Syllabus

COMMERCE (857)
CLASS XII
Latest Syllabus issued by CISCE For the Academic Year 2023-2024
There will be two papers in the subject: (c) Loans from commercial banks and Financial
Paper I : Theory 3 hours ……80 marks Institutions.
Paper II: Project Work ... 20 marks Loans from commercial banks and Financial
Institutions - meaning, advantages and
PAPER I (THEORY) – 80 Marks disadvantages.
1. Business Environment (d) Short-term sources of funds.
(i) Concept and importance of Business Environment. Short-term sources of funds – different types of short-
Meaning, features and importance of Business term financial assistance by Commercial Banks;
Environment; public deposits, trade credit, customer advances,
factoring, Inter corporate deposits and installment
Dimensions of Business Environment – Micro (Internal
credit. Meaning, advantages and disadvantages of
and External factors) and Macro (Economic, social,
various sources of funds.
technological, political and legal) – meaning and
components. (iii) Banking - latest trends.
S.W.O.T. Analysis - A basic understanding of S.W.O.T. Online services- transfer of funds through Real Time
(Strength, Weakness, Opportunity and Threat) Analysis. Gross Settlement (RTGS), National Electronic Funds
Transfer (NEFT), Immediate Payment Service (IMPS),
2. Financing
issue of demand drafts online meaning and features.
(i) Capital: Sources of finance for sole trader;
Online payments, e-Banking – meaning and features,
partnership; Joint Stock Company; financial
advantages and disadvantages.
planning.
Mobile Banking - SMS alerts, transfer of funds, making
Importance of finance for business. Sources of finance
payments - advantages and disadvantages.
for different types of business firms. Meaning, features
and importance of financial planning. Factors affecting Debit Cards vs Credit Cards, ATM (Automated Teller
capital structure. Fixed capital - meaning, factors Machine) – Meaning; Debit card and credit card: features
affecting fixed capital. Working capital – meaning, types; and differences.
factors affecting working capital. Comparison between Digital Banking, UPI, E-Wallet (Meaning only).
fixed and working capital. 3. Management
(ii) Sources of finance for a Joint Stock Company. (i) Management: Meaning, objectives and
(a) Different types of shares: equity, preference. characteristics of management.
Bonus shares, rights issue, ESOP, Sweat Equity Meaning of Management: as an activity; as a group; as a
Shares, Retained earnings. discipline; as a process. Objectives and characteristics of
management.
Long-term sources of funds.
(ii) Nature of Management – Science, Art and
Equity shares - features, advantages and
Profession.
disadvantages.
Self explanatory.
Preference shares - features, types advantages and
(iii) Importance of Management.
disadvantages; distinction between equity shares and
preference shares. Self explanatory.
Bonus and rights issue, ESOP and Sweat Equity (iv) Principles of Management: nature of principles;
Shares - meaning. need for principles.
Retained earnings – meaning, merits and demerits. Nature of principles of Management; need for principles
of management; Taylor’s 5 scientific principles of
(b) Loan capital: debentures.
Management; Fayol’s 14 principles of Management;
Debentures – meaning; kinds of debentures; Comparison of Taylor's and Fayol’s principles.
advantages and disadvantages of debentures.
(v) Functions of Management: Planning; Organising;
Distinction between shares and debentures.
Staffing; Directing; Controlling and Coordinating.

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 Syllabus
(a) Planning: between product and services. Branding: meaning
Meaning, steps, importance & limitation; Types of and merits. Labeling: meaning and merits. Packaging:
plans; Objectives, policy, procedures, method, role, meaning and features of good packaging.
budget, program – meaning and features. Price Mix – meaning, factors determining price.
(b) Organising: Place Mix – meaning, channel of distribution choice of
Meaning, importance, steps; Structure of channels of distribution and physical distribution.
organization (functional and divisional; Formal and Promotion Mix – Meaning and elements.
informal organization) – Meaning, features, merits, Elements – Advertising, sales promotion, personal
demerits and differences between line and line & selling and publicity – meaning, features, objectives and
staff, functional and divisional, formal and informal; differences.
Meaning and importance of delegation of authority; (iii) Consumer protection: rights of consumers,
Decentralization v/s Centralization, comparison methods of consumer protection.
between delegation and decentralization, merits and Need for consumer protection; methods of consumer
demerits. protection - self-help, legislative measures a n d
(c) Staffing: consumer associations/NGOs, Consumer Protection Act,
Meaning, steps and importance; Recruitment – 2019 – Meaning of Consumer, Rights and responsibilities
Meaning and sources (meaning only); Selection – of consumers.
Meaning and procedure; Training and development The Consumer Disputes Redressal Commissions
– Meaning, types of training, difference between (National, State and District).
selection and recruitment, Training and Difference between Consumer Protection Act, 1986 and
Development. Consumer Protection Act, 2019.
(d) Directing: PAPER II – PROJECT WORK – 20 Marks
Meaning and importance; Supervision- Meaning, Candidates will be expected to have completed two
functions and span of control; projects from any topic covered in Theory.
Motivation - Meaning and Maslow’s theory; The project work will be assessed by the teacher and a
Leadership- Meaning and qualities of a good leader; Visiting Examiner appointed locally and approved by
Communication - Meaning, objectives and process. the Council.
Barriers to communication and overcoming barriers Mark allocation for each Project [10 marks]:
to communication.
Overall format 1 mark
(e) Controlling:
Content 4 marks
Meaning, steps and importance; Relationship
between Planning and Controlling; Management Findings 2 marks
by Exception. Viva-voce based on the Project only 3 marks
(f) Coordination: A list of suggested Projects is given below:
Meaning of Coordination; Coordination as an
1. Compare marketing strategies adopted by two
essence of Management.
different companies of the same industry (FMCG /
4. Marketing Telecommunication / media / education i n d u s t r y
(i) Marketing: concept and functions. etc.) keeping in mind the following:
Meaning and types of markets; meaning and features of − Product mix
marketing. Marketing concepts: traditional v/s modern − Price Mix
- meaning and features of traditional and modern
− Place Mix
concepts of marketing. Comparison between marketing
and selling. Objectives and importance of marketing; − Promotion Mix
functions of marketing – meaning, features of each 2. Collect newspaper/magazine clippings of five cases
function of marketing. filed by consumers in the Consumer Court.
(ii) Marketing Mix - Meaning and Elements. Find out the rights violated, and the redressal
Product Mix - goods and services - meaning, features and mechanism used.
types of goods; meaning, features of services; difference What was the outcome of each case?

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 Syllabus
3. Visit a commercial Bank. Find out the procedure to Make a chart of the same and track its movements over
open a savings account. a period of one week.
Find out the details of various Agency & General utility 7. (a) 
Study the sources of recruitment and steps
services provided by the bank. involved in the selection procedure adopted by
4. Compare the interest rates offered by five different two companies of the same industry.
commercial banks on fixed deposits under various (b) Compare and evaluate the sources of recruitment
categories (general and senior citizens) and various and the selection process adopted by the selected
time durations. companies.
Find out the procedure and formalities for opening a 8. Formulate a capital plan for a hypothetical business
fixed deposit account. organization.
What is the procedure for closing the account on
Justify your formulated plan.
maturity and before maturity period?
5. Select five different companies across varying 9. Choose two companies of the same industry. Study
industries such as I.T., textiles, FMCG, Health Care, etc., their organizational structure. Also give information
included in the SENSEX. Keeping a hypothetical base with regard to:
money of Rupees One Lakh, invest in the shares of (i) Hierarchy
the selected companies. The movement of share prices (ii) Centralization and delegation of authority
selected by you should be monitored over a period (iii) Flow of information (scalar chain)
of one month on a daily basis. A uniform / standard
practice of either using the opening price or the closing (iv) Span of control
price on a particular day of the week should be used by (v) Channel of communication.
all students in the class. 10. Select any business undertaking. Study the selected
At the end of the month, analyse your investment in a business in terms of ownership, capital and profitability.
spread sheet and give reasons for your choice of scripts. Make a S.W.O.T. analysis and present it in a tabular
form.
6. Find out the names of companies under various sectors
NOTE: No question paper for Project Work will be set
(FMCG, Pharma, automobile, etc) included in the
by the Council.
NIFTY and the SENSEX.

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 SAMPLE TABLE FOR PROJECT WORK
Unique TOTAL
PROJECT 1 PROJECT 2
Identi- MARKS
fication A B C D E F G H I J
Number
S. (Unique ID) Average Viva-Voce Total Average Viva- Voce Total
Visiting Visiting
No. Teacher Marks by Visiting Marks (C Teacher Marks by Visiting Marks (E + J)
of the Examiner Examiner
(A + B ÷ 2) Examiner + D) (F + G ÷ 2) Examiner (H + I)
candidate
7 7 7 3 10 7 7 7 3 10 20
Marks* Marks* Marks Marks Marks Marks* Marks* Marks Marks Marks Marks
1
2
3
4
5
6
7
8
9

10

*Breakup of 7 Marks to be awarded

Overall Format 1 Mark Signature: Date

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