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Accounting Policies of Raghav Industries Ltd. Company

Mar 31, 2010

I. Investments:

Investments have been taken at cost.

ii. Basis of Accounting :

Incomes and expenditures for the year have been taken on accural basis.

iii. Income Tax :

Current tax is determined as the amount of tax payable to the taxation authorities in respect of taxable income for the period.

Deferred tax is recognised, subject to the consideration of prudence, on timing differences, being difference between taxable and accounting income/expenditure that originate in one period and are capable of reversal in one or more subsequent period(s).

iv. Segment Reporting :

Segmental Reporting as per AS 17 is not applicable to the Company during the year under review.

v. Contingent Liabilities :

No provision is made for liabilities which are contingent in nature, unless it is probable that future events will confirm that an asset has been impaired or a liability incurred as at the balance sheet date and a reasonable estimate of the resulting loss can be made. However, all known, material contingent liabilities are disclosed by way of separate notes.

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