Mar 31, 2015
A. Basis of Accounting and Preparation of Financial Statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis.
b. Fixed Assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation/Amortization:
1. Depreciation on Fixed Assets is provided based on useful life of the
assets in accordance with requirement of Part C of Schedule II of
Companies Act, 2013.
2. Brand Equity, Goodwill and Software Library are depreciated over a
period of their effective life as determined by the management not
exceeding ten years from the date of acquisition.
3. Intangible assets in the nature of copyrights etc., are amortized
over a period of 5 years.
4. Improvements effected on premises taken on lease are amortized over
remaining period of lease.
5. Cost of Tele-Serials / Tele-Films not having any repeat telecast
value and other future exploitation benefits are written off in full in
the year of telecast.
6. Cost of Tele-Serials /Tele-Films / Events / Game shows having repeat
telecast value and other future exploitation benefits and in respect of
which the company holds right of exploitation - 80% of the cost is
written off in the year of telecast and balance 20% is written off
equally over the next two years calculated based on absorption method.
7. Cost of film production:
In the case of exploitation rights assigned on an Outright / Minimum
Guarantee basis:- - Entire expenditure incurred for production of the
film is charged to the profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:- - Expenditure incurred for the production of
the film is charged to profit & loss account equally over the period of
3 financial years commencing from the date of release of the film(s).
d. Inventories / Value of Unsold FCTs and Work-in-proaress: Stock of
unused cassettes, unsold free commercial times banked on programs
telecasted are valued at cost. Work-in-progress is calculated based on
absorption method valued at cost or market price whichever is less.
e. Revenue Recognition:
Television content:
Income from Tele-Serials / Tele-Films / Game shows / Events is
recognized on accrual basis as per the terms of the Agreement entered
into for telecasting / exploitation.
* In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned program.
* In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
Film - own production:
* In the case of outright / minimum guarantee assignment: - Income is
recognized on accrual basis as per terms of agreement entered into for
release / exploitation.
* In the case of own exploitation / Distribution assignment: - Income
is recognized on receipt basis during the period of receipt.
Film - Distribution:
Distribution margin income is recognized on accrual basis as per terms
of agreement entered into for release / exploitation.
f. Foreign Currency Transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction.
Outstanding balances of Current Assets and Current Liabilities
relating to Foreign Currency transactions are restated in rupees by
adopting the rate of exchange prevailing on the date of Balance Sheet
and the resultant exchange gain / loss is recognized / written off in
the Profit & Loss Account accordingly. a. Investments
The long term investments are shown at cost in accordance with AS-13
-Accounting for Investments.
h. Leave Encashment:
Company has formalized the existing rules for leave encashment under a
scheme administered by Life Insurance Corporation of India. The
contributions will be made annually based on leave credit available to
the employees at the end of each financial year and the Company will
report its status in accordance with AS - 15 Employees Benefits issued
by the Institute of Chartered Accountants of India.
i. Retirement Benefits:
Company formed a trust named 'Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme' for the benefit of the employees and
to administer the funds in respect of gratuity of employees with intent
to enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
the Company will report its status in accordance with AS - 15 -
Employee Benefits issued by the Institute of Chartered Accountants of
India.
i. Earnings Per Share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 - Earnings per Share - issued by
the Institute of Chartered Accountants of India. The Basic / Diluted
EPS has been computed by dividing the income available to equity
shareholders by the weighted average number of equity shares (including
Bonus Shares, if any) during the accounting period.
k. Accounting for Taxes on Income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India, Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
l. Impairment of Assets
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. Accounting for media receivables
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other significant vendors
and assessing the recoverability. The recoverability thereof shall be
reviewed periodically for suitable provision considered necessary.
Provisions so made shall be written off from the books of account
equally over a period of six years.
n. Provisioning for unsold FCTs
The Company has decided to provide as a conservative measure, a minimum
of 1 % on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
o. Contingent Liabilities & Provisions
All known liabilities & Provisions of material nature, if any, have
been provided for in the accounts in accordance with AS 29 -
Provisions, Contingent Liabilities & Contingent Assets.
Mar 31, 2014
A. Basis of Accounting and Preparation of Financial Statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis.
b. Fixed Assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation / Amortization:
1. Depreciation on Fixed Assets, other than Computer, are provided on
Straight Line Method at the rates laid down in Schedule XIV of the
Companies Act, 1956. In respect of Computer depreciation is provided on
Written down Value Method at the rate of 25%.
2. Brand Equity, Goodwill and Software Library were depreciated over a
period of their effective life as determined by the management not
exceeding ten years from the date of acquisition.
3. Intangible assets in the nature of copyrights etc., are amortized
over a period of 5 years.
4. Improvements effected on premises taken on lease are amortized over
remaining period of lease.
5. Cost of Tele-Serials / Tele-Films not having any repeat telecast
value and other future exploitation benefits are written off in full in
the year of telecast.
6. Cost of Tele-Serials / Tele-Films / Events / Game shows having
repeat telecast value and other future exploitation benefits and in
respect of which the company holds right of exploitation - 80% of the
cost is written off in the year of telecast and balance 20% is written
off equally over the next two years calculated under absorption method.
7. Cost of film production:
In the case of exploitation rights assigned on an Outright / Minimum
Guarantee basis:-- Entire expenditure incurred for production of the
film is charged to the profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:-- Expenditure incurred for the production of
the film is charged to profit & loss account equally over the period of
3 financial years commencing from the date of release of the film(s).
d. Inventories / Value of Unsold FCTs and Work-in-progress: Stock of
unused cassettes, unsold free commercial times banked on programs
telecasted are valued at cost. Work-in-progress is calculated based on
absorption method valued at cost or market price whichever is less.
e. Revenue Recognition:
Television content:
Income from Tele-Serials / Tele-Films / Game shows / Events is
recognized on accrual basis as per the terms of the Agreement entered
into for telecasting / exploitation.
* In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned program.
* In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
Film - own production:
* In the case of outright / minimum guarantee assignment:
- Income is recognized on accrual basis as per terms of agreement
entered into for release / exploitation.
* In the case of own exploitation / Distribution assignment:
- Income is recognized on receipt basis during the period of receipt.
Film - Distribution:
Distribution margin income is recognized on accrual basis as per terms
of agreement entered into for release / exploitation.
f. Foreign Currency Transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction. Outstanding balances of
Current Assets and Current Liabilities relating to Foreign Currency
transactions are restated in rupees by adopting the rate of exchange
prevailing on the date of Balance Sheet and the resultant exchange gain
/ loss is recognized / written off in the Profit & Loss Account
accordingly.
g. Investments
The long term non-current investments are shown at cost in accordance
with AS-13 -Accounting for Investments.
h. Leave Encashment:
Company has formalized the existing rules for leave encashment under a
scheme administered by Life Insurance Corporation of India. The
contributions will be made annually based on leave credit available to
the employees at the end of each financial year and the Company will
report its status in accordance with AS - 15 Employees Benefits issued
by the Institute of Chartered Accountants of India.
i. Retirement Benefits:
Company formed a trust named ''Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme'' for the benefit of the employees and
to administer the funds in respect of gratuity of employees with intent
to enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
the Company will report its status in accordance with AS - 15 -
Employee Benefits issued by the Institute of Chartered Accountants of
India. j. Earnings Per Share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 - Earnings per Share - issued by
the Institute of Chartered Accountants of India. The Basic / Diluted
EPS has been computed by dividing the income available to equity
shareholders by the weighted average number of equity shares (including
Bonus Shares, if any) during the accounting period.
k. Accounting for Taxes on Income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India, Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
l. Impairment of Assets
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. Accounting for media receivables
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other significant vendors
and assessing the recoverability. The recoverability thereof shall be
reviewed periodically for suitable provision considered necessary.
Provisions so made shall be written off from the books of account
equally over the period of six years. n. Provisioning for unsold FCTs
The Company has decided to provide as a conservative measure, a minimum
of 1 % on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
o. Contingent Liabilities & Provisions All known liabilities &
Provisions of material nature, if any, have been provided for in the
accounts in accordance with AS 29 -Provisions, Contingent Liabilities &
Contingent Assets.
Mar 31, 2013
A. Basis of accounting and Preparation of financial statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis.
b. fixed assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation / amortization:
1. Depreciation on Fixed Assets, other than Computer, Camera
equipment, Brand equity and Software Library are provided on Straight
Line Method at the rates laid down in Schedule XIV of the Companies
Act, 1956. In respect of Computer and Camera equipment depreciation is
provided on Written down Value Method at the rate of 25%.
2. Software Library and Brand Equity are depreciated over a period of
their effective life as determined by the management not exceeding ten
years from the date of acquisition.
3. Intangible assets in the nature of copyrights etc., are amortized
over a period of 5 years.
4. Improvements effected on premises taken on lease are amortized over
remaining period of lease.
5. Cost of Tele-Serials / Tele-Films not having any repeat telecast
value and other future exploitation benefits are written off in full in
the year of telecast.
6. Cost of Tele-Serials / Tele-Films / Events / Game shows having
repeat telecast value and other future exploitation benefits and in
respect of which the company holds right of exploitation - 80% of the
cost is written off in the year of telecast and balance 20% is written
off equally over the next two years calculated based on absorption
method.
7. Cost of film production:
In the case of exploitation rights assigned on an Outright / Minimum
Guarantee basis:-
Entire expenditure incurred for production of the flm is charged to the
profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:-
Expenditure incurred for the production of the film is charged to profit
& loss account equally over the period of 3 fnancial years commencing
from the date of release of the film(s).
d. inventories / Value of Unsold facts and work-in-progress:
Stock of unused cassettes, unsold free commercial times banked on
programs telecasted are valued at cost. Work-in-progress is calculated
based on absorption method valued at cost or market price whichever is
less.
e. revenue recognition:
television content:
Income from Tele-Serials / Tele-Films / Game shows / Events is
recognized on accrual basis as per the terms of the Agreement entered
into for telecasting / exploitation.
- In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned program.
- In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
film - own production:
- In the case of outright / minimum guarantee assignment:
- Income is recognized on accrual basis as per terms of agreement
entered into for release / exploitation.
- In the case of own exploitation / Distribution assignment:
- Income is recognized on receipt basis during the period of receipt.
film  Distribution:
Distribution margin income is recognized on accrual basis as per terms
of agreement entered into for release / exploitation.
f. foreign currency transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction. Outstanding balances of
Current Assets and Current Liabilities relating to Foreign Currency
transactions are restated in rupees by adopting the rate of exchange
prevailing on the date of Balance Sheet and the resultant exchange gain
/ loss is recognized / written off in the Profit & Loss Account
accordingly.
g. investments
The long term investments are shown at cost in accordance with AS-13
ÂAccounting for Investments.
h. Leave encashment:
Company has formalized the existing rules for leave encashment under a
scheme administered by Life Insurance Corporation of India. The
contributions will be made annually based on leave credit available to
the employees at the end of each fnancial year and the Company will
report its status in accordance with AS Â 15 Employees Benefits issued
by the Institute of Chartered Accountants of India.
i. Retirement Benefits:
Company formed a trust named ''Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme'' for the benefit of the employees and to
administer the funds in respect of gratuity of employees with intent to
enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
the Company will report its status in accordance with AS Â 15 Â
Employee Benefits issued by the Institute of Chartered Accountants of
India.
j. earnings Per share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 - Earnings per Share - issued by
the Institute of Chartered Accountants of India. The Basic / Diluted
EPS has been computed by dividing the income available to equity
shareholders by the weighted average number of equity shares (including
Bonus Shares, if any) during the accounting period.
k. accounting for taxes on income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India, Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
l. impairment of assets
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. accounting for media receivables
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other significant vendors and
assessing their viability from a mark to market perspective.
n. Provisioning for unsold facts
The Company has decided to provide as a conservative measure, a minimum
of 1% on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
o. contingent Liabilities & Provisions
All known liabilities & Provisions of material nature, if any, have
been provided for in the accounts in accordance with AS 29 -
Provisions, Contingent Liabilities & Contingent Assets.
Mar 31, 2012
A. Basis of Accounting and Preparation of Financial Statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis..
b. Fixed assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation/Amortization:
1. Depreciation on Fixed Assets, other than Computer, Camera
equipment, Brand equity and Software Library are provided on Straight
Line Method at the rates laid down in Schedule XIV of the Companies
Act, 1956. In the case of Computer and Camera equipment depreciation is
provided at the rate of 25% on Written Down Value Method and Straight
Line Method respectively.
2. Software Library and Brand Equity are depreciated over a period of
their effective life as determined by the management not exceeding ten
years from the date of acquisition.
3. Intangible assets in the nature of copyrights etc., are amortized
over a period of 5 years.
4. Improvements effected on premises taken on lease are amortized over
remaining period of lease.
5. Cost of Tele-Serials/Tele-Films not having any repeat telecast
value and other future exploitation benefits are written off in full in
the year of telecast.
6. Cost of Tele-Serials/Tele-Films/Events/Game shows having repeat
telecast value and other future exploitation benefits and in respect of
which the company holds right of exploitation - 80% of the cost is
written off in the year of telecast and balance 20% is written off
equally over the next two years calculated based on absorption method.
7. Cost of film production:
In the case of exploitation rights assigned on an Outright/Minimum
Guarantee basis:- - Entire expenditure incurred for production of the
film is charged to the profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:- - Expenditure incurred for the production of
the film is charged to profit & loss account equally over the period of
3 financial years commencing from the date of release of the film(s).
d. Inventories/Value of Unsold facts and Work-in-progress:
Stock of unused cassettes, unsold free commercial times banked on
programs telecasted are valued at cost. Work-in-progress is calculated
based on absorption method valued at cost or market price whichever is
less.
e. Revenue Recognition:
Television content:
Income from Tele-Serials/Tele-Films/Game shows/Events is recognized on
accrual basis as per the terms of the Agreement entered into for
telecasting/exploitation.
- In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned program.
- In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
Film:
- In the case of outright/minimum guarantee assignment:
- Income is recognized on accrual basis as per terms of agreement
entered into for release/exploitation.
- In the case of own exploitation/Distribution assignment:
- Income is recognized on receipt basis during the period of receipt.
Film - Distribution
Distribution margin income is recognized on accrual basis as per terms
of agreement entered into for release/ exploitation.
f. Foreign Currency transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction. Outstanding balances of
Current Assets and Current Liabilities relating to Foreign Currency
transactions are restated in rupees by adopting the rate of exchange
prevailing on the date of Balance Sheet and the resultant exchange
gain/loss is recognized/written off in the Profit & Loss Account
accordingly.
g. Investments
The long term investments are shown at cost in accordance with AS-13
-Accounting for Investments.
h. Leave encashment:
Company has formalized the existing rules for leave encashment under a
scheme administered by Life Insurance Corporation of India. The
contributions will be made annually based on leave credit available to
the employees at the end of each financial year and the Company will
report its status in accordance with AS - 15 Employees Benefits issued
by the Institute of Chartered Accountants of India.
i. Retirement Benefits:
Company formed a trust named 'Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme' for the benefit of the employees and to
administer the funds in respect of gratuity of employees with intent to
enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
the Company will report its status in accordance with AS - 15 -
Employee Benefits issued by the Institute of Chartered Accountants of
India.
j. Earnings Per Share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 - Earnings per Share - issued by
the Institute of Chartered Accountants of India. The Basic/Diluted EPS
has been computed by dividing the income available to equity
shareholders by the weighted average number of equity shares (including
Bonus Shares, if any) during the accounting period.
k. Accounting for taxes on income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India, Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
l. Impairment of assets:
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. Accounting for media receivables:
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other significant vendors and
assessing their viability from a mark to market perspective.
n. Provisioning for unsold FCTs:
The Company has decided to provide as a conservative measure, a minimum
of 1% on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
o. Contingent Liabilities & Provisions:
All known liabilities & Provisions of material nature, if any, have
been provided for in the accounts in accordance with AS 29 -
Provisions, Contingent Liabilities & Contingent Assets.
Mar 31, 2011
A. Basis of Accounting and Preparation of Financial Statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis.
b. Fixed Assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation / Amortization:
- Depreciation on Fixed Assets, other than Computer, Camera equipment,
Brand equity and Software Library are provided on Straight Line Method
at the rates laid down in Schedule X!V of the Companies Act, 1956. In
respect of Computer and Camera equipment depreciation is provided on
Straight Line Method at the rate of 25%.
- Software Library and Brand Equity are depreciated over a period of
their effective life as determined by the management not exceeding ten
years from the date of acquisition.
- Improvements effected on premises taken on lease are amortized over
remaining period of lease.
- Cost of Tele-Serials / Tele-Films not having any repeat telecast
value and other future exploitation benefits are written off in full in
the year of telecast.
- Cost of Tele-Serials / Tele-Films / Game shows having repeat telecast
value and other future exploitation benefits and in respect of which
the company holds right of exploitation - 80% of the cost is written
off in the year of telecast and balance 20% is written off equally over
the next two years calculated based on absorption method.
- Cost of film production:
In the case of exploitation rights assigned on an Outright / Minimum
Guarantee basis:-
- Entire expenditure incurred for production of the film is charged to
the profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:-
- Expenditure incurred for the production of the film is charged to
profit & loss account equally over the period of 3 financial years
commencing from the date of release of the film(s).
d. Inventories / Value of Unsold FCTs and Work-in-progress:
Stock of unused cassettes, unsold free commercial times banked on
programs telecasted are valued at cost. Work-in-progress is calculated
based on absorption method valued at cost or market price whichever is
less.
e. Revenue Recognition: Television content:
- Income from Tele-Serials / Tele-Films / Game shows is recognized on
accrual basis as per the terms of the Agreement entered into for
telecasting / exploitation.
- In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned Tele-serial.
- In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
Film:
- In the case of outright / minimum guarantee assignment:
- Income is recognized on accrual basis as per terms of agreement
entered into for release / exploitation.
- In the case of own exploitation / Distribution assignment:
- Income is recognized on receipt basis during the period of receipt.
f. Foreign Currency Transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction.
Outstanding balances of Current Assets and Current Liabilities relating
to Foreign Currency transactions are restated in rupees by adopting the
rate of exchange prevailing on the date of Balance Sheet and the
resultant exchange gain / loss is recognized / written off in the
Profit & Loss Account.
g. Investments
The long term investments are shown at cost in accordance with AS-13
-Accounting for Investments.
h. Leave Encashment:
Company has formalized the existing rules for leave encashment under a
scheme administered by Life Insurance Corporation of India. The
contributions will be made annually based on leave credit available to
the employees at the end of each financial year and report its status
in accordance with AS - 15 Employees Benefits issued by the Institute
of Chartered Accountants of India.
i. Retirement Benefits:
Company formed a trust named 'Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme' for the benefit of the employees and
to administer the funds in respect of gratuity of employees with intent
to enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
report its status in accordance with AS - 15 - Employee Benefits issued
by the Institute of Chartered Accountants of India.
j. Earnings Per Share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 Earnings per Share issued by the
Institute of Chartered Accountants of India. The Basic / Diluted EPS
has been computed by dividing the income available to equity
shareholders by the weighted average number of equity share (including
Bonus Shares, if any) during the accounting period.
k. Accounting for Taxes on Income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India. Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
I. Impairment of Assets:
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. Accounting for media receivables:
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other significant vendors
and assessing their viability from a mark to market perspective.
n. Provisioning for unsold FCTs:
The Company has devised to provide as a conservative measure, a minimum
of 1% on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
0. Contingent Liabilities & Provisions:
All known liabilities & provisions of material nature, if any, have
been provided for in the accounts in accordance with AS 29 -
Provisions, Contingent Liabilities & Contingent Assets.
Mar 31, 2010
A. Basis of Accounting and Preparation of Financial Statements:
The Financial Statements have been prepared on historical cost
convention and in accordance with the normally accepted accounting
principles on a going concern basis.
b. Fixed Assets:
Fixed Assets are stated at cost less depreciation.
c. Depreciation / Amortization:
Depreciation on Fixed Assets, other than Computer, brand equity and
Software Library are provided on Straight Line Method at the rates laid
down in Schedule XIV of the Companies Act, 1956. In respect of
Computer, depreciation is provided on Straight Line Method at the rate
of 25%.
- Software Library and Brand Equity are depreciated over a period of
their effective life as determined by the management not exceeding ten
years from the date of acquisition.
- Improvements effected on premises taken on lease are amortized over
remaining period of lease.
- Cost of Tele-Serials / Tele-Films not having any repeat telecast
value and other future exploitation benefts are written off in full in
the year of telecast.
Cost of Tele-Serials / Tele-Films / Game shows having repeat telecast
value and other future exploitation benefts and in respect of which the
company holds right of exploitation - 80% of the cost is written off in
the year of telecast and balance 20% is written off equally over the
next two years calculated based on absorption method.
- Cost of flm production:
In the case of exploitation rights assigned on an Outright / Minimum
Guarantee basis: -
Entire expenditure incurred for production of the flm is charged to the
profit & loss account.
In the case of exploitation rights held for own release or assigned on
distribution basis or with a combination of outright, minimum guarantee
and distribution basis:-
Expenditure incurred for the production of the flm is charged to proft
& loss account equally over the period of 3 fnancial years commencing
from the date of release of the lm(s).
d. Inventories / Value of Unsold FCTs and Work-in-progress:
Stock of unused cassettes, value of unsold free commercial time banked
on programs telecasted is valued at cost. Work-in-progress calculated
based on absorption method is valued at cost or market price whichever
is less.
e. Revenue Recognition: Television content:
- Income from Tele-Serials / Tele-Films / Game shows is recognized on
accrual basis as per the terms of the Agreement entered into for
telecasting / exploitation.
- In case of Domestic telecast, Revenue is recognized on the telecast
of the concerned Tele-serial.
- In case of overseas telecast, Revenue is recognized at the point,
when the tapes are delivered.
Film
- In the case of outright / minimum guarantee assignment:-
Income is recognized on accrual basis as per terms of agreement entered
into for release / exploitation.
- In the case of own exploitation / Distribution assignment:- Income is
recognized on receipt basis during the period of receipt.
f. Foreign Currency Transactions:
Transactions pertaining to income and expenditure are accounted at the
rate prevailing on the date of transaction.
Outstanding balances of Current Assets and Current Liabilities relating
to Foreign Currency transactions are restated in rupees by adopting the
rate of exchange prevailing on the date of Balance Sheet and the
resultant exchange gain / loss is recognized / written off in the Proft
& Loss Account.
g. Investments
The Investment made in joint venture à Radaan Talent Factory Private
Ltd is accounted & shown as Investment in accordance with AS-13
-Accounting for Investments as signifcant infuence and joint control do
not exist during the fnancial year.
h. Leave Encashment:
Unearned leave of the employees are calculated at the end of each
fnancial year and such liability is provided during the same accounting
period.
i. Retirement Benefits:
Company formed a trust named Radaan Mediaworks India Limited Employees
Group Gratuity Assurance Scheme for the beneft of the employees and to
administer the funds in respect of gratuity of employees with intent to
enter into a approved scheme of group gratuity with Life Insurance
Corporation of India. The contributions will be made through trust and
report its status in accordance with AS Ã 15 Ã Employee Benefts issued
by the Institute of Chartered Accountants of India.
j. Earnings Per Share:
The Company reports Basic and Diluted Earnings per Share (EPS) in
accordance with Accounting Standard 20 Earnings per Share issued by the
Institute of Chartered Accountants of India. The Basic / Diluted EPS
has been computed by dividing the income available to equity
shareholders by the weighted average number of equity share (including
Bonus Shares, if any) during the accounting period.
k. Accounting for Taxes on Income:
Current tax is determined on the basis of the amount of tax payable on
taxable income for the year. In accordance with the Accounting
Standard-22 Accounting for Taxes on Income issued by the Institute of
Chartered Accountants of India, Deferred Tax is calculated at current
statutory income tax rates and is recognized on timing differences
between taxable income and accounting income that originated in one
period and are capable of reversal in one or more subsequent periods.
l. Impairment of Assets
The Company has a policy of comparing the recoverable value with the
carrying cost and charging impairment when required.
m. Accounting for media receivables
The Company has formulated a system of evaluating receivables and
advances lying with marketing agencies and other signifcant vendors and
assessing their viability from a mark to market perspective.
n. Provisioning for unsold FCTs
The Company has devised to provide as a conservative measure, a minimum
of 1% on total value of sales related to Free Commercial Time (FCT)
with a view to accommodate the risk involved in the value on
liquidation of unsold FCTs held.
0. Contingent Liabilities & Provisions
All known liabilities & Provisions of material nature, if any, have
been provided for in the accounts in accordance with AS 29 -
Provisions, Contingent Liabilities & Contingent Assets.
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