Home » ICAN Syllabus » The foundation level of the ICAN-ACA professional examination is the first level reserved for those who do not have any post-secondary school background in Accounting. Those who studied management, science, art, and law in higher institutions are exempted from some courses at the foundation level. (Please see the academic and professional qualification exemption below.
The competencies required in this level are knowledge and understanding, and there are four subjects in this level. The chartered accountancy qualification – the ACA, of the Institute of Chartered Accountants of Nigeria (ICAN), with its integrated components, is one of the most advanced professional accountancy qualifications globally.
The professional examination comprises fifteen subjects with ethics embedded in each subject. This updated syllabus, which will take effect from November 2025, replaces the 2021 syllabus and aligns with the latest industry developments and international best practices. The requirements for ICAN-ACA qualification are set out in this syllabus in the form of learning outcomes and competencies. The fifteen subjects are grouped into three levels: Foundation; Skills; and Professional.
The content of the foundation-level courses provides for simple learning outcomes that form the building blocks for the higher-level subjects.
The contents of the foundation-level courses provide for simple learning outcomes that form the building blocks for the higher-level subjects. There are four subjects at this level including
1. Business Environment,
2. Financial Accounting,
3. Management Accounting, and
4. Corporate and Business Law
Business Environment is a newly introduced course by the Institute of Chartered Accountants of Nigeria (ICAN). It will be offered at the Foundation level, replacing the previous course, Business, Management, and Finance (BMF).
The Business Environment course will take effect starting from November 2025. Candidates who scored below 50% in Business, Management, and Finance are required to study and sit for the Business Environment course instead.
This course is introduced to enable candidates gain an understanding of the global market (Global and National) and providing foundational knowledge essential for business professionals.
This course covers key areas such as economics, business management, business ethics, corporate governance, corporate social responsibility, management information systems, and sustainability.
On successful completion of this paper, candidates should be able to:
Explain the underlining principles of management theory in the context of concepts, functions, ethical considerations and recent developments in business management process;
Explain behavioural aspects of management control and the importance of organisational structure and design;
Understand the basic concepts of leadership and requirements for effective communication within and outside a business organisation;
Understand issues associated with building, leading and managing effective teams and organisational conflict;
Explain strategy, alternative approaches to strategy development, and sustainable competitive advantage; and
Understand the applications of basic economic theories and business planning to solving business environmental problems locally and globally for a competitive edge.
| Syllabus for ICAN Foundation Level | |||
| Level | Foundation | ||
| Course Name | A1. Business Environment | ||
| Abbreviation | BE | ||
| A. Business processes and environment | |||
| Topic | Breakdown | Marking Guide | |
| 1 | 1. Nature of business, types and objectives | (a) Explain the nature, types and objectives of business organisation. (b) Explain the basic characteristics, purposes, merits and demerits of the following types of business organisation: (i) Sole proprietorship; (ii) Partnership: • General partnership; • Limited partnership; and • Limited liability partnership (iii) Limited liability and unlimited companies: • Private • Limited by shares • Limited by guarantee • Unlimited • Public (iv) Non-governmental organisations (NGOs); (v) Public sector organisations; (vi) Alliances; (vii) Cooperative societies; and (viii) Joint Ventures. (c) Identify and explain the various business functions; (d) Explain the importance of business to its stakeholders; (e) Explain the different classifications of economic activities based on the following occupations: (i) Profession/Vocation; (ii) Employment; and (iii) Business. (f) State the merits and demerits of each of the occupations listed above | 25% |
| 2 | Business and organisational structures and choices | (a) Explain the basic characteristics and purposes of the following organisational structures: (i) Centralised; (ii) Decentralised; (iii) Matrix and mixed; (iv) Networks; and (v) Virtual arrangements. (b) Explain the advantages and disadvantages of each of the organisational structures listed above. (c) Identify the factors that may influence management choice of organisational structure. (d) List and explain the consequences of poorly designed organisational structure. (e) Describe organisational chart (f) Explain the usefulness and limitations of organisational chart. (g) Explain the purposes of committees in the organisational structures of a business organisation. (h) State the advantages and disadvantages of committees. (i) Explain the functions of the following board committees: (i) Audit committee; and (ii) Remuneration committee. (j) State and explain the roles of the following board members: (i) Chairman; (ii) Secretary; (iii) Managing Director; (iv) Executive Director; (v) Non Executive Director; and (vi) Independent Non Executive Director. | |
| 3 | The business environment | (a) State the characteristics of business environment. (b) Explain the impact of government policies on business. (c) State the legal and regulatory frameworks that affect business operations. (d) State and explain the two major models for analysing business environment. (e) Identify and explain how firms can adapt to their environments. (f) Explain the meaning and importance of the following: (i) Globalisation/international business; (ii) Macroeconomic/national environment; (iii) Microeconomic/markets and industries; and (iv) Stakeholders. (g) Explain the concept of environmental scanning, its methods and importance. (h) Explain the various sources of information for environmental scanning. (i) Identify and explain the steps involved in conducting a SWOT analysis. (j) Explain the benefits of SWOT analysis to business firms. (k) State the pitfalls of using SWOT analysis by firms. (l) Describe the context environment in which an organisation operates, including the primary political, economic, sociocultural, technological, environmental, legal and regulatory aspects (PESTEL). (m) Identify and explain the steps involved in conducting a PESTEL analysis. (n) Explain the benefits of PESTEL analysis to business firms. (o) State the pitfalls of using PESTEL analysis by firms. (p) Define and explain the importance of corporate social responsibility (CSR) and sustainability practices by firms. (q) List and describe ways that businesses can adopt in affecting their environment for the benefits of all stakeholders | |
| B. The role of accountancy in business and society | 15% | ||
| 1 | Finance function | (a) List the roles and accounting functions within an organisation including: (i) Financial reporting; (ii) Management accounting; and (iii) Treasury management. (b) Explain internal checks and internal controls. (c) Explain internal audit functions within and organisation. (d) Explain the role statutory audit and assurance play in the performance of an organisation | |
| 2 | Ethics and code of corporate governance | (a) Define ethics and explain its importance to the professional accountant. (b) Describe the roles of professional bodies and regulators in promoting ethical awareness and discipline. (c) State the fundamental principles of ethics. (d) Explain the code of conduct as established by ICAN and IFAC for professional accountants. (e) Describe organisational values that promote ethical behaviours. (f) Explain the concept of “acting in public interest”. (g) Explain actions that could create ethical conflicts in a business | |
| C. Management and organisational behaviour | 20% | ||
| 1 | Basic management functions | (a) Give various definitions of management. (b) Identify and explain types of management skill. (c) Explain the following basic management functions, their importance and application in the field of accounting: (i) Planning; (ii) Organising; (iii) Controlling; (iv) Coordinating; (v) Directing; and (vi) Supervising. (d) Identify and explain the various management roles | |
| 2 | Management, individual and organisational behaviour | (a) Explain the nature and significance of formal and informal organisation. (b) Explain the role and importance of organisational culture. (c) Explain the relationship between leadership and management. (d) State the roles of individual and group behaviour in organisations. (e) Identify and explain conflict management and various resolution mechanisms. (f) Explain the nature and significance of team formation, development and management. (g) Explain the concept of employee motivation and its relationship with productivity. (h) State and explain the various management theories with emphases on scientific, administrative and other modern management theories; such as Frank and Lillian Gilbreth’s motion theory, Hertzberg’s Hygiene, Motivation factor theory and other related theories. (i) Explain the uses of technology business modelling. (j) Explain project management. (k) Explain emotional intelligence. (l) Explain social thinking | |
| 3 | Communications in business | (a) Explain the basic elements of communication. (b) Explain verbal and non-verbal communication. (c) State the principles of effective listening. (d) Explain organisational communication: (i) Formal and informal; and (ii) Internal and external. (e) Explain methods of business communication. (f) State the barriers to effective communication. (g) State the different communication patterns. (h) Explain the process and conduct of meetings. (i) Explain the basic elements of report writing. (j) Explain the process of electronic communication | |
| 4 | Digital Communication | Explain: (a) Email systems and its utilisation; (b) Website platforms and their utilisation; (c) Uses and management of social media accounts; (d) Uses and management of social media pages; and (e) Digital marketing. | |
| D. Elements of microeconomics and macroeconomics | 20% | ||
| 1 | Introduction to economics and the market | (a) Explain basic economic concepts. (b) Explain microeconomics and macroeconomics. (c) Identify and explain basic economic problems | |
| 2 | Demand and supply, and price mechanism | Explain: (a) Concepts of demand and supply; (b) Application of demand and supply; and (c) Market determination of equilibrium price and quantity | |
| 3 | Costs, revenue and productivity | Identify and explain cost, revenue and profit concepts | |
| 4 | Market structures | Identify and explain: (a) Perfect competition (shut-down point for a perfect competitive firm); (b) Pure monopoly; and (c) Monopolistic competition | |
| 5 | Market failure, externalities and interventions | Identify and explain market failure, types of externalities and interventions. | |
| 6 | National income accounting | Explain: (a) Basic concepts of national income; (b) Methods of computing national income; (c) Problems of measuring national income; and (d) Uses of national income estimates | |
| 7 | Financial institutions | Explain the following: (a) Central banking; (b) Universal/commercial banking; (c) Development banking; (d) Other financial institutions; (e) Money and capital markets; and (f) Foreign exchange markets (NAFEM, NAFEX, interbank rates, etc). | |
| 8 | Issues in monetary and fiscal policy | Identify and explain: (a) Monetary policy variables; and (b) Fiscal policy variables | |
| 9 | Issues of inflation and unemployment | Identify and explain: (a) Inflation – types and causes; (b) Unemployment – types and causes; and (c) Phillips curve | |
| 10 | Issues of economic growth and development | Explain: (a) Economic growth and development; (b) Sources of economic growth; and (c) Economic planning | |
| E. Technology and data analysis | 20% | ||
| 1 | Business uses of computers and information technology (IT) | (a) Explain the following: (i) Database systems; (ii) Accounting software; (iii) Spread sheet applications; (iv) Enterprise resource planning (ERP); (v) Artificial intelligence (AI); and (vi) Customer relationship management (CRM). (b) Describe how the application of big data and data analytics can improve business operations. (c) Define cybersecurity. (d) List the key risks to data that can occur through cyber attacks. (e) List and explain actions that can be put in place to mitigate cyber attacks | |
| 2 | E-commerce and electronic businesses | (a) Explain: (i) Business case scenarios for firms’ e-commerce proposition; (ii) IT policies as stepping stone to e-commerce and e-business; (iii) Making choices for e-commerce and e-business deployment; (iv) Benefits and challenges of e-commerce and e-business; (v) Business operations outsourcing methodologies; and (vi) Data centre disaster recovery, contingency plans and recovery alternatives. (b) Discuss the following concepts in relation to e-commerce: (i) IT infrastructure requirements for e-commerce and e-business; (ii) The internet as the backbone for e-commerce; (iii) Social media platforms; (iv) E-commerce models; (v) Payment systems including mobile payment platforms; and (vi) Digitisation of the middleman with examples such as Amazon, eBay, Konga, JiJi, etc | |
| 3 | Emerging technologies and the accountancy profession | Explain the following emerging technologies and how they affect business operations: (a) Cloud computing; (b) Block chain; (c) Fintech; (d) Statistical Modelling; (e) Internet of things (IoT) | |
Looking to ace your Financial Accounting exams in one sitting? Look no further, you’re in the right place. To attain at least the pass mark for the ICAN Foundation level Financial Accounting exams, then adequate preparation through extensive study should be done.
How then do you know that you’ve studied extensively for the Financial Accounting exams? When you’ve successfully gone through your studies using the updated ICAN syllabus. Financial Accounting is the only Foundation level course that remains unchanged. The updated syllabus will take effect from November 2025.
This syllabus contains all the topics covered in Financial Accounting and their breakdown. Studying with it will provide you with an in-depth knowledge of the scope and purpose of financial accounting, and more importantly, get you a hundred percent ready for the exams.
The purpose of financial accounting is to equip accounting professionals with knowledge of the essential framework of assumptions that underpin reliable reporting and the requisite skills to compile reliable financial statements for sole traders, partnerships, companies and not-for-profit entities.
On successful completion of this paper, candidates should be able to:
Explain the scope and purpose of accounting;
Understand types of business transactions and documentation;
Explain cash and bank transactions;
Explain and demonstrate the use of the double-entry accounting principle;
Understand and prepare reconciliations;
Record transactions and events; and
Prepare basic financial statements for corporate and non-corporate entities.
Managers are indispensable professionals within any organization, as effective management decisions are essential for steering an organisation toward its goals.
Starting November 2025, the Institute of Chartered Accountants of Nigeria (ICAN) will introduce Management Accounting (MA) as a new Foundation level course, replacing the former Management Information (MI) course.
Studying Management Accounting (MA) using the updated ICAN syllabus is crucial to developing expertise in management decision-making, applying quantitative methods in financial management, and excelling in your ICAN exams.
Candidates should note the following:
Those who have successfully completed the Foundation level must take Management Accounting (MA).
Candidates who have passed any Foundation level subjects are also required to take Management Accounting (MA).
The aim of this course is to enhance candidates’ knowledge and understanding of costing and management accounting techniques, enabling them to support management in planning, controlling, and monitoring performance across different organisational contexts.
Upon successful completion of this paper, candidates will be able to:
Describe the nature, sources, and purposes of management information.
Interpret and analyze data related to cost elements.
Identify, determine, and apply various cost accounting methods and techniques.
Analyse, forecast, and prepare budgets for effective planning and control.
Compare actual costs to standard costs and evaluate any resulting variances.
Apply decision-making techniques to enhance business performance, particularly in situations involving limited resources.
As a professional accountant aiming to excel in the ICAN Corporate and Business Law course, it is vital to build a solid understanding of the laws that govern business operations. A strong foundation in corporate and business law is essential, particularly regarding regulations affecting business organizations, commercial activities, employment relationships, and public sector entities.
This course offers comprehensive coverage of both theoretical and practical aspects of Nigerian corporate and business law. You will gain insight into how these laws impact you, your clients, and your organisation. The updated ICAN syllabus serves as an excellent resource to help you master Corporate and Business Law and apply it effectively in your professional career.
Corporate and Business Law (CBL) is a newly introduced Foundation level course by the Institute of Chartered Accountants of Nigeria (ICAN), replacing the former Business Law (BL) course. This change will take effect starting November 2025. Candidates who scored below 50% in Business Law are required to study and sit for the Corporate and Business Law course instead.
The aim of this course is to provide candidates with a solid understanding of laws relevant to business operations. As professional accountants, it is essential to have a strong foundation in corporate and business law, especially the regulations governing business organisations, commercial activities, employment relationships, and those applicable to public sector entities.
Upon successful completion of this paper, candidates will be able to:
Understand the nature, components, and sources of Nigerian law, along with the hierarchical structure of the court system.
Comprehend the laws governing the formation, management, and nature of partnerships and companies.
Differentiate between law and ethics, highlighting their key distinctions.
Explain the principles of contract law, including electronic contracts (e-contracts).
Describe the law of agency, covering types, duties, rights, negligence, and vicarious liability in professional practice; understand the types of goods, the rights and duties of buyers and sellers; and explain the formation and obligations under hire purchase contracts.
Understand the fundamental principles of insurance contracts, negotiable instruments, and the legal positions of the parties involved.
Explain the basic laws regulating banking, including the roles and responsibilities of the Central Bank of Nigeria, other banks, and financial institutions as outlined in the Central Bank Act 2023 (as amended) and the Banks and Other Financial Institutions Act 2020 (as amended).
Understand alternative dispute resolution (ADR) mechanisms and their application.
