Mar 31, 2013
I) Basis of Accounting: The accounts of the company are prepared under
the historical cost convention and in accordance with the applicable
accounting standards issued by the Institute of Chartered Accountants
of India, except where otherwise stated and the relevant provisions of
the Companies Act, 1956. For recognition of Profit or Loss, mercantile
system of accounting is followed except in the following cases where
accounting is done on payment/receipt basis:-
a) Leave with wages & salary
b) Rebate/claim on sales & purchases
c) Legal and Professional Charges.
ii) Fixed Assets: Fixed assets acquired during the period are stated at
cost of acquisition inclusive of all incidental expenses and any
attributable cost for bringing the assets to its working condition and
exclusive of CENVAT Credit on Capital Account.
ii) Depreciation: The depreciation of fixed assets has been provided on
Straight Line Method as per the rates prescribed in Schedule XIV to the
Companies Act, 1956. Depreciation on additions/deletions during the
period has been provided on Pro-rata basis. No amount has been written
off in respect of leasehold land as grant of lease is for a long
period.
iv) Investments: Current Investments are stated at Lower of Cost and
Fair Value and the Resultant decline, if any, is charged to revenue.
v) Inventories: Inventories are valued on the following basis:
Finished Goods - At lower of cost or net realizable value
Trading Goods - At cost
vi) Gratuity: The management has decided to adopt cash basis of
accounting for gratuity liability, hence no provision has been made for
accrued liability in the accounts of the company.
vii) Foreign Currency Transactions: Transactions in foreign exchange
are accounted for at exchange rates prevailing on the date on which the
transaction takes place. Gains and Losses arising out of fluctuations
in exchange rates, relating to the fixed assets, are adjusted to the
carrying amount of fixed assets and in other cases transferred to
revenue accounts.
viii) Taxation: - Provision for current tax is made on the basis of
applicable Income Tax Provisions for the current accounting period.
Deferred Tax is recognized, subject to the consideration of prudence in
respect of Deferred tax assets, on timing differences, being the
difference between taxable income and accounting income that originate
in one period and are capable of reversal in one or more subsequent
period.
ix) Borrowing Cost:- Borrowing cost which are directly attributable to
the acquisition/construction of fixed assets till the time such assets
are ready for use are capitalized as part of the assets. Other
borrowing costs are treated as revenue expenditure and charged to
profit and loss account for the year.
x) Segment Reporting:- The company has identified its primary
reportable segments under AS-17 and necessary disclosure is separately
made in notes in accounts. The accounting policies adopted for segment
report are in line with the accounting policies of the company with the
following additional policies for segment reporting. Revenue and
expenses have been identified to a segment on the basis of relationship
to operating activities of the segment. Revenue and expenses which
relate to enterprise as a whole and are not allocable to a segment on
reasonable basis have been disclosed as
"Unallocable ". Segment assets and segment liabilities represents
assets and liabilities in respective segments. Investments, tax related
assets and other assets and liabilities that cannot be allocated to a
segment on a reasonable basis have been disclosed as "UnallocableÂ
xi) Related Party Disclosures:- Related Party Disclosures as per AS-18
issued by ICAI is made and disclosed separately in notes of accounts.
xii) Earning Per Share:- Earning Per Share has been calculated on
weighted average of total number of shares as per AS-20 issued by ICAI.
xiii) Impairment of Assets:- The Company has a policy of assessing the
impairment of Intangible assets every year in accordance with AS-28as
prescribed by ICAI. This is done through comparing its carrying amount
as per books of accounts with its recoverable value. Hence no provision
is required as per AS-28.
xiv ) Revenue Recognition : Revenue from sale of products is recognised
on transfer of all significant risk & rewards of ownership of products
to the customers, which is generally on dispatch of goods. Sales are
stated exclusive of Value added tax. Dividend income is recognised
when right to receive the dividend is established. Interest income is
recognised on the time proportion basis.
Mar 31, 2011
I) Basis of Accounting: The accounts of the company are prepared under
the historical cost convention and in accordance with the applicable
accounting standards issued by the Institute of Chartered Accountants
of India, except where otherwise stated and the relevant provisions of
the Companies Act, 1956. For recognition of Profit or Loss, mercantile
system of accounting is followed except in the following cases where
accounting is done on payment/receipt basis:-
a) Leave with wages & salary
b) Rebate/claim on sales & purchases
c) Legal and Professional Charges.
ii) Fixed Assets: Fixed assets acquired during the period are stated at
cost of acquisition inclusive of all incidental expenses and any
attributable cost for bringing the assets to its working condition and
exclusive of CENVAT Credit on Capital Account.
iii) Depreciation: The depreciation of fixed assets has been provided on
Straight Line Method as per the rates prescribed in Schedule XIV to the
Companies Act, 1956. Depreciation on additions/deletions during the
period has been provided on Pro-rata basis. No amount has been written
off in respect of leasehold land as grant of lease is for a long
period.
iv) Investments: Current Investments are stated at Lower of Cost and
Fair Value and the Resultant decline, if any, is charged to revenue.
During the year Investment in Joint Venture (Hotel) of Rs. 55000000.00
& Investment in Office of Rs. 4300000.00
v) Inventories: Inventories are valued on the following basis:
Finished Goods - At lower of cost or net realizable value
Trading Goods - At cost
vi) Gratuity: The management has decided to adopt cash basis of
accounting for gratuity liability, hence no provision has been made for
accrued liability in the accounts of the company.
vii) Foreign Currency Transactions: Transactions in foreign exchange
are accounted for at exchange rates prevailing on the date on which the
transaction takes place. Gains and Losses arising out of fluctuations
in exchange rates, relating to the fixed assets, are adjusted to the
carrying amount of fixed assets and in other cases transferred to
revenue accounts.
viii) Taxation: - Provision for current tax is made on the basis of
applicable Income Tax Provisions for the current accounting period.
Deferred Tax is recognized, subject to the consideration of prudence in
respect of deferred tax assets, on timing differences, being the
difference between taxable income income and accounting income that
originate in one period and are capable of reversal in one or more
subsequent period.
ix) Borrowing Cost:- Borrowing cost which are directly attributable to
the acquisition/construction of fixed assets till the time such assets
are ready for use are capitalized as part of the assets. Other
borrowing costs are treated as revenue expenditure and charged to
profit and loss account for the year.
x) Segment Reporting:- The company has identified its primary
reportable segments under AS-17 and necessary disclosure is separately
made in notes in accounts. The accounting policies adopted for segment
report are in line with the accounting policies of the company with the
following additional policies for segment reporting.
Revenue and expenses have been identified to a segment on the basis of
relationship to operating activities of the segment. Revenue and
expenses which relate to enterprise as a whole and are not allocable to
a segment on reasonable basis have been disclosed as "Unallocable
". Segment assets and segment liabilities represents assets and
liabilities in respective segments. Investments, tax related assets and
other assets and liabilities that cannot be allocated to a segment on a
reasonable basis have been disclosed as "Unallocable"
xi) Related Party Disclosures:- Related Party Disclosures as per AS-18
issued by ICAI is made and disclosed separately in notes of accounts.
xii) Earning Per Share:- Earning Per Share has been calculated on
weighted average of total number of shares as per AS-20 issued by ICAI.
xiii) Impairment of Assets:- The Company has a policy of assessing the
impairment of Intangible assets every year in accordance with AS-28as
prescribed by ICAI. This is done through comparing its carrying amount
as per books of accounts with its recoverable value. Hence no provision
is required as per AS-28.
xiv ) Revenue Recognition : Revenue from sale of products is recognised
on transfer of all significant risk & rewards of ownership of products
to the customers, which is generally on dispatch of goods. Sales are
stated exclusive of Value added tax.
Dividend income is recognised when right to receive the dividend is
established.
Interest income is recognised on the time proportion basis.
Mar 31, 2010
I) Basis of Accounting:
The accounts of the company are prepared under the historical cost
convention and in accordance with the applicable accounting standards
issued by the Institute of Chartered Accountants of India, except where
otherwise stated and the relevant provisions of the Companies Act,
1956. For recognition of Profit or Loss, mercantile system of
accounting is followed except in the following cases where accounting
is done on payment/receipt basis
a) Leave with wages & salary
b) Rebate/claim on sales & purchases
c) Legal and Professional Charges.
ii) Fixed Assets:
Fixed Assets: Fixed assets acquired during the period are stated at
cost of acquisition inclusive of all incidental expenses and any
attributable cost for bringing the assets to its working condition and
exclusive of CENVAT Credit on Capital Account.
iii) Depreciation:
The depreciation of fixed assets has been provided on Straight Line
Method as per the rates prescribed in Schedule XIV to the Companies
Act, 1956. Depreciation on additions/deletions during the period has
been provided on Pro-rata basis. No amount has been written off in
respect of leasehold land as grant of lease is for a long period.)
iv) Investments:
Current Investments are stated at Lower of Cost and Fair Value and
theresultant decline, if any, is charged to revenue.
v) Inventories:
Inventories are valued on the following basis:
Finished Goods - At lower of cost or net realizable value
Trading Goods - At cost
vi) Gratuity:
The management has decided to adopt cash basis of accounting for
gratuity liability, hence no provision has been made for accrued
liability in the accounts of the company.
vii) Foreign Currency Transactions:
Transactions in foreign exchange are accounted for at exchange rates
prevailing on the date on which the transaction takes place. Gains and
Losses arising out of fluctuations in exchange rates, relating to the
fixed assets, are adjusted to the carrying amount of fixed assets and
in other cases transferred to revenue accounts.
viii) Taxation :
Provision for current tax is made on the basis of applicable Income Tax
Provisions for the current accounting period.
Deferred Tax is Recognised, subject to the consideration of prudence in
respect of deferred tax assets, on timing differences, being the
difference between taxable income income and accounting income that
originate in one period and are capable of reversal in one or more
subsequent period.
x) Segment Reporting :
The company has identified its primary reportable segments under AS-17
and necessary disclosure is separately made in notes in accounts. The
accounting policies adopted for segment report are in line with the
accounting policies of the company with the following additional
policies for segment reporting. Revenue and expenses have been
identified to a segment on the basis of relationship to operating
activities of the segment. Revenue and expenses which relate to
enterprise as a whole and are not allocable to a segment on reasonable
basis have been disclosed as "Unallocable ". Segment assets and segment
liabilities represents assets and liabilities in respective segments.
Investments, tax related assets and other assets and liabilities that
cannot be allocated to a segment on a reasonable basis have been
disclosed as "Unallocable"
xi) Related Party Disclosures:
Related Party Disclosures as per AS-18 issued by ICAI is made and
disclosed separately in notes of accounts.
xii) Earning Per Share:
Earning Per Share has been calculated on weighted average of total
number of shares as per AS-20 issued by ICAI.
xiii) Impairment of Assets :
The Company has a policy of assessing the impairment of Intangible
assets every year in accordance with AS-28as prescribed by ICAI. This
is done through comparing its carrying amount as per books of accounts
with its recoverable value. Hence no provision is required as per AS-
28.
xiv) Revenue Recognition:
Revenue from sale of products is recognised on transfer of all
significant risk & rewards of ownership of products to the customers,
which is generally on dispatch of goods. Sales are stated exclusive of
Value added tax.
Dividend income is recognised when right to receive the dividend is
established.
Interest income is recognised on the time proportion basis.
Mar 31, 2003
A. The accounts have been prepared under historical cost convention
basis.
B. Fixed Assets:
(i)Fixed Assets are stated at original cost less depreciation. Cost
include incoming freight duties and expenses incidental to acquisition
and installation.
(ii) Depreciation of fixed assets is provided on straight line method
in accordance with and at the rates specified in schedule XIV to the
company Act, 1956 on Pro-rata and completed month basis. No
depreciation has been charged on assets sold during the year.
(iii) Assets acquired on hire purchases are subject to depreciation at
the applicable rates. No depreciation is provided on assets
sold/transferred during the year.
(iv) In respect of leased out of assets, depreciation has been charged
at the same rate as in case of other assets in view of the fact that
tease agreement does not specifically mention the period of
C. INVENTORIES: (As per inventories taken, valued & certified by
management)
(i)Materials &Goods are valued at cost or market price whichever is
least.
(ii) W.I.P. is valued at cost. However running works on contract are
valued op cost plus profit as per percentage completion method.
(iii) In view of varied size nature of large no. of items it is not
practicable to furnish quantitative informations of materials consumed.
(iv) Stock of unlisted shares has been valued at cost as market price
is not available.
D. Revenue Reorganization:
i. Sale of real estate / constructions is recognized on acceptance
from customers. However execution of documents is done in due course on
customer request.
ii. Sale/Purchase of securities is recognized on the basis of contract
note/delivery note from dealer/broker.
E. Written off Expenses:
iii. Preliminary Exp. Including fees paid for authorized capital
increase Shall be written off over a period of 10 years.
F. In respect of running works, profit has been computed on percentage
completion method. The income of this basis has been taken into profit
& loss account However, total consideration and expenses on works being
undertaken by company are reflected in profit & loss account only in
the year of completion.
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