SSC-CGL-Tier-2 Syllabus: Paper IV (Finance & Economics)

Part A: Finance and Accounts (80 Marks)

• Fundamental principles and basic concepts of accounting
• Financial Accounting:

1. Nature and Scope
2. Limitations of Financial Accounting
3. Basic concepts and conventions
4. Generally accepted accounting principles

• Basic concepts of accounting:

1. Single and double entry
2. Books of original entry
3. Bank reconciliation
4. Journal
5. Ledgers
6. Trial Balance
7. Rectification of errors
8. Manufacturing
9. Trading
10. Profit & Loss appropriation accounts
11. Balance Sheet
12. Distinction between capital and revenue expenditure
13. Depreciation accounting
14. Valuation of inventories
15. Non-profit organisations accounts
16. Receipts and payments & income and expenditure accounts
17. Bills of exchange
18. Self Balancing Ledgers

Part B: Economics and Governance (120 Marks)

• Comptroller and Auditor General of India: Constitutional provisions, role and responsibilities.
• Finance Commission: Role & functions
• Basic concepts of economics & introduction to micro economics:

1. Definition
2. Scope and nature of economics
3. Methods of economic study
4. Central problems of an economy
5. Production possibilities curve

• Theory of Demand & Supply:

1. Meaning & determinants of demand
2. Law of demand
3. Elasticity of demand, price, income and cross elasticity
4. Theory of consumer’s behavior- Marshallian approach and indifference curve approach
5. Meaning & determinants of supply
6. Law of supply & elasticity of supply

• Theory of production & cost:

1. Meaning & factors of production
2. Laws of production- law of variable proportion & laws of returns to scale.

• Forms of market & price determination in different markets:

1. Various forms of markets- Perfect competition, monopoly, monopolistic competition, and oligopoly
2. Price determination in these markets

• Indian Economy:

1. Nature of the Indian Economy
2. Role of different sectors- agriculture, industry and services-their problems and growth
3. National income of India-concepts of national income, different methods of measuring national income
4. Population- its size, rate of growth & its implication on economic growth
5. Poverty & Unemployment- absolute and relative poverty, types, causes and incidence of unemployment
6. Infrastructure- energy, transportation & communication

• Economic Reforms in India:

1. Economic reforms since 1991: Liberalization, Globalization and Privatization
2. Disinvestment

• Money & Banking:

1. Monetary/Fiscal policy
2. Role and functions of RBI
3. Functions of commercial banks/RRB/payment banks
4. Budget and fiscal deficits & Balance of Payments
5. Fiscal Responsibility and Budget Management Act

• Role of Information Technology in Governance