IGNOU MCO-05 December 2025 Previous Year Question Paper

Q1.(a) Distinguish among variable, fix ed and semi-variable costs. Why is this distinction important ? 10

(b) Describe the objectives and importance of Accounting Standards. 10 [ 2 ]

Q2.From the following Trial Balance of a trader, you are required to prepare Trading and Profit & Loss A ccount for the year 31st March, 2023 and Balance Sheet as on that date : 20 Trial Balance as on 31st March Particulars Amount Drawing Account 7,500 Plant Machinery (1-4-2022) 1,25,000 Stock (1-4-2022) 19,250 Plant and Machinery (1-10-2022) 6,250 Purchases 1,02,500 Returns inward 2,500 [ 3 ] MCO–05 Sundry Debtors 25,750 Furniture 6,200 Freight 12,500 Carriage outward 625 Rent, Rates and taxes 5,750 Printing and Stationery 1,000 Trade Expenses 500 Insurance charges 875 Salaries and Wages 26,625 Cash at Bank 25,675 Cash in hand 7,250 Postage and telegram 1,000

Q3.76,750 [ 4 ] MCO–05 Particulars Amount Capital 1,50,000 Returns outward 1,250 Sundry creditors 22,500 Sales 2,00,000 Provision for Bad and Doubtful Debts 500 Discount received 1,000 Rent (upto 30-9-2023) 1,500

Q4.76,750 Adjustments :

(i) Stock on 31st March , 2023 was valued at ` 15,000. [ 5 ] MCO–05

(ii) Write off ` 750 as bad debts.

(iii) Provision for b ad and doubtful debts is to be maintained at 5% on s undry debtors.

(iv) Create a provision for discount o n debtors and also reserve for discount on creditors @ 2%.

(v) Charge depreciation @ 20% p.a. on plant and machinery and @ 5% on furniture.

(vi) Insurance prepaid was ` 125.

(vii) Goods worth ` 6,250 were totally damaged in an accident . The insurance company admitted claim of ` 5,000 on 28-3-2023. [ 6 ]

Q5.What is a Cash Flow Statement ? Explain the techniques o f preparing a Cash Flow Statement with hypothetical figures.

Q6.What is meant by Master Budget ? Explain its components with the help of hypothetical figures.

Q7.Prepare a Sales Overheads Budget for the quarter ending 31st March , 2023 from th e estimates given below : 20 Advertisement 12,500 Salaries of sales department 25,000 Expenses of sales department 7,500 Counter-salesman salaries and allowances 30,000 [ 7 ] MCO–05 Commission to counter-salesmen is payable at 1% of sales executed by them. Travelling salesman are entitled to a commission at 10% on sales effected through them and a further 5% towards expenses : Sales Territories Sales at Counters Sales by Travelling Salesmen Total estimated sales A 4,00,000 50,000 4,50,000 B 6,00,000 75,000 6,75,000 C 7,00,000 1,00,000 8,00,000

Q8.How can controllable and uncontrollable costs be handled in responsibility accounting system ? Discuss with the help of appropriate examples. 10+10 [ 8 ]

Q9.(a) Describe the essential s of successful reporting. 10

(b) Discuss the application of relevant cost in alternative methods of production and plant shut-down decision.

Q10.Write notes on any two of the following : 10+10

(a) Limitations of Financial Accounting

(b) Zero Based Budgeting

(c) Environmental Accounting

(d) Cost-Volume-Profit Analysis [ 9 ] MCO–05 okf.kT; esa LukrdksÙkj mikf/k (,e- dkWe-) l=kar ijh{kk fnlEcj] 2025 ,e-lh-vks-&05 % izcU/kdh; fu.kZ;ksa ds fy, ys[kkadu le; % 3 ?k.Vs vf/kdre vad % 100 uksV %

(i) fdUgha ik¡p iz'uksa ds mÙkj nhft,A

(ii) lHkh iz'uksa ds vad leku gSaA 1-

(d) ifjorZu'khy] fLFkj vkSj v/kZifjorZu'khy ykxrksa esa vUrj dhft,A ;g Hksn D;ksa egRoiw.kZ gS \ 10 [ 10 ] MCO–05 ([k) ys[kkadu ekudksa ds mís'; ,oa egRo dk o.kZu dhft,A 10 2- ,d O;kikjh ds fuEufyf[kr ryiV ls vki o"kZ 31 ekpZ] 2023 dks O;kik fjd ,oa ykHk&gkfu [kkrk cukb, rFkk ml fnu fLFkfr fooj.k rS;kj dhft, % 20 31 ekpZ] 2023 dks ryiV fooj.k jkf'k (ukes) vkgj.k [kkrk 7,500 Iyk.V ,oa e'khujh (1-4-2022) 1,25,000 jgfr;k (1-4-2022) 19,250 Iyk.V ,oa e'khujh (1-10-2022) 6,250 Ø; 1,02,500 [ 11 ] MCO–05 foØ; okilh 2,500 fofo/k nsunkj 25,750 QuhZpj 6,200 HkkM+k 12,500 cká xkM+h HkkM+k 625 fdjk;k] nj ,oa dj 5,750 NikbZ ,oa LVs'kujh 1,000 O;kikfjd [kpZ 500 chek O;; 875 osru ,oa etnwjh 26,625 cSad esa udnh 25,675 gLrLFk jksdM+ 7,250 Mkd ,oa Vsyhxzke 1,000

Q11.76,750 [ 12 ] MCO–05 fooj.k jkf'k (tek) iw¡th 1,50,000 Ø; okilh 1,250 fofo/k ysunkj 22,500 foØ; 2,00,000 Mwcr ,oa lafnX/k ½.kksa ds fy, izko/kku 500 izkI; cêk 1,000 fdjk;k (30&9&2023 rd) 1,500

Q12.76,750 lek;kstuk,¡ %

(i) 31 ekpZ] 2023 dks jgfr;k dk ewY;kadu ` 15]000 FkkA [ 13 ] MCO–05

(ii) ` 750 ds Mwcr ½.k vifyf[kr dhft,A

(iii) 5% dh nj ls Mwcr ,oa lfUnX/k ½.kksa ds fy, izko/kku] fofo/k nsunkj ij djuk gSA

(iv) 2% dh nj ls nsunkjksa ij cês dk izko/kku dhft, ,oa ysunkjksa ij Hkh izko/kku dhft,A

(v) Iyk.V ,oa e'khujh ij 20% izfr o"kZ dh nj ls rFkk QuhZpj ij 5% dh nj ls Îkl yxkb,A

(vi) iwoZnÙk chek ` 125 dk gSA

(vii) nq?kZVuk esa ` 6,250 dk eky iw.kZr;k [kjkc gks x;kA chek dEiuh us 28-3-2023 dks ` 5,000 dk nkok Lohdkj fd;kA 3- jksdM+ izokg fooj.k D;k gS \ jksdM+ izokg fooj.k rS;kj djus dh rduhd dk o.kZu dhft,A 5+15 [ 14 ] MCO–05 4- ekLVj ctV ls vki D;k le>rs gSa \ dkYifud vk¡dM+ksa ds lg;ksx ls blds ?kVdksa dk o.kZu dhft,A 5+15 5- fuEufyf[kr vuqeku ls 31 ekpZ] 2023 dh lekIr gksus okys frekgh ds fy, foØ; mifjO;; ctV cukb, % 20 foKkiu 12,500 foØ; foHkkx dk osru 25,000 foØ; foHkkx dk O;; 7,500 f[kM+dh ij foØ;drkZ dk osru ,oa HkÙks 30,000 f[kM+dh ij foØ; drkZ dks mlds }kjk dh xbZ fcØh ij 1% dh nj deh'ku gSA ;k=k foØ;drkZ dks muds }kjk dh xbZ fcØh ij 10% dh nj ls deh'ku izkIr djus dk vf/kdkj gS rFkk blds ckn 5% dh nj ls [kpsZ izkIr djrk gS % [ 15 ] MCO–05 izkUrh;@{ks=h; fcØh f[kM+dh ij fcØh ;k=k foØ; drkZ }kjk fcØh (`) dqy vuqekfur fcØh (`) A 4,00,000 50,000 4,50,000 B 6,00,000 75,000 6,75,000 C 7,00,000 1,00,000 8,00,000 6- mÙkjnkf;Ro ys[kkadu iz.kkyh esa fu;U=.kh; ,oa vfu;U=.kh; ykxrksa dks dSls fu;fU=r fd;k tk ldrk gS \ mfpr mnkgj.kksa dh lgk;rk ls le>kb,A 10$10 7-

(d) lQy fjiks²Vx dh vfuok;Zrkvksa dk o.kZu dhft,A ([k) mRiknu ds oSdfYid fof/k;ksa esa izklafxd ykxr ds vuqiz;ksx vkSj l a;U= cUn djus ds fu.kZ; ij ppkZ dhft,A 10 [ 16 ] MCO–05 8- fuEufyf[kr esa ls fdUgha nks ij fVIif.k;k¡ fyf[k, % 10$10

(d) foÙkh; ys[kkadu dh lhek,¡ ([k) 'kwU; vk/kkfjr ctfVax (x) i;kZoj.k ys[kkadu (?k) ykxr&ek=k&ykHk fo'ys"k.k