( 1 ) IN this reference under Section 256 (2) of the I. T. Act, 1961, we are concerned with two assessment years, being the assessment years 1968-69 and 1969-70. The assessee-company maintained its accounts for the relevant previous years ended on 31st December, 1968, and 31st December, 1969, respectively. The ITO completed the two assessments by including Rs. 1,36,170 as interest receivable from M/s. Associated Industries (Assam) Ltd. on accrual basis as the system of accounting followed by the assessee-company so long was mercantile. In this connection, it will be relevant to refer to certain portions of the assessment orders. In the assessment order for the year 1968-69 dealing with business, it was mentioned, inter alia, as follows :" Business Rs. Net profit as per profit and loss account AM 40,504 Bad debts -- unrealisable advance, not to be allowed as bad debt in the four of such advances does not conform to the provision of sec. 36 (2) 4,313"again, dealing with income from other sources, it was provided in the said order, inter alia, as follows :" Other Sources Rs. Rent from sub-tenants 42,650 Interest as per profit and loss a/c. 8,331 Interest recei