CA Foundation · January 2026 · Paper 1
CA Foundation Accounting January 2026: paper analysis
Our own analysis of the official paper, as of 12 October 2026. The questions and answers belong to ICAI; read them on ICAI's website.
Chapter-wise marks
Where the marks were in this paper (out of 100; internal-choice alternatives not double counted).
| Chapter | Questions | Marks | Share |
|---|---|---|---|
| Company Accounts | 4 | 50 | 21% |
| Accounting Process | 6 | 42 | 18% |
| Partnership and LLP Accounts | 4 | 40 | 17% |
| Theoretical Framework | 4 | 32 | 13% |
| Financial Statements of Not-for-Profit Organisations | 2 | 20 | 8% |
| Final Accounts of Sole Proprietors | 2 | 20 | 8% |
| Depreciation and Amortisation | 2 | 16 | 7% |
| Bank Reconciliation Statement | 2 | 10 | 4% |
| Accounts from Incomplete Records | 2 | 10 | 4% |
What each question tested
In our words, by question number. Open the official paper for the full question.
| Q | Marks | Tests | Chapter |
|---|---|---|---|
| 1(a) | 12 | True or false with reasons: capital vs revenue spending, subsidiary books, liability meaning, single entry, LLP winding up and securities premium use | Theoretical Framework |
| 1(b) | 4 | Meaning of Accounting Standards, the main benefit of standard setting and its limitations | Theoretical Framework |
| 1(c) | 4 | Journal entries for credit purchases with trade discount and GST, drawings of goods, asset purchase with IGST and purchase returns | Accounting Process |
| 2(a) | 12 | Rectification of prior-year errors after a trial balance difference was written off, including sale-or-return goods and capital wages | Accounting Process |
| 2(b) | 8 | Plant and machinery account under written down value with a mid-year addition, sale and scrapping of old machines and profit or loss | Depreciation and Amortisation |
| 3(a) | 10 | Reconstructing a club Receipts and Payments Account and Balance Sheet from its Income and Expenditure Account and year-end adjustments | Financial Statements of Not-for-Profit Organisations |
| 3(b) | 10 | Admission of a partner: goodwill on average profits after removing abnormal items, revaluation, capital accounts and new balance sheet | Partnership and LLP Accounts |
| 4(a) | 10 | Retirement of an LLP partner: goodwill adjustment, revaluation, policy surrender, capital readjustment and part deferred settlement through bank | Partnership and LLP Accounts |
| 4(b) | 10 | Trading and profit and loss account and balance sheet of a trader with free samples, fire loss claim, provisions and drawing-power overdraft | Final Accounts of Sole Proprietors |
| 5(a)(i) | 5 | Working back from a debit bank statement balance to the cash book balance after timing differences and errors | Bank Reconciliation Statement |
| 5(a)(ii) OR | 5 | Accommodation bills between two parties with discounting, renewal and insolvency of the acceptor, journal entries in one party books | Bills of Exchange and Promissory Notes |
| 5(b) | 5 | Deriving total purchases and total sales from debtor and creditor balances, cash flows and discounts in incomplete records | Accounts from Incomplete Records |
| 5(c) | 10 | Forfeiture and reissue of shares issued at a premium with unpaid allotment and call money, plus balance sheet extract and notes | Company Accounts |
| 6(a) | 15 | Redemption of partly paid preference shares at a premium funded by a rights issue, including forfeiture for non-payment of final call | Company Accounts |
| 6(b) | 5 | Meaning of principal books of account and the rules for posting journal entries to the ledger | Accounting Process |
What stood out
- Company Accounts carried the most marks (25 of the 120 set), split between share forfeiture and reissue and a 15-mark preference share redemption funded by a rights issue.
- Partnership and LLP Accounts took two full 10-mark questions (admission and LLP retirement), so it remains a must-prepare chapter.
- Accounting Process was spread across Q1, Q2 and Q6: GST journal entries, a 12-mark rectification with a written-off difference, and a theory part on posting rules.
- Q5 offered an internal choice between Bank Reconciliation and accommodation bills, and the Q1(a) true or false items cut across several chapters.
- Inventories was not tested at all, while Not-for-Profit, Final Accounts and Incomplete Records each appeared once as practical problems.
Practise the chapters that carried the marks
Company Accounts, Accounting Process, Partnership and LLP Accounts: study guides and practice questions in the CA Foundation format.