Mar 31, 2015
1. SYSTEM OF ACCOUNTING
The accounts are prepared on accrual basis under historical cost convention and to comply in alt material aspects with applicable accounting standards in India, issued by the institute of chartered accountants of India and the relevant provisions of the companies act, 1956 & 2013.
The practice of the company is to value closing stock at lower of cost or net realizable value.
Long term investments are carried at cost price
4. FIXED ASSETS
FIXED Assets are stated at cost of acquisition less depreciation as per Companies Act 1956. 5. DEPRECIATION
On Assets acquired and put to, is provided on Written Down Value Method.
6. REVENUE RECOGNITION Revenue is recognized on accrual basis.
7. PROVISIONS, CONTINGENT LIABILITY & CONTIGENT ASSETS
Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events in the Notes. Contingent Assets are neither recognized not disclosed in the financial statements.
8. BORROWING COST
Borrowing costs that are attributable to the acquisition/construction of qualifying assets are capitalized as part of cost of such assets. A quality asset is an asset that requires a substantial period of time to get ready for its intended use. All other borrowing costs are recognized as an expense in the period in which they are incurred.
9. TAXES ON NCOME
Provision for tax on income for the year (i.e. Current tax) is made after considering the various Deductions/relieves admissible under the income Tax Act 1961 as per the normal provisions of the act. Deferred tax assets are not recognized as per the conservative approach.
10. IMPAIRMENT OF ASSETS
The company assess at each Balance sheet date whether there is any indication that an asset mat be impaired. It any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than the carrying amount, the carrying amount is reduced to the recoverable amount. The reduction is treated as an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.