I. General understanding of Financial Audit: 40 Marks

a. Accounting process and classification of Accounts
b. Materiality and Audit Objectives
c. Sensitivity and confidence limit
d. Audit risk and assurance and tests of control
e. Analytical review procedures and substantive tests
f. Forming an audit opinion
g. Format of Financial Statements

I. Financial Audit of Union and State Government: 40 Marks

a) Various stages and details in audit of Appropriation and Finance Accounts
b) Orders about treatment of comments on Excess/Savings in the grants
c) Scrutiny of SCTs in Finance Accounts
d) Analysis of statements in Finance Accounts
e) Important recurring issues in the audit of Accounts
f) Government budget meaning, objectives and components
g) Constitutional provisions related to budgeting and appropriation of funds
h) Process involved in the preparation of Government budget
i) Budget documents presented in Parliament/State Legislature
j) Sources of revenue for Union and State- Union/State/Concurrent List
k) Financial Relation Between Union and States - Constitutional Provisions
l) Different Grant-in-aids given by the Union Government to State Governments (ex-
Statutory, Discretionary etc.) and/or Panchayati Raj Institutions (ex- tied grants etc.)
and related constitutional provisions
 m) Distribution of Tax/ Non-tax Revenues
n) Article 280- Finance commission
o) Key recommendations of the latest Finance Commission related to devolution of
funds/distribution of financial resources to states
p) Provisions of FRBM Act and Rules

II. Audit of Financial Statements of Autonomous Bodies: 10 Marks

a. Format of Accounts
b. Relevant provisions of DPC Act
c. Planning, Execution and Reporting of Audit
d. Relevant provisions of General Financial Rules

III. Certification of Externally Aided Projects: 10 Marks

a. Objectives of Externally Aided Projects
b. Format of Accounts
c. Audit procedure and time schedule for certification
d. General terms and conditions of the agreement for the implementation of projects

Suggested reading material/ references:

i. CAG (Duties, Powers and Conditions of Service) Act 1971
ii. General Financial Rules, 2017
iii. Central Government Accounts (Receipt and Payment Rules) 1983.
iv. Delegation of Financial Powers Rules
v. Government Accounting Rules, 1990
vi. Civil Accounts Manual
vii. Financial Attest Audit Manual
viii. Regulations on Audit and Accounts issued by C&AG
ix. Manual for Audit of Autonomous Bodies issued by C&AG
x. Guidelines issued by C&AG on Audit of Externally Aided Projects
xi. Manual of Standing Orders (MSO) Audit
xii. Practice Note for Audit of Union government Finance Accounts & Appropriation
Accounts (Civil) issued by O/o. DGA(F&C)
xiii. List of Major and Minor Heads (LMMH)
xiv. Constitutional provisions related to budgeting and appropriation of funds- (Articles
112- 117, 202-207)
xv. Budget Documents including Budget at a glance, key budget documents such as
Annual Financial Statements, Demand for grants, Finance bill, Appropriation
bill/Act etc.
xvi. Government Budget Principles and Practice - Dr. C.N. Sudarsanana, Foreword by
Shri T. N. Chaturvedi
xvii. Fiscal Responsibility and Budget Management Act,2003 and Rules amended from
time to time
xviii. Constitution provisions related to financial allocation between centre and state
(Article 268-281, 282-291)
xix. Latest Finance Commission Report
xx. Study of topics related to flow of resources from Union and State Governments
i.e., Grants-in-Aid, Compensation of GST, Centrally Sponsored Schemes, Central
Assistance, EAP, from the latest report of Finance Commission. Guidelines/ orders
issued by Union Government on constitution of SNA.
xxi. MSO (A&E), Vol. 1, Ch.4
xxii. Checklist issued by CAG HQs dated 6 April 2022 regarding Budget Review
 Group- II

PC-15: Entitlement Functions and Treasury Inspection

(Civil Accounts)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objective:

various function of Treasury, their nature and purpose

1.

2.
3.
4.

1.

2.

3.

4.
5.
6. Pension disbursement function of the Treasury
7.
8.
1.
2.
3.
4.
5.
6.
7.
8.
9.
 Group- II

PC 16 Revenue Audit; Audit of Local Bodies; Public Works Audit

(Civil Audit & Local Audit Branch)
Duration: 2 Hours Maximum Marks: 100
Questions would primarily be Case Study based

Objectives:

This being an omnibus Paper of three areas of audit each of which is extensive in itself,
the attempt here will be
these streams, as well as a few core areas pertaining to each.
To that end, the specific objectives of this Paper will be as under:

1. Revenue Audit (35 marks out of 100):

Testing the understanding of basic concepts of Income Tax and GST,

2. Local Bodies Audit (35 marks out of 100):

Testing the understanding of the general concepts of Local Bodies Audit, and the
legal framework supporting it,

3. Public Works Audit (30 marks out of 100):

Testing the understanding of concepts of Contracts Audit, audit of Stores and
Stock and aspects of Project Management.

1. Revenue Audit Syllabus:

I. Income Tax

(i) Assessment year, Previous year, Person, Assessee, Charge of income-tax, Income,
Gross Total Income, Total income and tax liability, Agricultural Income,
Difference between exemption and deduction, Definition of Manufacture, Capital
Asset, Company, Fair market value, Capital receipts vs Revenue receipts, Capital
expenditure vs Revenue Expenditure, Method of accounting, Residential status of
Individual & Company, Relation between residential status and incidence of tax,
Receipt & Accrual of income, Income deemed to accrue or arise in India;

(ii) Income Computation and Disclosure Standards (ICDS):

ICDS I Accounting Policies
ICDS II Valuation of Inventories
ICDS III Construction contracts
ICDS IV Revenue Recognition
ICDS V Tangible Fixed Assets
 ICDS VI Effects of Changes in Foreign Exchange Rates
ICDS VII Government Grants
ICDS VIII Securities
ICDS IX Borrowing Costs
ICDS X Provisions, Contingent Liabilities and Contingent Assets

(iii)Profits and gains of business or profession Principles and

Computation: Chargeability, General principles governing assessment of business
income, Method of accounting, Scheme of deductions and allowances,
Depreciation;

(iv) Capital gains - Principles and Computation: Meaning of capital asset, Transfer of
capital asset, Computation of capital gain, Full value of consideration, Expenditure
on transfer, Cost of acquisition, Cost of improvement, indexed cost of acquisition
and indexed cost of improvement, Problems on computation of Long Term Capital
Gains (LTCG) Tax

II. GST:

a. Constitutional Aspects, GST Council, Administration of GST,

Assessment and Audit, Dual GST Model, GST (Compensation
to States) Act, 2017 GST Network,

b. Levy and collection of CGST & IGST Application of

CGST/IGST law, concept of supply including composite and
mixed supplies, inter-State supply, intra-State supply, supplies
in territorial waters, charge of tax, exemption from tax,
composition levy, Distribution of IGST,

c. Place of supply, time and value of supply,

d. Input Tax Credit, Computation of GST Liability, Procedures of

GST registration, tax invoice, credit and debit notes,
electronic way bill, accounts and records, returns, payment of
tax including reverse charge, refund, job work, Provisions
relating to e-commerce, GST Forms (GST REG-01, GSTR 1,
GSTR 4, GSTR 10, GST PMT 01, GST-RFD-01, GST ITC-01).

The following books/reference material are prescribed:

(i) Acts),
(ii) Finance Act of the Year (may be read as Finance Act of the Previous year),
(iii) Income Tax Act, 1961
(iv) Income Tax Rules, 1962
 (v) Income Computation and Disclosure Standards issued by the Ministry of
Finance
(vi)
(vii) Centax GST Law Times (Latest issues)
(viii) Handbook of GST in India: Concept and Procedures by Rakesh Garg

2. Local Bodies Audit Syllabus:

Provisions of auditing Standards, Guidelines and Manuals, etc. related to Local

Bodies Audit:
(i) 73rd and 74th Amendments to the Constitution and details thereof,
(ii) Latest recommendations of Central Finance Commission so far as these
relate to Local Bodies only,
(iii) Auditing Standards for Panchayati Raj Institutions and Urban Local Bodies
issued by the C&AG of India,
(iv) Manual of Instruction for Audit of PRIs issued by the C&AG of India in
December 2002.

The books/reference material prescribed will be the same as above.

3. Public Works Audit Syllabus:

Basics of Contract Management including General Conditions of Contract,

Audit of Contracts,
Audit of Stores and Stock,
Aspects of Project Management (Environment Impact Analysis, Detailed
Project Report, Land acquisition, coordination with other organisations)

The following books/reference material are prescribed:

Comptroller & Auditor Generals Manual of Standing Orders (Audit),

Section 2, Chapter 4
Section 3, Chapter 7
Regulation on Audit & Accounts, 2007, as relevant
Relevant Chapters of GFR 2017
Project Management: Pradeep Pai (Pearson)
 Group- II

Revised PC-17: Defence Audit

Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based

Objectives:

a. To test understanding of the Defence organization

b. To test understanding of rules & procedures relating to functioning of the defence
services & their internal controls
c. To test understanding of audit process of defence services

Detailed Syllabus:
I. Understanding of Defence Organization
II. Rules & procedures relating to functioning of the Defence Services and their internal
controls
III. Audit process of Defence Services

Section I: Understanding of Defence Organization (10 percent)

1. Organization of Ministry of Defence
2. Inter Service Organizations of Ministry of Defence
3. Organization of Indian Army
4. Organization of Indian Navy
5. Organization of Indian Air Force
6. Organization of BRO
7. Organization of DRDO
8. Organization of Ordnance Factories (now reorganized as DPSUs)
9. Organization of Defence Accounts Department

Reading material / Suggested Reading:

(i) Manual of Audit Department Defence Services Vol. 1.-Part C (9th Edition - 2005) -
Chapter 25, Section-1 of Chapter 42 (Para 829-835), Chapter 44 (Para 867 to 877)
(ii) Chapter 5,6,22 & 23 of Manual of The IA &AD, Defence Audit Wing, Air Force
and Navy, Vol-II, Second Edition (2010).
(iii) Defence Accounts Department O.M. PT. I- Chapter I (2014 Edition)
(iv) Annual Report 2018-19 -The annual report of Ministry of Defence may be referred
Where in the Ministry mentions briefly the functions of the Inter-Service
Organisations. (The candidates can refer to the latest Annual Reports on the website)
(v) For MoD, Army, Navy and Air Force:
www.mod.gov.in
 https://indianarmy.nic.in
https://indiannavy.nic.in
https://indianairforce.nic.in

(vi) https:// www.drdo.gov.in

(vii) https://ddpdoo.gov.in/
(viii) https://www.ddpmod.gov.in/

Section II: Rules & procedures relating to functioning of the Defence Services & their
internal controls (60 percent)
Provisions relating to the following:
1. Defence Service regulations of the Army, Air Force and the Navy
2. Provisions relating to management of cantonments and administration of their
land
3. Regulations guiding the MES and provisions governing contracts in MES
4. Provisions relating to works and operational works in defence services
5. Provisions relating to capital and revenue procurements in defence services
6. Provisions relating to management of ordnance factories
7. IFA system in Army, Air Force and the Navy
8. Processes and Procedures in DRDO
9. Processes and Procedures in BRO

Reading material /Suggested Reading:

(i) Defence Service Regulations: Regulations for the Army Part I & II (Rev. Edn.
1987)
(ii) Defence Service Regulations: Regulations for the Air Force (Reprinted Edn. 2000)
(iii) Regulations for Navy Part II: Discipline and Miscellaneous Provisions Regulations
(iv) 1965.
(v) Regulations for Navy Part III: Naval Ceremonial, Conditions of Service and
Miscellaneous Regulations, 1963.
(vi) Defence Procurement Manual 2009
(vii) Defence Acquisition Procedure 2020
(viii) Regulations for MES 1968 Edn. (Reprint 1982)
(ix) Defence Works Procedure 2020
(x) MES Manual on Contracts 2020
(xi) IFA (Army) Manual 2007
(xii) IFA (Navy) Manual 2008
(xiii) IFA (Air Force) Manual 2008
(xiv) Cantonment Land Administration Rules, 2021
(xv) The Cantonments Act, 2006
(xvi) Internal Audit Manual (Chief Internal Auditor (OFs) Kolkata Issued under the
Authority of Controller General of Defence Accounts Delhi (in 2014)
(xvii) Border Roads Procurement Procedure.
 (xviii) Directives for Project Formulation and Management in DRDO ( DPFM-2021)
(xix) Guidelines on Transfer of Technology
(xx) Procedures on Technology Development Fund
(xxi) DRDO Store Management Guidelines
(xxii) DRDO Procurement Manual 2020
(xxiii) R &D Construction Establishment Works Procedure.

Section III: Audit process of Defence Services (30 percent)

Provisions relating to the following:

1. Organisation and procedures relating to audit of defence services by IA&AD

2. Organisation of various sections of PCDA/CDA and general instructions relating
to Central Test Audit
3. Audit process to be applied during local test audit of various defence services and
establishments.
4. Provisions relating to internal audit in defence services

Reading material /Suggested Reading:

(i) Manual of the Audit Department Defence Services Vol-I Part- A, B & C (9th Edition
2005)
(ii) Manual of the IA&AD, Defence Audit Wing, Air Force And Navy, Vol-II
Second Edition (2010)
(iii) Manual of the Audit Department Defence Services Vol-III (Ordnance & Ordnance
Equipment Factories) Fifth Edn. (2001)
(iv) Defence Audit Code (2014 Edn.)
 Group- II

PC-18: Finance and Communication Audit

Duration: 2 Hours Maximum Marks: 100
Questions would primarily be Case Study based

Objective:

To test knowledge and understanding of (a) systems and procedures followed by the
Auditee units under the jurisdiction of O/o DGA(F&C), Delhi and (b) audit procedures to
examine revenue recognition and expenditure during compliance and performance audit

Detailed Syllabus:
I. Organisational Setup and functions of Auditee Units 25 Marks

a. Organization and Functions of F&C Audit wing under the C&AG of India
b. Organizations and Functions of Auditee Units under jurisdiction
c. General Financial Rules
d. Service Rules of respective Ministry / Department / PSU/AB
e. Delegations of financial powers of respective Ministry / Department / PSU/AB
f. Application of Rules/Acts/Provisions of Audit at all stages

II. Understanding the rules & procedures relating to functioning of Auditee Units
and their internal controls 25 Marks

a. Determine Auditable entities, audit units and implementing units

b. Preparation of plan for compliance audits, materiality, risk assessment, selection of
Units and reporting
c. Revenue recognition as well as Expenditure as per the codal provisions
d. Auditing standards issued by C&AG
e. Provisions of Manuals / Acts /Guidelines of Audit issued by C&AG from time to time

III. Understanding of Finance and accounts Provisions 25 Marks

a. Provisions of Government Accounting Rules, 1990

b. Requirement and receipt of funds including Budget formulation of respective units
c. General system of Financial Management and implementation
d. Accounting Standards issued by Institute of Charted Accountants of India and IND AS
notified by the Ministry of Corporate Affairs
e. Accounting policy, Accounting Instructions, Formats of Accounting Records issued by
the Ministries / Departments concerned, from time to time
IV. Understanding the Audit analysis and reporting 25 Marks

a. Provisions of Compliance Audit Guidelines of C&AG

b. Provisions of Performance Audit Guidelines of C&AG
c. providing analytical insights
d. providing an independent and authoritative view or conclusion based on audit evidence
e. Case study of relevant topics
f. providing recommendations based on an analysis of audit findings

Suggested reading material/references:

1.
2. Compliance Audit Guidelines issued by C&AG of India
3. Auditing Standards issued by C&AG of India
4. Performance Auditing Guidelines issued by C&AG of India
5. Internal Control Evaluation Manual of C&AG of India
6. Financial Attest Audit Manual of C&AG of India
7. General Financial Rules 2017
8. P&T Audit Manual (Concurrent Audit)
9. Post Office Savings Bank Manual Vol. I
10. Post Office Savings Bank Manual Vol. II
11. Core Banking Solution (CBS) Manual
12. Civil Accounts Manual
13. P&T FHB Vol. I(Chapter-VII)
14. P&T Manual Vol II (Chapter-XII-Budget Estimate and Control)
15. P&T FHB Vol. III
16. P&T Manual Vol X
17. Telecom Accounts and Finance Manual
18. TRAI Act, 1997
19. GST Rules issued from time to time
20. Arbitration & Conciliation Act 1996
21. Relevant Rules of Companies Act 2013
22. Regulations / Policies / Orders / Instructions /Guidelines issued by Ministries /
Departments under Audit jurisdiction from time to time
23. Standing Order on Role of Audit in Relation to cases of Fraud & Corruption issued by
C&AG of India.
24. ed on procurement made by Government
Organizations
25. List of Major and Minor Heads of Accounts of Union and States (LMMHA)
26. Compliance Audit guidelines issued by C&AG
27. Performance Audit Guidelines issued by C&AG
 Group- II

PC 19: Railway Audit

Duration: 2 hour Maximum Marks: 100
Questions would primarily be Case Study based

Sl. No. Section and Nomenclature of topic Percentage of allocation of

score
1. Section I Railway Traffic Revenue 60
2. Section II - Railway Workshops and Stores Audit 40
Total Score 100

Objectives of this paper are:

1) To test knowledge and understanding of the audit procedures involved in examining
revenue recognition and accountal of Railway Traffic Revenue.
2) To assess the knowledge and understanding of the rules and procedures governing the
functioning of various activities in Railway workshops and production units.
3) To assess the knowledge and understanding of the candidate relating to procedures and
concepts applicabl
functions of tendering, purchasing, stocking and accounting of Stores items for railway
use and disposal of scrap items.
4) rnal control,
accounting and finance functions performed by the Accounts Department in Railways
vis-à-vis Revenue receipts, Railway workshops and Railway Stores functions.
5) To evaluate the understanding of audit processes applicable to the audit of Railway
operations in the fields of traffic revenue, workshops, production units and procurement
and disposal of stores.

Section I: Railway Traffic Revenue (60 percent)

1. Provision of following Acts/Rules/Codes/Manuals/Handbooks/orders:

A. Indian Railway Code for Traffic Department (Commercial) :

1. Organisation and functions of the Commercial Department

(Chapter I)
2. Rates and fares (Chapter II)
3. Claims for compensation and for refund of overcharges (Chapter III)
4. Claims for compensation other than those relating to loss etc. of goods and powers
of GeneralManager's for making ex-gratia payment to persons involved in accidents to
trains (Chapter IV)
5. Railway User's Consultative Council and Committees (Chapter V)
6. Amenities for Railway Users' (Chapter VI)
7. Catering and Vending Services (Chapter VII)
8. Inter modal transport (Chapter VIII)
10. Ticketless Travel its check and prevention
(Chapter IX)10.Station outstanding (Chapter X)
11. Wharfage and demurrage (Chapter XI)
12. Mode of payment of railway Freight and other Railway dues (Chapter XII)
13. Registration of indents allotment and supply of wagons (Chapter XIV)
14. Postal Traffic (Chapter XVI)
15. City booking offices and out agencies (Chapter XVII)
16. Sidings (Chapter XVIII)
17. Miscellaneous (Chapter XIX)

B. Indian Railway Commercial Manual Vol I:

1. Introductory (Chapter I)
2. Passenger Tickets (Chapter II)
3. Admission to Platforms and Carriage of Passengers (Chapter III)
4. Warrants, Concession Orders, High Official Requisitions and Free Passes, etc. (Chapter IV)
5. Check and Collection of Passenger Tickets(Chapter V)
6. Reservation of berths, seats and compartments and booking of Special Trains(Chapter VI)
7. Initial Accounts and returns for Passenger Traffic(Chapter VII)
8. Booking and delivery of passengers' luggage(Chapter VIII)
9. Booking, Conveyance and Delivery of Parcels Traffic(Chapter IX) 10.Booking of Animals
and Birds(Chapter X)
11. Booking of Certain Valuable Articles(Chapter XI)
12. Miscellaneous Traffic(Chapter XII)
13. Initial Coaching Books and Returns(Chapter XIII)

C. Indian Railway Commercial Manual Vol II:

1. Booking of Goods Traffic (Chapter XIV)

2. Loading of Goods (Chapter XV)
3. Unloading and re-weighment of Inward Goods (Chapter XVII)
4. Delivery, Rebooting and Diversion of Goods (Chapter XVIII)
5. Railway Materials and Stores (Chapter XIX)
6. Initial Books and Returns in connection with Goods Traffic (Chapter XX)
7. Claims for Compensation and for Refunds of Overcharges (Chapter XXI)
8. Loss of Property and Unclaimed (Chapter XXII)
9. Handling of Goods, Parcels, etc. (Chapter XXIII)
10. Traffic Receipts and Remittances (Chapter XXIV)
11. Sidings (Chapter XXV)
12. Out-Agencies, City Booking Offices and other Ancillary services (Chapter XXVI)
13. Station Outstanding (Chapter XXVII)
14. Catering and Vending Services, Contractual Gesturing and Vending, Departmental
Catering andVending (Chapter XXVIII)
15. Commercial and Accounts Inspections (Chapter XXIX)
16. Miscellaneous (Chapter XXX)
17. Responsibilities of Railway administration as carriers of goods (Chapter XXXI)

D. IRCA Tariffs Coaching, Goods, Military, Red Tariff - all Parts and Volumes

E. IRCA Conference Rules

F. Handbook on Traffic Costing

G. Instructions issued by Railway Board in 1994 for standard method to calculate profitability
of a Passenger Train.

H. Indian Railway Act, 1989

I. Railway Audit Manual Sixth Edition (June 2022) :

i) Chapter 8 Audit of Commercial Department.
ii) Chapter 3 9.5 Audit of Traffic Accounts.

Note: In case of tariffs, the publications in force in the previous financial year will be the
reference books in respect of

Reading material /Suggested Reading:

1. Indian Railway Code for Traffic Department (Commercial)

2. Indian Railway Commercial Manual Vol. I and II

3. IRCA Tariffs Coaching, Goods, Military, Red Tariff all parts and volumes

4. IRCA Conference Rules

5. Handbook on Traffic Costing Railway publication

6. Instructions issued by Railway Board in 1994 for standard method to calculate profitability
of a Passenger Train.

7. Indian Railways Act, 1989

8. Railway Audit Manual - Sixth Edition June 2022

Section II - Railway Workshops and Stores Audit (40 percent)

Provisions of following Manuals/Codes/Standards/Guidelines:

1. C&AG MSO (Audit), 2002 - Section III - Chapters 19, 20, 21, 22.
2. Indian Railway Code for Mechanical Department - All Chapters (except Chapter X and XI
onFoundry Accounts Saw Mill Accounts).
3. Indian Railway Code for Stores Department (Vol. I and Vol. II) All Chapters
 1. Classification of Revenue Expenditure (Appendix-I)
2. Classification of Capital and Other Works Expenditure (Appendix-II)
4. Railway Audit Manual Sixth Edition June 2022
a) Chapter 14 Audit of Stores Dept.
b) Chapter - 12 Audit of Mechanical Dept.
c) Chapter -13 Audit of Production Units.
d) Chapter 3 9.3 Stores Accounts
e) Chapter 3 - 9.4 Workshop Accounts

Reading material /Suggested Reading:

1. C&AG MSO (Audit), 2002
2. Indian Railway Code for Mechanical Department
3. Indian Railway Code for Stores Department, Vols. I& II
4. Railway Audit Manual- Sixth Edition June 2022
 Group- II
PC-20 Commercial Audit, Commercial Laws and Corporate Tax Laws
(Commercial Audit)
Duration: 2 hours Maximum Marks: 100
Questions would primarily be Case Study based/Practical oriented

Objective:

Tax Laws and their ability to analyze, interpret and apply the provisions of the legislation to
practical situations

Detailed Syllabus:
I. Commercial Audit: (60 Marks)

1. Nature and Principles of Auditing, Basic Concepts of Materiality, Risk, Planning,

Sampling, Substantive Testing and Analytical Procedures
2. Internal Controls: Nature and Evaluation
3. Audit of Cash Transactions: Receipts and Payments
4. Verification of Assets
5. Internal Audit, Statutory Audit and Government Audit
6. Audit of Financial Statements of Companies
7. Audit of Public Sector Undertakings (Section II, Chapter V of MSO (Audit))
8. Appointment of Statutory and Internal Auditors, their Rights, Duties, Powers
Remuneration, Joint Auditors, Branch Auditors
9.
of the Companies Act 2013
10. Directions issued under Section 143(5) of the Companies Act, 2013
11. Corporate Governance: Provisions of Companies Act 2013 and SEBI (Listing
Obligations and Disclosure Requirements) Regulations, 2015 as amended from time to
time
12. Audit Committee: Constitution, Powers and Duties.
13. Provisions of Companies (Cost Records and Audit) Rules, 2014 as amended from time
to time
14. Special features of Audit of:
a. Finance Companies
b. Electricity Companies
c. Transport Companies
d. Insurance Companies
e. Social Sector/Welfare Companies-Section 8 of Companies Act, 2013
15. Audit of Autonomous and Statutory Bodies
16. Role of Audit in Relation to Cases of Fraud and Corruption
 17. Audit of Public Private Partnership projects with special emphasis on Concessionaire
agreements and sharing of revenue
18. Role of Parliamentary Committees with special reference to Committee on Public
Undertakings
19. Auditing Standards issued by the C&AG of India (as amended from time to time):
Chapter 1: Basic Postulates
Chapter 2: General Standards
Chapter 3: Specific Standards
20. Standards on Auditing issued by ICAI (as amended from time to time) with special
reference to the following Standards:

(i) SA 200: Overall Objectives of the Independent Auditor and the Conduct of an Audit
in Accordance with Standards on Auditing
(ii) SA 220: Quality Control for an Audit of Financial Statements
(iii) SA 230: Audit Documentation
(iv)
Statements
(v) SA 300: Planning an Audit of Financial Statements
(vi) SA 315: Identifying and Assessing the Risks of Material Misstatement Through
Understanding the Entity and its Environment
(vii) SA 320: Materiality in Planning and Performing an Audit
(viii) SA 450: Evaluation of Misstatements Identified During the Audit
(ix) SA 500: Audit Evidence
(x) SA 520: Analytical Procedures
(xi) SA 530: Audit Sampling
(xii) SA 570 (Revised): Going Concern
(xiii) SA 700 (Revised): Forming an Opinion and Reporting on Financial Statements
(xiv) SA 701: Comm
(xv)
(xvi) SA 706 (Revised): Emphasis of Matter Paragraphs and Other Matter Paragraphs in
the Independent

II Commercial Laws & Corporate Tax Laws:

IIA Commercial Laws: (25 Marks)

Provisions of following Acts:

1. Companies Act, 2013 - Chapter 1 to 4 and chapter 8 to 10 and 12--Rules issued by Ministry
of Corporate Affairs relating to these Chapters.
2. The Indian Contract Act, 1872
3. The Indian Sale of Goods Act, 1930
4. Negotiable Instruments Act, 1881
5. Electricity Act, 2003
6. Road Transport Corporations Act, 1950
7. Securities and Exchange Board of India Act, 1992 and Listing Agreement
8. Foreign Exchange Management Act, 1999 (FEMA)
9. Payment of Bonus Act, 1965
10. Employees Provident Funds Act, 1952

IIB Corporate Tax Laws: (15 Marks)

1. Corporate Tax- Provision of Income Tax Act relating to Income Tax on Companies
including Income Computation and Disclosure Requirements under Income Tax Act
1961
2. Central Goods and Services Tax Act, 2017

Reading material /Suggested:

Commercial Audit:

1. Contemporary Auditing by Kamal Gupta

2. Auditing and Corporate Governance by A. Kumar, C. Gupta and RJ Arora
3. Audit of Financial Statements by CA Pranav Jain
4. Practical Auditing by BN Tandon
5. Companies Act, 2013

Act 2013
7. SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended
from time to time
8. Manual of Standing orders (Audit) issued by C&AG of India
9. Internal Controls Evaluation Manual of C&AG of India.
10. Financial Attest Audit Manual of C&AG of India.
11. Standing Order on Role of Audit in Relation to Cases of Fraud and Corruption
Issued by C&AG of India
12. Guidelines issued by C&AG of India on Auditing Public Private Partnership in
Infrastructure Projects
13. Standards on Auditing issued by ICAI
14. Standards on Auditing issued by the C&AG of India
15. Uniform Format of Accounts for Central Autonomous Bodies, prescribed by Government
of India

Commercial Laws:

The following Acts (as amended from time to time)

1. Companies Act, 2013 - Chapter 1 to 4 and chapter 8 to 10 and 12--Rules issued by Ministry
of Corporate Affairs relating to these Chapters
2. The Indian Contract Act, 1872
3. The Indian Sale of Goods Act, 1930
4. Negotiable Instruments Act, 1881
5. Electricity Act, 2003
6. Road Transport Corporations Act, 1950
7. Securities and Exchange Board of India Act, 1992 and Listing Agreement
8. Foreign Exchange Management Act, 1999 (FEMA)
9. Payment of Bonus Act, 1965
10. Employees Provident Funds Act, 1952

Corporate Tax Laws:

1. Direct Taxes Law and Practice, by Vinod K. Singhania

2. Income Tax Act, 1961
3. Goods and Services Tax (GST) Book by CA Vijender Aggarwal
4. Central Goods and Services Tax Act, 2017