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DIFFERNCE BETWEEN RESERVE AND FUND?

Answer Posted / vikas gupta

Reserve: It is the sum of amount that is created out of
profits gained from the current year for the UNKNOWN NATURE
of losses e.g. Reserve & Surplus.

Fund: It is the sum of amount that is created for the KNOWN
NATURE of losses e.g. provision for bad and doubtful debts,
depreciation fund etc.

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