Mar 31, 2015
1.1 METHOD OF ACCOUTING
a) The Company follows the mercantile system of accounting & recognizes
income & expenditure on accrual basis.
b) Financial statements are prepared on the historical cost convention
and on the principles of going concern, and accordance with the
prevalent accounting standards as applicable except as stated
otherwise.
c) Accounting Policies not specifically referred to otherwise, are
consistent & in accordance with the generally accepted accounting
principles followed by the company.
1.2 REVENUE RECOGNISATION
Revenue is recognized only when it is earned & its collection is
reasonably certain.
1.3 FIXED ASSETS
Fixed assets are stated at cost of acquisition inclusive of freight,
duty and taxes and incidental expenses less accumulated depreciation.
1.4 INVESTMENTS
Investment s are valued at cost of acquisition, which includes the
brokerage and stamp duty. Dividend credited/debited for the
ex-dividend/cum-dividend transactions are considered with the cost of
acquisition of the investments
1.5 DEPRECIATION
Depreciation is charged on a pro-rata basis on the written down method
as per the rates and in the manner prescribed under the Companies Act,
2013.
1.6 EMPLOYEE BENEFITS
Since there is no employee in the Company who has completed 5 years of
service till the end of financial year so no provision for gratuity has
been made in the financial statements.
Mar 31, 2014
1.1 METHOD OF ACCOUTING
a) The Company follows the mercantile system of accounting & recognizes
income & expenditure on accrual basis.
b) Financial statements are prepared on the historical cost convention
and on the principles of going concern, and accordance with the
prevalent accounting standards as applicable except as stated
otherwise.
c) Accounting Policies not specifically referred to otherwise, are
consistent & in accordance with the generally accepted accounting
principles followed by the company.
1.2 REVENUE RECOGNISATION
Revenue is recognized only when it is earned & its collection is
reasonably certain.
1.3 FIXED ASSETS
Fixed assets are stated at cost of acquisition inclusive of freight,
duty and taxes and incidental expenses less accumulated depreciation.
1.4 INVESTMENTS
Investment s are valued at cost of acquisition, which includes the
brokerage and stamp duty. Dividend credited/debited for the
ex-dividend/cum-dividend transactions are considered with the cost of
acquisition of the investments
1.5 DEPRECIATION
Depreciation is charged on a pro-rata basis on the written down method
as per the rates and in the manner prescribed under the Schedule XIV to
the Companies Act, 1956.
1.6 EMPLOYEE BENEFITS
Since there is no employee in the Company who has completed 5 years of
service till the end of financial year so no provision for gratuity has
been made in the financial statements.
Mar 31, 2010
A) ACCOUNTING CONVENTION
The financial statements have been prepared and presented under the
historical cost convention on accrual basis of accounting, as
applicable to a going concern in accordance with generally accepted
accounting principles in India, mandatory accounting standards
prescribed in the Companies (Accounting Standard) RulesÃ2006 issued by
the Central Government in consultation with the National Advisory
Committee on Accounting Standards and in accordance with the relevant
provisions of the Companies Act, 1956 to the extent applicable. The
financial statements are presented in Indian Rupees rounded off to the
nearest rupee.
b) USE OF ESTIMATES
The preparation of financial statements in confirmation with the
generally accepted accounting principles (ÃGAAPÃ) requires management
to make estimates and assumptions that affect the reported amount of
assets and liabilities, the disclosure of contingent assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Management
believes that the estimates made in the preparation of financial
statements are prudent and reasonable. 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.
c) RECOGNITION OF INCOME
All the incomes are accounted for on accrual basis.The transactions
relating to the dealing in shares carried on with a view to make
profits and not to earn dividends are treated as business of shares and
routed through the Profit & Loss Account.
d) EXPENSES
The Company has recognized all administrative and financial expenses on
accrual basis of accounting
e) FOREIGN CURRENCY TRANSACTIONS
Transactions in foreign currency are recorded in terms of the
Accounting Standard 11 (Revised 2003) - ÃThe effects of changes in
Foreign Exchange Ratesà prescribed under The Companies (Accounting
Standards) Rules, 2006 at the exchange rates prevailing on the dates of
the transaction. Net exchange gain or loss resulting in respect of
foreign exchange transactions settled during the period is recognized
in the Profit & Loss Account except for the resultant net exchange gain
or loss on account of imported fixed assets, which is adjusted in the
carrying amount of the related fixed assets.
Assets and liabilities relating to transactions involving foreign
currency are converted at the exchange rates prevailing at the year
end. Any loss or gain arising out of conversion is adjusted to the
concerned assets, if the liability is incurred for the purpose of
acquisition of fixed assets, and in the Profit & Loss Account, in case
of monetary items. However, there is no foreign currency transaction
during the year.
f) INVESTMENTS
The investments of the company are bifurcated into long term and short
term investments. The long term investments are stated at cost and the
short term investments are stated at the lower of cost or market value
as on 31/03/2010.
g) BORROWING COSTS
Borrowing cost that is attributable to the acquisition or construction
of a qualifying asset is capitalized as part of the cost of such asset.
A qualifying asset is one that necessarily takes substantial period of
time to get ready for its intended use. Other borrowing costs are
recognized as an expense in the period in which they are incurred.
h) PROVISION FOR RETIREMENT BENEFITS Provision for gratuity liability
and for leave salary in respect of unavailed leave of employees payable
on retirement or otherwise outstanding as at the date of the balance
sheet is made based on an actuarial valuation made by an independent
actuary.
i) EARNING PER SHARE
The basic earning per equity shares are computed by dividing the net
profit or loss attributable to the equity share holders for the period
by the weighted average number of equity shares outstanding during the
reporting period. The number of shares used in computing diluted
earnings per share comprises the weighted average number of shares
considered for driving basic earning per share and also the weighted
average number of equity shares, which may be issued on the conversion
of all dilutive potential, unless the results would be anti dilutive.
j) TAXATION
Income tax comprises current tax, deferred tax and fringe benefit tax.
Current Taxes
Provision for Current tax is recognized in accordance with the
provisions of the Income Tax Act, 1961 and is made annually based on
the tax liability after taking credit for tax allowances and
exemptions.
Deferred Tax
Deferred tax assets and liabilities are recognized for the future tax
consequences attributable to timing differences that result between the
profits offered for income taxes and the profits as per the financial
statements. Deferred tax assets and liabilities are measured using the
tax rates and tax laws that have been enacted or substantively enacted
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 the future. Deferred tax assets are reassessed for the
appropriateness of their respective carrying values at each Balance
Sheet date.
k) PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS Provisions
involving substantial degree of estimation in measurement are
recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognized but are disclosed in the
notes.
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 recognized in the financial statements.
However contingent assets are assessed continually and if it is
virtually certain that an economy benefit will arise, the asset and
related income are recognized in the period in which change occurs.
Mar 31, 2009
A) ACCOUNTING CONVENTION
The financial statements have been prepared and presented under the
historical cost convention on accrual basis of accounting, as
applicable to a going concern in accordance with generally accepted
accounting principles in India, mandatory accounting standards
prescribed in the Companies (Accounting Standard) RulesÃ2006 issued by
the Central Government in consultation with the National Advisory
Committee on Accounting Standards and in accordance with the relevant
provisions of the Companies Act, 1956 to the extent applicable. The
financial statements are presented in Indian Rupees rounded off to the
nearest rupee.
b) USE OF ESTIMATES
The preparation of financial statements in confirmation with the
generally accepted accounting principles (ÃGAAPÃ) requires management
to make estimates and assumptions that affect the reported amount of
assets and liabilities, the disclosure of contingent assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Management
believes that the estimates made in the preparation of financial
statements are prudent and reasonable. 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.
c) INVENTORIES
Closing Stock of Shares & Securities is valued at lower of cost or
market value. The valuation of inventory has been made as per the
requirement of AS-2 prescribed under The Companies (Accounting
Standards) Rules, 2006.
d) FIXED ASSETS
Fixed Assets are stated at their original cost of acquisition and
subsequent improvements thereto less accumulated depreciation. Cost
comprises of purchase price and all expenses directly attributable to
the acquisition or construction of the asset.
e) DEPRECIATION
The CompanyÃs Fixed Assets are stated at cost less depreciation.
Depreciation has been provided as per Written Down Value Method at
rates provided in Schedule XIV of the Companies Act 1956.
Additions/deletions to fixed assets during the year are being
depreciated on pro-rata basis with respect to the period of use.
f) RECOGNITION OF INCOME
All the incomes are accounted for on accrual basis except dividend
received, which is accounted for as per the provisions of accounting
standard issued prescribed under The Companies (Accounting Standards)
Rules, 2006.
g) EXPENSES
The Company has recognized all administrative and financial expenses on
accrual basis of accounting
h) FOREIGN CURRENCY TRANSACTIONS
Transactions in foreign currency are recorded in terms of the
Accounting Standard 11 (Revised 2003) - ÃThe effects of changes in
Foreign Exchange Ratesà prescribed under The Companies (Accounting
Standards) Rules, 2006 at the exchange rates prevailing on the dates of
the transaction. Net exchange gain or loss resulting in respect of
foreign exchange transactions settled during the period is recognized
in the Profit & Loss Account except for the resultant net exchange gain
or loss on account of imported fixed assets, which is adjusted in the
carrying amount of the related fixed assets.
Assets and liabilities relating to transactions involving foreign
currency are converted at the exchange rates prevailing at the year
end. Any loss or gain arising out of conversion is adjusted to the
concerned assets, if the liability is incurred for the purpose of
acquisition of fixed assets, and in the Profit & Loss Account, in case
of monetary items. However, there is no foreign currency transaction
during the year.
i) INVESTMENTS
The investments of the company are bifurcated into long term and short
term investments. The long term investments are stated at cost and the
short term investments are stated at the lower of cost or market value
as on 31/03/2009.
j) BORROWING COSTS
Borrowing cost that is attributable to the acquisition or construction
of a qualifying asset is capitalized as part of the cost of such asset.
A qualifying asset is one that necessarily takes substantial period of
time to get ready for its intended use. Other borrowing costs are
recognized as an expense in the period in which they are incurred.
k) PROVISION FOR RETIREMENT BENEFITS
Provision for gratuity liability and for leave salary in respect of
unavailed leave of employees payable on retirement or otherwise
outstanding as at the date of the balance sheet is made based on an
actuarial valuation made by an independent actuary.
l) EARNING PER SHARE
The basic earning per equity shares are computed by dividing the net
profit or loss attributable to the equity share holders for the period
by the weighted average number of equity shares outstanding during the
reporting period. The number of shares used in computing diluted
earnings per share comprises the weighted average number of shares
considered for driving basic earning per share and also the weighted
average number of equity shares, which may be issued on the conversion
of all dilutive potential, unless the results would be anti dilutive.
m) TAXATION
Income tax comprises current tax, deferred tax and fringe benefit tax.
Current Taxes
Provision for Current tax is recognized in accordance with the
provisions of the Income Tax Act, 1961 and is made annually based on
the tax liability after taking credit for tax allowances and
exemptions.
Deferred Tax
Deferred tax assets and liabilities are recognized for the future tax
consequences attributable to timing differences that result between the
profits offered for income taxes and the profits as per the financial
statements. Deferred tax assets and liabilities are measured using the
tax rates and tax laws that have been enacted or substantively enacted
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 the future. Deferred tax assets are reassessed for the
appropriateness of their respective carrying values at each Balance
Sheet date.
Fringe Benefits
Provision for Fringe Benefit Tax (FBT) is on the basis of applicable
FBT on the taxable value of eligible expenses of the company as
prescribed under the Income Tax Act, 1961.
n) IMPAIRMENT OF ASSETS
In accordance with the provisions of AS-28 ÃImpairment of AssetsÃ
prescribed under The Companies (Accounting Standards) Rules, 2006, the
carrying amounts of the companyÃs assets are reviewed at each balance
sheet date to determine whether there is any impairment. An asset is
treated as impaired when the carrying cost of assets exceeds its
recoverable value. An impairment loss is charged to Profit and Loss
Account in the year in which an asset is identified as impaired. The
impairment loss recognized in prior accounting period is reversed if
there has been a change in the estimate of recoverable amount.
o) PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS Provisions
involving substantial degree of estimation in measurement are
recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognized but are disclosed in the
notes. 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 recognized in the financial statements.
However contingent assets are assessed continually and if it is
virtually certain that an economy benefit will arise, the asset and
related income are recognized in the period in which change occurs.
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