Mar 31, 2014
1(a) Accounting Conventions:
The financial statements have been prepared under the historical cost
convention on accrual basis, except where specifically stated
otherwise. These have been prepared in accordance with applicable
Accounting Standards and relevant provisions of the Companies Act,
1956.
1(b) Fixed Assets:
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of cost of acquisition and any attributable expenses incurred
for the purpose of bringing the assets to its present condition for its
intended use.
1(c) Depreciation on Fixed Assets:
a. Depreciation on Fixed Assets acquired upto 31st March, 1987 are
being provided on straight line method at the rate prevalent at the
time of acquisition of such assets in accordance with Circular No. 1 of
1986 (1 -86-CL-V) dated 21st May, 1 986 of the Company Law Board.
b. On assets acquired on or after 1st April, 1987, the depreciation
has been provided on straight line method at the rates prescribed in
Schedule XIV of the Companies (Amendment) Act, 1988, except that on
Assets acquired on or after 16th December, 1993, the rates as amended
by Ministry of Law, Justice and Company Affairs notification dated
10.12.1993 have been provided.
c. On assets acquired / sold during the year, the depreciation is
being provided on prorate basis.
1(d) Inventories:
The inventories of diagnostic consumable and trading goods are stated
at cost or net realisable value, whichever is lower. The method used in
determining the cost of inventories is First In First Out.
1(e) Foreign Currency Transactions:
All foreign currency transactions are accounted for at the rates
prevailing on the date of such transactions. Exchange fluctuation in
foreign currency transactions other than those relating to Fixed Assets
are recognized to the Profit and Loss Account. Exchange fluctuation in
relation to Fixed Assets are apportioned to the original cost of such
assets acquired. Other assets and liabilities are restated at the rate
prevailing at the year end and the profit / loss is credited / charged
to the Profit and Loss Account.
1(f) Use of Estimates:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and the disclosure of contingent liabilities as at the date
of the financial statements and reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
these estimates. Any revision to accounting estimates is recognised
prospectively in current and future periods.
1(g) Bonus:
Bonus paid to the employees is being accounted for on cash basis.
1(h) Employee Benefits:
(i) Short Term Employee Benefits:
a. The undiscounted amount of short term employee benefits, such as
medical benefits, casual leave etc. which are expected to be paid in
exchange for the services rendered by employees are recognized during
the period when the employee renders the service.
(ii) Long Term Employee Benefits:
a. Provision for Leave Encashment, which can be accumulated over the
tenure the employment or can be claimed as encashment during the period
of employment, at the discretion of the employee, is made / accounted
for on the basis of the amount due to the employees in respect of the
earned leaves standing to their credit at the year end.
(iii) Post Employment Benefits:
a. The Company provides Provident Fund as post employment benefit
to all its employees which is a defined contribution plan. The
annual contribution to Employee Provident Fund Organization is
charged to the Profit and Loss Account of the year to which the
contribution relates.
b. The Company''s annual contribution to State Plan viz. Employees''
Pension Scheme, 1995 are also charged to the Profit and Loss
Account of the year to which the contribution relates.
c. The Company provides for Gratuity which is a defined benefit
plan. The liability is determined on the basis of actuarial
valuation under the projected unit credit method at the balance
sheet date. The Gratuity is funded under the Group Gratuity
Scheme with the Life Insurance Corporation of India under an
irrevocable trust for making provision of gratuity payable on
resignation / retirement / death of the employees, under the
provisions of the Payment of the Gratuity Act, 1972. Actuarial
gains and losses comprise of experience adjustments and
the effects of changes in actuarial assumptions, and are
recognized immediately in the Profit and Loss Account as income
or expense.
1(i) Revenue Recognition:
i. From patients on completion of the Diagnostic Procedure.
ii. From Sale of Trading Goods on transfer of title in the goods to
the buyers.
iii. From Service Contracts on pro-rata basis over the period of the
Contract.
iv. From Installation and Commissioning Contracts on completion of
the Product Service.
v. From Commission Income as per the Contract or in Receipt of
Credit Note.
vi. From Interest Income on Time Proportion Basis.
1(j) Taxation:
a. The provision for income tax is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
b. The provision for deferred tax is recognised, subject to the
consideration of prudence, on timing differences, being the
differences between taxable income and accounting income that
originate in one period and are capable of reversal in one or more
subsequent periods.
1(k) Borrowing Cost:
Borrowing Costs that are attributable to the acquisition of
qualifying assets are capitalized as part of the cost of such assets
upto the date, the assets are ready for their intended use.
All other borrowing costs are recognised as an expense in the year in
which they are incurred.
1(1) Impairment:
Fixed Assets are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. Whenever the carrying amount of an asset exceeds its
recoverable amount, an impairment loss is recognised in the income
statement for the items of fixed assets carried at cost. The
recoverable amount is the higher of an asset''s net selling price and
value in use. The selling price is the amount obtained from the sale of
an asset in an arms length transaction while value in use is the
present value of estimated future value cash flows expected to arise
from the continuing use of an asset, from its disposal at the end of
its useful life. Recoverable amounts are estimated for individual
assets or, if not possible, for the cash generating unit.
Impairment loss recognised for an asset in earlier accounting periods
is reversed, to the extent of its recoverable amount, if there has been
a change in the estimates used to determine the asset''s recoverable
amount since the last impairment loss was recognised.
1 (m) Contingent Liabilities and Assets:
The Company recognizes provisions only when it has a present obligation
as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the
obligation, when a reliable estimate of the amount of the obligation
can be made.
No Provision is recognized for:
i. any possible obligation that arises from past events and the
existence of which will be confirmed only by the occurrence or
non-occurrence of one or more uncertain future events not wholly within
the control of the Company; or
ii. any present obligation that arises from past events but is not
recognized because
a. it is not probable that an outflow of resources embodying economic
benefits will be required to settle the obligation; or
b. a reliable estimate of the amount of obligation cannot be made.
Such obligations are recorded as Contingent Liabilities. These are
assessed at regular intervals and only that part of the obligation for
which an outflow of resources embodying economic benefits is probable,
is provided for, except in the extremely rare circumstances where no
reliable estimate can be made.
Contingent Assets are not recognized in the financial statements as
this may result in the recognition of income that may never be
realized.
1(n) Earning Per Share:
Basic and Diluted Earnings per Share is computed in accordance with
Accounting Standard (AS-20) - "Earning Per Share" issued by the
Institute of Chartered Accountants of India. Basic Earning per Share is
computed by dividing the net profit after tax by the weighted average
number of equity shares outstanding during the year. Diluted Earning
per Share reflect the potential dilution that could occur, if
securities or contracts to issue equity shares were exercised or
converted during the year. Diluted Earnings per Share is computed using
the weighted average number of equity shares outstanding during the
year and dilutive potential equity shares outstanding at the year end.
Mar 31, 2013
1 (a) Accounting Conventions:
The financial statements have been prepared under the historical cost
convention on accrual basis, except where specifically stated
otherwise. These have been prepared in accordance with applicable
Accounting Standards and relevant provisions of the Companies Act,
1956.
1 (b) Fixed Assets:
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of cost of acquisition and any attributable expenses incurred
for the purpose of bringing the assets to its present condition for its
intended use.
1 (c) Depreciation on Fixed Assets:
a. Depreciation on Fixed Assets acquired upto 31st March, 1987 are
being provided on straight line method at the rate prevalent at the
time of acquisition of such assets in accordance with Circular No. 1 of
1986 (1-86-CL-V) dated 21st May, 1986 of the Company Law Board.
b. On assets acquired on or after 1st April, 1987, the depreciation
has been provided on straight line method at the rates prescribed in
Schedule XTV of the Companies (Amendment) Act, 1988, except that on
Assets acquired on or after 16th December, 1993, the rates as amended
by Ministry of Law, Justice and Company Affairs notification dated
10.12.1993 have been provided.
c. On assets acquired / sold during the year, the depreciation is
being provided on prorate basis.
1 (d) Inventories:
The inventories of diagnostic consumable and trading goods are stated
at cost or net realisable value, whichever is lower. The method used in
determining the cost of inventories is First In First Out.
1 (e) Foreign Currency Transactions:
All foreign currency transactions are accounted for at the rates
prevailing on the date of such transactions. Exchange fluctuation in
foreign currency transactions other than those relating to Fixed Assets
are recognized to the Profit and Loss Account. Exchange fluctuation in
relation to Fixed Assets are apportioned to the original cost of such
assets acquired. Other assets and liabilities are restated at the rate
prevailing at the year end and the profit / loss is credited / charged
to the Profit and Loss Account.
1 (f) Use of Estimates:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and the disclosure of contingent liabilities as at the date
of the financial statements and reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
these estimates. Any revision to accounting estimates is recognised
prospectively in current and future periods.
1 (g) Bonus:
Bonus paid to the employees is being accounted for on cash basis.
1 (h) Employee Benefits:
(i) Short Term Employee Benefits:
a. The undiscounted amount of short term employee benefits, such as
medical benefits, casual leave etc. which are expected to be paid in
exchange for the services rendered by employees are recognized during
the period when the employee renders the service.
(ii) Long Term Employee Benefits:
a. Provision for Leave Encashment, which can be accumulated over the
tenure the employment or can be claimed as encashment during the period
of employment, at the discretion of the employee, is made / accounted
for on the basis of the amount due to the employees in respect of the
earned leaves standing to their credit at the year end.
(iii) Post Employment Benefits:
a. The Company provides Provident Fund as post employment benefit to
all its employees which is a defined contribution plan. The annual
contribution to Employee Provident Fund Organization is charged to the
Profit and Loss Account of the year to which the contribution relates.
b. The Company''s annual contribution to State Plan viz. Employees''
Pension Scheme, 1995 are also charged to the Profit and Loss Account of
the year to which the contribution relates.
c. The Company provides for Gratuity which is a defined benefit plan.
The liability is determined on the basis of actuarial valuation under
the projected unit credit method at the balance sheet date. The
Gratuity is funded under the Group Gratuity Scheme with the Life
Insurance Corporation of India under an irrevocable trust for making
provision of gratuity payable on resignation / retirement / death of
the employees, under the provisions of the Payment of the Gratuity Act,
1972. Actuarial gains and losses comprise of experience adjustments and
the effects of changes in actuarial assumptions, and are recognized
immediately in the Profit and Loss Account as income or expense.
1 (i) Revenue Recognition:
i. From patients on completion of the Diagnostic Procedure.
ii. From Sale of Trading Goods on transfer of title in the goods to
the buyers.
iii. From Service Contracts on pro-rata basis over the period of the
Contract.
iv. From Installation and Commissioning Contracts on completion of the
Product Service.
v. From Commission Income as per the Contract or in Receipt of Credit
Note.
vi. From Interest Income on Time Proportion Basis. 1 (j) Taxation:
a. The provision for income tax is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
b. The provision for deferred tax is recognised, subject to the
consideration of prudence, on timing differences, being the differences
between taxable income and accounting income that originate in one
period and are capable of reversal in one or more subsequent periods.
1 (k) Borrowing Cost:
Borrowing Costs that are attributable to the acquisition of qualifying
assets are capitalized as part of the cost of such assets upto the
date, the assets are ready for their intended use. All other borrowing
costs are recognised as an expense in the year in which they are
incurred.
1 (1) Impairment:
Fixed Assets are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. Whenever the carrying amount of an asset exceeds its
recoverable amount, an impairment loss is recognised in the income
statement for the items of fixed assets carried at cost. The
recoverable amount is the higher of an asset''s net selling price and
value in use. The selling price is the amount obtained from the sale of
an asset in an arms length transaction while value in use is the
present value of estimated future value cash flows expected to arise
from the continuing use of an asset, from its disposal at the end of
its useful life. Recoverable amounts are estimated for individual
assets or, if not possible, for the cash generating unit.
Impairment loss recognised for an asset in earlier accounting periods
is reversed, to the extent of its recoverable amount, if there has been
a change in the estimates used to determine the asset''s recoverable
amount since the last impairment loss was recognised.
1 (m) Contingent Liabilities and Assets:
The Company recognizes provisions only when it has a present obligation
as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the
obligation, when a reliable estimate of the amount of the obligation
can be made.
No Provision is recognized for:
i. any possible obligation that arises from past events and the
existence of which will be confirmed only by the occurrence or non-
occurrence of one or more uncertain future events not wholly within the
control of the Company; or
ii. any present obligation that arises from past events but is not
recognized because
a. it is not probable that an outflow of resources embodying economic
benefits will be required to settle the obligation; or
b. a reliable estimate of the amount of obligation cannot be made.
Such obligations are recorded as Contingent Liabilities. These are
assessed at regular intervals and only that part of the obligation for
which an outflow of resources embodying economic benefits is probable,
is provided for, except in the extremely rare circumstances where no
reliable estimate can be made.
Contingent Assets are not recognized in the financial statements as
this may result in the recognition of income that may never be
realized.
1 (n) Earning Per Share:
Basic and Diluted Earnings per Share is computed in accordance with
Accounting Standard (AS-20) - "Earning Per Share" issued by the
Institute of Chartered Accountants of India. Basic Earning per Share is
computed by dividing the net profit after tax by the weighted average
number of equity shares outstanding during the year. Diluted Earning
per Share reflect the potential dilution that could occur, if
securities or contracts to issue equity shares were exercised or
converted during the year. Diluted Earnings per Share is computed using
the weighted average number of equity shares outstanding during the
year and dilutive potential equity shares outstanding at the year end.
Mar 31, 2012
1(a) Accounting Conventions:
The financial statement have been prepared under the historical cost
convention on accrual basis, except where specifically stated
otherwise. These have been prepared in accordance with applicable
Accounting Standards and relevant provisions of the Companies Act,
1956.
1(b) Fixed Assets:
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of cost of acquisition and attributable expenses incurred for
the purpose of bringing the assets to its present for its intended use.
1(c) Depreciation on Fixed Assets:
a. Depreciation on Fixed Assets acquired upto 31st March, 1987 are
being provided on straight line method at the rate prevalent at the
time of acquisition of such assets in accordance with Circular No. 1 of
1986 (1-86-CL-V) dated 21st May, 1986 of the Company Law Board.
b. On assets acquired on or after 1st April, 1987, the depreciation has
been provided on straight line method at the rates prescribed in
Schedule XIV of the Companies (Amendment) Act, 1988, except that on
Assets acquired on or after 16th December, 1993, the rates as amended
by Ministry of Law, Justice and Company Affairs notification dated
10.12.1993 have been provided.
c. On assets acquired / sold during the year, the depreciation is being
provided on prorate basis.
1(d) Inventories:
The inventories of diagnostic consumable and trading goods are stated
at cost or net realisable value, whichever is lower. The method used in
determining the cost of inventories is First In First Out.
1(e) Foreign Currency Transactions:
All foreign currency transactions are accounted for at the rates
prevailing on the date of such transactions. Exchange fluctuation in
foreign currency transactions other than those relating to Fixed Assets
are recognized to the Profit and Loss Account. Exchange fluctuation in
relation Fixed Assets are apportioned to the original cost of such
assets acquired. Other assets and liabilities are restated at the rate
prevailing at the year end and the profit/loss is credited/ charged to
the Profit and Loss Account.
1(f) Use of Estimates:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the report amounts of assets and
liabilities and the disclosure of contingent liabilities as at the date
of the financial statements and reported amounts of revenue and
expenses during the reporting period. Actual results could differ from
these estimates. Any revision to accounting estimates is recognised
prospectively in current and future periods.
1(g) Bonus:
Bonus paid to the employees is being accounted for on cash basis.
1(h) EMPLOYEE BENEFITS
(i) Short term Employee Benefits :
a. The undiscounted amount of Short-term Employee Benefits, such as
medical benefits, casual leave etc. which are expected to be paid in
exchange for the services rendered by employees are recognised during
the period when the employee renders the service.
(ii)Long Term Employment Benefits:
a. Provision for leave Encashment, which can be accumulated over the
tenure the employment or can be claimed as encashment during the
period employment, at the discretion of the employee, is made/
accounted for on the basis of the amount due to the employees in
respect of the earned leaves standing to their credit at the year end.
ii) Post Employment Benefit:
a. The Company provides Provident Fund as post employment benefit to
all its employees which is a defined contribution plan. The annual
contribution to Employee Provident Fund Organization is charged to the
Profit and Loss Account of the year to which the contribution relates.
b. The Company's annual contribution to State Plan viz. Employee's
Pension Scheme, 1995 are also charged to the Profit and Loss Account of
the year to which the contribution relates.
c. The Company provides for Gratuity which is a defined benefit plan.
The liability is determined on the basis of actuarial valuation under
the projected unit credit method at the balance sheet date. The
Gratuity is funded under the Group Gratuity Scheme with the Life
Insurance Corporation of India under an irrevocable trust for making
provision of the Payment of the Gratuity Act, 1972. Actuarial gains and
losses comprise of experience adjustments and the effects of changes in
actuarial assumptions, and are recognized immediately in the Profit and
Loss Account as income or expense.
1 (i) Revenue Recognition:
i. From patients on completions of the Diagnostic Procedure.
ii. From Sale of Trading Goods on transfer of title in the goods to the
buyers.
iii. From Service Contracts on pro-rata basis over the period of the
contract.
iv. From Installation and Commissioning Contracts on completion of the
Product Service.
v. From Commission Income as per the Contract or in Receipt of Credit
Note.
vi. From Interest Income on Time Proportion Basis.
1(j) Taxation
a. The provision for income tax is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
b. The Provision for deferred tax is recognised, subject to the
consideration of prudence on timing differences being the differences
between taxable income and accounting income that originate in one
period and are capable of reversal in one or more subsequent periods.
1 (k) Borrowing Cost: Borrowing Cost that are attributable to the
acquisition of qualifying assets are capitalized as part of the cost f
such assets upto the date, the assets are ready for their intended use.
All other borrowing cost are recognized as an expense in the year in
which they are incurred.
1 (i) Impairment:
Fixed Assets are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of an asset exceeds its
recoverable amount, an impairment loss is recognised in the income
stated for the items of fixed assets carried at cost. The recoverable
amount is the higher of an asset's net selling price and value in use.
The selling price is the amount obtained from the sale of an assets in
an arms length transaction while value in use is the present value of
estimated future value cash flow expected to arise from the continuing
use of an asset, from its disposal at the end of its useful life.
Recoverable amounts are estimated for individual assets or, if not
possible, for the cash generating unit.
An impairment loss recognised for and asset in earlier accounting
periods is reversed, to the extent of its recoverable amount, if there
has been a change in the estimates used to determine the assets
recoverable amount since the impairment loss was recognised.
1 (m) Contingent Liabilities and Assets:
The Company recognizes provisions only when it has a present obligation
as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the
obligation, when a reliable estimate of the amount of the obligation
can be made.
No provision is recognized for:
i. any possible obligation that arises from past events and the
existence of which will be confirmed only by the occurrence or
non-occurrence of one or more uncertain future events not wholly within
the control of the Company; or
ii. any present obligation that arises from past events but is not
recognized because
a. it is not probable that an outflow of resources embodying economic
benefits will be required to settle the obligation; or
b. a reliable estimate of the amount of obligation cannot be made.
Such obligations are recorded as Contingent Liabilities. These are
assessed at regular intervals and only that part of the obligation for
which an outflow of resources embodying economic benefits is probable,
is provided for, except in the extremely rare circumstances where no
reliable estimate can be made.
Contingent Assets are not recognized in the financial statements as
this may result in the recognition of income that may never be
realized.
1 (n) Earnings Per Share:
Basic and Diluted Earnings Per Share is computed in accordance with
Accounting Standard(AS-20) - "Earnings Per Share" issued by the
Institute of Chartered Accountants of India. Basic Earnings per Share
is computed by dividing the net profit after tax by the weighted
average number of equity shares outstanding during the year. Diluted
Earnings Per Share reflect the potential dilution that could occur, if
securities or contracts to issue equity shares were exercised or
converted during the year. Diluted Earnings Per Share is computed using
the weighted average number of equity shares outstanding during the
year and dilutive potential equity shares outstanding at the year end.
Mar 31, 2011
1. Accounting Conventions:
The financial statements have been prepared under the historical cost
convention on accrual basis, except where specifically stated
otherwise. These have been prepared in accordance with applicable
Accounting Standards and relevant provisions of the Companies Act,
1956.
2. Fixed Assets:
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of cost of acquisition and any attributable expenses incurred
for the purpose of bringing the assets to its present condition for its
intended use.
3. Depreciation on Fixed Assets:
a. Depreciation on Fixed Assets acquired upto 31st March, 1987 are
being provided on straight line method at the rate prevalent at the
time of acquisition of such assets in accordance with Circular No. 1 of
1986 (1-86-CL-V) dated 21st May, 1986 of the Company Law Board.
b. On assets acquired on or after 1st April, 1987, the depreciation
has been provided on straight line method at the rates prescribed in
Schedule XIV of the Companies (Amendment) Act, 1988, except that on
Assets acquired on or after 16th December, 1993, the rates as amended
by Ministry of Law, Justice and Company Affairs notification dated
10.12.1993 have been provided.
c. On assets acquired / sold during the year, the depreciation is
being provided on prorate basis.
4. Inventories:
The Inventories of medicines, films, consumable, spares and trading
goods are stated at cost or net realisable value, whichever is lower.
The method used in determining the cost of inventories is First In
First Out.
5. Foreign Currency Transactions:
All foreign currency transactions are accounted for at the rates
prevailing on the date of such transactions. Exchange fluctuation in
foreign currency transactions other than those relating to Fixed Assets
are recognized to the Profit and Loss Account.
Exchange fluctuation in relation to Fixed Assets are apportioned to the
original cost of such assets acquired. Other assets and liabilities are
restated at the rate prevailing at the year end and the profit / loss
is credited / charged to the Profit and Loss Account.
6. Use of Estimates:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and the disclosure of contingent liabilities as at the date
of the financial statements and reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
these estimates. Any revision to accounting estimates is recognised
prospectively in current and future periods.
7. Bonus:
Bonus paid to the employees is being accounted for on cash basis.
8. Employee Benefits:
A. Short Term Employee Benefits:
i) The undiscounted amount of short term employee benefits, such as
medical benefits, casual leave etc. which are expected to be paid in
exchange for the services rendered by employees are recognized during
the period when the employee renders the service.
B. Long Term Employee Benefits:
i. Leave Encashment :
Provision for Leave Encashment, which can be accumulated over the
tenure the employment or can be claimed as encashment during the period
of employment, at the discretion of the employee, is made / accounted
for on the basis of the amount due to the employees in respect of the
earned leaves standing to their credit at the year end.
C. Post Employment Benefits:
a. Provident Fund
The Company provides Provident Fund as post employment benefit to all
its employees which is a defined contribution plan. The annual
contribution to Employee Provident Fund Organization is charged to the
Profit and Loss Account of the year to which the contribution relates.
b. Family Pension :
The Company's annual contribution to State Plan viz. Employees' Pension
Scheme, 1995 are also charged to the Profit and Loss Account of the
year to which the contribution relates.
c. Gratuity :
The Company provides for Gratuity which is a defined benefit plan. The
liability is determined on the basis of actuarial valuation under the
projected unit credit method at the balance sheet date. The Gratuity is
funded under the Group Gratuity Scheme with the Life Insurance
Corporation of India under an irrevocable trust for making provision of
gratuity payable on resignation / retirement / death of the employees,
under the provisions of the Payment of the Gratuity Act, 1972.
Actuarial gains and losses comprise of experience adjustments and the
effects of changes in actuarial assumptions, and are recognized
immediately in the Profit and Loss Account as income or expense.
9. Revenue Recognition:
i. Revenue from patients is recognised on completion of the Diagnostic
Procedure.
ii. Revenue from Sale of Trading Goods is on transfer of title in the
goods to the buyers.
iii. Revenue from Service Contracts are recognised pro-rata over the
period of the Contract.
iv. Revenue from Installation and Commissioning Contracts are
recognised on completion of Service and Installation of the Product.
v. Commission Income is recognised as per Contract or Receipt of
Credit Note.
vi. Interest Income is recognised on Time Proportion Basis.
10. Impairment:
Fixed Assets are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. Whenever the carrying amount of an asset exceeds its
recoverable amount, an impairment loss is recognised in the income
statement for the items of fixed assets carried at cost. The
recoverable amount is the higher of an asset's net selling price and
value in use. The selling price is the amount obtained from the sale of
an asset in an arms length transaction while value in use is the
present value of estimated future value cash flows expected to arise
from the continuing use of an asset, from its disposal at the end of
its useful life. Recoverable amounts are estimated for individual
assets or, if not possible, for the cash generating unit.
Impairment loss recognised for an asset in earlier accounting periods
is reversed, to the extent of its recoverable amount, if there has been
a change in the estimates used to determine the asset's recoverable
amount since the last impairment loss was recognised.
11. Taxation:
a. The provision for income tax is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
b. The provision for deferred tax is recognised, subject to the
consideration of prudence, on timing differences, being the differences
between taxable income and accounting income that originate in one
period and are capable of reversal in one or more subsequent periods.
12. Contingent Liabilities and Assets:
The Company recognizes provisions only when it has a present obligation
as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to settle the
obligation, when a reliable estimate of the amount of the obligation
can be made.
No Provision is recognized for :
i. any possible obligation that arises from past events and the
existence of which will be confirmed only by the occurrence or
non-occurrence of one or more uncertain future events not wholly within
the control of the Company; or
ii. any present obligation that arises from past events but is not
recognized because
a. it is not probable that an outflow of resources embodying economic
benefits will be required to settle the obligation; or
b. a reliable estimate of the amount of obligation cannot be made.
Such obligations are recorded as Contingent Liabilities. These are
assessed at regular intervals and only that part of the obligation for
which an outflow of resources embodying economic benefits is probable,
is provided for, except in the extremely rare circumstances where no
reliable estimate can be made.
Contingent Assets are not recognized in the financial statements as
this may result in the recognition of income that may never be
realized.
13. Borrowing Cost:
Borrowing Costs that are attributable to the acquisition of qualifying
assets are capitalized as part of the cost of such assets upto the
date, the assets are ready for their intended use. All other borrowing
costs are recognised as an expense in the year in which they are
incurred.
14. Earning Per Share:
Basic and Diluted Earnings Per Share is computed in accordance with
Accounting Standard (AS-20) - "Earning Per Share" issued by the
Institute of Chartered Accountants of India. Basic Earning Per Share is
computed by dividing the net profit after tax by the weighted average
number of equity shares outstanding during the year. Diluted Earning
Per Share reflect the potential dilution that could occur, if
securities or contracts to issue equity shares were exercised or
converted during the year. Diluted Earnings Per Share is computed using
the weighted average number of equity shares outstanding during the
year and dilutive potential equity shares outstanding at the year end.
Mar 31, 2010
1. Accounting Conventions:
The financial statements have been prepared under the historical cost
convention on accrual basis, except where specifically stated
otherwise. These have been prepared in accordance with applicable
Accounting Standards and relevant provisions of the Companies Act,
1956.
2. Fixed Assets:
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of cost of acquisition and any attributable expenses incurred
for the purpose of bringing the assets to its present condition for its
intended use.
3. Depreciation on Fixed Assets:
a. Depreciation on Fixed Assets acquired upto 31st March, 1987 are
being provided on straight line method at the rate prevalent at the
time of acquisition of such assets in accordance with Circular No.l of
1986 (1-86-CL- V) dated 21st May, 1986 of the Company Law Board.
b. On assets acquired on or after 1st April, 1987, the depreciation
has been provided on straight line method at the rates prescribed in
Schedule XIV of the Companies (Amendment) Act, 1988, except that on
Assets acquired on or after 16th December, 1993, the rates as amended
by Ministry of Law, Justice and Company Affairs notification dated
10.12.1993 have been provided.
c. On assets acquired / sold during the year, the depreciation is
being provided on prorate basis.
4. Inventories:
The Inventories of medicines, films, consumable, spares and trading
goods are stated at cost or net realisable value, whichever is lower.
The method used in determining the cost of inventories is First In
First Out.
original cost of such assets acquired. Other assets and liabilities are
restated at the rate prevailing at the year end and the profit / loss
is credited / charged to the Profit & Loss Account.
5. Use of Estimates:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and the disclosure of contingent liabilities as at the date
of the financial statements and reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
these estimates. Any revision to accounting estimates is recognised
prospectively in current and future periods.
6. Bonus:
Bonus paid to employees has been accounted for on cash basis.
8. Employee Benefits:
A. Short Term Employee Benefits:
i) The undiscounted amount of short term employee benefits, such as
medical benefits, casual leave etc. which are expected to be paid in
exchange for the services rendered by employees are recognized during
the period when the employee renders the service.
B. Long Term Employee Benefits:
i. Leave Encashment :
Provision for Leave Encashment, which can be accumulated over the
tenure the employment or can be claimed as encashment during the period
of employment, at the discretion of the employee, is made / accounted
for on the basis of the amount due to the employees in respect
of the earned leaves standing to their credit at the year end.
C. Post Employment Benefits:
a. Provident Fund
The Company provides Provident Fund as post employment benefit to all
its employees which is a defined contribution plan. The annual
contribution to Employee Provident Fund Organization is charged to
Profit and Loss Account of the year to which the contribution relates.
b. Family Pension :
The Companys annual contribution to State Plan viz. Employees Pension
Scheme, 1995 are also charged to Profit and Loss Account of the year to
which the contribution relates.
c. Gratuity :
The Company provides for Gratuity which is a defined benefit plan. The
liability is determined on the basis of actuarial valuation under the
projected unit credit method at the balance sheet date. The Gratuity is
funded under the Group Gratuity Scheme with the Life Insurance
Corporation of India under an irrevocable trust for making provision of
gratuity payable on resignation / retirement / death of the employees,
under the provisions of the Payment of the Gratuity Act, 1972.
Actuarial gains and losses comprise of experience adjustments and the
effects of changes in actuarial assumptions, and are recognized
immediately in the Profit and Loss Account as income or expense.
7. Revenue Recognition:
i. Revenue from patients is recognised on completion of the Diagnostic
Procedure.
ii. Revenue from Sale of Trading Goods is on transfer of title in the
goods to the buyers.
iii. Revenue from Service Contracts are recognised pro-rata over the
period of the Contract.
iv. Revenue from Installation and Commissioning Contracts are
recognised on completion of Service and Installation of the Product.
v. Commission Income is recognised as per Contract or Receipt of
Credit Note.
vi. Interest Income is recognised on Time Proportion Basis.
8. Impairment:
Fixed Assets are reviewed for impairment whenever events or changes in
circumstances indicate that the carrying amount of an asset may not be
recoverable. Whenever the carrying amount of an asset exceeds its
recoverable amount, an impairment loss is recognised in the income
statement for the items of fixed assets carried at cost. The
recoverable amount is the higher of an assets net selling
price and value in use. The selling price is the amount obtained from
the sale of an asset in an arms length transaction while value in use
is the present value of estimated future value cash flows expected to
arise from the continuing use of an asset, from its disposal at the end
of its useful life. Recoverable amounts are estimated for individual
assets or, if not possible, for the cash generating unit.
Impairment loss recognised for an asset in earlier accounting periods
is reversed, to the extent of its recoverable amount, if there has been
a change in the estimates of used to determine the assets recoverable
amount since the last impairment loss was recognised.
9. Taxation:
a. The provision for the taxation is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
b. Deferred tax is recognised, subject to the consideration of
prudence, on timing differences, being the differences between taxable
income and accounting income that originate in one period and are
capable of reversal in one or more subsequent periods.
10. Contingent Liabilities and Assets:
The Company recognizes provisions only when it has a present obligation
as a result of a past event, it is probable that an outflow of
resources embodying economic benefits will be required to be settle the
obligation, and when a reliable estimate of the amount of the
obligation can be made.
No Provision is recognized for :
i. any possible obligation that arises from past events and the
existence of which will be confirmed only by the occurrence or
non-occurrence of one or more uncertain future events not wholly within
the control of the Company; or
ii. any present obligation that arises from past events but is not
recognized because
a. it is not probable that an outflow of resources embodying economic
benefits will be required to settle the obligation; or
b. a reliable estimate of the amount of obligation cannot be made.
Such obligations are recorded as Contingent Liabilities. These are
assessed at regular intervals and only that part of the obligation for
which an outflow of resources embodying economic benefits is probable, is
provided for, except in the extremely rare circumstances where no
reliable estimate can be made.
Contingent Assets are not recognized in the financial statements as
this may result in the recognition of income that may never be
realized.
12. Borrowing Cost:
Borrowing Costs that are attributable to the acquisition of qualifying
assets are capitalized as part of the cost of such assets upto the date
the assets are ready for their intended use. All other borrowing costs
are recognised as an expense in the year in which they are incurred.
13. Earning Per Share:
Basic and Diluted Earnings per Share is computed in accordance with
Accounting Standard (AS-20) - "Earning Per Share" issued by the
Institute of Chartered Accountants of India. Basic Earning per Share is
computed by dividing the net profit after tax by the weighted average
number of equity shares outstanding during the year. Diluted Earning
per Share reflect the potential dilution that could occur it securities
or contracts to issue equity shares were exercised or converted during
the year. Diluted Earnings per Share is computed using the weighted
average number of equity shares outstanding during the year and
dilutive potential equity shares outstanding at the year end.
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