Question:medium

While reconciliation of cost and financial accounts for calculating profits as per Financial Accounts from Profits as per Cost Accounts, which of the following purely financial items are deducted? A. Interest on loans or bank mortgages
B. Interest received on bank deposits, loans and investments
C. Expenses and discounts on issue of shares, debentures etc.
D. Loss by fire not covered by insurance
E. Rent Receivables

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Logic Tip: Financial expenses are deducted while financial incomes are added during reconciliation.

Updated On: May 29, 2026

A and C only
A, C and D only
B and E only
C, D and E only

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The Correct Option is B

Solution and Explanation

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