Notes to Accounts of Ambition Mica Ltd.

Mar 31, 2016

1. The Previous Year''s figure have been regrouped, reworked, rearranged, and reclassified whenever necessary to make them comparable with current year figures.

2. Capital commitments and contingent liabilities:

a. Commitments: Nil

b. Contingent Liabilities:

3) Claim against the Company not acknowledged as debts: Nil Note:

- It is not practicable for the company to estimate the timings of cash outflows, If any, in respect of above, pending resolution of the respective proceedings as it is determinable only on receipt of judgments/decisions pending with various forums/authorities.

- The Company has reviewed all its pending litigations and proceedings and has adequately provided for where provisions are required and disclosed as Contingent liabilities where applicable, in its financial statements. The company does not expect the outcome of these proceedings to have a materially adverse effect on its financial results.

4) Outstanding Letter of Credit '' 48,74,101.00 (Previous Year Nil)

5 Company has acquired hundred percent share capital of M/s Velsons Laminate Private Limited as on 01^st April, 2016 and the General Meeting resolution for the same was passed as on 14^th March, 2016.

6. In the opinion of the Board of Directors, current assets, loans and advances are approx. of the value at which these are stated in the balance sheet, if realized in the ordinary course of business. Adequate provisions have been made for all known liabilities and provisions are not in excess of the amount reasonably necessary.

Balance of Trade receivables, Trade payables and Loans & Advances payable or receivable are subject to confirmation from respective parties.

7. Raw material consumed is exclusive of a) Excise Duty on Input under CENVAT Scheme b) Service Tax Input Credit c) VAT Input Credit under state laws, wherever applicable

8. Cash and cash equivalents comprise cash and cash deposited with banks and corporations. The Company considers all highly liquid investments with a remaining maturity at the date of purchase of three months or less and that are readily convertible to known amounts of cash to be cash equivalents.

9. Preliminary Expenses on issue of shares are amortized fully against share premium in the year in which it was incurred.

10. Disclosure Regarding Employee Benefits:

i) Defined Contribution Plan: Employee benefits in the form of Provident Fund are considered as defined

contribution plan and the contributions to Employees Provident Fund Organization established under The Employees Provident Fund and Miscellaneous Provisions Act 1952 and Employees State Insurance Act, 1948, respectively, are charged to the profit and loss account of the year when the contributions to the respective funds are due as under,

ii) Defined Benefit Plan: Retirement benefits in the form of Gratuity are considered as defined benefit obligation and are provided for on the basis of third party actuarial valuation, using the projected unit credit method, as at the date of the Balance sheet. As the Company has not funded its liability, it has nothing to disclose regarding plan assets and its reconciliation.

iii) The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors including supply and demand in the employment market.

iv) The above details are certified by the actuary.

11. Inventories are as taken, valued and certified by the management.

12. Tax expenses comprise of income tax and deferred tax including applicable surcharge and cess. Income taxes are computed using the tax effect accounting method, where taxes are accrued in the same period in which the related revenue and expenses arise. A provision is made for income tax annually, based on the tax liability computed, after considering tax allowances and exemptions.

13. Provisions are made for present obligation arising as a result of past events. Contingent Liabilities are not provided for but disclosed by way of Notes on Accounts. Contingent Assets are neither accounted for nor disclosed by way of Notes on Accounts.

14. In absence of the complete information regarding the status of the suppliers as micro, small or medium enterprise as per the micro, small and medium enterprise act, 2006 the information regarding the amount due to such parties as on the balance sheet date and provision for interest if any required by the said act is not been made.

15. MAT (Minimum Alternate Tax) credit is recognized as an asset only when and to the extent there is convincing evidence that the Company will pay normal income tax during the specified period. In the year in which the MAT credit becomes eligible to be recognized as an asset in accordance with the recommendations contained in guidance Note issued by the Institute of Chartered Accountants of India, the said asset is created by way of a credit to the profit and loss account and shown as MAT Credit Entitlement. The Company reviews the same at each balance sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal Income Tax during the specified period. Provision for deferred tax or credit for release thereof is accounted for as ascertained in accordance with principles stated hereinabove.

16. As per the practice consistently followed, Cenvat duty on finished goods lying in the plants at the end of the period is neither included in expenditure nor valued in such stock, but is accounted for upon clearance of goods. This has no effect on profit/loss for the period.

17. Generic Name Of Principle Product Of The Company:-

Note No. 46 Related Party Transaction

_Names of Related Parties and Description of Relationship_

Sr No	Nature of Relationship	Name of Related Parties
1	Associate Companies/ Enterprise	Anand Timber Mart Velsons Laminate Pvt. Ltd.
2	Key Management Personnel	Bhaveshkumar Jayantilal Patel Gaurav Pushkarbhai Jani Govindbhai Veljibhai Patel Monghiben Veljibhai Patel Rameshbhai Veljibhai Patel Veljibhai Khetshibhai Patel
3	Relatives of Key Person	Kavitaben Patel Pareshaben Govindbhai Patel Prahladbhai Veljibhai Patel Rekhaben Rameshbhai Patel Veljibhai Khetshibhai Patel

---

Mar 31, 2015

1. Such Term Loan is secured by way of Mortgage of Industrial Property Situated at a) Survey No.309, Zak Village, FIDC, Taluka-Dehgam, District-Gandhinagar, Gujarat. b) Survey No. 311, Zak Village, FIDC, Taluka-Dehgam, District-Gandhinagar, Gujarat. and c) Residential Property of Managing Director situated at 55/2, Mohannagar Society, Naroda, Ahmedabad, Gujarat.

Such Term Loan is further secured by way of Personal Guarantee of all the Directors of the Company and All property holder who have offered their property as Collateral Security.

2. Such Car Loan is secured by way of Lien on Motor Car purchased under Hire purchase agreement.

3. Such Office Loan is secured by way of hypothication of Office Premises situated at 10/GF, Raghav Residency, Opp. Naroda GEB, Dehgam Road, Naroda, Ahmedabad - 382330, Gujarat.

4. Such Car Loan is secured by way of Lien on Motor Car purchased under Hire purchase agreement.

5. Such Cash Credit is secured by way of Hypothecation of Unit''s Current Assets including stocks of RM, WIP and FG, Bills/Bookd Debts/Receivables, Stores and Other Current Assets (Both Present & Future).

6. We, Ambition Mica Limited, which was originally incorporated on 19th March, 2010 under previous Company law as Ambition Mica Private Limited has been converted in to Public limited by shares Company under section 18 of the Companies Act, 2013 w.e.f 25th March, 2015 and the name of the said company is changed to Ambition Mica Limited.

7. The Previous Year''s figure have been regrouped, reworked, rearranged, and reclassified whenever necessary to make them comparable with current year figures.

8. Balance of Trade receivables, Trade payables and Loans & Advances payable or receivable are subject to confirmation from respective parties.

9. In the opinion of the Board of Directors, current assets, loans and advances are approx. of the value at which these are stated in the balance sheet, if realized in the ordinary course of business. Adequate provisions have been made for all known liabilities and provisions are not in excess of the amount reasonably necessary.

10. Where ever vouchers are not supported/inadequately supported, the auditors have relied on the declaration by the management that they are genuine business transaction.

11. Cash on Hand as on 31st March, 2015 is taken as certified by the Management of the company and not physically verified by us.

12. Pursuant to the requirement of the Companies Act, 2013, effective from 1st April, 2014 the Company has reassessed remaining useful life of the fixed assets, prescribed by Schedule II of the Act, or actual useful life of the asset which ever is lower. In case of any asset whose useful life has completed as above, the carrying value (net of residual value) of Rs. 1,42,347 has been adjusted in the opening balance of Retained earnings as on 1st April, 2014 and in other cased the carrying value has been depreciated over the remaining of the revised life of the asset and recognized in the Statement of Profit & Loss.

13. Inventories are as taken, valued and certified by the Directors.

14. There is no Contingent Liabilities incurred by the company during the year under review.

i) Defined Contribution Plan: Employee benefits in the form of Provident Fund are considered as defined contribution plan and the contributions to Employees Provident Fund Organization established under The Employees Provident Fund and Miscellaneous Provisions Act 1952 and Employees State Insurance Act, 1948, respectively, are charged to the profit and loss account of the year when the contributions to the respective funds are due.

ii) Defined Benefit Plan: Retirement benefits in the form of Gratuity are considered as defined benefit obligation and are provided for on the basis of third party actuarial valuation, using the projected unit credit method, as at the date of the Balance sheet. As the Company has not funded its liability, it has nothing to disclose regarding plan assets and its reconciliation. Defined Benefit Obligation for the year ended 31st March, 2015 amounted to Rs. 3,97,538.00 out of which Company has not paid any amount so outstanding balance in the books is Rs. 3,97,538.00 (Previous Year Nil). Company had not made provision for Gratuity for the earlier years so, In the financial year 2014-2015 provision of Rs. 3,20,778.00 is made for Gratuity by debiting such amount in Reserve & Surplus Account.

15. As per the practice consistently followed, Cenvat duty on finished goods lying in the plants at the end of the period is neither included in expenditure nor valued in such stock, but is accounted for upon clearance of goods. This has no effect on profit/loss for the period.

16. In absence of the complete information regarding the status of the suppliers as micro, small or medium enterprise as per the micro, small and medium enterprise act, 2006 the information regarding the amount due to such parties as on the balance sheet date and provision for interest if any required by the said act is not been made.

17. Generic Name Of Principle Product Of The Company:-"Decorative Laminated Sheet"

18. Related Party Transaction

Names of Related Parties and Description of Relationship

Sr. No Nature of Relationship Name of Related Parties

Associate Companies/ 1 Enterprise Anand Timber Mart

Maruti Packaging

Parmeshwar Timber Mart

Velsons Laminate Pvt. Ltd.

2 Key Management Person Bhaveshkumar Jayantilal Patel

Govindbhai Veljibhai Patel

Monghiben Veljibhai Patel

Pareshaben Govindbhai Patel

Prahaladbhai Veljibhai Patel

Rameshbhai Veljibhai Patel

Veljibhai Khetshibhai Patel

3 Relatives of Key Person Kavitaben Patel

Kinjalben Prahladbhai Patel

Rekhaben Rameshbhai Patel