Hello Shivam
Take a look at the following diagram:
Imagine you have control over R1 but R2 belongs to another organization. You want to configure RIP so that incoming traffic to the 1.1.10/24 network will prefer the Fe0/0 interface instead of the Fe0/1 interface. You can configure the following:
R1(config)#router rip
R1(config-router)#offset-list 1 out 5 fastethernet 0/1
You see that you can indicate the exit interface via which the offset list will be applied. Now don’t confuse inbound traffic with the out keyword. The out keyword refers to the direction of the RIP update (out of the Fe0/1 interface of R1) and not the direction of the traffic, which is inbound.
This is simply a creation of a second access list that will match the prefix 11.11.11.0/24 (the other loopback of R1) in order to apply a second offset list in R2.
I hope this has been helpful!
Laz