A manufacturing company has disclosed a net loss of 3,15,000 as per their cost accounting records for the year ended March 31, 2025. However, their…

A manufacturing company has disclosed a net loss of 3,15,000 as per their cost accounting records for the year ended March 31, 2025. However, their financial accounting records disclosed a net loss of 3,70,000 for the same period. A scrutiny of both sets of books revealed the following information: Particulars Amount (₹) (i) Factory overheads under-absorbed 8,000 (ii) Administration overheads over-absorbed 5,000 (iii) Depreciation charged in financial accounts 75,000 (iv) Depreciation charged in cost accounts 90,000 (v) Interest on investments (not included in cost accounts) 25,000 (vi) Income-tax provided in financial accounts 80,000 (vii) Transfer fees (credit in financial accounts) 3,000 (viii) Preliminary expenses written off (financial accounts only) 5,000 (ix) Overvaluation of closing stock of finished goods in cost accounts 10,000 PREPARE a Memorandum Reconciliation Account to reconcile the results shown by the cost and financial accounts.