CA Foundation Economics: Syllabus, Weightage & Study Tips for Jan 2026
- Shankargouda S Malipatil
- 3 days ago
- 4 min read

CA Foundation Economics: Syllabus, Weightage & Study Tips for Jan 2026
Business Economics often confuses CA Foundation students. Is it theory or practical? Conceptual or formula-based? The answer: it's a beautiful mix of both. Master it right, and it becomes your easiest scoring paper. Let's decode the strategy for January 2026 CA Foundation Economics: Syllabus, Weightage & Study Tips for Jan 2026
CA Foundation Economics Syllabus
The paper covers 100 marks divided into two parts:
Part A: Microeconomics (60 marks)
Introduction to microeconomics
Theory of demand and supply
Elasticity of demand and supply
Theory of production and cost
Price determination in different markets
Business cycles
Part B: Macroeconomics (40 marks)
National income accounting
Money and banking
Fiscal and monetary policy
Foreign exchange and trade
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Topic-Wise Weightage Strategy
High Priority Topics (50-60 marks):
Demand and supply theory (guaranteed 15-20 marks)
Elasticity of demand (10-15 marks)
Production and cost theory (10-12 marks)
Market structures (perfect competition, monopoly) (10-12 marks)
National income (8-10 marks)
Medium Priority (25-30 marks):
Business cycles
Money and banking
Fiscal and monetary policy
Lower Priority (15-20 marks):
Foreign exchange
International trade
Study Tips That Work
1. Understand Graphs and Diagrams
Economics loves graphs. Demand curve, supply curve, cost curves, revenue curves... learn to draw them properly. 40% of questions test graphical understanding.
2. Learn Formulas Well
Key formulas to master:
Price Elasticity of Demand = % Change in Quantity / % Change in Price
Total Cost = Fixed Cost + Variable Cost
Marginal Cost = Change in Total Cost / Change in Quantity
National Income identities
3. Connect to Real Life
Why do petrol prices rise? (Supply-demand). Why did RBI change repo rate? (Monetary policy). Relating concepts to news makes retention easier.
4. Theory + Numerical Balance
Don't just focus on theory or just numericals. Economics tests both. Practice 5 theory questions and 5 numerical problems daily.
5. Make Concept Maps
Create flowcharts for topics like market structures, money supply process, fiscal policy tools. Visual learning helps in economics.
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Common Errors to Steer Clear of
Ignoring graph practice: A lot of pupils struggle to draw accurate graphs on tests.Practice drawing graphs daily.
Ignoring definitions: ICAI loves asking definitions. "Define elasticity", "What is national income?" Easy 2-3 marks if you've read.
Not understanding concepts: Just memorizing theory doesn't work. Understand WHY things happen.
Poor time management: Economics needs both speed and accuracy. Practice timed solving.
45-Day Preparation Strategy
Week 1-2: Microeconomics Foundation
Demand, supply, elasticity
3 hours daily
Solve 5 numericals per day
Week 3-4: Microeconomics Advanced
Production, cost, markets
3 hours daily
Focus on graphs and theory
Week 5-6: Macroeconomics Complete
National income, money, policies
2-3 hours daily
Practice numerical problems
Week 7: Revision + Mock Tests
Complete revision
Take 3-4 CA Foundation Mock Tests
Analyze mistakes
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Scoring Pattern Breakdown
Theory Questions (50-60 marks):
Definitions and short notes: 15-20 marks
Long answers: 30-40 marks
Practical Problems (40-50 marks):
Elasticity calculations: 10-15 marks
Cost and production problems: 10-15 marks
National income calculations: 10-15 marks
Graph-based questions: 5-10 marks
Pro Tip: Always draw proper graphs even in theory answers. It adds visual appeal and shows understanding.
Important Economic Terms to Master
Demand: Desire backed by ability and willingness to pay
Supply: Quantity producers are willing to sell at given price
Elasticity: Responsiveness of demand/supply to price changes
GDP: Total value of goods and services produced in a country
Inflation: Sustained increase in general price level
Monetary Policy: RBI's tools to control money supply
Last Month Strategy
Week 1: Complete syllabus revision
Week 2: Solve previous year papers (last 5 years)
Week 3: Take mock tests, focus on weak areas
Week 4: Quick revision, formula practice, graph drawing
Why Economics Can Be Your Scoring Paper
Economics is logical. Once you understand the concept, questions become predictable. Unlike accounts (calculation-heavy) or law (memory-heavy), economics needs understanding.
Students who focus on economics score 65-75 easily because it's application-based, not cramming-based.
The Bottom Line
CA Foundation Economics isn't tough. It's just different from your school economics. Approach it with fresh eyes, understand concepts deeply, practice graphs and numericals daily, and you'll excel.
With CA Foundation Exam Jan 2026 approaching, start your economics preparation now. Build concepts first, then practice. Theory without practice is incomplete.
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Your exam is just months away. Let's make it count.
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