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Accounting Policies of Jagan Lamps Ltd. Company

Mar 31, 2015

1 Basis For Preparation of Financial Statements

The Financial statements are prepared in accordance with the Generally Accepted Accounting Principles ("GAAP") in India under the historical cost convention on accrual basis, and are in conformity with mandatory accounting standards, as prescribed under Section 133 of the Companies Act, 2013('Act') read with Rule 7 of the Companies (Accounts) Rules, 2014, the provisions of the Act (to the extent notified) and guidelines issued by the Securities and Exchange Board of India(SEBI).

All assets and Liabilities have been classified as current or non-current as per the Company's normal operating cycle and other criteria set out in the Schedule III to the Companies Act, 2013.

2 Revenue Recognition

(A) Domestic Sales are exclusive of Excise Duty

(B) Export sales are inclusive of Exchange Rate Fluctuation on realisation ( C) CST Reimbursement claims from NEPZ are recorded on acceptance of claims.

3 Tangible Assets and Intangible Assets

Tangible assets are recorded at cost of acquisition or construction( Including interest/financial charges, project restructuring cost and other expenditure incidental and related to such acquisition / construction).

Intangible Assets are capitalised at cost of acquisition or development and expenditure incidental and related to such acquisition/development.

4 Depreciation and Amortisation

(a) Depreciation on Tangible Assets is provided on Straight Line method on the basis of useful lives in the manner prescribed in Schedule - II of the Companies Act, 2013.

(b) Intangible Asset (Software) is amortised over a period of 6 years.

5 Inventories Inventories are valued on following basis:

Raw Material At Cost

Finished Goods At Cost

Stocks, Spares & Packing Materials At Cost

Work - In - Progress At Estimated Cost

6 Foreign Currency Transactions

Transactions involving Foreign Currency are recorded at the exchange rates prevailing on the date of transaction. Exchange rate difference due to difference between recorded rates and net realized rates is booked in the respective head of account. The bank balance(Debit/Credit) at the year end revalued at the rates prevailing as on the close of the year. The other current assets/liabilities continue to be shown at recorded rates.

7 Employee Benefits

Employee benefits(Bonus, gratuity and leave encashment etc) is accounted for on cash basis.

8 Borrowing Costs

Borrowing costs that are attributable to the construction/acquisition of qualifying fixed assets are capitalised as a part of cost of these assets.

9 Provisions and Contingent Liabilities

In accordance with the Accounting Standard 29(AS 29) as notified by the Companies Accounting Standard(Rules) 2006

(a) Provisions are made for the present obligations where amount can be estimated reliably, and

(b) Contingent Liabilities are disclosed for possible obligations arising out of uncertain events not wholly in control of the company.

Contingent Assets are neither recognised nor disclosed in the financial statements.

10 Taxes On Income

Income Tax expenses are accrued in accordance with Accounting Standard - 22 "Accounting for Taxes on Income" as notified by the Companies Accounting Standard (Rules) 2006, which include Current Tax and Deferred Tax. Provision for current tax is made after taking into considerations benefits admissible under the provision of the Income Tax Act 1961. Deferred income tax reflects the impact of current year timing difference between taxable income and accounting income for the year and reversal of timing differences of earlier years. Deferred tax assets are recognized only to extent, there is a reasonable certainty that sufficient future taxable income will be available.

11 Earning per Share

Basic earnings per Share is calculated by dividing the net profit or loss for the year attributable to Equity Shareholders by the weighted average number of Equity Shares outstanding during the year. For the purpose of calculating diluted earnings per Share, the net profit or loss for the year attributable to Equity Shareholders and the weighted average number of Shares outstanding during the year is adjusted for the effects of all dilutive potential Equity Shares.


Mar 31, 2013

1 Basis of Accounting

The Financial Statements are prepared in accordance with historical cost convention and generally accepted accounting principles, thereby recognising significant items of Income and Expenditure on accrual basis.

2 Fixed Assets & Depreciation

(a) Fixed Assets are stated at cost including all direct incidental expenses and pre-operative expenses are also capitalized and apportioned to fixed assets.

(b) Depreciation on Fixed Assets is provided on straight line method at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Assets acquired under lease agreements are written off over a period of lease proportionately.

3 Income:

(a) Domestic Sales are exclusive of Excise Duty

(b) Export sales are inclusive of Exchange Rate Fluctuation on realisation

4 Miscellaneous Expenditure

5 Quality Testing Fee has been treated as differed revenue expenditure and is J. being written off over a period of five years.

6 Foreign Exchange Transaction

Transaction involving Foreign Exchange are recorded at the rates prevailing on the date of transaction. Exchange rate difference due to difference between recorded rates and net realized rates is booked in . the respective head of account. The bank balance at the yearend are booked at the rates prevailing as on the close of the year. However, other current assets / liabilities continue to be shown at recorded rates.

7 Bonus, Gratuity & Leave Encashment

Bonus, Gratuity & Leave Encashment are accounted on cash basis.

8 CST Reimbursement claims from NEPZ are recorded on acceptance of claims.


Mar 31, 2011

1. Basic of Accounting

The Financial Statements are prepared in accordance with historical cost convention and generally accepted accounting principles, thereby recognising Significant items of income & expenditure by actual basis.

2 Fixed Assets & Depreciation

(a) Fixed Assets are stated at cost including all direct incidental expenses and pre-operative expenses are also capitalized an apportioned to fixed assets.

(b) Depreciation of Fixed Assets is provided on straight line method at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Assets acquired under lease agreements are written off over a period of lease proportionately.

3 Income

(a) Domestic Sales are exclusive of Excise Duty

(b) Export sales are inclusive of Exchange Rale Fluctuation on realisation

4. Inventories

Inventories are valued on following basis.;

Raw Material At Cost

Finished Goods At Cost

Slock, Spares & Packing Materials At Cost

Work in - Progress At Estimated Cost

5. Miscellaneous Expenditure

Quality testing Fee has been treated as differed revenue expenditure and is being written off over a period of five years.

6. Foreign Exchange Transactions

Transitions involving Foreign Exchange are recorded at the rates prevailing on the date of transaction. Exchange rate difference due to difference between recorded rates and net realised rates is booked in the respective head of account. The bank balance at the year end are booked at the rates prevailing as on the close of the year. However, other current assets / liabilities continue to be shown at recorded rates.

7. Bonus. Gratuity & Leave Encasement

Bonus & Gratuity & leave Encasement are accounted on cash basis.

8. CST Reimbursment Claim from NEPZ are recorded or acceptance of claims.


Mar 31, 2010

1. Basis of Accounting

The Financial Statements are prepared under historical cost convention on accrual basis on the principels of going concern in acordence with the generally accepted accounting principles, the relevent acounting standards and the relevent guidance notes issued by the institute of Chartered Accounts of India (ICAI) and the applicable provisions of the Companies Act, 1956

2. Use of Estimates

The preperation of financial statements in confirmity with generally acepted acounting principals requires estimates and and asdumptions to be made that affect the reported amounts of assets and liabilities on the date of financial statement and the reported amount of revenues and expenses during the reporting period . Differences between actual results and estimates are recognised in the period in which the results are known / materalise.

Fixed Assets & Depreciation

(a) Fixed Assets are stated at cost including all direct incidental expenses and pre-operative expenses are also capitalized and approtioned to fixed assets.

(b) Depreciation on Fixed Assets is provided on straight line method at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Assets acquired under lease agreements are written off over a period of lease proportionately.

3. Income:

(a) Domestic Sales are exclusive of Excise Duty

(b) Export sales are inclusive of Exchange Rate Fluctuation on realisation

(c) CST reimbursment from NSEZ are recorded on acceptence of claims.

4. Inventories

Inventories are valued on following basis:

Raw Material At Cost

Finshed Goods At Cost .

Stock, Spares & Packing Materials At Cost

Work - in - Progress At Estimated Cost

5. Miscellaneous Expenditure

Quality Testing Fee has been treated as deffered revenue expenditure and is being written off over a period of five years.

6. Foreign Exchaqe Transactions

Transations involving Foreign Exchange are recorded at the rates prevailing on the date of transaction. Exchange rate difference due to difference between recorded rates and net realised rates is booked in the respective head of account. The bank balance at the year end are booked at the ratesprevailing as on the close of the year. However, other current assets / liabilities continue to be shown at recorded rates.

7. Bonus. Gratuity &Leave Encashment

Bonus & Gratuity & leave Encashment are accounted on cash basis.

8. Impairment of assets

Managment periodically asseses using external and internal sources weather there is an indication that assets be impaired. Impairment occures where the carring value exceeds the preasent value of future cash flows expect .6 to arise from the continuing use of the assts and its eventual disposal. The impairment loss to be exensed is determined as the excess of earring amount over the higher of the assets net sales value as determined above.

 
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