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    CA Foundation Business Economics Syllabus 2026: Check Total Marks

    CA Foundation Business Economics Syllabus 2026: Check Total Marks

    Mirza Farhan BaigUpdated on 20 Dec 2025, 06:02 PM IST

    Business economics addresses issues and questions that impact individuals in their roles as both consumers and producers. The business economics is the last paper for CA Foundation exam. The CA Foundation syllabus 2026 for business economics will help students with knowledge of business decision-making, alongside their understanding of accounting and auditing. It is strongly advised that aspirants prepare for the CA Foundation Business Economics syllabus using the appropriate foundational CA books.

    CA Foundation Business Economics Syllabus 2026: Check Total Marks
    CA Foundation Business Economics Syllabus 2026

    There are a total of ten chapters included in the CA Foundation business economics syllabus, covering various chapters like theory of demand and supply, international trade, money market, etc. As per the CA Foundation exam pattern, the business economics subject is the third paper and is objective-based. Also, the CA Foundation business economics paper, being objective-based, there will also be negative marking of ¼ for every wrong answer.

    CA Foundation Exam Pattern 2026: Overview

    Particulars

    Details

    Exam mode

    Offline

    Exam frequency

    January, May, and September

    Number of papers

    Four

    Name of the papers

    Paper 1: Accounting
    Paper 2: Business Laws
    Paper 3: Quantitative Aptitude
    Paper 4: Business Economics

    Duration

    Paper 1 and Paper 2: 60 minutes
    Paper 3 and Paper 4: 120 minutes

    Maximum marks for each paper

    100 marks

    Marking scheme

    For subjective (Paper 1 and 2) - No negative marks

    For objective papers (Paper 3 and 4) - ¼ mark will be deducted for every wrong answer


    Objective of the CA Foundation Business Economics Paper:

    It is a priority of the CA Foundation business economics paper to develop an understanding of the concepts and theories of economics and also to acquire the ability to address application-oriented issues.

    CA Foundation 2026 Syllabus

    SI. No.

    Paper Name

    Marks

    Types of questions

    Paper 1

    Accounting

    100 Marks

    Subjective

    Paper 2

    Business Laws

    100 Marks

    Subjective

    Paper 3


    Part A: Business Mathematics

    Part B: Logical Reasoning

    Part C: Statistics

    100 Marks

    Part A: 40 Marks
    Part B: 20 Marks
    Part C: 40 Marks

    Objective

    Paper 4

    Business Economics

    100 Marks

    Objective

    Detailed CA Foundation Business Economics Syllabus

    Candidates should note that every chapter included in the CA Foundation Business Economics 2026 syllabus is important. It is essential to thoroughly review each topic to achieve good results in the CA Foundation exam. Below are all the chapters and their respective topics for the CA Foundation business economics syllabus as per the CA Foundation syllabus introduced by the ICAI.

    Chapter 1: Introduction to Business Economics

    • Meaning and scope of Business Economics

    • Basic Problems of an Economy and Role of Price Mechanism.

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    Chapter 2. Theory of Demand and Supply

    • Meaning and Determinants of Demand, Law of Demand and Elasticity of Demand – Price, Income and Cross Elasticity

    • Theory of Consumer’s Behaviour –Indifference Curve approach

    • Meaning and Determinants of Supply, Law of Supply and Elasticity of Supply, Market Equilibrium and Social Efficiency.

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    Chapter 3: Theory of Production and Cost

    • Meaning and Factors of Production, Short Run and Long Run

    • Law of Production – The Law of Variable Proportions and Laws of Returns to Scale, Producer’s Equilibrium

    • Concepts of Costs – Short-run and long-run costs, Average and Marginal Costs, Total, Fixed and Variable Costs

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    Chapter 4: Price Determination in Different Markets

    • Market Structures: Perfect Competition, Monopoly and Monopolistic Competition. Using Game Theory to study Oligopoly.

    • Price Determination in these Markets

    • Price- Output Determination under different Market Forms

    Chapter 5: Determination of National Income

    (A) Macro Economic Aggregates and Measurement of National Income

    (B) Determination of National Income: Keynes’ Two Sector Basic Model, Three Sectors and Four Sectors Models

    Chapter 6: Business Cycles

    • Meaning

    • Phases

    • Features

    • Causes behind these Cycles

    Chapter 7: Public Finance

    (A) Fiscal functions: An Overview, Centre and State Finance

    (B) Market Failure/ Government intervention to correct market failure.

    (C) Process of budget making: Sources of Revenue, Expenditure Management, and Management of Public Debt.

    (D) Fiscal Policy

    Chapter 8: Money Market

    (A)Concept of Money Demand

    (B) Important theories of Demand for Money

    (C) Concept of Money Supply, Cryptocurrency and other new terminology

    (D) Monetary Policy

    Chapter 9: International Trade

    (A) Theories of International Trade including theories of intra-industry trade by Krugman.

    (B) Trade Policy – The Instruments of Trade Policy

    (C) Trade Negotiations

    (D) Exchange Rates and its economic effects

    (E) International Capital Movements: Foreign Direct Investment

    Chapter 10: Indian Economy

    • (Before 1950- Chanakya and Nand Vansh, OECD Paper (1950-1991),

    • Basic knowledge 1991 Onwards

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