Master in Commerce – MCOM Second Year Solved Assignments for July 2020 and January 2021 Admission Cycles
MCOM Tutor Marked Solved Assignment
Course Code : MCO – 05
Course Title : Accounting of Managerial Decisions
Assignment Code : MCO-05/TMA/2020-21
Coverage : All Blocks
MCO-05 : Accounting of Managerial Decisions Free Solved Assignment for 2020-21
Following are the questions of MCO-05 : Accounting of Managerial Decisions of IGNOU – MCOM Second Year Assignment for 2020-21 session. To download answers of all the questions of this assignment in English click on the question, subject to availability of answer, you can view or download the answer there.
Question 1. (a) The elements of cost can be presented in the form of a statement called ‘Cost Sheet’. Comment. Prepare a proforma of cost sheet showing the important components.
Question 1. (b) Briefly explain the issues addressed under Strategic Cost Management.
Question 2. (a) Differentiate between fixed and flexible budgeting.
Question 2. (b) Define budgeting and budgetary control. What are the essentials of establishment of
Budgeting system?
Question 3. Prepare a Cash Flow statement from the following balance sheet of ABC Sugars Ltd.
| Liabilities | 2018 | 2019 | Assets | 2018 | 2019 |
| Share Capital | 4,00,000 | 5,00,000 | Machinery | 5,00,000 | 7,00,000 |
| General Reserve | 1,25,000 | 1,35,000 | Long Term Investments | 70,000 | 56,000 |
| P&L A/c | 1,10,000 | 1,90,000 | Stock | 2,10,000 | 2,80,000 |
| 12% Debenture | 2,00,000 | 1,50,000 | Debtors | 1,40,000 | 1,14,000 |
| 14% Mortgage Loan | 1,00,000 | 1,60,000 | Cash | 20,000 | 40,000 |
| Creditors | 80,000 | 95,000 | Bank | 50,000 | 20,000 |
| Share Issue Expenses | 25,000 | 20,000 | |||
| 10,15,000 | 12,30,000 | 10,15,000 | 12,30,000 |
Total interest paid during the year amounted to Rs. 37,800
Question 4. (a) What do you understand by Standard Costing? Explain the advantages and limitations of Standard Costing.
Question 4. (b) What is Break Even analysis? Explain the different methods of computing break-even point?
Question 5. Calculate the following ratios from the details given below:
a) Current ratio
b) Quick ratio
c) Operating ratio
d) Gross profit ratio
Details:
Current assets: Rs.70,000
Net working capital: Rs. 30,000
Inventories: Rs. 30,000
Sales: Rs. 1,40,000
Cost of goods sold: Rs. 68,000