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Accounting Policies of Futuristic Securities Ltd. Company

Mar 31, 2015

1.(a) Basis of Accounting :

The financial statements of the Company are prepared and presented under the historical cost convention and comply in all material respects with the applicable accounting standards as notified by the Central Government vide the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956. All Income & Expenditure are accounted for on accrual basis except dividend on Investment is accounted for on actual receipt basis.

1.(b) Use of Estimates

The preparations and presentation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The difference between the actual result and estimates are recognised in the period in which the results are known/materialised. .

1.(c) Revenue Recognition

Interest Income is recognised on the proportion basis. Dividend income is accounted for on actual receipt basis.

1. (d) Fixed Assets including Intangible Assets :

Fixed Assets are stated at cost less accumulated depreciation and amortisation. The cost of an asset comprises its purchase price and any directly attributable costs of bringing the asset to working condition for its intended use. Expenditures for additions, improvements, renewals and insurance spares (determined on the basis of irregular use) are capitalised and expenditure for repairs and maintenance are charged to the statement of Profit and loss. When assets are sold or discarded their cost and accumulated depreciation are removed from the accounts and any gain or loss resulting from their disposal is included in the statements of Profit and Loss.

Intangible assets are recorded at consideration paid for acquisition of such assets and are carried at cost less accumulated amortisation.

1.(e) Depreciation and Amortisation:

Depreciation on Fixed Assets is provided on Written down value at the rates and in the manner prescribed in schedule XIV to the Companies Act, 1956 on pro-rata basis from the month the assets are put to use except in case of new project where it is provided for the period of use. Depreciation on sale of assets is provided upto the month prior to the month in which the assets are sold or disposed off. Depreciation on incremental cost arising on account of capitalised insurance spares is amortised over the residual life of the respective assets. Premium on leasehold land is amortized over the period of the lease. An Intangible asset is measured at cost and amortised so as to reflect the pattern in which the assets economic benefits are consumed. The useful life has been estimated as five years.

1.(f) Impairment:

The carrying amount of the fixed assets is reviewed at each Balance Sheet date for impairment whenever events or charges in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss is recognised in the financial statement when the carrying amount of fixed assets exceeds the assessed estimated recoverable amount. The recoverable amount is the greater of assets net selling price or its value in use. An impairment loss is reversed if there has been change in recoverable amount and such loss either no longer exists or has decreased. Impairment loss/ reversal thereof is adjusted to the carrying value of the respective assets.

1.(g) Investments:

(a) Non Current investments are stated at cost. The diminution, if any, in the value of investments, is recognised when such diminution is considered other than temporary.

1. (h) Taxes on Income:

Tax expense for the relevant period comprises of current and deffered tax. Current Income tax is measured at the amount expected to be paid to the tax authorities in accordance with the the Income Tax Act, 1961. Minimum Alternate Tax (MAT)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 assets 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 statements of Profit and loss and shown as MAT credit Entitlements. 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 the Company will pay normal income tax during the specified period. Deffered Tax is measured based on the tax rates and tax laws enacted or substantively enacted at the Balance Sheet date. Deffered tax is recognised, subject to consideration of prudence, on all timing differences between taxable income and accounting income that originate in one period and are capable of being reversed in one or more subsequent periods. However, Deffered tax assets arising on account of brought forward losses and unabsorbed depreciation are recognised only when there is virtual certainty of realisation of such assets backed by convincing evidence. Deffered tax assets are reviewed and assessed at the balance sheet date of reflect the amount that is reasonably/virtually certain (as the case may be) to be realised.

1 .(j) Provisions, Contingent liabilities and Contingent Assets:

A disclosure for a contingent liability is made after careful evaluation of the facts and legal aspects of the matter involved, when there is a possible or present obligations that may, but probably will not require an outflow of resources. When there is possible or present obligations in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made. Provisions are recognised when the company has a legal/constructive obligation and on management discretion as a result of a past event, for which it is probable that an outflow of resources will be required to settle the obligation and in respect of which a reliable estimate can be made. Contingent assets neither recognised nor disclosed in the financial statements.

1.(k) Cash and Cash equivalents :

Cash and Cash equivalents in the cash flow statements comprises cash at bank and in hand and short term investments with an original maturity of three months or less.

1.(1) Earing per share: 2014-15 2013-14

Profit / (Loss) for the year 266,169 350,241

Number of shares 1,950,000 1,950,000

Face Value per share (Rs.) 10 10

Basic and Diluted earing per share 0.14 0.18

1.(m) Disclosure of related paties / related party transactions :

A) Key Management Personnels their relatives.

a) S. K. Thirani (Director)

b) A. K. Thirani (Son)

c) Rekha Thirani (Daughter in Law)

d) Nandini Mehta (Grand Daughter)

e) Neha Thirani / Bagri (Grand Daughter)

f) Shashi Binani (Daughter)

g) Suhasini Lohia (Daughter)


Mar 31, 2012

1.(a) Basis of Accounting :

The financial statements of the Company are prepared and presented under the historical cost convention and comply in all material respects with the applicable accounting standards as notified by the Central Government vide the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 1956. All Income & Expenditure are accounted for on accrual basis except dividend on Investment is accounted for on actual receipt basis.

1.(b) Use of Estimates

The preparations and presentation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets and iiabilites on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The difference between the actual result and estimates are recognised in the period in which the results are known/materialised.

1.(c) Revenue Recognition

Interest Income is recognised on the proportion basis. Dividend income is accounted for on actual receipt basis.

1. (d) Fixed Assets including Intangible Assets :

Fixed Assets are stated at cost less accumulated depreciation and amortisation. The cost of an asset comprises its purchase price and any directly attributable costs of bringing the asset to working condition for its intended use. Expenditures for additions, improvements, renewals and insurance spares (determined on the basis of irregular use) are capitalised and expenditure for repairs and maintenance are charged to the statement of Profit and loss. When assets are sold or discarded their cost and accumulated depreciation are removed from the accounts and any gain or loss resulting from their disposal is included in the statements of Profit and Loss.

Intangible assets are recorded at consideration paid for acquisition of such assets and are carried at cost less accumulated amortisation.

1 .(e) Depreciation and Amortisation:

Depreciation on Fixed Assets is provided on Written down value at the rates and in the manner prescribed in schedule XIV to the Companies Act, 1956 on pro-rata basis from the month the assets are put to use except in case of new project where it is provided for the period of use. Depreciation on sale of assets is provided upto the month prior to the month in which the assets are sold or disposed off. Depreciation on incremental cost arising on account of capitalised insurance spares is amortised over the residual life of the respective assets. Premium on leasehold land is amortized over the period of the lease.An Intangible asset is measured at cost and amortised so as to reflect the pattern in which the assets economic benefits are consumed. The useful life has been estimated as five years.

1.(f) Impairment:

The carrying amount of the fixed assets is reviewed at each Balance Sheet date for impairment whenever events or charges in circumstances indicate that the carrying amount of an asset may not be recoverable. An impairment loss is recognised in the financial statement when the carrying amount of fixed assets exceeds the assessed estimated recoverable amount. The recoverable amount is the greater of assets net selling price or its value in use. An impairment loss is reversed if there has been change in recoverable amount and such loss either no longer exists or has decreased. Impairment loss/ reversal thereof is adjusted to the carrying value of the respective assets.

1.(g) Investments :

(a) Non Current investments are stated at cost. The diminution, if any, in the value of investments, is recognised when such diminution is considered other than temporary.

1. (h) Taxes on income :

Tax expense for the relevant period comprises of current and deffered tax. Current Income tax is measured at the amount expected to be paid to the tax authorities in accordance with the the Income Tax Act, 1961. Minimum Alternate Tax (MAT)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 assets 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 statements of Profit and loss and shown as MAT credit Entitlements. 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 the Company will pay normal income tax during the specified period. Deffered Tax is measured based on the tax rates and tax laws enacted or substantively enacted at the Balance Sheet date. Deffered tax is recognised, subject to consideration of prudence, on all timing differences between taxable income and accounting income that originate in one period and are capable of being reversed in one or more subsequent periods. However, Deffered tax assets arising on account of brought forward losses and unabsorbed depreciation are recognised only when there is virtual certainty of realisation of such assets backed by convincing evidence. Deffered tax assets are reviewed and assessed at the balance sheet date of reflect the amount that is reasonably/virtually certain (as the case may be) to be realised.

1. (j) Provisions, Contingent liabilities and Contingent Assets:

A disclosure for a contingent liability is made after careful evaluation of the facts and legal aspects of the matter involved, when there is a possible or present obligations that may, but probably will not require an outflow of resources. When there is possible or present obligations in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made. Provisions are recognised when the company has a legal/constructive obligation and on management discretion as a result of a past event, for which it is probable that an outflow of resources will be required to settle the obligation and in respect of which a reliable estimate can be made. Contingent assets neither recognised nor disclosed in the financial statements.

1.(k) Cash and Cash equivalents:

Cash and Cash equivalents in the cash flow statements comprises cash at bank and in hand and short term investments with an original maturity of three months or less.

1.(m) Disclosure of related paties / related party transactions :

A) Associated Companies / Concerns

a) Kores (India) Ltd.,

b) Solar Packaging Pvt. Ltd.,

c) Shashi Finance Pvt. Ltd.,

d) Pepega (I & P) Ltd.,

e) Vishvakirti Consultancy Ltd.,

f) Shri Amarsinji Stationery Industries Ltd.,

B) Key Management Personnel & their relatives.

a) A. K.Thirani (Son)

b) S. K.Thirani (Director)

c) RekhaThirani (Daughter in Law)

d) Nandini Mehta (Grand Daughter)

e) Neha Thirani / Bagri (Grand Daughter)

f) Shashi Binani (Daughter)

g) Suhasini Lohia (Daughter)


Mar 31, 2011

1. FIXED ASSETS

All tangible assets are stated at cost less depreciation.

2. DEPRECIATION

Depreciation has been calculated for the year on the Assets of the Company on written down value at the rates specified in Schedule XIV of the Companies Act, 1956, on single shift on pro- rata time basis.

3. INVENTORIES

Basis of Valuation: Shares & Securities: At Cost or Market value whichever is lower.

4. INVESTMENTS (LONG TERM)

Long term investments are stated at cost.

5. RETIREMENT BENEFITS

i. Contribution to Provident Fund & other recognised funds if any are charged to Profit & Loss Account.

ii. Provision for Leave Encashment on Retirement has not been made since according to the Company''s Policy, Leave Encashment is not a retirement benefit.

iii. Payment for Gratuity Act, 1972 is not applicable to the Company.

6. RECOGNITION OF INCOME AND EXPENDITURE

Items of Income & Expenditure are recognised on accrual basis except Dividend on Shares & Securities held as Investment is accounted for on actual receipt basis.

7. TAXATION

Tax on income for the current period is determined on the basis of taxable income and tax credits computed in accordance with the provision of Income Tax Act, 1961.


Mar 31, 2010

1. FIXED ASSETS

All tangible assets are stated at cost less depreciation.

2. DEPRECIATION

Depreciation has been calculated for the year on the Assets of the Company on written down value at the rates specified in Schedule XIV of the Companies Act, 1956, on single shift on pro- rata time basis.

3. INVENTORIES

Basis of Valuation: Shares & Securities: At Cost or Market value whichever is lower.

4. INVESTMENTS (LONG TERM)

Long term investments are stated at cost.

5. RETIREMENT BENEFITS

i Contribution to Provident Fund & other recognised funds if any are charged to Profit & Loss Account.

ii Provision for Leave Encashment on Retirement has not been made since according to the Companys Policy, Leave Encashment is not a retirement benefit.

iii Payment for Gratuity Act, 1972 is not applicable to the Company.

6. RECOGNITION OF INCOME AND EXPENDITURE

Items of Income & Expenditure are recognised on accrual basis except Dividend on Shares & Securities held as Investment is accounted for on actual receipt basis.

7. TAXATION

Tax on income for the current period is determined on the basis of taxable income and tax credits computed in accordance with the provision of Income Tax Act, 1961.

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