CA Intermediate · September 2026 · Paper 1
CA Intermediate Advanced Accounting September 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).
What each question tested
In our words, by question number. Open the official paper for the full question.
| Q | Marks | Tests | Chapter |
|---|---|---|---|
| 1(a) | 5 | Capitalising a self-constructed building funded by a foreign currency loan, including exchange differences treated as borrowing cost | AS 16 Borrowing Costs |
| 1(b) | 5 | Lessor accounting for an operating lease: rental computation, output-based income recognition and journal entries | AS 19 Leases |
| 1(c) | 4 | Basic and diluted EPS with a mid-year bonus issue and outstanding employee stock options | AS 20 Earnings Per Share |
| 2(a) | 10 | Preparing a company balance sheet under Division I of Schedule III from a trial balance with adjustments | Financial Statements of Companies |
| 2(b) | 4 | Computing purchase consideration under AS 14 when preference, debenture and equity holders are settled differently | AS 14 Accounting for Amalgamations |
| 3 | 14 | Closing the transferor company's books through ledger accounts and passing acquisition entries in the transferee's books | Amalgamation of Companies |
| 4(a) | 10 | Cash flow statement under the indirect method from comparative balance sheets and additional information | AS 3 Cash Flow Statement |
| 4(b) | 4 | Impairment loss on a revalued asset, adjustment against revaluation surplus and revised depreciation | AS 28 Impairment of Assets |
| 5 | 14 | Consolidated balance sheet with pre-acquisition reserves, asset revaluation, intra-group balances and unrealised profit | AS 21 Consolidated Financial Statements |
| 6(a) | 4 | Who qualifies as a related party and what disclosures AS 18 requires | AS 18 Related Party Disclosures |
| 6(a) OR | 4 | Revenue timing for goods sent on consignment and for a bill-and-hold style sale | AS 9 Revenue Recognition |
| 6(b) | 4 | Journal entries and capital reduction account for a court-approved reconstruction scheme | Internal Reconstruction |
| 6(c) | 6 | Branch accounts under the debtors method with goods invoiced above cost and inter-branch transfer | Accounting for Branches including Foreign Branches |
What stood out
- New format: Paper 1 now carries a 30-mark MCQ part (15 questions in case scenarios plus standalone items) and a 70-mark descriptive part.
- The MCQ part was standards-heavy: eleven of fifteen MCQs tested individual Accounting Standards, with a three-question cluster on buy-back of shares.
- The descriptive part was almost entirely numerical; only one 4-mark sub-question (related parties) was pure theory.
- Company-level topics dominated the long questions: amalgamation, consolidation and a Schedule III balance sheet together carried 38 of the 84 descriptive marks on offer.
- Cash flow statement appeared in both parts, once as an MCQ on classification and once as a full 10-mark statement.
Practise the chapters that carried the marks
Amalgamation of Companies, AS 21 Consolidated Financial Statements, Financial Statements of Companies: study guides and practice questions in the CA Intermediate format.