Quote Originally Posted by Fujin

Both. As it specifes on page 15 of the rulebook "If you defeated the last monster in the room in which you are located, you may immediately draw the top two loot from that room into your Loot Stash. This is a bonus, above and beyond any Loot you would normally pick up at the beginning or ending of your turn."

Or, in brief, the battle-loot isn't considered "loot you pick up." Its bonus :).
This is the way I interpreted it at first too, but when I was re-reading the rules I saw this on page 25 in the "Picking Up Loot" example box:

"Roy immediately picks up the top two, as his bonus for killing the last Monster. He cannot pick up a third, even though he did not pick up any Loot before moving."

Why not?? ???

Another question: Is picking up Loot the only thing that you can't do BOTH at the beginning AND end of your turn? For example, could I equip Loot at the beginning of my turn, move, battle, collect loot, and then equip Loot again? Could I do the same thing with turning in monsters for shticks?

Thanks for this thread and the FAQ! They've answered a lot of my other questions (like about flying) already.

edit: I thought of another one. With a 2-player game, the first player adds 2 monsters to the battle stack and then the second player adds one if the battle size is 3 or more. If it's more than 3, does it keep alternating 2-1-2-1-2-1... or does the first player only play 2 monsters the first time so the order is 2-1-1-1-1...?