Would interest-bank borrowings considered as borrowing cost

Reference no: EM13258777

M/S XYZ started a business of expensive jewelry and invested in this business by borrowing funds of Rs. 4.5 million @ 7 % p.a for the period of three years from a local bank. Identify with solid reason(s), would the expensive jewelry be considered as "Qualifying Assets" according to the Standard? Would the interest on bank borrowings considered as the "Borrowing Cost"?

Reference no: EM13258777

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