Mar 31, 2014
1. Basis for preparation of Financial Statements
The financial statements are prepared and presented under the
historical cost convention on accrual basis of accounting, in
accordance with the accounting principles generally accepted in India
and comply with the Accounting Standards as applicable and the
applicable norms as laid down by the Reserve Bank of India. Except
where otherwise stated, the accounting principles are consistently
applied.
2. Use of Estimates
The preparation of financial statements in conformity with generally
accepted accounting principles requires the management to make
assumptions and estimates, which it believes are reasonable under the
circumstances that affect the reported amounts of assets, liabilities
and contingent liabilities on the date of financial statements and the
reported amounts of revenue and expenses during the period. Actual
results could differ from those estimates. Difference between the
actual results and estimates are recognized in the period in which the
results are known / materialized.
3. Investments
a) Investments, which are intended to be carried for a period exceeding
one year are treated as Long Term Investments. All other investments
are considered as Current Investments.
b) Long Term Investments are carried at cost. Temporary diminutions in
value of long term investments are not considered in the accounts.
Current investments are carried at lower of cost and net realizable
value. Cost for the purpose includes all costs incurred on
purchase/acquisition of such investments.
4. Fixed Assets & Depreciation
Fixed Assets are stated at historical cost. Cost for the purpose
includes all costs attributable to bring- ing the specified asset to
its present location.
Depreciation on Fixed Assets is charged on Written Down Value method at
the rates and manner as specified under Schedule XIV to the Companies
Act, 1956.
5. Impairment of Assets
The Company assesses at each balance sheet date whether there is any
indication that an asset may be impaired. If 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 which the asset belongs to, is less than its
carrying amount, the carrying amount is reduced to its recoverable
amount. The reduction is treated as an impairment loss and is
recognized in the profit and loss account. If at the balance sheet date
there is an indication that a previously assessed impairment loss no
longer exists, the recoverable amount is reassessed and the asset is
reflected at the recover- able amount subject to a maximum of
depreciable historical cost.
6. Provision and Contingencies
Apart from the mandatory provisioning in accordance with the norms as
laid down by the Reserve Bank of India from time to time, the Company
creates provisions when there is present obligation as a result of a
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 a contingent liability
is 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 in respect of
which the likelihood of outflow of resources is remote, no provision or
disclosure is made. Provisions are reviewed at each balance sheet date
and adjusted to reflect the current best estimate. If it is no longer
probable that the outflow of resources would be required to settle the
obligation, the provision is reversed. Contingent assets are not
recognised in the financial statements. However, contingent assets are
assessed continually and if it is virtually certain that an economic
benefit will arise, the asset and related income are recognised in the
period in which the change occurs.
7. Inventories
Stock of shares are valued at lower of cost and market value. Cost for
the purpose includes all costs attributable to the acquisition of stock
including brokerage, taxes & duties etc. Cost Formulae used: FIFO
method.
8. Revenue Recognition
a) Income from sales is recognized as and when the sales are complete.
b) Revenue in respect of all other income is recognized when a
reasonable certainty as to its realiza- tion exists.
9. Employees'' Retirement and Other Benefits
a) Retirement gratuity is accounted for on accrual basis subject to the
completion of one year by the employee concerned.
b) Provident Fund & Miscellaneous Provisions Act, 1952, is not
applicable to the Company for the year under reference.
c) Cost of earned leave of the employees is estimated at the end of
every year and expensed to the profit and loss account of the year in
which such leave were earned.
10. Accounting for Taxes
a) Current Tax and Fringe Benefit Tax are accounted on the basis of
estimated taxable income for the current accounting period and in
accordance with the provisions of Income Tax Act, 1961.
b) Deferred Tax resulting from "timing differences" between accounting
and taxable profit for the period is accounted by using tax rates and
laws that have been enacted or subsequently enacted as 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.
11. Prudential Norms issued by the R.B.I.
The Company follows the Prudential Norms as applicable to it, issued by
the Reserve Bank of India in respect of Non-Banking Financial Companies
(NBFCs).
12. Loan sanctioned/granted by the Company
The policy of the Company for sanction of any loan stipulates the
period for which the loan is sanc- tioned and also the date for
demanding or calling up of such loan. Similarly, interest, if any, on
such loan is payable in accordance with the terms of sanction.
Mar 31, 2013
1. Basis for preparation of Financial Statements
The financial statements are prepared and presented under the
historical cost convention on accrual basis of accounting, in
accordance with the accounting principles generally accepted in India
and comply with the Accounting Standards as applicable and the
applicable norms as laid down by the Reserve Bank of India. Except
where otherwise stated, the accounting principles are consistently
applied.
2. Use of Estimates
The preparation of financial statements in conformity with generally
accepted accounting principles requires the management to make
assumptions and estimates, which it believes are reasonable under the
circumstances that affect the reported amounts of assets, liabilities
and contingent liabilities on the date of financial statements and the
reported amounts of revenue and expenses during the period. Actual
results could differ from those estimates. Difference between the
actual results and estimates are recognized in the period in which the
results are known / materialized.
3. Investments
a) Investments, which are intended to be carried for a period exceeding
one year are treated as Long Term Investments. All other investments
are considered as Current Investments.
b) Long Term Investments are carried at cost. Temporary diminutions in
value of long term investments are not considered in the accounts.
Current investments are carried at lower of cost and net realizable
value. Cost for the purpose includes all costs incurred on
purchase/acquisition of such investments.
4. Fixed Assets & Depreciation
Fixed Assets are stated at historical cost. Cost for the purpose
includes all costs attributable to bringing the specified asset to its
present location.
Depreciation on Fixed Assets is charged on Written Down Value method at
the rates and manner as specified under Schedule XIV to the Companies
Act, 1956.
5. Impairment of Assets
The Company assesses at each balance sheet date whether there is any
indication that an asset may be impaired. If 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 which the asset belongs to, is less than its
carrying amount, the carrying amount is reduced to its recoverable
amount. The reduction is treated as an impairment loss and is
recognized in the profit and loss account. If at the balance sheet date
there is 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 subject to a maximum of depreciable
historical cost.
6. Provision and Contingencies
Apart from the mandatory provisioning in accordance with the norms as
laid down by the Reserve Bank of India from time to time, the Company
creates provisions when there is present obligation as a result of a
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 a contingent liability is 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 in respect of which the likelihood of outflow of
resources is remote, no provision or disclosure is made. Provisions are
reviewed at each balance sheet date and adjusted to reflect the current
best estimate. If it is no longer probable that the outflow of
resources would be required to settle the obligation, the provision is
reversed. Contingent assets are not recognised in the financial
statements. However, contingent assets are assessed continually and if
it is virtually certain that an economic benefit will arise, the asset
and related income are recognised in the period in which the change
occurs.
7. Inventories
Stock of shares are valued at lower of cost and market value. Cost for
the purpose includes all costs attributable to the acquisition of stock
including brokerage, taxes & duties etc. Cost Formulae used: FIFO
method.
8. Revenue Recognition
a) Income from sales is recognized as and when the sales are complete.
b) Revenue in respect of all other income is recognized when a
reasonable certainty as to its realization exists.
9. Employees'' Retirement and Other Benefits
a) Retirement gratuity is accounted for on accrual basis subject to the
completion of one year by the employee concerned.
b) Provident Fund & Miscellaneous Provisions Act, 1952, is not
applicable to the Company for the year under reference.
c) Cost of earned leave of the employees is estimated at the end of
every year and expensed to the profit and loss account of the year in
which such leave were earned.
10. Accounting for Taxes
a) Current Tax and Fringe Benefit Tax are accounted on the basis of
estimated taxable income for the current accounting period and in
accordance with the provisions of Income Tax Act, 1961.
b) Deferred Tax resulting from "timing differences" between accounting
and taxable profit for the period is accounted by using tax rates and
laws that have been enacted or subsequently enacted as 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.
11 . Prudential Norms issued by the R.B.I.
The Company follows the Prudential Norms as applicable to it, issued by
the Reserve Bank of India in respect of Non-Banking Financial Companies
(NBFCs).
12. Loan sanctioned/granted by the Company
The policy of the Company for sanction of any loan stipulates the
period for which the loan is sanctioned and also the date for demanding
or calling up of such loan. Similarly, interest, if any, on such loan
is payable in accordance with the terms of sanction.
Mar 31, 2012
A SYSTEM OF ACCOUNTING
(i) Company maintain its accounts on accrual basis following the
historical cost convention in compliance with the Accounting Standards
Specified to be mandatory by the Institute of Chartered Accountants of
India and relevant provision of the Companies Act, 1956.
(ii) Accounting policies not specifically referred to otherwise are in
consonance with generally accepted accounting principles.
B REVENUE RECOGNISE
1) Sales
Sale of securities is accounted on the basis of Contract notes issued
by Stock Brokers.
2) Interest,commission, Duty Drawback and other Income are accounted on
accrual basis.
3) Dividend is accounted on receipt basis.
C EXPENSES
It is company''s policy to account of expenses on accrual basis except
expenses of traditional nature which are accounted on cash basis.
D INVENTORY
Closing Stock of Shares and Securities has been valued at cost or
market price whichever is lower.
E INVESTMENT
There are no investments held by the Company.
F RETIREMENT BENEFITS
We have been informed that payment of Gratuity and provident fund are
not applicable to company.
G PROVISION AND CONTINGENT LIABILITY
Provisions are recognised for present obligation, of uncertain timing
or amount, arising as a result of past events where a reliable estimate
can be made and it is probable that an outflow of resources embodying
economic benefits will be required to settle the obligation. Where it
is not probable that an outflow of resources embodying economic
benefits will be required or the amount cannot be estimated reliably,
the obligation is disclosed as a contingent liability unless the
probability of outflow of resources embodying economics benefit is
remote. Possible obligations, whose existence will only be confirmed by
the occurrence or non-occurrence of one or more uncertain future
events, are also disclosed as contingent liabilities unless the
probability of outflow of resources embodying economic benefit is
remote.
H TAXATION
(a)
The Company has incurred losses in the year, so no tax has been
charged.
(b) Deferred tax is provided in accordance with the Accounting
Standards - 22, Accounting for taxes on Income, issued by the Institute
of Chartered Accountants of India on timing differences between tax and
accounting treatments that originate in one period and are expected to
be reversed or settled in subsequent periods. Deferred tax assets or
liabilities are measured using the enacted tax rates for the current
year. Adjustment of deferred tax assets or liability attributable to
change in tax rates is shown in the profit and loss account as a part
of deferred tax adjustment for the year.
I EARNING PER SHARE
Basic earning per share is calculated by dividing the net profit for
the period attributable to equity shareholders by the weighted average
number of equity shares outstanding during the period.
J SEGMENT REPORTING
The company has organised its operation into Financial Activities.
Mar 31, 2010
A SYSTEM OF ACCOUNTING
(i) Company maintain its accounts on accrual basis following the
historical cost convention in compliance with the Accounting Standards
Specified to be mandatory by the Institute of Chartered Accountants of
India and relevant provision of the Companies Act, 1956.
(ii) Accounting policies not specifically referred to otherwise are in
consonance with generally accepted accounting principles.
B REVENUE RECOGNISE
1) Sales
Sale of Fabric is recognised on the basis of dispatch of goods is
accounted net of sales return, if any.
Sale of securities is accounted on the basis of debit notes issued to
party.
2) Interest,commission, Duty Drawback and other Income are accounted on
accrual basis.
3) Dividend is accounted on receipt basis.
C EXPENSES
It is company's policy to account of expenses on accrual basis except
expenses of traditional nature which are accounted on cash basis.
D FIXED ASSETS AND DEPRECITION
Company does not have any fixed assets. Hence, no depreciation has been
provided.
E INVENTORY
Closing stock of fabric/ shares and securities has been valued at Cost
or market price whichever is lower.
F INVESTMENT
Investments are long term. Investment are valued at cost. Provision for
diminution in value of investments is made only if such a decline is
otherwise than temporary.
G RETIREMENT BENEFITS
We have been informed that payment of Gratuity and provident fund are
not applicable to company.
H PROVISION AND CONTINGENT LIABILITY
Provisions are recognised for present obligation, of uncertain timing
or amount, arising as a result of past events where a reliable estimate
can be made and it is probable that an outflow of resources embodying
economic benefits will be required to settle the obligation. Where it
is not probable that an outflow of resources embodying economic
benefits will be required or the amount cannot be estimated reliably,
the obligation is disclosed as a contingent liability unless the
probability of outflow of resources embodying economics benefit is
remote.
Possible obligations, whose existence will only be confirmed by the
occurrence or non- occurrence of one or more uncertain future events,
are also disclosed as contingent liabilities unless the probability of
outflow of resources embodying economic benefit is remote.
I TAXATION
(a) Current corporate tax is provided on the profit for the year after
considering applicable tax rates and laws.
(b) Deferred tax is provided in accordance with the Accounting
Standards - 22. Accounting for taxes on Income, issued by the Institute
of Chartered Accountants of India on timing differences between tax and
accounting treatments that originate in one period and are expected to
be reversed or settled in subsequent periods. Deferred tax assets or
liabilities are measured using the enacted tax rates for the current
year.
Adjustment of deferred tax assets or liability attributable to change
in tax rates is shown in the profit and loss account as a part of
deferred tax adjustment for the year.
J IMPAIRMENT OF ASSETS
Impairment of loss is charged to the Profit and Loss Account in the
period in which, an asset is identified as impaired, when the carrying
value of the asset exceeds its recoverable value. The impairment loss
recognised in the prior accounting periods is reversed if there has
been a change in the estimate of recoverable amount.
K EARNTNGTPER SHARE
Basic earning per share is calculated by dividing the net profit for
the period attributable to equity shareholders by the weighted average
number of equity shares outstanding during the period.
L SEGMENT REPORTING
The company has organised its operation into two business
- Trading in fabric
- financial Activities
Mar 31, 2009
A SYSTEM OF ACCOUNTING
(i) Company maintain its accounts on accrual basis following the
historical cost convention in compliance with the Accounting Standards
Specified to be mandatory by the Companies accounting standards and
relevant provision of the Companies Act, 1956.
(ii) Accounting policies not specifically referred to otherwise are in
consonance with generally accepted accounting principles.
B REVENUE RECOGNISE
1) Sales
Sale of Fabric is recognised on the basis of dispatch of goods is
accounted net of sales return, if any.
Sale of securities is accounted on the basis of debit notes issued to
party.
2) Interest commission. Duty Drawback and other Income are accounted on
accrual basis.
3) Dividend is accounted on receipt basis.
C EXPENSES
It is company's policy to account of expenses on accrual basis except
expenses of traditional nature which are accounted on cash basis.
D FIXED ASSETS AND DEPRECITTON
Company does not have any fixed assets. Hence, no depreciation has been
provided.
E INVENTORY
Closing stock of fabric, shares and securities has been valued at Cost
price and market price or market price whichever less.
F INVESTMENT
Investments are long term. Investment are valued at cost. Provision for
diminution in value of investments is made only if such a decline is
otherwise than temporary.
G RETIREMENT BENEFITS
We have been informed that payment of Gratuity and provident fund are
not applicable to company.
H PROVISION AND CONTINGENT LIABILITY
Provisions are recognised for present obligation, of uncertain timing
or amount, arising as a result of past events where a reliable estimate
can be made and it is probable that an outflow of resources embodying
economic benefits will be required to settle the obligation. Where it
is not probable that an outflow of resources embodying economic
benefits will be required or the amount cannot be estimated reliably,
the obligation is disclosed as a contingent liability unless the
probability of outflow of resources embodying economics benefit is
remote. Possible obligations, whose existence will only be confirmed by
the occurrence or non-occurrence of one or more uncertain future
events, are also disclosed as contingent liabilities unless the
probability of outflow of resources embodying economic benefit is
remote.
I TAXATION
(a) Current corporate tax is provided on the profit for the year after
considering applicable tax rates and laws.
(b) Deferred tax is provided in accordance with the Accounting
Standards - 22, Accounting for taxes on Income, issued by the Institute
of Chartered Accountants of India on timing differences between tax and
accounting treatments that originate in one period and are expected to
be reversed or settled in subsequent periods. Deferred tax assets or
liabilities are measured using the enacted tax rates for the current
year. Adjustment of deferred tax assets or liability attributable to
change in tax rates is shown in the profit and loss account as a part
of deferred tax adjustment for the year.
J IMPAIRMENT OF ASSETS
Impairment of loss is charged to the Profit and Loss Account in the
period in which, an asset is identified as impaired, when the carrying
value of the asset exceeds its recoverable value. The impairment loss
recognised in the prior accounting periods is reversed if there has
been a change in the estimate of recoverable amount.
K EARNING PER SHARE
Basic earnings per share are calculated by dividing the net profit for
the period attributable to equity shareholders by the weighted average
number of equity shares outstanding during the period.
L SEGMENT REPORTING
The company has organised its operation into two business
- Trading in Shares .
- Trading in Shares & Securities
The analysis of geographical segment is based on the area in which
major operating divisions of the company operate
Mar 31, 2008
1. Method of Accounting:
Company maintain its account on accrual basis following the historical
cost convention in compliance with the Accounting standards specified
to be mandatory by the institute of chartered Accountants of India and
relevant provision of the companies Act, 1956.
2. Sales:
Sales are net of discount and returns it any.
3. Income and expenditures:
All incomes and expenditures to the extent considered payable and
receivable respectively stated to be otherwise are accounted for on
accrual basis.
4. Fixed Assets and Depreciation:
There is no Fixed Assets hence no depreciation has provided.
5. Inventories:
Closing stock of shares & Securities has been valued at cost.
6. Investments:
Investments reflected at the end of the year in the balance sheet are
long term investments, provision for reduction / diminution in the
value of investments, if any has not been provided as we have been
informed by the management that such reduction or diminution is
temporary. In absence of market value and regular quotations of
securities, were cannot comment on the market value of the securities
as on 31/03/2008.
7. Taxes on Income:
- Provision for income Tax is made in the books of account as per the
provisions of income tax act, 1961.
- Provision for fringe benefit tax is made in the books of account as
per the provisions of income tax act, 1961.
- As there is no liming difference provision for DTA/DTL is not made in
the books of account.
8. Earning per shares:
Basic earnings per share are calculated by dividing the net profit for
the period attributable to equity shareholders y the weighted average
number of equity shares outstanding during the periods.
For the purpose of calculating diluted earnings per share, the net
profit for the period attributable to equity shareholders and the
weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
9. Segment Reporting policies:
The company has organized its operations into tow business:
- Trading of Fabrics
- Trading of shares and securities
The analysis of geographical segment is based on the area in which
major operating divisions of the company operate.