What Topics Are Covered in the CA Foundation Test Series?
Becoming a Chartered Accountant (CA) is no easy task, and the CA Foundation exam is the first major step in that direction. It assesses your knowledge across a variety of topics that are important for your future career as a CA. One of the most effective ways to prepare for this exam is to enroll in the CA Foundation Test Series.
These test series simulate the real exam experience, allowing you to identify your strengths and areas for improvement. But you might be wondering what you'll be tested on. Let us break it down.
1. Principles and Practice of Accounting (Paper 1)
The Paper 1 for the CA-Foundation 2025 is the Principles and Practice of Accounting. It is a 100-mark paper to be answered in three hours. It is the basic concepts of accounting, already dealt with in the 11th and 12th.
The subject is the crux of the syllabus. Principles and Practice of Accounting are the fundamentals and give the basic guidelines needed for accounting practice in India and worldwide.
ICAI with Paper 1: Principles and Practice of Accounting aims to develop a better understanding in students by way of conceptualization of principles and accounting practice. The student must know how to apply the concepts in solving problems, calculations, accounting ratios, and drafting financial statements.
The title suggests that a chartered accountant is a professional who is an accountant. It implies the requirement of accounting knowledge in the CA-Foundation course.
The objective of ICAI in including this subject of the CA-Foundation Exam is to make sure that the foundations of accounting are solid in the aspirants. The study makes further studies in the subject easy.
The main topic in CA Foundation is the concept and accounting of depreciation. Study it thoroughly with sufficient practice. Also, learn the final accounts of a sole proprietorship and get an introduction to company accounts.
2. Business Laws and Business Correspondence and Reporting (Paper 2)
The Business Correspondence and Reporting Paper is one paper of 100 marks of three hours duration. The business and reporting paper should be answered only in English, irrespective of the chosen language. Business and business correspondence go hand in hand. You need to have a command over the language to give a proper interpretation of the law.
The CA-Foundation exam, paper 2, Business Laws and Business Correspondence and Reporting, has the marks weighted as follows :
Section A: Paper 2-Business Laws (60 marks)
Section B: Paper 2-Business Correspondence and Reporting (40 marks)
Both business laws and business correspondence and reporting are included for the CA-Foundation Exam to help the students develop their knowledge and attract clients by communicating with them.
3. Business Mathematics and Logical Reasoning (Paper 3)
In the CA-Foundation Syllabus, Paper 3—Business Mathematics, Logical Reasoning, and Statistics—is not easy to score.
The prime cause of fear is the mindset of the student. Students have heard that it is difficult to pass and approach the subject with this fear in their minds. It is the same mathematics basics that they learned in Plus 1 & 2 and passed the exams.
Secondly, students who have changed streams and registered for the CA-Foundation course have not learned the fundamentals, and they are very confused about the subject.
That is the primary cause for failure in the subject. The students who did not do business mathematics in Plus 1 & 2 will find it hard to understand and clear this subject without first learning the basics.
The students need to understand the methods of solving the problems. Unlike theory subjects, business and logical reasoning cannot be read and understood but must be worked out.
Nevertheless, a student should know that in Paper 3—Business Mathematics and Logical Reasoning and Statistics are scoring subjects. With proper preparation, you should not only be able to pass the exam but should be able to do exceptionally well in it.
Paper 3 is divided into three parts. They are as follows:
Part A: Business Mathematics
Part B: Logical Reasoning
Part C: Statistics.
The subjects Business Mathematics and Statistics have a weightage of 40 marks, and Logical Reasoning is out of 20.
The paper is objective type with 100 MCQs; use the right strategy. Make sure that you are sure of the answer. Marks (a quarter) are deducted for every wrong answer. Do not resort to guesswork.
If you leave it blank, you will not lose any marks, but you will not gain any marks, either. In this exam, every mark matters, and you need to fight for it.
4. Business Economics and Business and Commercial Knowledge (Paper 4)
The study of economic theory integrated into business practice is known as business economics. Business economic tools help understand the basic concepts of business such as the theory of demand and supply, the theory of production and cost, etc. One must also know the government policies for business.
The subject facilitates a better understanding of economic policies and the application of solving business problems.
The student should be familiar with economic policies for growth in business and the government policies for business growth. Economic policies for growth in the business help the better running of the company, and government policies for business growth, in particular, have a significant impact on business.
ICAI does not give you marks when you write your interpretations. Instead, they look for the language of the study material.
Pay special attention to,
Theory of demand and supply
Theory of production and cost
The business world undergoes rapid development and change in trends. There is an accepted terminology in business that a chartered accountant must know. That is why business and commercial knowledge are included in the ICAI CA Foundation Syllabus 2025.
Business and commercial knowledge are necessary for chartered accountants to understand the rapid changes in the business world. A CA aspirant enters the business world with commercial knowledge—an introduction to the real world of business.
Final Thoughts
The Test Series for CA Foundation is a great way to track your progress, practice under exam conditions, and boost your confidence. The test series, which covers all of the major topics in the ICAI syllabus, allows you to focus on key areas, practice difficult problems, and improve your time management skills, all of which are necessary for exam success.
So, if you're serious about passing the CA Foundation exam, consider taking a test series. It's one of the most effective ways to prepare for the exams, ensuring that you're ready to take the real exam with confidence
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