CMA Intermediate · December 2025 · Paper 10
CMA Intermediate Corporate Accounting and Auditing December 2025: paper analysis
Our own analysis of the official paper, as of 12 October 2026. The questions and answers belong to ICMAI; read them on ICMAI'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 |
|---|---|---|---|
| 2(a) | 7 | Testing a proposed share buy-back against the legal limits on size, reserves and post-buyback debt-equity ratio | Issue, Forfeiture, Rights, Bonus, Sweat Equity, ESOP and Buy-back of Shares |
| 2(b) | 7 | Redemption of preference shares at a premium funded by investment sale and a fresh equity issue: journal entries | Redemption of Preference Shares, Issue and Redemption of Debentures |
| 3 | 14 | Statement of profit and loss and balance sheet under Schedule III with notes and year-end adjustments | Statement of Profit and Loss and Balance Sheet (Schedule III of Companies Act, 2013) |
| 4(a) | 7 | Provisioning for a bank's advances across standard, sub-standard, doubtful and loss categories | Accounts of Banking, Electricity and Insurance Companies |
| 4(b) | 7 | Return on equity for a power utility over five years with equity additions and reductions | Accounts of Banking, Electricity and Insurance Companies |
| 5(a) | 7 | Basic and restated earnings per share after a rights issue at below fair value | Earnings per Share (Ind AS 33) |
| 5(b) | 7 | Cost of inventory under Ind AS 2 separating includible and excludible purchase costs | Inventories (Ind AS 2) |
| 6(a) | 7 | Key elements of an effective internal control system | Audit Risk, Internal Control, Internal Check and Internal Audit |
| 6(b) | 7 | Company law provisions on secretarial audit | Secretarial Audit |
| 7(a) | 7 | Audit procedure for employee benefit expenses | Audit of Various Items of Financial Statements |
| 7(b) | 7 | NFRA's role in monitoring and enforcing compliance with auditing standards | National Financial Reporting Authority (NFRA) |
| 8(a) | 7 | Audit approach for municipalities and panchayats | Auditing of Different Types of Undertakings |
| 8(b) | 7 | Company law provisions on removal of an auditor | Statutory Audit under the Companies Act, 2013 |
What stood out
- Accounting Questions 2 to 5 were fully numerical (buy-back limits, preference redemption, Schedule III statements, bank provisioning, power RoE, EPS, inventory cost), while auditing Questions 6 to 8 were fully theory.
- The 14-mark Schedule III question returned, confirming it as the anchor of the accounting half.
- Special-entity accounting took a full question again, this time pairing bank NPA provisioning with a power-sector return on equity computation.
- Ind AS questions were applied rather than conceptual: rights-issue EPS restatement and inventory cost under Ind AS 2.
- Auditing coverage was broad but shallow: internal control, secretarial audit, employee benefits, NFRA, local bodies and auditor removal each had one part.
Practise the chapters that carried the marks
Statement of Profit and Loss and Balance Sheet (Schedule III of Companies Act, 2013), Accounts of Banking, Electricity and Insurance Companies, Auditing of Different Types of Undertakings: study guides and practice questions in the CMA Intermediate format.