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Syllabus

Financial Statements (With Adjustments) — Syllabus

NIOS · Class 10 · Accountancy

What Financial Statements (With Adjustments) covers in NIOS Class 10 Accountancy: 4 topics, for the 2026-27 session.

57 questions28 flashcards4 formulas & key relations5 concepts

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4 Topics · NIOS Class 10 Accountancy · 2026-27

Topics in Financial Statements (With Adjustments)

1

1. Meaning and Need for Accounting Adjustments

  • Accounting adjustments are made before preparing final accounts.
  • Financial statements prepared without accounting adjustments will not show correct net profit or loss or correct financial position.
  • Adjustments are needed to record expenses that have become due but not paid, expenses paid in advance for future years, and depreciation.
2

2. Closing Stock

  • Closing stock is the stock of goods which remains unsold at the end of the accounting year.
  • It is normally not shown inside the Trial Balance; it appears outside the Trial Balance as additional information.
  • Closing stock appears on the credit side of Trading Account.
3

3. Outstanding Expenses

  • An expense which relates to the current year but has not been paid till the end of the accounting year is known as outstanding expenses.
  • Examples include factory rent, wages, salaries, office rent, and telephone charges.
  • Outstanding wages are a direct expense and are added in the Trading Account.
4

4. Prepaid Expenses

  • Some expenses in the Trial Balance may relate to future year(s).
  • Such part of expenses is known as prepaid expenses or expense paid in advance.
  • Examples include factory rent, wages, office rent, insurance premium, and taxes.

Key Concepts

Central concept: Accounting adjustments used to prepare correct Trading Account, Profit and Loss Account, and Balance Sheet

Financial statementsAccounting adjustmentsClosing StockOutstanding ExpensesPrepaid ExpensesDepreciation on Fixed AssetsAdjustment treatment in accountsIllustration 1: M/s Kaushal Traders

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Frequently Asked Questions

What are the important topics in Financial Statements (With Adjustments) for NIOS Class 10 Accountancy?
Key topics in Financial Statements (With Adjustments) include Meaning and Need for Accounting Adjustments, Closing Stock, Outstanding Expenses, Prepaid Expenses. Study these first, then practise questions on each for the NIOS Class 10 board exam.
How should I revise Financial Statements (With Adjustments) for the NIOS Class 10 board exam?
Learn the core ideas first, then work through the 57 practice questions on Financial Statements (With Adjustments). Revise definitions regularly and use flashcards for quick recall before the exam.

Sources & Official References

Content is aligned to the official syllabus. Refer to the board website for the latest curriculum.

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