Home  »  Company  »  Adcon Capital Servic  »  Quotes  »  Accounting Policy
Enter the first few characters of Company and click 'Go'

Accounting Policies of Adcon Capital Services Ltd. Company

Mar 31, 2014

A. Corporate Information:

Adcon Capital Services Limited ("the company") is a NBFC Company domiciled in India and incorporated under the provisions of Companies Act, 1956 and Registered with Reserve Bank of India as Non Deposit Accepting Company. The Company is presently operating in financial services viz. Capital market operations, corporate financing, Investment and trading, Project and management consultancy services of financing etc.

B. Basis Of Preparation Of Financial Statement:

The financial statements of the company have been prepared in accordance with Generally Accepted Accounting Principles in India (Indian GAAP) to comply with the Accounting Standards notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956.

The financial statements have been prepared on accrual basis under historical cost convention and going concern basis. The accounting policies adopted in the preparation of financial statements are consistent with those followed in the previous year.

C. Inventories:

The nature of business carried by the Company does not requires it to store inventories and such no comments are made for the valuation method of inventories.

D. Tangible Assets And Depreciation:

a) Fixed Assets:

Fixed Assets are stated at cost of acquisition including any attributable cost for bringing the assets to its working condition for its intended use, less accumulated depreciation and impairment losses , if any.

b) Depreciation:

Depreciation on fixed assets is provided on written down value method at the rates specified in Schedule 'XIV' of the Companies Act, 1956.

Depreciation on additions deletions to the fixed assets during the year is provided on pro-rata basis from to the date of such additions deletions as the case may be.

E. Investments:

Long Term Investments are valued at cost. Diminution in value if any, which is of a temporary nature, is not provided. However, the Company has no Long Term Investments.

Current Investments are carried at lower of cost or fair market value.

F. Cash & Cash Equivalent:

Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

G. Cash Flow Statement:

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

H. Employees Benefit Expenses:

As per management's view none of the current employees shall complete their term of service of five years, hence actual valuation of gratuity is not done.

I. Sundry Debtors and Receivables:

Sundry Debtors and Loans and Advances are stated at the value if realized in the ordinary course of business. Irrecoverable amounts, if any are accounted and / or provided for as per management's judgment or only upon final settlement of accounts with the parties.

J. Provisions, Contingent Liabilities and Contingent Assets:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the financial statements.

K. Taxes on Income:

Provision for income tax is made on the basis of estimated taxable income for the year at current rates.

Current Tax represents the amount of income tax payable in respect of the taxable income for the reporting period as determined in accordance with the provisions of the income tax act, 1961.

Deferred tax is measured based on the tax rates and the tax laws enacted or subsequently enacted at the Balance sheet date. Deferred tax is recognized on timing differences, being the differences between the taxable income and the accounting income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off. Deferred tax assets and deferred tax liabilities relate to the taxes on income levied by the same governing taxation laws. Deferred tax assets are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred assets can be realized. If the Company has carry forward unabsorbed depreciation or carry forward tax losses, deferred tax assets are recognized only if there is a virtual certainty supported by convicting evidences that they can be realized against future taxable profits. Unrecognized deferred tax assets of earlier year are re-assessed and recognized to the extent that it has become reasonably certain that future taxable income will be available against which such deferred tax assets can be realized.

L. Revenue recognition:

a) Revenue (Income) is recognized when no significant uncertainty as to measurability or collectability exists.

b) Interest income is accounted for on an accrual basis. Dividend income is accounted for when the right to receive income is established.

M. Miscellaneous Expenditure:

Miscellaneous Expenditure / preliminary expenses comprising of share issue expenses are written off in five equal installments.


Mar 31, 2013

A. Corporate Information:

Adcon Capital Services Limited ("the company") is a NBFC Company domiciled in India and incorporated under the provisions of Companies Act, 1956 and Registered with RBI. The Company is presently operating in financial services viz. Capital market operations, corporate financing, Investment and trading, Project & management consultancy services of financing etc. The company is listed on Madhya Pradesh Stock Exchange (MPSE).

B. Basis Of Preparation Of Financial Statement:

The financial statements of the company have been prepared in accordance with Generally Accepted Accounting Principles in India (Indian GAAP) to comply with the Accounting Standards notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956.

The financial statements have been prepared on accrual basis under historical cost convention and going concern basis. The accounting policies adopted in the preparation of financial statements are consistent with those followed in the previous year.

C. Inventories:

The nature of business carried by the Company does not requires it to store inventories and such no comments are made for the valuation method of inventories.

D. Tangible Assets And Depreciation:

a) Fixed Assets:

Fixed Assets are stated at cost of acquisition including any attributable cost for bringing the assets to its working condition for its intended use, less accumulated depreciation and impairment losses , if any.

b) Depreciation:

Depreciation on fixed assets is provided on written down value method at the rates specified in Schedule 'XIV' of the Companies Act, 1956.

Depreciation on additions deletions to the fixed assets during the year is provided on pro-rata basis from to the date of such additions deletions as the case may be.

E. Investments:

Long Term Investments are valued at cost. Diminution in value if any, which is of a temporary nature, is not provided. However, the Company has no Long Term Investments.

Current Investments are carried at lower of cost or fair market value.

F. Cash & Cash Equivalent:

Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

G. Cash Flow Statement:

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

H. Employees Benefit Expenses:

As per management's view none of the current employees shall complete their term of service of five years, hence actual valuation of gratuity is not done.

I. Sundry Debtors and Receivables:

Sundry Debtors and Loans and Advances are stated at the value if realized in the ordinary course of business. Irrecoverable amounts, if any are accounted and / or provided for as per management's judgment or only upon final settlement of accounts with the parties.

J. Provisions, Contingent Liabilities and Contingent Assets:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the financial statements.

K. Taxes on Income:

Provision for income tax is made on the basis of estimated taxable income for the year at current rates.

Current Tax represents the amount of income tax payable in respect of the taxable income for the reporting period as determined in accordance with the provisions of the income tax act, 1961.

Deferred tax is measured based on the tax rates and the tax laws enacted or subsequently enacted at the Balance sheet date. Deferred tax is recognized on timing differences, being the differences between the taxable income and the accounting income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off. Deferred tax assets and deferred tax liabilities relate to the taxes on income levied by the same governing taxation laws. Deferred tax assets are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred assets can be realized. If the Company has carry forward unabsorbed depreciation or carry forward tax losses, deferred tax assets are recognized only if there is a virtual certainty supported by convicting evidences that they can be realized against future taxable profits. Unrecognized deferred tax assets of earlier year are re-assessed and recognized to the extent that it has become reasonably certain that future taxable income will be available against which such deferred tax assets can be realized.

L. Revenue recognition:

a) Revenue (Income) is recognized when no significant uncertainty as to measurability or collectability exists.

b) Interest income is accounted for on an accrual basis. Dividend income is accounted for when the right to receive income is established.

M. Miscellaneous Expenditure:

Miscellaneous Expenditure / preliminary expenses comprising of share issue expenses are written off in five equal installments.

(c) As per shareholders register, there are no shareholders holding more than 5% of shares in the Company for the Financial Year 2012-13 and 2011-12.

(d )Terms/rights attached to equity shares

The company has only one class of shares i.e. equity shares having par value of Rs. 10 per share. Each holder of equity share is entitled to vote per share.


Mar 31, 2012

1. General:

a) Financial Statements are prepared on historical cost basis and in consonance with the Generally Accepted Accounting Principles in India.

b) All revenues and expenses are accounted on accrual basis except to the extent stated otherwise.

2. Miscellaneous Expenditure:

Miscellaneous Expenditure comprising of share issue expenses are written off in five equal installments.

3. Fixed Assets and Depreciation:

a) Fixed Assets:

Fixed Assets are stated at cost of acquisition and other direct cost incurred up to the date the assets is put to use.

b) Depreciation:

Depreciation on fixed assets is provided on written down value method at the rates specified in Schedule 'XIV of the Companies Act, 1956.

Depreciation on add it ions deletions to the fixed assets during the year is provided on pro-rata basis from to the date of such additions deletions as the case may be.

4. Investments:

Long Term Investments are valued at cost. Diminution in value if any, which is of a temporary nature, is not provided.

5. Sundry Debtors and Receivables :

Sundry Debtors and Loans and Advances are stated at the value if realized in the ordinary course of business. Irrecoverable amounts, if any are accounted and / or provided for as per management's judgment or only upon final settlement of accounts with the parties.

6. Provisions, Contingent Liabilities and Contingent Assets:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the financial statements.


Mar 31, 2011

1. General:

a) Financial Statements are prepared on historical cost basis and in consonance with the generally accepted accounting principles.

b) All revenues and expenses are accounted on accrual basis except to the extent stated otherwise.

2. Miscellaneous Expenditure:

Miscellaneous Expenditure comprising of share issue expenses are written off in five equal installments.

3. Fixed Assets and Depreciation:

a) Fixed Assets

Fixed Assets are stated at cost of acquisition and other direct cost incurred up to the date the assets is put to use.

b) Depreciation

Depreciation on fixed assets is provided on written down value method at the rates specified in Schedule 'XIV' of the Companies Act, 1956.

Depreciation on additions deletions to the fixed assets during the year is provided on pro-rata basis from to the date of such additions deletions as the case may be.

4. Investments:

Long Term Investments are valued at cost. Diminution in value if any, which is of a temporary nature, is not provided.

5. Sundry Debtors and Receivables :

Sundry Debtors and Loans and Advances are stated at the value if realized in the ordinary course of business. Irrecoverable amounts, if any are accounted and / or provided for as per management's judgment or only upon final settlement of accounts with the parties.

6. Provisions, Contingent Liabilities and Contingent Assets:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the financial statements.

 
Subscribe now to get personal finance updates in your inbox!