Mar 31, 2014
1 Accounting Convention
The financial statements are prepared by following the going concern
concept under the historical convention, on accrual basis, in
accordance with the generally accepted accounting principles in India,
the accounting standards issued by the Institute of Chartered
Accountants of India and the provisions of the Companies Act, 1956 read
with the General Circular 15/2013 dated 13th September 2013 of the
Ministry of Corporate Affairs in respect of section 133 of the
Companies Act, 2013.
2. Fixed Assets
Fixed Assets are stated at cost of acquisition less accumulated
depreciation. Cost includes all expenses related to acquisition and
installation of the concerned asset. Gross block of fixed assets
includes assets purchased under hire purchase agreement for which the
company does not have full ownership.
3. Depreciation
Depreciation on fixed assets is provided on written down value method
in accordance with the rates prescribed in Schedule XIV of the
Companies Act, 1956, as amended from time to time.
4. Impairment At each balance sheet date, the management reviews the
carrying amounts of its assets to determine whether there is any
indication that those assets were impaired. If any such indication
exists, the recoverable amount of the assets is estimated in order to
determine the extent of impairment loss. 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 risks specific to
the asset.
Reversal of impairment loss is recognised immediately as income in the
profit and loss account.
5. Inventories
Inventories are valued at lower of cost or net realizable value. Cost
is determined on the weighted average method. Finished goods and Work
in Progress include cost of conversion and other costs incurred in
bringing the inventories to their present locations and condition.
6. Revenue Recognition
As a consistent practice, the company recognizes revenue on accrual
basis. Sales are recognized when goods are dispatched to customers and
are recorded net of returns.
7. Expenditure
Expenses are accounted for on accrual basis.
8. Foreign Currency Transactions
Income and expense 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. Gain or loss arising out of
fluctuations on realization/payment or re-statement is charged/
credited to the profit and loss account.
9. Taxes on Income
Current income tax expense comprises taxes on income payable as
determined in accordance with the provisions of the Income Tax Act,
1961.
Minimum Alternative Ta x (MAT) paid in accordance to the tax laws,
which gives rise to future economic benefits in the form of adjustment
of future income tax liability, is considered as an asset if there is
convincing evidence that the company will pay normal income tax in
future. Accordingly, MAT is recognized as an asset in the balance sheet
when it is probable that the future economic benefit associated with it
will flow to the company and the amount can be measured reliably.
Deferred Tax Assets or Deferred Ta x Liability is recognised 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 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 tax assets are recognised only to the extent that there is
virtual certainty that sufficient future taxable income will be
available to realize such assets. In other situations, deferred tax
assets are recognised only to the extent that there is reasonable
certainty that sufficient future taxable income will be available to
realize these assets.
10. Borrowing Cost
Borrowing costs are expensed in the year in which it is incurred and
charged to revenue account.
11. Provisions, Contingent Liabilities and Contingent Assets
A provision is recognized when the company has a present obligation as
a result of past event and it is probable that an outflow of resources
will be required to settle the obligation, in respect of which reliable
estimate can be made. Provisions (excluding retirement benefits) are
not discounted to its present value and are determined based on best
estimate required to settle the obligation at the balance sheet date.
These are reviewed at each balance sheet date and adjusted to reflect
the current best estimates. Contingent liabilities are not recognized
in the financial statements. A contingent asset is neither recognized
nor disclosed in the financial statements.
Mar 31, 2012
1. Accounting Convention
The financial statements are prepared by following the Going Concern
Concept under the historical convention, on accrual basis, in
accordance with the Generally Accepted Accounting Principles in India,
the accounting standards issued by the Institute of Chartered
Accountants of India and the provisions of the Companies Act, 1956.
2. Fixed Assets
Fixed Assets are stated at cost of acquisition less accumulated
depreciation. Cost includes all expenses related to acquisition and
installation of the concerned assets.
Gross block of fixed assets includes assets purchased under
Hire-purchase agreements for which the company does not have full
ownership.
3. Depreciation:
Depreciation on fixed assets has been provided on Written Down Value
method in accordance with the rates prescribed in Schedule XIV of the
Companies Act, 1956, as amended from time to time.
4. Impairment
At each balance sheet date, the management reviews the carrying amounts
of its assets to determine whether there is any indication that those
assets were impaired. If any such indication exists, the recoverable
amount of the assets is estimated in order to determine the extent of
impairment loss. 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 risks specific to the asset.
Reversal of impairment loss is recognised immediately as income in the
profit and loss account.
5. Inventories:
Inventories are valued at lower of cost or net realizable value. Cost
is determined on the weighted average method. Finished goods and Work
in Progress include cost of conversion and other costs incurred in
bringing the inventories to their present locations and condition.
6. Revenue Recognition:
As a consistent practice, the company recognizes revenue on accrual
basis. Sales are recognized when goods are dispatched to customers and
are recorded net of returns.
7. Expenditure
Expenses are accounted for on accrual basis.
8. Foreign Currency Transactions:
Income and expense 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. Gain or loss arising out of
fluctuations on realization/payment or re-statement is charged/credited
to the profit and loss account.
9. Taxes on Income:
Current income tax expense comprises taxes on income payable as
determined in accordance with the provisions of the Income Tax Act,
1961.
Minimum alternative tax (MAT) paid in accordance to the tax laws, which
gives rise to future economic benefits in the form of adjustment of
future income tax liability, is considered as an asset if there is
convincing evidence that the Company will pay normal income tax in
future. Accordingly, MAT is recognized as an asset in the balance sheet
when it is probable that the future economic benefit associated with it
will flow to the Company and the asset can be measured reliably.
Deferred Tax Assets or Deferred Tax Liability is recognised 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 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 tax assets are recognised only to the extent that there is
virtual certainty that sufficient future taxable income will be
available to realise such assets. In other situations, deferred tax
assets are recognised only to the extent that there is reasonable
certainty that sufficient future taxable income will be available to
realise these assets.
10. Borrowing Cost:
Borrowing costs are expensed in the year in which it is incurred and
charged to revenue account.
11. Provisions, Contingent Liabilities and Contingent Assets
A provision is recognised when the Company has a present obligation as
a result of past event and it is probable that an outflow of resources
will be required to settle the obligation, in respect of which reliable
estimate can be made. Provisions (excluding retirement benefits) are
not discounted to its present value and are determined based on best
estimate required to settle the obligation at the balance sheet date.
These are reviewed at each balance sheet date and adjusted to reflect
the current best estimates. Contingent liabilities are not recognised
in the financial statements. A contingent asset is neither recognised
nor disclosed in the financial statements.
Mar 31, 2011
1. Accounting Convention
The financial statements are prepared by following the Going Concern
Concept under the historical convention, on accrual basis, in
accordance with the Generally Accepted Accounting Principles in India,
the accounting standards issued by the Institute of Chartered
Accountants of India and the provisions of the Companies Act, 1956.
2. Fixed Assets
Fixed Assets are stated at cost of acquisition less accumulated
depreciation. Cost includes all expenses related to acquisition and
installation of the concerned assets.
Gross block of fixed assets includes assets purchased under
Hire-purchase agreements for which the company does not have full
ownership.
3. Depreciation:
Depreciation on fixed assets has been provided on Written Down Value
method in accordance with the rates prescribed in Schedule XIV of the
Companies Act, 1956, as amended from time to time.
4. Impairment
At each balance sheet date, the management reviews the carrying amounts
of its assets to determine whether there is any indication that those
assets were impaired. If any such indication exists, the recoverable
amount of the assets is estimated in order to determine the extent of
impairment loss. 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 risks specific to the asset.
Reversal of impairment loss is recognised immediately as income in the
profit and loss account.
5. Inventories:
Inventories are valued at lower of cost or net realizable value. Cost
is determined on the weighted average method. Finished goods and Work
in Progress include cost of conversion and other costs incurred in
bringing the inventories to their present locations and condition.
6. Revenue Recognition:
As a consistent practice, the company recognizes revenue on accrual
basis. Sales are recognized when goods are dispatched to customers and
are recorded net of returns.
7. Expenditure
Expenses are accounted for on accrual basis.
8. Foreign Currency Transactions:
Income and expense 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. Gain or loss arising out of
fluctuations on realization/payment or re-statement is charged/credited
to the profit and loss account.
9. Taxes on Income:
Current income tax expense comprises taxes on income payable as
determined in accordance with the provisions of the Income Tax Act,
1961.
Minimum alternative tax (MAT) paid in accordance to the tax laws, which
gives rise to future economic benefits in the form of adjustment of
future income tax liability, is considered as an asset if there is
convincing evidence that the Company will pay normal income tax in
future. Accordingly, MAT is recognized as an asset in the balance sheet
when it is probable that the future economic benefit associated with it
will flow to the Company and the asset can be measured reliably.
Deferred Tax Assets or Deferred Tax Liability is recognised 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 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 tax assets are recognised only to the extent that there is
virtual certainty that sufficient future taxable income will be
available to realise such assets. In other situations, deferred tax
assets are recognised only to the extent that there is reasonable
certainty that sufficient future taxable income will be available to
realise these assets.
10. Borrowing Cost:
There is no borrowing of fund in the current Financial Year. Hence,
there has been no borrowing cost.
11. Provisions, Contingent Liabilities and Contingent Assets
A provision is recognised when the Company has a present obligation as
a result of past event and it is probable that an outflow of resources
will be required to settle the obligation, in respect of which reliable
estimate can be made. Provisions (excluding retirement benefits) are
not discounted to its present value and are determined based on best
estimate required to settle the obligation at the balance sheet date.
These are reviewed at each balance sheet date and adjusted to reflect
the current best estimates. Contingent liabilities are not recognised
in the financial statements. A contingent asset is neither recognised
nor disclosed in the financial statements.
Mar 31, 2010
1. Accounting Convention
The financial statements are prepared by following the Going Concern
Concept under the historical convention, on accrual basis, in
accordance with the Generally Accepted Accounting Principles in India,
the accounting standards issued by the Institute of Chartered
Accountants of India and the provisions of the Companies Act, 1956.
2. Fixed Assets
Fixed Assets are stated at cost of acquisition less accumulated
depreciation. Cost includes all expenses related to acquisition and
installation of the concerned assets.
Gross block of fixed assets includes assets purchased under
Hire-purchase agreements for which the company does not have full
ownership.
3. Depreciation:
Depreciation on fixed assets has been provided on Written Down Value
method in accordance with the rates prescribed in Schedule XIV of the
Companies Act, 1956, as amended from time to time.
4. Impairment
At each balance sheet date, the management reviews the carrying amounts
of its assets to determine whether there is any indication that those
assets were impaired. If any such indication exists, the recoverable
amount of the assets is estimated in order to determine the extent of
impairment loss. Recoverable amount is the higher of an assetÃs 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 risks specific to the asset.
Reversal of impairment loss is recognised immediately as income in the
profit and loss account.
5. Inventories:
Inventories are valued at lower of cost or net realizable value. Cost
is determined on the weighted average method. Finished goods and Work
in Progress include cost of conversion and other costs incurred in
bringing the inventories to their present locations and condition.
6. Revenue Recognition:
As a consistent practice, the company recognizes revenue on accrual
basis. Sales are recognized when goods are dispatched to customers and
are recorded net of returns.
7. Expenditure
Expenses are accounted for on accrual basis.
8. Foreign Currency Transactions:
Income and expense 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. Gain or loss arising out of
fluctuations on realization/payment or re-statement is charged/credited
to the profit and loss account.
9. Taxes on Income:
Current income tax expense comprises taxes on income payable as
determined in accordance with the provisions of the Income Tax Act,
1961.
Minimum alternative tax (MAT) paid in accordance to the tax laws, which
gives rise to future economic benefits in the form of adjustment of
future income tax liability, is considered as an asset if there is
convincing evidence that the Company will pay normal income tax in
future. Accordingly, MAT is recognized as an asset in the balance sheet
when it is probable that the future economic benefit associated with it
will flow to the Company and the asset can be measured reliably.
Deferred Tax Assets or Deferred Tax Liability is recognised 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 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 tax assets are recognised only to the extent that there is
virtual certainty that sufficient future taxable income will be
available to realise such assets. In other situations, deferred tax
assets are recognised only to the extent that there is reasonable
certainty that sufficient future taxable income will be available to
realise these assets.
10. Borrowing Cost:
Borrowing costs are expensed in the year in which it is incurred.
Interest on borrowings has been charged to the revenue account.
11. Provisions, Contingent Liabilities and Contingent Assets
A provision is recognised when the Company has a present obligation as
a result of past event and it is probable that an outflow of resources
will be required to settle the obligation, in respect of which reliable
estimate can be made. Provisions (excluding retirement benefits) are
not discounted to its present value and are determined based on best
estimate required to settle the obligation at the balance sheet date.
These are reviewed at each balance sheet date and adjusted to reflect
the current best estimates. Contingent liabilities are not recognised
in the financial statements. A contingent asset is neither recognised
nor disclosed in the financial statements.
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