Mar 31, 2015
1.1 Basis of accounting and preparation of financial statements
The financial statements are prepared to comply in all material aspects
under the Historical Cost convention and in accordance with generally
accepted accounting principles in India and the mandatory Accounting
Standards prescribed under Section 133 of the Companies Act 2013 (Act')
read with Rule-7 of the Companies (Accounts) Rules, 2014 and provisions
of the Act (to the extent notified).
1.2 Use of Estimates
Preparation of financial statements requires estimates and assumptions
that affect the reported amounts of assets and liabilities, and
disclosure of contingent liabilities at the date of the financial
statements and the result of operations during the reporting period.
Although such estimates and assumptions are made on reasonable and
prudent basis taking into account all available information, actual
results could differ from these estimates and assumptions and such
differences are recognised in the period in which results get
crystallised.
1.3 Fixed Assets
Fixed Assets are stated at cost except Trade Marks which are valued
based on valuation carried out by an independent agency,
1.4 Depreciation and Amortization
Depreciation on fixed assets is provided on straight line method
according to the useful life mentioned in Schedule II Part C to the
Companies Act, 2013, Leasehold assets are amortised over the respective
residual lease period
1.5 Borrowing costs
Borrowing costs attributable to the acquisition or construction of a
qualifying asset are capitalized as part of the cosl of that asset.
Other borrowing costs are recognized as expense in the period in which
these are incurred.
1.6 Impairment of Assets
At each balance sheet date, the management reviews the carrying amounts
of the assets included in each cash generating unit to determine
whether there is any indication that those assets were impaired, if any
such indication exists, the recoverable amount of the asset is
estimaied in order to determine the extent of impairment. Recoverable
amount is the higher of an asset's net selling price and value in use.
In assessing value in use, the estimated future cash flows expected
from the continuing use of the asset and from its disposal are
discounted to their present value using a pre-tax discount rate that
reflects the current market assessments of time value of money and the
risks specific to the asset. Reversal of impairment loss is recognized
as income in the statement of profit and loss.
1.7 Inventories
Raw materials Finished Goods, stores, components and other consumables
are valued at cost or net realisable value whichever is lower.
Work-in-progress is valued at cost on estimate.
1.8 Investments
Long term Investments are valued at cost. Provision for other than
temporary diminution in value of such investments is made, if
necessary. Current investments are stated at cost or market value,
whichever is lower.
1.9 Foreign Currency Transactions
Income and expenses in foreign currencies are converted at exchange
rates prevailing on the date of the transaction, Foreign currency
monetary assets and liabilities are translated at the exchange rate
prevailing on the balance sheet date. Any income or expense on account
of exchange difference either on settlement or on translation is
recognized in the Statement of Profit and Loss.
1.10 Lease
Lease arrangements where the risks and rewards incidental to ownership
of an asset substantially vest with the less or, are recognized as
operating leases. Lease rentals under operating leases are recognized
in the Statement of Profit and Loss,
1.11 Revenue Recognition
Accounts are maintained on accrual basis. Revenue recognition is
postponed to a later year when it is not possible to estimate it with
reasonable accuracy. Deferred revenue expenditure is written off over
six years Dividends from investments are recognized when the company's
right to receive payment is established
1.12 Employee Benefits
Short-term employee benefits (compensated absences) are recognised as
expense at the undiscounted amount in the year in which the related
service is rendered based on actuarial valuation made at end of the
year. Post employment employee benefits are recognised as expense in
the year in which the employee has rendered services. The expense is
recognised at the present value of the amount payable determined using
actuarial valuation techniques at the end of the year. Actuarial gains
and losses in respect of post employment benefits are charged to the
Statement of Profit and Loss.
1.13 Taxation
Tax expense comprises of current tax and deferred tax. Current tax is
measured at the amount expected to be paid to the tax authorities,
using the applicable tax rates. Deferred tax expense or benefit is
recognized on timing differences being the difference between taxable
income and accounting income that originate in one period and is likely
to reverse in one or more subsequent periods. Deferred tax assets and
liabilities are measured using the tax rates and tax laws that have
been enacted or substantively enacted by the balance sheet date. In the
event of unabsorbed depreciation and carry forward of losses, deferred
lax assets are recognized only to the extent that there is virtual
certainty supported by convincing evidence that sufficient future
taxable income will be available to realize such assets. In other
situations, deferred tax assets are recognized only to the extent that
there is reasonable certainty that sufficient future taxable income
will be available to realize these assets.
1.14 Cash and Cash Equivalents
Cash and cash equivalents in the Cash Flow Statement comprise cash al
bank and in hand.
1.15 Segment Reporting
Identification of Segments: Segments are identified and reported taking
into account the nature of products and services, the differing risks
and returns, the organizational structure and the internal financial
reporting system. The analysis of geographical segments is based and the
areas in which major operating divisions of the Company operate.
Allocation of common costs: Common allocable costs are allocated to
each segment according to the turnover of the respective segments.
Mar 31, 2014
A) Fixed Assets
Stated at cost except Trade Marks which are valued based on valuation
carried out by independent agencies
b) Borrowing costs
Borrowing costs comprising of interest etc. relating to projects are
capitalised upto the date of project completion. Other borrowing costs
are charged to Profit & Loss Account in the year of their accrual.
c) Depreciation *
Depreciation on fixed assets is provided on straight line method in
accordance with Schedule XIV of the Companies Act, 1956. However, In
case of Motor Vehicles & Office Computers, the rates are based on
technical evaluation of the economic life of assets by the management
which are 15% & 24% instead of 9.50% & 16.21% respectively specified in
the said Schedule. In case of trade marks, the book value is written
off over the residual period of the validity of the relevant
registration certificate. An amount equal to the additional
depreciation on account of revaluation is transferred to the Profit &
Loss Account from the Revaluation Reserve. Value of Leasehold assets is
amortised over the respective residual lease period.
d) Inventories
Inventories are valued at lower of cost or net realisable value. Cost
of own manufactured goods comprises of materials, labour and other
appropriate overheads including depreciation. Cenvat on stocks is added
to value of stocks Values of stocks of raw materials, stores and
packing materials are determined on first-in first-out basis.
e) Investments
Long term Investments are valued at cost Provision for any permanent
diminution in value of investments is made, if necessary. Current
investments are stated at cost or market value, whichever is lower.
However, investments under Portfolio Management Services are stated at
cost
f) Foreign Currency Transactions
All foreign currency transactions are accounted for at prevailing rates
on the respective date of transactions Liabilities remaining unsettled
at the year-end are translated at year-end rates. Differences in
transactions of assets and liabilities and realised gams and losses on
foreign currency transactions are recognised in the Profit and Loss
Account.
g) Lease
Lease Rentals are charged to/accounted for in Profit and Loss Account.
h) Revenue Recognition
Accounts are maintained on accrual basis. Revenue recognition is
postponed to a later year when it is not possible lo estimate it with
reasonable accuracy. Deferred revenue expenditure is written off over
six years.
Dividends from investments are recognized when the company's right to
receive payment is established
i) Retirement Benefits
a) Short-term employee benefits (compensated absenses) are recognised
as expense at the undiscounted amount in the Profit & Loss Account of
the year in which the related service is rendered based on actuarial
valuations made at the end of the year.
b) Post employment employee benefits are recognised as expense in the
Profit & Loss Account for the year in which the employee has rendered
V services. The expense is recognised at the present value of the
amount payable determined using actuarial valuation techniques at the
end of the year Actuarial gains and losses in respect of post employment
benefits are charged to the Profit & Loss Account.
j) Taxation
a) Provision for current taxes is made and retained in the accounts on
the basis of estimated tax liability as per applicable provisions of
the Income Tax Act. 1961 and considering assessment orders and
decisions of appellate authorities
b) Deferred Tax for timing difference between tax profits and book
profits is accounted for. using tax rates and laws that have been
enacted or substantively enacted as of the Balance Sheet date. Deferred
Tax Assets are recognised to the extent there is reasonable certainty
that these assets can be realised in future.
k) Impairment of Assets
Factors giving rise to any indication of any impairment of the carrying
amount of the Company's assets are appraised at each Balance Sheet date
to determine and provide/revert an impairment loss following Accounting
Standard - 28 for Impairment of Assets
l) Accounting of Derivatives
Realised Income/Losses from dealings in derivative instruments are
accounted for and the unrealised gains/losses are not considered till
the derivative agreement is not completed. Such profits/losses are
shown as exceptional items in the Profit and Loss Account.
Mar 31, 2012
A) Fixed Assets
Stated at cost except Trade Marks which are valued based on valuation
carried out by independent agencies.
b) Borrowing costs
Borrowing costs comprising of interest etc. relating to projects are
capitalised upto the date of project completion. Other borrowing costs
are charged to Profit & Loss Account in the year of their accrual.
c) Depreciation
Depreciation on fixed assets is provided on straight line method in
accordance with Schedule XIV of the Companies Act, 1956. However, in
case of Motor Vehicles & Office Computers, the rates are based on
technical evaluation of the economic life of assets by the management
which are 15% & 24% instead of 9.50% & 16.21% respectively specified in
the said Schedule. In case of trade marks, the book value is written
off over the residual period of the validity of the relevant
registration certificate. An amount equal to the additional
depreciation on account of revaluation is transferred to the Profit &
Loss Account from the Revaluation Reserve. Value of Leasehold assets is
amortised over the respective residual lease period.
d) Inventories
Inventories are valued at lower of cost or net realisable value. Cost
of own manufactured goods comprises of materials, labour and other
appropriate overheads including depreciation. Cenvat on stocks is added
to value of stocks. Values of stocks of raw materials, stores and
packing materials are determined on first-in first-out basis.
e) Investments
Long term Investments are valued at cost.Provision for any permanent
diminution in value of investments is made, if necessary. Current
investments are stated at cost or market value, whichever is lower.
However, investments under Portfolio Management Services are stated at
cost.
f) Foreign Currency Transactions
All foreign currency transactions are accounted for at prevailing rates
on the respective date of transactions. Liabilities remaining unsettled
at the year-end are translated at year-end rates. Differences in
transactions of assets and liabilities and realised gains and losses on
foreign currency transactions are recognised in the Profit and Loss
Account.
g) Lease
Lease Rentals are charged/accounted for in Profit and Loss Account.
h) Revenue Recognisition
Accounts are maintained on accrual basis. Revenue recognition is
postponed to a later year when it is not possible to estimate it with
reasonable accuracy. Deferred revenue expenditure is written off over
six years.
i) Retirement Benefits
a) Short-term employee benefits (compensated absenses) are recognised
as expense at the undiscounted amount in the Profit & Loss Account of
the year in which the related service is rendered based on actuarial
valuations made at the end of the year,
b) Post employment employee benefits are recognised as expense in the
Profit & Loss Account for the year in which the employee has rendered
services. The expense is recognised at the present value of the amount
payable determined using actuarial valuation techniques at the end of
the year. Actuarial gains and losses in respect of post employement
benefits are charged to the Profit & Loss Account.
j) Taxation
a) Provision for current taxes is made and retained in the accounts on
the basis of estimated tax liability as per applicable provisions of
the Income Tax Act, 1961 and considering assessment orders and
decisions of appellate authorities.
b) Deferred Tax for timing difference between tax profits and book
profits is accounted for, using tax rates and laws that have been
enacted or substantively enacted as of the Balance Sheet date. Deferred
Tax Assets are recognised to the extent there is reasonable certainty
that these assets can be realised in future.
k) Impairment of Assets
Factors giving rise to any indication of any impairment of the carrying
amount of the Company's assets are appraised at each Balance Sheet date
to determine and provide/revert an impairment loss following Accounting
Standard - 28 for Impairment of Assets.
I) Accounting of Derivatives
Realised Income/Losses from dealings in derivative instruments are
accounted for and the unrealised gains/losses are not considered till
the derivative agreement is not completed. Such profits/losses are
shown as exceptional items in the Profit and Loss Account.
Mar 31, 2011
(I) Fixed Assets Stated at cost except Trade Marks which are valued
based on valuation carried out by independent agencies.
(ii) Borrowing costs: Borrowing costs comprising of interest etc.
relating to projects are capitalised upto the date of project
completion. Other borrowing costs are charged to Profit & Loss Account
in the year of their accrual.
(iii) Depreciation:Depreciation on fixed assets is provided oh straight
line method in accordance with Schedule XIV of the Companies Act. 1956.
However, in case of Motor Vehicles & Office Computers, the rates are
based on technical evaluation of the economic life of assets by the
manaqement which are 15% & 24% instead of 9.50% & 16 21 % respectively
specified in the said Schedule. In case of trade marks, (he book value
is written off over the residua? period of the validity of the relevant
registration certificate. An amount equal to the additional
depreciation on account of revaluation is transferred to the Profit &
Loss Account from the Revaluation Reserve. Value of Leasehold assets
is amortised over the respective residual lease period
(iv) Inventories Inventories are valued at lower of cost or net
realisable value. Cost of own manufactured goods comprises of
materials, labour and other appropriate overheads including
depreciation Cenvat on stocks is added to value of stocks. Values of
stocks of raw materials, stores and packing materials are determined on
first-in first-out basis.
(v) Investments Long term Investments are valued at cost.Provision tor
any permanent diminution in value of investments is made, if necessary.
Current investments are stated at cost or market value, whichever is
lower. However, investments under Portfolio Management Services are
stated at cost.
(vi) Foreign Currency : All foreign currency transactions are accounted
for at prevailing rates on the respective dale of transactions.
Liabilities remaining unsettled at the year-end are translated
Transactions at year-end rates. Differences in transactions of assets
and liabilities and realised gains and losses on foreign currency
transactions are recognised in the Profit and Loss Account.
(vii) Lease : Lease Rentals are charged/accounted for in Profit and
Loss Account.
(viii) Revenue: Accounts are maintained on accrual basis. Revenue
recognition is postponed to a later year when it is not possible to
estimate it with reasonable accuracy. Deferred revenue
Recognisition expenditure is written off over six.years.
(iX)Retirement : a) Short-term employee benefits (compensated absenses)
are recognised as expense at the undiscounted amount in the Profit &
Loss Account of the year in which the ë Benefits related service is
rendered based on actuarial valuations made at the end of the year
b) Post employment employee benefits are recognised as expense in the
Profit & Loss Account for the year in which the employee has rendered
services The expense is recognised at the present value of the amount
payable determined using actuarial valuation techniques at the end of
the year. Actuarial gains and losses in respect of post employement
benefits are charged to the Profit & Loss Account.
(x) Taxation a) Provision for current taxes is made and retained in the
accounts on the basis of estimated tax liability as per applicable
provisions of the Income Tax Act. 1961 and considering assessment
orders and decisions of appellate authorities.
b) DeferrecTTaxfor timing difference between tax profits and book
profits is accounted for, using tax rates and laws that have been
enacted or substantively enacted as of the Balance Sheet date. Deferred
Tax Assets are recognised to the extent there is reasonable certainty
that these assets can be realised in future.
(xi) Impairment of Factors giving rise to any indication of any
impairment of the carrying amount of the Company s assets are appraised
at each Balance Sheet date to determine and provide/
Assets revert an impairment toss following Accounting Standard-28 for
Impairment of Assets.
(xii) Accounting of derivative : Realised Income/Losses from dealings
in instruments are accounted for and the unrealised gains/losses
are not considered till the derivative agreement is not Derivatives
completed. Such profits/losses are shown as exceptionalitems
in the Profit and Loss Account
Mar 31, 2010
(i) Fixed Assets : Valued at cost except Trade Marks which are valued
based on valuation carried out by independent agencies.
(ii) Borrowing costs : Borrowing costs comprising of interest etc.
relating to projects are capitalised upto the date of project
completion. Other borrowing costs are charged to Profit & Loss Account
in the year of their accrual.
(iii) Depreciation Depreciation on fixed assets is provided on straight
line method in accordance with Schedule XIV of the Companies Act, 1956.
However, in case of trade marks, the book value is written off over the
residual periodof the validity of the relevant registration
certificate. An amount equal to the additional depreciation on account
of revaluation is transferred to the Profit & Loss Account from the
Revaluation Reserve. Value, of Leasehold assets is amortised over the
respective residual lease period.
(iv) Inventories : Inventories are valued at lower of cost or net
realisable value. Cost of own manufactured goods comprises of
materials, labour and other appropriate overheads including
depreciation. Cenvat on stocks is added to value of stocks. Values of
stocks of raw materials, stores and packing materials are determined on
first-in first- out basis.
(v) Investments : Long term Investments are valued at cost.Provision
for any permanent diminution in value of investments is made, if
necessary. Current investments are stated at cost or market value,
whichever is lower. However, investments under Portfolio Management
Services are stated at cost.
(vi) Foreign Currency : All foreign currency transactions are accounted
for at prevailing rates on the respective date of transactions.
Liabilities remaining unsettled Transactions at the year-end are
translated at year-end rates. Differences in transactions of assets
and liabilities and realised gains and tosses on foreign currency
Transactions are recognised in the Profit and Loss Account.
(vii) Lease Lease Rented are charged/accounted for in Profit and Loss
Account.
(viii) Revenue Accounts are maintained on accrual basis. Revenue
recognition is postponed to a later year when it Recognisition is not
possible to estimate it with reasonable accuracy. Deterred revenue
expenditure is written off over six years.
(ix) Retirement a) Short-term employee benefits (compensated absenses)
are recognised as expense at the undiscounted Benefits amount in the
Profit & Loss Account of the year in whicn the related service is
rendered based on actuarial valuations made at the end of the year.
b) Post employment employee benefits are recognised as expense in the
Profit & Loss Account Account for the year in which the employee has
rendered services. The expense is recognised at the present value of
the amount payable determined using actuarial valuation techniques at
the end of the year. Actuarial gains & losses in respect of post
employement benefits are charged to the Profit & Loss Account.
(x) Taxation : a) Provision for current taxes is made and retained in
the accounts on the basis of estimated tax liability as per applicable
provisions of the Income Tax Act, 1961 and considering assessment
orders and decisions of appellate authorities.
b) Deferred Tax for timing difference between tax profits and book
profits is accounted for, using tax rates and laws that have been
enacted or substantively enacted as of the Balance Sheet date.
Deferred Tax Assets are recognised to the extent there is reasonable
certainty that these assets can be realised in future.
(xi) Impairment Factors giving rise to any indication of any impairment
of the carrying amount of the Companys assets of Assets are appraised
at each Balance Sheet date to determine and provide/ revert an
impairment loss following Accounting Standard - 28 for Impairment of
Assets.
(xii) Accounting : Realised lncome/Losses from dealings in derivative
instruments are accounted for and the unrealised of Derivatives
gains/losses are not considered till the derivative agreement is not
completed. Such profits/losses are shown as exceptional items in the
Profit and Loss Account.