Home  »  Company  »  Sampada Chemical  »  Quotes  »  Accounting Policy
Enter the first few characters of Company and click 'Go'

Accounting Policies of Sampada Chemicals Ltd. Company

Mar 31, 2011

1. Method of Accounting :

The accounts are prepared on historical cost basis and income and expenditure are recognized on accrual basis except as stated otherwise.

2. Investments :

a) Long Term Investments are stated at cost, which is inclusive of brokerage and fees. The cost in respect of bonus shares is arrived at by allocating cost of original shares on proportionate basis. Provision is made is respect of permanent fall (if any) in the value of investments as required by RBI guideline for NBFC. Unquoted equity shares, forming part of investments, are stated at cost or break-up value, whichever is lower.

b) Dividend is accounted on cash basis, which is in accordance with the guidelines issued by RBI for NBFCs in this behalf.

c) Investment on Loan purchased is accounted on cost of purchase and proportionate income less amount received.

3. Taxation :

a) Income-tax expense comprise current tax and deferred tax charge or credit.

b) The deferred tax asset and deferred tax liability is calculated by applying tax rate and tax loss that have been enacted or substantially enacted by the Balance Sheet date.

c) Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, are recognised, only if there is a virtual certainty of its realisation, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognized only to the extent there is a reasonable certainty of its realization. Hence Provision for Deferred Tax Asset has not been made.

4. Fixed Assets :

Fixed Assets are sated at cost of acquisition less accumulated depreciation.

5. Depreciation :

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956. Depreciation on Computers & Cylinders is not taken into consideration as per the decision taken by the management due to mounting losses.

6. Stock in trade :

Stock in trade is valued at cost or market value whichever is lower.

7. Contingent Liability :

Contingent Liabilities are not provided for, if material, are disclosed by way of notes.

8. Earning Per Share :

In accordance with the Accounting Standard - 20 (AS-20) "Earning Per Share " issued by Institute of Chartered Accountants of India, basic earning per share is computed using the weighted average number of shares outstanding during the year.


Mar 31, 2010

1. Method of Accounting:

The accounts are prepared on historical cost basis and income and expenditure are recognized on accrual basis except as stated otherwise.

2. Investments :

a) Long Term Investments are stated at cost, which is inclusive of brokerage and fees. The cost in respect of bonus shares is arrived at by allocating cost of original shares on proportionate basis. Provision is made is respect of permanent fall (if any) in the value of investments as required by RBI guideline for NBFC. Unquoted equity shares, forming part of investments, are stated at cost or break-up value, whichever is lower.

b) Dividend is accounted on cash basis, which is in accordance with the guidelines issued by RBI for NBFCs in this behalf.

c) Investment on Loan purchased is accounted on cost of purchase and proportionate income less amount received.

3. Taxation:

a) Income-tax expense comprise current tax and deferred tax charge or credit.

b) The deferred tax asset and deferred tax liability is calculated by applying tax rate and tax loss that have been enacted or substantially enacted by the Balance Sheet date.

c) Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, are recognised, only if there is a virtual certainty of its realisation, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognised only to the extent there is a reasonable certainty of its realisation. Hence Provision for Deferred Tax Asset has not been made.

4. Fixed Assets :

Fixed Assets are sated at cost of acquisition less accumulated depreciation.

5. Depreciation:

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956. Depreciation on Computers & Cylinders is not taken into consider- ation as per the decision taken by the management due to mounting losses.

6. Stock in trade :

Stock in trade is valued at cost or market value whichever is lower.

7. Contingent Liability:

Contingent Liabilities are not provided for, if material, are disclosed by way of notes.

8. Earning Per Share :

In accordance with the Accounting Standard - 20 (AS-20) "Earning Per Share " issued by Institute of Chartered Accountants of India, basic earning per share is computed using the weighted average number of shares outstanding during the year.


Mar 31, 2009

1. Method of Accounting:

The accounts are prepared on historical cost basis and income and expenditure arc recognized on accrual basis except as stated otherwise.

2. Investments:

a) Long Term Investments are stated at cost, which is inclusive of brokerage and fees. The cost in respect of bonus shares is arrived at by allocating cost of original shares on proportionate basis. Provision is made is respect of permanent fall (if any) in the value of investments as required by RBI guideline for NBFC. Unquoted equity shares, forming part of investments, arc stated at cost or break-up value, whichever is lower.

b) Dividend is accounted on cash basis, which is in accordance with the guidelines issued by RBI for NBFCs in this behalf.

c) Investment on Loanpurchased is accounted on cost of purchase and proportionate income less amount received.

3. Taxation ;

a) Income-tax expense comprise current tax and deferred tax charge or credit.

b) The deferred tax asset and deferred tax liability is calculated by applying tax rate and tax loss that have been enacted or substantially enacted by the Balance Sheet date.

c) Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, arc recognised, only if there is a virtual certainty of its realisation, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognised only to the extent there is a reasonable certainty of its realisation. Hence Provision for Deferred Tax Asset has not been made.

4. Fixed Assets:

Fixed Assets are sated at cost of acquisition less accumulated depreciation.

5. Depreciation :

Depreciation on fixed assets is provided on straight line method at the rates, and in the manner specified in Schedule XIV of the Companies Act, 1956. Depreciation on Computers & Cylinders is not taken into consideration as per the decision taken by, the management due to mounting losses.

6. Stock in trade :

Stock in trade is valued at cost or market value whichever is lower.

7. Contingent Liability :

Contingent Liabilities arc not provided for, if material, are disclosed by way of notes.

8. Earning Per Share :

In accordance with the Accounting Standard - 20 (AS-20) "Earning Per Share " issued by Institute of Chartered Accountants of India, basic earning per share is computed using the weighted average number of shares outstanding during the year.




Mar 31, 2002

1. Method of Accounting :

The accounts arc prepared on historical cost basis and income and expenditure are recognized on accrual basis except as stated otherwise.

2. Investments :

a) Long Term Investments are stated at cost, which is inclusive of brokerage and fees. The cost in respect of bonus shares is arrived at by allocating cost of original shares on proportionate basis. Provision is made is respect of permanent fall (if any) in the value of investments as required by RBI guideline for NBFC. Unquoted equity shares, forming part of investments, are stated at cost or break-up value, whichever is lower.

b) Dividend is accounted on cash basis, which is in accordance with the guidelines issued by RBI for NBFCs in this behalf.

3. Taxation :

a) Income-tax expense comprise current tax and deferred tax charge or credit.

b) The deferred tax asset and deferred tax liability is calculated by applying tax rate and tax loss that have been enacted or substantially enacted by the Balance Sheet date.

c) Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, are recognised, only if there is a virtual certainty of its realisation, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognised only to the extent there is a reasonable certainty of its realisation.

d) At each Balance Sheet date, the carrying amount of deferred tax assets is reviewed to reassure realisation.

4. Fixed Assets :

Fixed Assets are sated at cost of acquisition less accumulated depreciation.

5. Depreciation :

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956.

6. Stock in trade :

Stock in trade is valued at cost or market value whichever is lower.

7. Share Issue Expenses :

Share issue expenses are written off over a period of 10 years.

8. Retirement Benefits :

Leave encashment to employees is accounted for on pay as you go basis.

9. Contingent Liability :

Contingent Liabilities are not provided for, if material, are disclosed by way of notes.

 
Subscribe now to get personal finance updates in your inbox!