Mar 31, 2016
1 Accounting Convention
1.1 Financial statements are prepared in accordance with generally accepted accounting principles including accounting standards in India under historical cost convention except so far as they relate to revaluation of certain land and buildings.
1.2 All assets and liabilities have been classified as current or non-current as per the company''s normal operating cycle and other criteria set out in the Revised Schedule III to the companies Act, 2013. Based on the nature of products and the time between the acquisition of assets for processing and their realization in cash and cash equivalents, the company has determined its operating cycle as twelve months for the purpose of current- noncurrent classification of assets and liabilities.
1.3 Use of estimates
The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities on the date of the financial statements, disclosure of contingent liabilities and reported amounts of revenues and expenses for the year. Estimates are based on historical experience, where applicable and other assumptions that management believes are reasonable under the circumstances, actual result could vary from estimates and any such differences are dealt with in the period in which the result are known/materialize.
2 Fixed Assets
Fixed assets are stated at cost of acquisition for assets installed and put to use less accumulated Depreciation.
3 Investments
Investments are classified into Current investments and long-term investments. Current Investments are carried at lower of cost or market value and provision is made to recognize any decline in the carrying value. Long-term investments are carried at cost and provision is made to recognize any decline, other than temporary, in the value of such investment.
4 Inventory
Inventories are valued at cost or net realizable value whichever is lower, computed on a FIFO basis, after providing for cost of obsolescence and other anticipate losses, wherever considered necessary. Finished goods include costs of conversion and other costs incurred in bringing the inventories to their present location and condition as certified by the management.
5 Expenditure
Expenses are accounted on accrual basis and provision is made for all known losses and liabilities.
6 Segment Reporting
The Company has only one segment of activity of dealing in IT products during the period; hence segment wise reporting as defined in Accounting Standard-17 is not applicable.
7 In the opinion of board of directors, current assets, loans and advances, have at least the value as stated in the balance sheet, if realized in the ordinary course of the business.
8 The Company has not received any memorandum (as required to be filed by the Supplier with the notified authority under the Micro, Small and Medium Enterprises Development Act, 2006) claiming their status as on 31st March 2015 as Micro, Small or Medium Enterprises. Consequently the amount paid / payable to these parties during the year is NIL
9 Revenue Recognition
9.1 Revenue from sale of products is stated net off discounts and any applicable duties and taxes on dispatch of goods in accordance with terms of sales.
9.2 Other operating revenues comprise of income from ancillary activities incidental to the operation of the company and is recognized when the right to receive the income is established as per the terms.
10 Research and Development
Expenses incurred on research and developments are charges to revenue in the same year. Fixed assets purchased for research and development purpose are capitalized and depreciated as per Company''s policy.
11 Retirement Benefits
In view of the number of employees being below the stipulated numbers, the Provident Fund, ESIC, Bonus and payment of Gratuity Act are not applicable to the company for the year.
12 Taxation
Income-tax comprises current tax and deferred tax expense or credit.
Current tax
Provision for current tax is recognized in accordance with the provisions of the Indian Income Tax Act, 1961 and is made annually based on the tax liability after considering adjustment for tax allowances and exemptions.
Deferred tax
Deferred tax liability or asset is recognized for timing differences between the profits/losses offered for income taxes and profits/losses as per the financial statements. Deferred tax assets and liabilities are measured using the tax rates and tax laws that have been enacted or substantively enacted at the balance sheet date.
Deferred tax assets are recognized only to the extent there is reasonable certainty that the assets can be realized in future; however, where there is unabsorbed depreciation or carried forward loss under taxation laws, deferred tax assets are recognized only if there is a virtual certainty of realization of such assets. Deferred tax assets are reviewed as at each balance sheet date and written down or written up to reflect the amount that is reasonably/virtually certain to be realized.
13 Provisions and Contingent Liabilities
The Company recognizes a provision when there is a present obligation as a result of past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation. A disclosure for contingent liabilities made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources. When there is a possible obligation or a present obligation that the likelihood of outflow of resources is remote, no provision or disclosure as specified in Accounting Standard 29-''Provisions, Contingent Liabilities and Contingent Assets'' is made.
14 Earnings per share (''EPS'')
Basic EPS is computed using the weighted average number of equity shares outstanding during the year. Diluted EPS is computed using the weighted average number of equity and dilutive equity equivalent shares outstanding during the period except where the results would be anti-dilutive.
15 Cash Flow Statement
Cash Flow Statement has been prepared in accordance with the Accounting standard Issued by Institute of Chartered Accounts of India on indirect method.
Mar 31, 2015
1 Accounting Convention
1.1 Financial statements are prepared in accordance with generally
accepted accounting principles including accounting standards in India
under historical cost convention except so far as they relate to
revaluation of certain land and buildings.
1.2 All assets and liabilities have been classified as current or
non-current as per the company's normal operating cycle and other
criteria set out in the Revised Schedule VI to the companies Act, 1956.
Based on the nature of products and the time between the acquisition of
assets for processing and their realization in cash and cash
equivalents, the company has determined its operating cycle as twelve
months for the purpose of current- noncurrent classification of assets
and liabilities.
1.3 Use of estimates
The preparation of the financial statements in conformity with the
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets
and liabilities on the date of the financial statements, disclosure of
contingent liabilities and reported amounts of revenues and expenses
for the year. Estimates are based on historical experience, where
applicable and other assumptions that management believes are
reasonable under the circumstances, actual result could vary from
estimates and any such differences are dealt with in the period in
which the result are known/materialize.
2 Fixed Assets
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
3 Investments
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
4 Inventory
Inventories are valued at cost or net realizable value whichever is
lower, computed on a FIFO basis, after providing for cost of
obsolescence and other anticipate losses, wherever considered
necessary. Finished goods include costs of conversion and other costs
incurred in bringing the inventories to their present location and
condition as certified by the management.
5 Expenditure
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
6 Segment Reporting
The Company has only one segment of activity of dealing in IT products
during the period, hence segment wise reporting as defined in
Accounting Standard-17 is not applicable.
7 In the opinion of board of directors, current assets, loans and
advances, have at least the value as stated in the balance sheet, if
realized in the ordinary course of the business.
8 The Company has not received any memorandum (as required to be filed
by the Supplier with the notified authority under the Micro, Small and
Medium Enterprises Development Act, 2006 ) claiming their status as on
31st March 2015 as Micro, Small or Medium Enterprises. Consequently the
amount paid / payable to these parties during the year is NIL
9 Revenue Recognition
9.1 Revenue from sale of products is stated net off discounts and any
applicable duties and taxes on dispatch of goods in accordance with
terms of sales.
9.2 Other operating revenues comprise of income from ancillary
activities incidental to the operation of the company and is recognized
when the right to receive the income is established as per the terms.
10 Research and Development
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Company's policy.
11 Retirement Benefits
In view of the number of employees being below the stipulated numbers,
the Provident Fund, ESIC, Bonus and payment of Gratuity Act are not
applicable to the company for the year.
12 Taxation
Income-tax comprises current tax and deferred tax expense or credit.
Current tax
Provision for current tax is recognized in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after considering adjustment for tax
allowances and exemptions.
Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognized only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognized only if there
is a virtual certainty of realization of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized.
13 Provisions and Contingent Liabilities
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-'Provisions, Contingent Liabilities and
Contingent Assets' is made.
14 Earnings per share ('EPS')
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
15 Cash Flow Statement
Cash Flow Statement has been prepared in accordance with the Accounting
standard Issued by Institute of Chartered Accounts of India on indirect
method.
Mar 31, 2014
1 Accounting Convention
1.1 Financial statements are prepared in accordance with generally
accepted accounting principles including accounting standards in India
under historical cost convention except so far as they relate to
revaluation of certain land and buildings.
1.2 All assets and liabilities have been classified as current or
non-current as per the company''s normal operating cycle and other
criteria set out in the Revised Schedule VI to the companies Act,1956.
Based on the nature of products and the time between the acquisition of
assets for processing and their realization in cash and cash
equivalents, the company has determined its operating cycle as twelve
months for the purpose of current-non current classification of assets
and liabilities.
1.3 Use of estimates
The preparation of the financial statements in conformity with the
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets
and liabilities on the date of the financial statements, disclosure of
contingent liabilities and reported amounts of revenues and expenses
for the year. Estimates are based on historical experience, where
applicable and other assumptions that management believes are
reasonable under the circumstances, actual result could vary from
estimates and any such differences are dealt with in the period in
which the result are known/materialize.
2 Fixed Assets
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
3 Investments
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
4 Inventory
Inventories are valued at cost or net realizable value whichever is
lower, computed on a FIFO basis, after providing for cost of
obsolescence and other anticipate losses, wherever considered
necessary. Finished goods include costs of conversion and other costs
incurred in bringing the inventories to their present location and
condition as certified by the management.
5 Expenditure
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
6. Segment Reporting
The Company has only one segment of activity of dealing in IT products
during the period, hence segment wise reporting as defined in
Accounting Standard-17 is not applicable.
7 In the opinion of board of directors, current assets, loans and
advances, have at least the value as stated in the balance sheet, if
realized in the ordinary course of the business.
8 The Company has not received any memorandum (as required to be filed
by the Supplier with the notified authority under the Micro, Small and
Medium Enterprises Development Act, 2006) claiming their status as on
31st March 2014 as Micro, Small or Medium Enterprises. Consequently the
amount paid / payable to these parties during the year is NIL
9 Revenue Recognition
9.1 Revenue from sale of products is stated net off discounts and any
applicable duties and taxes on dispatch of goods in accordance with
terms of sales.
9.2 Other operating revenues comprise of income from ancillary
activities incidental to the operation of the company and is recognized
when the right to receive the income is established as per the terms.
10 Research and Development
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Company''s policy.
11 Retirement Benefits
In view of the number of employees being below the stipulated numbers,
the Provident Fund , ESIC, Bonus and payment of Gratuity Act are not
applicable to the company for the year.
12 Taxation
Income-tax comprises current tax and deferred tax expense or credit.
Current tax
Provision for current tax is recognised in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after considering adjustment for tax
allowances and exemptions.
Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognised only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognised only if there
is a virtual certainty of realisation of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized.
13 Provisions and Contingent Liabilities
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-''Provisions, Contingent Liabilities and
Contingent Assets'' is made.
14 Earnings per share (''EPS'')
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
15 Cash Flow Statement
Cash Flow Statement has been prepared in accordance with the Accounting
standard Issued by Institute of Chartered Accounts of India on indirect
method.
Mar 31, 2013
1. ACCOUNTING CONVENTION
1.1 Financial statements are prepared in accordance with generally
accepted accounting principles including accounting standards in India
under historical cost convention except so far as they relate to
revaluation of certain land and buildings.
1.2 All assets and liabilities have been classified as current or
non-current as per the company''s normal operating cycle and other
criteria set out in the Revised Schedule VI to the companies Act,
1956.Based on the nature of products and the time between the
acquisition of assets for processing and their realization in cash and
cash equivalents, the company has determined its operating cycle as
twelve months for the purpose of current-non- current classification of
assets and liabilities.
1.3 Use of estimates
The preparation of the financial statements in conformity with the
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets
and liabilities on the date of the financial statements, disclosure of
contingent liabilities and reported amounts of revenues and expenses
for the year. Estimates are based on historical experience, where
applicable and other assumptions that management believes are
reasonable under the circumstances, actual result could vary from
estimates and any such differences are dealt with in the period in
which the result are known/materialize.
2 FIXED ASSETS
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
3 INVESTMENTS
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
4 INVENTORY
Inventories are valued at cost or estimated net realizable value
whichever is lower, computed on a FIFO basis, after providing for cost
of obsolescence and other anticipate losses, wherever considered
necessary. Finished goods and work in Progress include costs of
conversion and other costs incurred in bringing the inventories to
their present location and condition as certified by the management.
5 EXPENDITURE
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
6 SEGMENT REPORTING
The Company has only one segment of activity of dealing in IT products
during the period, hence segment wise reporting as defined in
Accounting Standard-17 is not applicable.
7 In the opinion of board of directors, current assets, loans and
advances, have at least the value as stated in the balance sheet, if
realized in the ordinary course of the business.
8 There are no delays in payments to micro, small and medium
enterprises as required to be disclosed under "The Micro, Small and
Medium Enterprises Development Act.2006."
9 REVENUE RECOGNITION
9.1 Revenue from sale of products is stated net off discounts and any
applicable duties and taxes on dispatch of goods in accordance with
terms of sales.
9.2 Other operating revenues comprise of income from ancillary
activities incidental to the operation of the company and is recognized
when the right to receive the income is established as per the terms.
10 RESEARCH AND DEVELOPMENT
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Company''s policy.
11 RETIREMENT BENEFITS
In view of the number of employees being below the stipulated numbers,
the Provident Fund, ESIC, Bonus and payment of Gratuity Act are not
applicable to the company for the year.
12 TAXATION
Income-tax comprises current tax and deferred tax expense or credit. c
Current tax
Provision for current tax is recognized in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after considering adjustment for tax
allowances and exemptions.
c Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognized only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognized only if there
is a virtual certainty of realization of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized.
13 PROVISIONS AND CONTINGENT LIABILITIES
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-''Provisions, Contingent Liabilities and
Contingent Assets'' is made.
14 EARNINGS PER SHARE (''EPS'')
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
15 CASH FLOW STATEMENT
Cash Flow Statement has been prepared in accordance with the Accounting
standard issued by Institute of Chartered Accounts of India on indirect
method.
Mar 31, 2012
1. ACCOUNTING CONVENTION
1.1 Financial statements are prepared in accordance with generally
accepted accounting principles including accounting standards in India
under historical cost convention except so far as they relate to
revaluation of certain land and buildings.
1.2 All assets and liabilities have been classified as current or
non-current as per the company''s normal operating cycle and other
criteria set out in the Revised Schedule VI to the companies Act, 1956.
Based on the nature of products and the time between the acquisition of
assets for processing and their realization in cash and cash
equivalents, the company has determined its operating cycle as twelve
months for the purpose of current- non- current classification of
assets and liabilities.
1.3 Use of estimates
The preparation of the financial statements in conformity with the
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets
and liabilities on the date of the financial statements, disclosure of
contingent liabilities and reported amounts of revenues and expenses
for the year. Estimates are based on historical experience, where
applicable and other assumptions that management believes are
reasonable under the circumstances, actual result could vary from
estimates and any such differences are dealt with in the period in
which the result are known/materialize.
2 FIXED ASSETS
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
3 INVESTMENTS
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
4 INVENTORY
Inventories are valued at cost or estimated net realizable value
whichever is lower, computed on a FIFO basis, after providing for cost
of obsolescence and other anticipate losses, wherever considered
necessary. Finished goods and work in Progress include costs of
conversion and other costs incurred in bringing the inventories to
their present location and condition as certified by the management.
5 EXPENDITURE
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
6 SEGMENT REPORTING
The Company has only one segment of activity of dealing in IT products
during the period, hence segment wise reporting as defined in
Accounting Standard-17 is not applicable.
7 In the opinion of board of directors, current assets, loans and
advances, have at least the value as stated in the balance sheet, if
realized in the ordinary course of the business.
8 There are no delays in payments to micro, small and medium
enterprises as required to be disclosed under "The Micro, Small and
Medium Enterprises Development Act.2006."
9 REVENUE RECOGNITION
9.1 Revenue from sale of products is stated net off discounts and any
applicable duties and taxes on dispatch of goods in accordance with
terms of sales.
9.2 Other operating revenues comprise of income from ancillary
activities incidental to the operation of the company and is recognized
when the right to receive the income is established as per the terms.
10 RESEARCH AND DEVELOPMENT
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Company''s policy.
11 RETIREMENT BENEFITS
In view of the number of employees being below the stipulated numbers,
the Provident Fund, ESIC, Bonus and payment of Gratuity Act are not
applicable to the company for the year.
12 TAXATION
Income-tax comprises current tax and deferred tax expense or credit.
- Current tax
Provision for current tax is recognised in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after considering adjustment for tax
allowances and exemptions.
- Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognised only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognised only if there
is a virtual certainty of realisation of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized.
13 PROVISIONS AND CONTINGENT LIABILITIES
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-''Provisions, Contingent Liabilities and
Contingent Assets'' is made.
14 EARNINGS PER SHARE (EPS)
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
15 CASH FLOW STATEMENT
Cash Flow Statement has been prepared in accordance with the Accounting
standard issued by Institute of Chartered Accounts of India on indirect
method.
Mar 31, 2011
A. Basis for Preparation of Financial Statements
The financial statements have been prepared under the historical cost
convention in accordance with Generally Accepted Accounting Principles,
Accounting Standards issued by The Institute of Chartered Accountants
of India and the provisions of The Companies Act 1956, as adopted
consistently by the Company. All income and expenditure having a
material bearing on the financial statements are recognized on accrual
basis.
b. Revenue Recognition
Revenue from the sale of software products is recognized as and when
the bill has been raised Sale of Trading items are recognized as and
when delivery made and raising of invoice to the parties and Service
Income is recognized on raising bills on completion of services.
Revenue from sales of share is recognized on the date of transaction
take place.
c. Expenditure
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
d. Inventory
Inventories are valued at cost or estimated net realizable value
whichever is lower, computed on a FIFO basis, after providing for cost
of obsolescence and other anticipate losses, wherever considered
necessary. Finished goods and work in Progress include costs of
conversion and other costs incurred in bringing the inventories to
their present location and condition as certified by the management.
e. Fixed Assets
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
f. Depreciation
Depreciation on fixed assets has been provided using the straight-line
method as per the Companies Act, 1956. Depreciation is charged on
pro-rata basis for assets purchased/ sold during the year.
g. Research and Development
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Company's policy.
h. Investments
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
i. Retirement Benefits
Contribution to defined contribution schemes such as Provident Fund is
charged to profit and loss account as incurred The Company does not
provide for any post retirement benefits.
j. Taxation
Income-tax expense, comprises current tax and deferred tax expense or
credit.
Current tax
Provision for current tax is recognized in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after taking credit for tax allowances and
exemptions.
Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/ losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognized only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognized only if there
is a virtual certainty of realization of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized
k. Earnings per share ('EPS')
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
l. Provisions and Contingent Liabilities
VI
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-'Provisions, Contingent Liabilities and
Contingent Assets' is made.
m. Cash Flow Statement
Cash Flow Statement has been prepared in accordance with the Accounting
standard Issued by Institute of Chartered Accounts of India on indirect
method
n. Service Tax
Input Credit on Service Receipt has been utilized for payment of
Service Tax on output Services.
Mar 31, 2010
A Basis for Preparation of Financial Statements
The financial statements have been prepared under the historical cost
convention in accordance with Generally Accepted Accounting Principles,
Accounting Standards issued by The Institute of Chartered Accountants
of India and the provisions of The Companies Act 1956, as adopted
consistently by the Company. All income and expenditure having a
material bearing on the financial statements are recognized on accrual
basis.
b Revenue Recognition
Revenue from the sale of software products is recognized as and when
the bill has been raised. Sale of Trading items are recognized as and
when delivery made and raising of invoice to the parties and Service
Income is recognized on raising bills on completion of services.
c Expenditure
Expenses are accounted on accrual basis and provision is made for all
known losses and liabilities.
d Inventory
Inventories are valued at cost or estimated net realizable value
whichever is lower, computed on a FIFO basis, after providing for cost
of obsolescence and other anticipate losses, wherever considered
necessary. Finished goods and work in Progress include costs of
conversion and other costs incurred in bringing the inventories to
their present location and condition as certified by the management.
e Fixed Assets
Fixed assets are stated at cost of acquisition for assets installed and
put to use less accumulated Depreciation.
f Depreciation
Depreciation on fixed assets has been provided using the straight-line
method as per the Companies Act, 1956. Depreciation is charged on
pro-rata basis for assets purchased/sold during the year.
g Research and Development
Expenses incurred on research and developments are charges to revenue
in the same year. Fixed assets purchased for research and development
purpose are capitalized and depreciated as per Companys policy.
h Investments
Investments are classified into Current investments and long-term
investments. Current Investments are carried at lower of cost or market
value and provision is made to recognize any decline in the carrying
value. Long-term investments are carried at cost and provision is made
to recognize any decline, other than temporary, in the value of such
investment.
i Retirement Benefits
Contribution to defined contribution schemes such as Provident Fund is
charged to profit and loss account as incurred. The Company does not
provide for any post retirement benefits.
j. Taxation
Income-tax expense, comprises current tax and deferred tax expense or
credit.
Current tax
Provision for current tax is recognised in accordance with the
provisions of the Indian Income Tax Act, 1961 and is made annually
based on the tax liability after taking credit for tax allowances and
exemptions.
Deferred tax
Deferred tax liability or asset is recognized for timing differences
between the profits/losses offered for income taxes and profits/losses
as per the financial statements. Deferred tax assets and liabilities
are measured using the tax rates and tax laws that have been enacted or
substantively enacted at the balance sheet date.
Deferred tax assets are recognised only to the extent there is
reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carried forward loss
under taxation laws, deferred tax assets are recognised only if there
is a virtual certainty of realisation of such assets. Deferred tax
assets are reviewed as at each balance sheet date and written down or
written up to reflect the amount that is reasonably/virtually certain
to be realized.
k. Earnings per share (EPS)
Basic EPS is computed using the weighted average number of equity
shares outstanding during the year. Diluted EPS is computed using the
weighted average number of equity and dilutive equity equivalent shares
outstanding during the period except where the results would be
anti-dilutive.
l. Provisions and Contingent Liabilities
The Company recognizes a provision when there is a present obligation
as a result of past event that probably requires an outflow of
resources and a reliable estimate can be made of the amount of the
obligation. A disclosure for contingent liabilities made when there is
a possible obligation or a present obligation that may, but probably
will not, require an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure as specified in
Accounting Standard 29-Provisions, Contingent Liabilities and
Contingent Assets is made.
m. Cash Flow Statement
Cash Flow Statement has been prepared in accordance with the Accounting
standard Issued by Institute of Chartered Accounts of India
n. Service Tax
Input Credit on Service Receipt has been utilized for payment of
Service Tax on output Services.