Mar 31, 2015
The financial statement are prepared to the comply in all material aspects with the applicable accounting principles in India, the Accounting Standards notified under relevant previsions of the Companies Act, 2013 and the relevant previsions of the Companies Act, 2013. The significant accounting policies are as follows;
A. RECOGNITION OF INCOME AND EXPENDITURE:
Revenues/Income and costs/expenditure are generally accounted on accrual base as they are earned or incurred. The Financial Statements are presented in Indian Rupees and rounded off to the nearest rupees.
Unless otherwise slated hereunder the financial accounts have been drawn up on histoncal cost convention.
2, FIXED ASSETS
Fixed Assets are stated at cost of acquisition less accumulated depreciation. The cost of Fixed Assets comprises its purchase price, borrowing cost and any cost directly attributable to bringing the asset to it's the asset to its working condition for its intended use and adjustments arising from exchange rate variations attributable to the assets.
3, METHOD OF DEPRECIATION.
Depreciation is provided using the written down vaiue method and based on useful life of the assets as prescribed in the Schedule II of the Companies Act, 2013.
Depreciation on addition during the year Is provided on the pro-rata basis from.the date of addition/deduction.
For Addition of Fixed Assets, Next Month 1st Day have been considered for Depreciation Calculation purpose.
4. Valuation of Inventories
Raw materials, stores and Spares are valued at cost and net of credits under scheme under CENVAT Rules and VAT Rules. Finished Goods and Trade Goods are valued at Castor Market Value/Contract Price whichever is lower.
5 Deferred Tax Assets
The Deferred Tax Assets for the current period Rs.31,02,665/- and for the previous year amounting to Rs.36,82,032 has been provided in the books of account.
The company has created a gratuity fund under The Income Tax Act, 19B1 and Trust has taken a policy with Life Insurance Corporation of India,
7. Foreign Currencies.
Transactions denominated in foreign currencies are recorded at ihe exchange rate prevailing on the date of the transaction or that approximates the actual rate at the date of the transaction,
Any income or expense on account of exchange difference either on settlement or on transaction is recognized in the Profit and Loss Statement, except in case of long term liabilities, where they relate to acquisition of Fixed Assets, in which case they are adjusted to the carrying cost of such assets.