JAIIB AFM Syllabus 2026, Module Wise Syllabus & Exam Pattern

The Indian Institute of Banking and Finance or IIBF conducts the JAIIB exam twice a year. The Junior Associate for the Indian Institute of Banking or JAIIB exam is the first promotional exam for banking professionals. Accounting and Financial Management is one of the four papers of JAIIB Exam. Read on the complete blog for detailed JAIIB AFM Syllabus.

What is the JAIIB AFM (Accounting and Financial Management) syllabus 2026?

Paper 3 of JAIIB is Accounting and Financial Management. The paper consists of a total of 4 modules as listed below:

• Accounting Principles and Processes 
• Financial Statement and Core Banking Systems
• Financial Management 
• Taxation and Fundamentals of Costing.

What is the JAIIB exam pattern 2026?

It is important for the bankers to know the detailed exam pattern of the exam they are going to appear in. Check out the detailed JAIIB AFM Exam Pattern:

Particulars	Details
Subject	Accounting and Financial Management
No. of Questions	100
Total Marks	100
Duration	2 hours

As you can see, the paper consists of 100 questions for a total of 100 marks. The paper is of 2 hours. If we talk about negative marking, there is no negative marking.

What topics are covered in JAIIB AFM Module A (Accounting Principles and Processes)?

The JAIIB AFM Module A syllabus covers core accounting principles and processes for bankers, including accounting standards, bookkeeping, bank reconciliation, trial balance, depreciation, bills of exchange, back-office operations, and bank audits, providing practical knowledge for managing financial records effectively.

Units	Topics (in Points)
Definition, Scope, and Accounting Standards including Ind AS	• Nature and purpose of accounting • Historical perspectives • New accounting system / value system accounting • Origins of accounting principles • Accounting standards in India: definition and scope • US GAAP overview • IFRS overview • Difference between GAAP and IFRS • Transfer pricing
Basic Accountancy Procedures	• Concepts of accountancy • Going concern entity • Double entry system • Principle of conservatism • Revenue recognition and realisation • Accrual and cash basis
Maintenance of Cash/Subsidiary Books and Ledger	• Record-keeping basics • Account categories • Debit and credit concepts • Accounting and columnar accounting mechanics • Journalising
Bank Reconciliation Statement	• Recording transactions in cash book • Transactions in passbook/bank statement • Differences between cash book and passbook • Understanding reconciliation • Preparing reconciliation statement • Adjusting the cash book balance • Advantages of bank reconciliation statement
Trial Balance, Rectification of Errors and Adjusting & Closing Entries	• Meaning, features, and purpose of trial balance • Types and preparation of trial balance • Disagreement in trial balance • Classification and location of errors • Rectification of errors • Suspense account and rectification • Rectification when books are closed • Adjusting and closing entries
Depreciation & its Accounting	• Meaning and causes of depreciation • Need and factors of depreciation • Accounting entries for depreciation • Methods: Straight Line, Written Down Value, Units of Production, Sum of Years’ Digits • Advantages and disadvantages of each method • Replacement of fixed assets and sinking fund creation • Amortisation of intangible assets
Capital and Revenue Expenditure	• Expenditure concepts • Distinction between capital and revenue expenditure/receipts
Bills of Exchange	• Types of credit instruments • Term and due date of a bill • Important terms • Accounting entries • Accommodation bills • Bill books
Operational Aspects of Accounting Entries	• Peculiar features of banking accounting systems • Accounting systems of different banks • Illustrations
Back Office Functions / Handling Unreconciled Entries in Banks	• Functions performed by back office • Reconciliation functions in banks • Reconciliation of inter-branch/office entries
Bank Audit & Inspection	• Emergence of risk-based internal audit • Types of bank audits: concurrent, internal, statutory • Role of audit and inspection

What topics are covered in JAIIB AFM Module B (Financial Statement and Core Banking Systems)?

The JAIIB AFM Module B syllabus focuses on understanding financial statements and core banking systems. It covers topics like balance sheet equations, preparation of final accounts, company accounts, cash flow and funds flow, and the final accounts of banking companies. The module also explains accounting in a computerised environment and core banking components. This helps banking professionals learn how to prepare and analyse financial statements accurately and understand modern banking technology.

Units	Topics (in Points)
Balance Sheet Equation	• Balance sheet equation • Computation of balance sheet equation
Preparation of Final Accounts	• Preparation of trial balance • Adjustment entries • Preparation of financial statements from trial balance
Company Accounts – I	• Definition and types of companies • Distinction between partnership and limited liability company • Classes of share capital • Issue of shares • General illustrations • Non-voting shares
Company Accounts – II	• Form of balance sheet • Impact of Ind AS on financial statements
Cash Flow & Funds Flow	• Cash flow • Funds flow statement • Cash flow statement • Fund flow and cash flow analysis
Final Accounts of Banking Companies	• Definition and functions of a bank • Accounting and audit requirements for banking companies • Significant features of bank accounting systems • Principal books of account • Preparation and presentation of financial statements of banks • Accounting treatment of specific items • Preparation of profit & loss account • Comments on P&L account items • Important balance sheet items • Disclosure requirements of banks (notes to accounts) • Disclosures prescribed by RBI under Basel-III • Banks listed on stock exchange • Implementation of Ind AS
Core Banking Systems & Accounting in Computerised Environment	• Meaning and features of computerised accounting • Terms used in computerised accounting • Difference between computerised and manual accounting • Advantages and disadvantages of computerised accounting • Functions performed by accounting software in banks • Scope and experiences of computerisation in banking • Core banking components • Information security • Internet and World Wide Web influences on banking

What topics are covered in JAIIB AFM Module C (Financial Management)?

The JAIIB AFM Module C syllabus focuses on financial management and helps banking professionals understand key financial concepts. It covers topics like financial decision-making, ratio analysis, interest and annuity calculations, bond valuation, foreign exchange arithmetic, capital structure, cost of capital, investment appraisal, lease financing, working capital management, and derivatives. This module equips candidates with practical knowledge to analyse financial statements, manage funds efficiently, and make informed financial decisions in a banking environment.

Units	Topics (in Points)
An Overview of Financial Management	• Forms of business organisation • Financial decision-making in a firm • Objectives of financial management • Fundamental principles of finance • Building blocks of modern finance • Risk-return trade-off • Agency problem in financial management • Business ethics & social responsibility • Organisation of the finance function • Relationship of finance to economics and accounting • Emerging role of the financial manager in India
Ratio Analysis	• Meaning of accounting ratios • Classification of ratios • Uses of accounting ratios • Limitations of accounting ratios • Calculation and interpretation of various ratios • Different users and their use of ratios
Financial Mathematics – Calculation of Interest & Annuities	• Simple interest and compound interest • Fixed and floating interest rates • Front-end and back-end interest rates • Calculation of interest using products/balances • What are annuities? • Future and present value of ordinary annuities • Future and present value of annuities due • Repayment of a debt
Financial Mathematics – Calculation of YTM	• Meaning of debt • Introduction to bonds and bond terms • Types of bonds and optionality • Valuation of bonds, semi-annual interest • Current yield and yield-to-maturity (YTM) • Theorems for bond value and illustrations • Duration of bond and properties • Bond price volatility, problems, and solutions
Financial Mathematics – Forex Arithmetic	• Fundamentals of foreign exchange • Indian forex market • Direct and indirect quotes • Basic exchange rate arithmetic • Forward exchange rates
Capital Structure and Cost of Capital	• Meaning of capital structuring • Leverage/gearing • Factors influencing capital structure decisions • Theories/approaches: Net Income, Net Operating Income, Traditional • Taxation and capital structure • Cost of debt, preference, equity • Determining proportions and WACC • Weighted marginal cost of capital • Optimal capital budget, divisional/project cost of capital • Flotation cost, misconceptions around cost of capital
Capital Investment Decisions / Term Loans	• Discounted and non-discounted cash flow methods • Basic concepts of term loans • Deferred payment guarantees • Project financing • Differences between term loan appraisal and project appraisal
Equipment Leasing / Lease Financing	• Meaning and features of a lease • Types of leases • Rationale for leasing • Contents of a lease agreement • Legal aspects of leasing • Finance and operating leases • Accounting for lease transactions (lessor & lessee) • Leasing as a financing decision
Working Capital Management	• Working capital cycle • Cash and marketable securities • Accruals and trade credit • Working capital advances by commercial banks • Cash budget method of lending • Regulation of bank finance • Public deposits and inter-corporate deposits • Short-term loans from financial institutions • Rights debentures for working capital • Commercial paper, factoring & forfaiting
Derivatives	• Characteristics and functions of derivatives • Users of derivatives • Futures, forward rate agreements (FRA) • Swaps and options

What topics are covered in JAIIB AFM Module D (Taxation and Fundamentals of Costing)?

The JAIIB AFM Module D syllabus focuses on taxation and the fundamentals of costing, helping banking professionals understand key financial and cost management concepts. It covers income tax, TDS, deferred tax, GST, cost and management accounting, various costing methods, standard and marginal costing, and budgeting techniques. This module equips candidates with practical knowledge to manage financial records, analyse costs, implement budgets, and make informed financial decisions in a banking environment.

Units	Topics (in Points)
Taxation: Income Tax / TDS / Deferred Tax	• Overview of Income Tax Act • Basic overview of deductions in respect of certain incomes • Key deductions: 80QQB, 80RRB, 80TTA, 80U • TDS / TCS • Filing of returns • Refund and recovery process
Goods & Services Tax (GST)	• Meaning of direct and indirect tax • Introduction to GST
An Overview of Cost & Management Accounting	• Cost accounting: evolution, meaning, objectives, and scope • Concepts of cost • Classifications and elements of cost • Cost centre and cost unit • Methods and techniques of costing • Cost accounting standards • Management accounting: evolution, meaning, objectives, and scope • Tools and techniques of management accounting • Relationship between cost accounting, financial accounting, management accounting, and financial management
Costing Methods	• Unit and output costing • Job costing: job cost cards, collecting direct costs, allocation of overheads • Batch costing: features and applications • Contract costing: features, differences from job costing, progress payments, retention money, escalation clause, contract accounts, accounting for material and plant, contract profit and entries • Process costing: features, applications, types, process loss, abnormal gains/losses, equivalent units, inter-process profit, joint products, by-products and accounting • Service costing: features and applications, unit costing, multiple costing, cost unit identification, cost determination and control
Standard Costing	• Definition, significance, and applications • Various types of standards • Installation of standard costing system for material, labour, and overhead • Variance analysis for material, labour, and overhead • Accounting treatment of variances • Benchmarking for setting standards • Variance reporting to management
Marginal Costing	• Meaning, advantages, limitations, and applications • Breakeven analysis • Cost-volume-profit (CVP) analysis • P/V ratio and its significance • Margin of safety • Absorption costing: profit reporting and stock valuation • Differences between marginal and absorption costing • Income measurement under both methods
Budgets and Budgetary Control	• Budget concept • Manual, fixed, and flexible budgets • Preparation and monitoring of various types of budgets • Budgetary control system: advantages, limitations, and installation • Zero-based budgeting • Programme and performance budgeting

What is the paper-wise IIBF JAIIB 2026 exam dates?

The IIBF JAIIB 2026 exam will be conducted in two cycles May and November in online mode, covering four compulsory papers: Indian Economy & Indian Financial System, Principles & Practices of Banking, Accounting & Financial Management for Bankers, and Retail Banking & Wealth Management. The May cycle is scheduled from 3rd May 2026 to 17th May 2026, while the November cycle will be held between 1st November 2026 and 29th November 2026. Candidates will receive the exact exam timings through their admit cards.

Exam Paper	May 2026 Exam Date	November 2026 Exam Date
Indian Economy & Indian Financial System	3rd May 2026	1st November 2026
Principles & Practices of Banking	9th May 2026	22nd November 2026
Accounting & Financial Management for Bankers	10th May 2026	28th November 2026
Retail Banking & Wealth Management	17th May 2026	29th November 2026

Also Check: JAIIB Complete 2026 Exam Schedule

JAIIB AFM Syllabus – FAQs

---

• Banker Customer Relationship, Important for JAIIB PPB Exam
• IIBF Annual Report 2024-25, JAIIB CAIIB Exam Passing Rate
• JAIIB AFM Syllabus 2026, Module Wise Syllabus & Exam Pattern
• Regulation of Banking Business, Important for JAIIB AFM 2026
• JAIIB Preparation 2026, Subject Wise Strategy, Important Topics, Study Plan
• JAIIB PPB Syllabus 2026, Module Wise Syllabus & Exam Pattern