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Accounting Policies of Odyssey Corporation Ltd. Company

Mar 31, 2015

1 Basis Of Accounting

The financial statements have been prepared and presented under the historical cost convention method on accrual basis and materially comply with the Accounting Standards issued by the Institute of Chartered Accountants of India(ICAI) and the provisions of the Companies Act, 2013. All Income and Expenditure having material bearing on the financial statements have been recognized on accrual basis.

2 Use Of Estimates

The preparation and presentation of financial statements in conformity with the generally accepted accounting principles(GAAP).It requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statement and the reported revenues and expenses for the reporting year. Difference between the actual result and estimates are recognized in the period in which the results are known/materialized.

3 Revenue Recognition

3 (i) Income From Sale Of Goods:

Revenue from sale of goods is recognized when all the significant risks and rewards of the goods have been passed on to the buyer ,usually on the delivery of the goods. The company collects Sales Tax And Value Added Tax(VAT) on behalf of the government and therefore these are not economic benefits flowing to the Company. Hence they have been excluded from the preview of revenue. Excise duty deducted from the revenue(Gross) is the amount that is included in the revenue(Gross) and not the entire amount of liability arising during the year.

3 (ii) Income From Sale Of Services:

Income from sale of services is recognized when the bills are raised and on their subsequent acceptance. The company collects Service Tax on behalf of the government and as such it is not an economic benefit flowing to the company.

3(iii) Sale Of Film Rights:

Income From Sale Of Film Rights Are Accounted For as per the terms of the Agreement.

3(iv) Income From Other Operations:

Income From Other Operations is recognized on accrual basis and as per the terms of the agreement.

3(v) Income from Interest:

Interest income is recognized on time proportion basis taking into account the amount outstanding and the applicable rate of interest. Interest income is included under the head "other income" in the statement of profit and loss.

Dividend Income is recognized when the companies right to receive dividend is established by the reporting date 4 Fixed Assets :

4(i) Tangible Assets:

Fixed assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable costs of bringing the asset to its working condition for the intended use Any trade discounts and rebates are deducted in arriving at the purchase price.

4(ii) Intangible Assets :

Intangible assets acquired separately are measured on initial recognition at lost. Following initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment losses, if any.

5 Depreciation/ Amortization

All Fixed assets are capitalized at cost inclusive of legal and/or installation and incidental expenses, less accumulated depreciation. The Company provides depreciation on straight line basis on the basis of useful lives of assets as specified in Schedule II to the Companies Act, 2013. Depreciation on assets sold / purchased during the year is proportionately charged.

6 Foreign Currency Translations

6(i) Initial Recognition:

Foreign currency transactions are recorded in the reporting currency by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency at the date of the transaction. 6(ii) Conversion:

Foreign currency monetary items are retranslated using the exchange rate prevailing at the reporting date. on-Monetary items which are measured in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of transaction. on-Monetary items which are measured at fair value or other similar valuation denominated in a foreign currency are translated using the exchange rate at the date when such value was determined. 6(iii) Exchange Differences :

The Exchange Difference arising on settlement/translation are recognized in the revenue accounts.

7 Borrowing Costs

7(i) Borrowing Cost that are directly attributable to the acquisition, construction 7(ii) Borrowing cost other than those directly attributable to the acquisition, construction or production of a qualifying asset are recognized as expense in the period in which they are incurred.

8 Investments

Investments are classified as long term and current investments. Long term investments are carried at cost less provision, if any, for permanent diminution in their value. Current investments are valued at lower of cost and fair value.

9 Inventories

Inventories are valued at cost or net realizable value-Whichever is lower.

10( p ) The payment of Gratuity is not applicable to the company in view of non completion of qualifying years of service by the employees

11 Taxation

11(i) Tax expense comprises current and deferred tax.

11(ii) Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India and the tax Laws prevailing in the respective Tax jurisdiction where the Company operates. the tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date. Current income tax relating to the items recognized directly in equity is recognized in equity and not in the statement of profit and loss.

11(iii) Deferred income taxes reflect the impact of timing differences between the taxable income and accounting income originating during the current year and reversal of timing differences for the earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred income tax relating to the items recognized directly in equity is recognized in equity and not in the statement of profit and loss.

11(iv) Deferred Tax Liabilities are recognized for all taxable timing differences.

11(v) Deferred Tax Assets are recognized for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized.

11(vi) The carrying amount of deferred tax assets are reviewed at each reporting date. The company writes down the carrying amount of deferred Tax asset to the extent that it is no longer reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which deferred tax asset can be realized Any such write down is reversed to the extent that it becomes reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available.

11(vii) Minimum Alternative Tax(MAT) paid in a year is charges to the statement of profit and loss as current tax The company recognizes MAT credit available as an asset only to the extent that there is a convincing evidence that the company will pay normal income tax during the specified period. i.e. the period for which MAT credit is allowed to be carried forward.IN the year in which the company recognizes MAT credit as an asset in accordance with the Guidance Note On Accounting For Credit Available in respect of Minimum Alternative Tax under the income tax act, 1961, the said asset is created by way of credit to the statement of profit and loss and shown as "MAT Credit Entitlement.

11(viii) The Company Reviews the "MAT credit Entitlement" asset at each reporting date and writes down the asset to the extent the company does not have convincing evidence that it will pay normal tax during the specified period.

12 Provisions, Contingent Liabilities And Contingent Assets

12(i) Provisions are recognized only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made.

12(ii) Contingent liability is disclosed for-

(1) Possible obligations which will be confirmed only by future events not wholly within the control of the Company or

(2) Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made.

12(iii) Contingent Assets are not recognized in the financial statements since this may result in the recognition of income that may never be realized.

13 Segment Reporting

i Business Segments have been identified on the basis of nature of products/services. The Company's operations relate to Purchase And Distribution Of Film Rights, Tickets And Other Entertainment Related Expenses And Trading

(ii) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as "unallowable"

(iii) Segment Assets and Segment Liabilities represents assets and liabilities in respective segments. Investments, tax related assets and other assets and liabilities that cannot be allotted to a segment on reasonable basis, have been disclosed as "unallowable".

14 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 assets. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs 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 if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.

Figure in bracket relates to previous year.

vii The above information regarding Micro, Small And Medium Enterprises has been determined to the extent such parties have been indentified on the basis of the information available with the company. This has been relied upon by the Auditor.

viii Segment Reporting:

During the year the company operated in signal business segment of trading business in India. Hence there are no separate reportable business or geographical segments as per Accounting Standard (AS-17) on Segmental Reporting. ix Previous Years figures have been regrouped/reclassified wherever necessary to confirm to the current years classification.


Mar 31, 2014

1 Basis Of Accounting

The financial statements have been prepared and presented under the historical cost convention method on accrual basis and materially comply with the Accounting Standards issued by the Institute of Chartered Accountants of India(ICAI) and the provisions of the Companies Act, 1956. All Income and Expenditure having material bearing on the financial statements have been recognised on accrual basis.

2 Use Of Estimates

The preparation and presentation of financial statements in conformity with the generally accepted accounting principles(GAAP).It requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statement and the reported revenues and expenses for the reporting year. Difference between the actual result and estimates are recognized in the period in which the results are known/ materialized.

3 Revenue Recognition

3(i) Income From Sale Of Goods:

Revenue from sale of goods is recognised when all the significant risks and rewards of the goods have been passed on to the buyer ,usually on the delivery of the goods. The company collects Sales Tax And Value Added Tax(VAT) on behalf of the government and therefore these are not economic benifits flowing to the Company. Hence they have been excluded from the perview of revenue. Excise duty deducted from the revenue(Gross) is the amount that is included in the revenue(Gross) and not the entire amount of liability arising during the year.

3(ii) Income From Sale Of Services:

Income from sale of services is recognised when the bills are raised and on their subsequent acceptence. The company collects Service Tax on behalf of the government and as such it is not an economic benefit flowing to the company.

3(iii) Sale Of Film Rights:

Income from sale of Film Rights are accounted for as per the terms of the agreement.

3(iv) Income From Other Operations:

Income from other operations is recognised on accrual basis and as per the terms of the agreement.

3(v) Income from Interest:

Interest income is recognised on time proportion basis taking into account the amount outstanding and the applicable rate of interest. Interest income is included under the head "other income" in the statement of profit and loss.

3(vi) Dividends:

Dividend Income is recognised when the company's right to receive dividend is established by the reporting date

4 Fixed Assets

4(i) Tangible Assets:

Fixed assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable costs of bringing the asset to its working condition for the intended use. Any trade discounts and rebates are deducted in ariving at the purchase price.

4(ii) Intangible Assets:

Intangible assets aquired seperately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment losses, if any.

5 Depreciation/ Amortisation

Depreciation on fixed assets is calculated on straight line basis as per the rates prevailing in the schedule XIV of the Companies Act, 1956.Depreciation/Amortisation of the additions or deletions of assets during the year is provided on a pro-rata basis.

The Company has used the following rates to provide depreciation on its Fixed Assets:

Name Of the Asset Rate of Depreciation

Office Equipment 7.07%

Fax Machine 7.07%

EPBAX System 6.33%

Computer 16.21%

Furniture And Fixtures 6.33%

Motor Car 9.50%

Individual assets costing less than Rs.5000/- have been depreciated fully in the year of purchase.

6 Foreign Currency Translations

6(i) Initial Recognition:

Foreign currency transactions are recorded in the reporting currency by applying to the foreign currency amount the exchange rate.

6(ii) Conversion:

Foreign currency monetary items are retranslated using the exchange rate prevailing at the reporting date. Non-Monetary items which are measured in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of transaction. Non-Monetary items which are measured at fair value or other similar valuation denominated in a foreign currency are translated using the exchange rate at the date when such value was determined.

6(iii) Exchange Differences:

The Exchange Difference arising on settlement/translation are recognised in the revenue accounts.

7 Borrowing Costs

7(i) Borrowing Cost that are directly attributable to the acquisition, construction or production of qualifying asset are capitalised as part of cost of such asset.

7(ii) Borrowing cost other than those directly attributable to the acquisition, construction or production of a qualifying asset are recognized as expense in the period in which they are incurred.

8 Investments

Investments are classified as long term and current investments. Long term investments are carried at cost less provision, if any, for permanent diminution in their value. Current investments are valued at lower of cost and fair value.

9 Inventories

Inventories are valued at cost or net realizable value-Whichever is lower.

10 Employee Benefits:

10(i) The Providend Fund and Gratuity is not applicable to the company in view of number of employees is less than the required as per respective act.

11 Taxation

(i) Tax expense comprises current and deferred tax.

(ii) Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India and the tax Laws prevailing in the respective Tax jurisdiction where the Company operates. the tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date. Current income tax relating to the items recognised directly in equity is recognised in equity and not in the statement of profit and loss.

(iii) Deferred income taxes reflect the impact of timing differences between the taxable income and accounting income originating during the current year and reversal of timing differences for the earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred income tax relating to the items recognised directly in equity is recognised in equity and not in the statement of profit and loss.

(iv) Deferred Tax Liabilities are recognised for all taxable timing differences.

(v) Deferred Tax Assets are recognised for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred taxassets can be realised.

(vi) The carrying amount of deferred tax assets are reviewed at each reporting date. The company writes down the carrying amount of deferred Tax asset to the extent that it is no longer reasonbly certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which deferred tax asset can be realised. Any such write down is reversed to the extent that it becomes resonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available.

(vii) Minimum Alternative Tax(MAT) paid in a year is charges to the statement of profit and loss as current tax. The company recognises MAT credit available as an asset only to the extent that there is a convincing evidence that the company will pay normal income tax during the specified period.i.e.the period for which MAT credit is allowed to be carried forward. IN the year in which the company recognises MAT credit as an asset in accordance with the Guidance Note On Accounting For Credit Available in respect of Minimum Alternative Tax under the income tax act, 1961, the said asset is created by way of credit to the statement of profit and loss and shown as "MAT Credit Entitlement".

(viii) The company reviews the "MAT credit Entitlement" asset at each reporting date and writes down the asset to the extent the company does not have convincing evidence that it will pay normal tax during the specified period.

12 Provisions, Contingent Liabilities And Contingent Assets

(i) Provisions are recognised only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made.

(ii) Contingent liability is disclosed for

(1) Possible obligations which will be confirmed only by future events not wholly within the control of the Company or

(2) Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made.

(iii) Contingent Assets are not recognised in the financial statements since this may result in the recognition of income that may never be realised.

13 Segment Reporting

(i) Business Segments have been identified on the basis of nature of products/services.The Company's operations relate to trading of goods, trading in shares, selling of film rights and consultancy.

(ii) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as "unallowable".

(iii) Segment Assets and Segment Liabilities represents assets and liabilities in respective segments. Investments, tax related assets and other assets ans liabilities that can not be alloted to a segment on reasonable basis, have been disclosed as "unallowable"

14 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 assets. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs 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 recognised in the Profit and Loss Account. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.


Mar 31, 2013

1 Basis Of Accounting

The financial statements have been prepared and presented under the historical cost convention method on accrual basis and materially comply with the Accounting Standards issued by the Institute of Chartered Accountants of India(ICAI) and the provisions of the Companies Act, 1956. All Income and Expenditure having material bearing on the financial statements have been recognised on accrual basis.

2 Use Of Estimates

The preparation and presentation of financial statements in conformity with the generally accepted accounting principles(GAAP).It requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statement and the reported revenues and expenses for the reporting year. Difference between the actual result and estimates are recognized in the period in which the results are known/materialized.

3 RevenueRecognition

3(i) Income From Sale Of Goods:

Revenue from sale of goods is recognised when all the significant risks and rewards of the goods have been passed on to the buyer ,usually on the delivery of the goods. The company collects Sales Tax And Value Added Tax(VAT) on behalf of the government and therefore these are not economic benefits flowing to the Company. Hence they have been excluded from the preview of revenue. Excise duty deducted from the revenue(Gross) is the amount that is included in the revenue(Gross) and not the entire amount of liability arising during the year.

3(ii) Income From Sale Of Services:

Income from sale of services is recognised when the bills are raised and on their subsequent acceptence. The company collects Service Tax on behalf of the government and as such it is not an economic benefit flowing to the company.

3(iii) Sale Of Film Rights:

Income From Sale Of Film Rights Are Accounted For as per the terms of the Agreement. 3(iv) Income From Other Operations:

Income From Other Operations is recognised on accrual basis and as per the terms of the agreement.

3(v) Income from Interest:

Interest income is recognised on time proportion basis taking into account the amount outstanding and the applicable rate of interest. Interest income is included under the head "other income" in the statement of profit and loss.

3(vi) Dividends:

Dividend Income is recognised when the companies right to receive dividend is established by the reporting date

4 Fixed Assets :

4(i) Tangible Assets:

Fixed assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable costs of bringing the asset to its working condition for the intended use. Any trade discounts and rebates are deducted in arriving at the purchase price.

4(ii) Intangible Assets:

Intangible assets acquired separately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less accumulated amortization and accumulated impairment losses, if any.

5 Depreciation/ Amortisation

Depreciation on fixed assets is calculated on straight line basis as per the rates prevailing in the schedule XIV of the Companies Act, 1956.Depreciation/Amortisation of the additions or deletions of assets during the year is provided on a pro-rata basis.

The Company has used the following rates to provide depreciation on its Fixed Assets:

Individual assets costing less than Rs.5000/- have been depreciated fully in the year of purchase.

6 Foreign Currency Translations

6(i) Initial Recognition:

Foreign currency transactions are recorded in the reporting currency by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency at the date of the transaction.

6(ii) Conversion:

Foreign currency monetary items are retranslated using the exchange rate prevailing at the reporting date. Non-Monetary items which are measured in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of transaction. Non-Monetary items which are measured at fair value or other similar valuation denominated in a foreign currency are translated using the exchange rate at the date when such value was determined.

6(iii)Exchange Differences:

The Exchange Difference arising on settlement/translation are recognised in the revenue accounts.

7 Borrowing Costs

7(i) Borrowing Cost that are directly attributable to the acquisition, construction or production of qualifying asset are capitalised as part of cost of such asset.

7(ii) Borrowing cost other than those directly attributable to the acquisition, construction or production of a qualifying asset are recognized as expense in the period in which they are incurred.

8 Investments

Investments are classified as long term and current investments. Long term investments are carried at cost less provision, if any, for permanent diminution in their value. Current investments are valued at lower of cost and fair value.

9 Inventories

Inventories are valued at cost or net realizable value-Whichever is lower.

10 Employee Benefits

10(i) The payment of Gratuity is not applicable to the company in view of non completion of qualifying years of service by the employees.

11 Taxation

11(I) Tax expense comprises current and deferred tax.

11(ii) Current tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India and the tax Laws prevailing in the respective Tax jurisdiction where the Company operates. the tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date. Current income tax relating to the items recognised directly in equity is recognised in equity and not in the statement of profit and loss. 11(iii) Deferred income taxes reflect the impact of timing differences between the taxable income and accounting income originating during the current year and reversal of timing differences for the earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred income tax relating to the items recognised directly in equity is recognised in equity and not in the statement of profit and loss.

11(iv) Deferred Tax Liabilities are recognised for all taxable timing differences.

11(v) Deferred Tax Assets are recognised for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

11(vi) The carrying amount of deferred tax assets are reviewed at each reporting date. The company writes down the carrying amount of deferred Tax asset to the extent that it is no longer reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which deferred tax asset can be realised. Any such write down is reversed to the extent that it becomes reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available.

11(vii) Minimum Alternative Tax(MAT) paid in a year is charges to the statement of profit and loss as current tax. The company recognises MAT credit available as an asset only to the extent that there is a convincing evidence that the company will pay normal income tax during the specified period. i.e. the period for which MAT credit is allowed to be carried forward.IN the year in which the company recognises MAT credit as an asset in accordance with the Guidance Note On Accounting For Credit Available in respect of Minimum Alternative Tax under the income tax act, 1961, the said asset is created by way of credit to the statement of profit and loss and shown as "MAT Credit Entitlement". 11(viii) The Company Reviews the "MAT credit Entitlement" asset at each reporting date and writes down the asset to the extent the company does not have convincing evidence that it will pay normal tax during the specified period.

12 Provisions, Contingent Liabilities And Contingent Assets

12(I Provisions are recognised only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made.

12(ii) Contingent liability is disclosed for-

(1) Possible obligations which will be confirmed only by future events not wholly within the control of the Company or

(2) Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made.

12(iii) Contingent Assets are not recognised in the financial statements since this may result in the recognition of income that may never be realised.

13 Segment Reporting

(i) Business Segments have been identified on the basis of nature of products/services. The Company''s operations relate to Purchase And Distribution Of Film Rights, Tickets And Other Entertainment Related Expenses And Trading

(ii) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as "unallowable"

(iii) Segment Assets and Segment Liabilities represents assets and liabilities in respective segments. Investments, tax related assets and other assets ans liabilities that cannot be allotted to a segment on reasonable basis, have been disclosed as "unallowable".

14 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 assets. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs 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 recognised in the Profit and Loss Account. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.


Mar 31, 2011

Basis of Accounting

The financial statements have been prepared and presented under the historical cost convention method on accrual basis and materially comply with the Accounting Standards issued by the Institute of Chartered Accountants of India(ICAI) and the provisions of the Companies Act, 1956. All Income and Expenditure having material bearing on the financial statements have been recognised on accrual basis

Use of Estimates

The preparation and presentation of financial statements in conformity with the generally accepted accounting principles requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statement and the reported revenues and expenses for the reporting yean Difference between the actual result and estimates are recognized in the period in which the results are known/materialized

Revenue Recognition

Income from Sale of Services are recognised when the bills are raised on the customer and their subsequent acceptance. Sale of Film rights are accounted for as per terms of the agreements Income from Other Operations is recognised on accrual basis as per the terms of agreement Interest Income is recognised on time proportionate basis Sale of Shares is recognised

Fixed Assets

Tangible Assets

Fixed assets are stated/valued at cost of acquisition plus installation charges and/or revalued less accumulated depreciation thereon and impairment in value, if any

Intangible Assets

Intangible Assets are stated at cost, less any accumulated amortisation/impairment losses Cost includes original cost of acquisition, including incidental expenses related to such acquisition

Depreciation / Amortisation

Depreciation on all assets has been provided on Straight Line basis as per the rates prevailing in Schedule XIV of the Companies Act 1956 Depreciation/amortisation on addition /deletion to assets during the year is provided on pro rata basis

Individual assets costing less than Rs. 5,000/- have been depreciated fully in the year of purchase

Foreign Currency Transactions

Transactions denominated in foreign currencies are recorded at the exchange rates prevailing at the date of transaction. Monetary items denominated in foreign currency at the year end are translated at year end rates. In respect of monetary items which are covered by forward exchange contracts, the difference between the year end rate and the rate on the date of the contract is recognized as exchange difference and the premium on such forward contracts is recognized over the life of the forward contract. The exchange difference arising on settlement/ translation are recognized in the revenue accounts

Borrowing Cost

Borrowing Cost that are directly attributable to the acquisition, construction or production of qualifying asset are capitalised as part of cost of such asset

Borrowing cost other than those directly attributable to the acquisition, construction or production of a qualifying asset are recognized as expense in the period in which they are incurred

Investments

Investments are classified as long term and current investments Long term investments are carried at cost less provision, if any, for permanent diminution in their value. Current investments are valued at lower of cost and fair value

Inventories

Inventories are valued at lower of cost and net realisable value whichever is lower

Employee Benefits

i) Gratuity

The payment of gratuity is not applicable to the Company in view of the non-completion of qualifying years of service by the employees

i) Leave Salary/Compensated absences

Leave encashment is paid and payable at the end of the year and necessary provision, if any, required is being made in the accounts

Taxation

Current tax is determined as the tax payable in respect of taxable income for the year and is computed in accordance with relevant tax regulations

Deferred Tax is recognized for all timing differences between accounting income and taxable income which are quantified using the enacted/substantively enacted rates as at the balance sheet date. Deferred tax assets are recognized only to the extent that there is reasonable certainty that the assets can be realised in future, except in the case of deferred tax assets arising out of unabsorbed depreciation or carried forward losses, where deferred tax assets are recognised only if there is virtual certainty of their realisation

Leases

"Lease rentals on assets taken/given on operating lease are charged /credited to the Profit & Loss Account in accordance with Accounting Standard 19 - Leases - notified by The Companies (Accounting Standard) Rules, 2006 Assets taken on finance lease have been capitalised in accordance with AS-19 notified by The Companies [Accounting Standard) Rules, 2006."

Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made. Contingent liability is disclosed for [1] Possible obligations which will be confirmed only by future events not wholly within the control of the Company or (ii) Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made. Contingent Assets are not recognised in the financial statements since this may result in the recognition of income that may never be realised

Segment Reporting

Business Segments have been identified on the basis of nature of products/services. The company's operations relates to the consultancy services and trading in Shares

a) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as "unallowable"

b) Segment Assets and Segment Liabilities represents assets and liabilities in respective segments. Investments, tax related assets and other assets and liabilities that can not be alloted to a segment on reasonable basis, have been disclosed as "unallowable"

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 assets. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs 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 recognised in the Profit and Loss Account. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount
















Mar 31, 2010

Basis of Accounting

The financial statements have been prepared and presented under the historical cost convention method on accrual basis and materially comply with the Accounting Standards issued by the Institute of Chartered Accountants of India(ICAI) and the provisions of the Companies Act, 1956. All Income and Expenditure having material bearing on the financial statements have been recognised on accrual basis.

Use of Estimates

The preparation and presentation of financial statements in conformity with the generally accepted accounting principles requires the management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statement and the reported revenues and expenses for the reporting year. Difference between the actual result and estimates are recognized in the period in which the results are known/materialized.

Revenue Recognition

Income from Sale of Services are recognised when the bills are raised on the customer and their subsequent acceptance. Sale of Film rights are accounted for as per terms of the agreements.

Income from Other Operations is recognised on accrual basis as per the terms of agreement.

Interest Income is recognised on Time proportionate basis.

Fixed Assets

Tangible Assets:

Fixed assets are stated/valued at cost of acquisition plus installation charges and/or revalued less accumulated depreciation thereon and impairment in value, if any.

Intangible Assets:

Intangible Assets are stated at cost, less any accumulated amortisation/ impairment losses. Cost includes original cost of acquisition, including incidental expenses related to such acquisition.

Depreciation / Amortisation

Depreciation on all assets has been provided on Straight Line basis as per the rates prevailing in Schedule XIV of the Companies Act 1956. Depreciation/ amortisation on addition / deletion to assets during the year is provided on pro rata basis.. Individual assets costing less than Rs.5000/- have been depreciated fully in the year of purchase.

Foreign Currency Transactions

Transactions denominated in foreign currencies are recorded at the exchange rates prevailing at the date of transaction. Monetary items denominated in foreign currency at the year end are translated at year end rates. In respect of monetary items which are covered by forward exchange contracts, the difference between the year end rate and the rate on the date of the contract is recognized as exchange difference and the premium on such forward contracts is recognized over the life of the forward contract. The exchange difference arising on settlement/translation are recognized in the revenue accounts.

Borrowing Cost

Borrowing Cost that are directly attributable to the acquisition, construction or production of qualifying asset are capitalised as part of cost of such asset.

Borrowing cost other than those directly attributable to the acquisition, construction or production of a qualifying asset are recognized as expense in the period in which they are incurred.

Investments

Investments are classified as long term and current investments. Long term investments are carried at cost less provision, if any, for permanent diminition in their value. Current investments are valued at lower of cost and fair value.

Inventories

Inventories are valued at lower of cost and net realisable value whichever is lower

Employee Benefits

i) Gratuity :

The payment of gratuity is not applicable to the Company in view of the non-completion of qualifying years of service by the employees.

ii) Leave Salary/Compensated absences

Leave encashment is paid and payable at the end of the year and necessary provision, if any, required is being made in the accounts

Taxation

Current tax is determined as the tax payable in respect of taxable income for the year and is computed in accordance with relevant tax regulations.

Fringe benefit tax is provided in accordance with the provisions of Income Tax Act, 1961.

Deferred Tax is recognized for all timing differences between accounting income and taxable income which are quantified using the enacted/ substantively enacted rates as at the balance sheet date. Deferred tax assets are recognized only to the extent that there is reasonable certainty that the assets can be realised in future, except in the case of deferred tax assets.

Leases

"Lease rentals on assets taken/given on operating lease are charged / credited to the Profit & Loss Account in accordance with Accounting Standard 19 - Leases - notified by The Companies (Accounting Standard) Rules, 2006."Assets taken on finance lease have been capitalised in accordance with AS-19 notified by The Companies (Accounting Standard) Rules, 2006."

Provisions. Contingent Liabilities and Contingent Assets

Provisions are recognised only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made. Contingent liability is disclosed for (1) Possible obligations which will be confirmed only by future events not wholly within the control of the Company or (ii) Present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made. Contingent Assets are not recognised in the financial statements since this may result in the recognition of income that may never be realised.

Segment Reporting

Business Segments have been identified on the basis of nature of products/services. The companys operations relates to the consultancy services and trading in Shares

a) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which realtes to enterprise as a whole and are not allocable to a segment on reasonable basis have been disclosed as "unallwoable"

b) Segment Assets and Segment Liabilities represents assets and liabilities in respective segments. Investments, tax related assets and other assets ans liabilities that can not be alloted to a segment on reasonable basis, have been disclosed as "unallwoable"

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 assets. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs 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 recognised in the Profit and Loss Account. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.


Mar 31, 2009

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