Mar 31, 2015
A. BASIS OF PREPARATION OF FINANCIAL STATEMENTS
These financial statements are prepared in accordance with Indian
Generally Accepted Accounting Principles (GAAP) under the historical
cost convention on the accrual basis except for certain financial
instruments which are measured at fair values. GAAP comprises mandatory
accounting standards as prescribed under Section 133 of the Companies
Act, 2013 ('Act') read with Rule 7 of the Companies (Accounts) Rules,
2014, the provisions of the Act (to the extent notified) and guidelines
issued by the Securities and Exchange Board of India (SEBI). Accounting
policies have been consistently applied except where a newly issued
accounting standard is initially adopted or a revision to an existing
accounting standard requires a change in the accounting policy hitherto
in use.
B. USE OF ESTIMATES
The preparation of the financial statements in conformity with GAAP
requires management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent liabilities as at the date of the financial statements and
reported amounts of income and expenses during the period.
Accounting estimates could change from period to period. Actual results
could differ from those estimates. Appropriate changes in estimates
are made as the Management becomes aware of changes in circumstances
surrounding the estimates. Changes in estimates are reflected in the
financial statements in the period in which changes are made and, if
material, their effects are disclosed in the notes to the financial
statements.
C. FIXED ASSETS
i. Fixed Assets are stated at historical cost less
depreciation. The cost comprises directly attributable costs such as
freight, insurance and specific installation charges for bringing the
assets to their working condition for intended use.
ii. Intangible Assets are recognized on the basis of recognition
criteria as set out in Accounting Standard AS- 26 "Intangible Assets".
D. DEPRECIATION
Depreciation is provided on the basis of Straight Line Method as per
the rates and in the manner prescribed in Schedule II of the Companies
Act, 2013.
E. INVENTORIES
i. Finished Goods are valued at cost or net realizable value whichever
is lower.
ii. Raw materials are valued at lower of cost or net realizable value
(NRV).
iii. By products are valued at estimated realizable price.
iv. Stores and Spare parts are valued at/or under cost.
Cost for the purpose of inventory valuation is computed on FIFO (First
In First Out) basis.
F. REVENUE RECOGINTION
Revenue is recognized on mercantile basis except for claims/insurance
claims, which are accounted for on ascertainment basis in view of
uncertainty involved in determining the final amount.
Interest income on fixed deposit with bank is recognized on time
proportion basis taking into account the amount outstanding and the
rate applicable.
Dividend income from investments is recognized when the Company's right
to receive payment is established.
G. CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash at bank and in hand and short
term investments with an original maturity of three months or less.
H. SUBSIDIES
State subsidies are accounted for on receipt basis.
I. RETIREMENT BENEFITS
I. GRATUITY
Provision for Gratuity in the nature of defined benefit obligation is
considered on the basis of revised Accounting Standard (AS-15) on
actuarial valuation. The discount rate and other actuarial assumptions
are based on the parameters defined in the Accounting Standard.
ii. PROVIDENT FUND
Company's contribution to the Provident Fund in the nature of Defined
Contribution Plan is being charged to Statement of Profit & Loss
Account in the year in which services are rendered by the employees.
iii. LEAVE ENCASHMENT
Short term benefits are provided for on accrual basis on the basis of
management estimates.
J. TAXES ON INCOME
Income tax expense is accounted for in accordance with AS-22,
"Accounting for Taxes on Income", as stated below:
i. Provision for current tax is made based on taxable income
for the year computed in accordance with provisions of the Income Tax
Act, 1961.
ii. Deferred tax is recognized, subject to the consideration of
prudence, on timing differences, being the difference between taxable
income and accounting income that originate in one period and are
capable of reversal in one or more subsequent periods.
iii. Deferred tax is measured based on the tax rates and the tax laws
enacted or substantively enacted at the balance sheet date. Deferred
tax assets and deferred tax liabilities are offset, if a legally
enforceable right exists to set off current tax assets against current
tax liabilities and the deferred tax assets and deferred tax
liabilities relate to the taxes on income levied by same governing
taxation laws.
iv. Deferred tax asset is recognized and carried forward to the extent
that there is a reasonable certainty of realization. In the case of
unabsorbed depreciation and carry forward tax losses deferred tax asset
is recognized, to the extent there is virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
K. IMPAIRMENT OF ASSETS
Impairment loss is recognized wherever the carrying amount of an asset
is in excess of its recoverable amount and the same is recognized as an
expense in the statement of profit and loss account and carrying amount
of the asset is reduced to its recoverable amount. Post impairment,
depreciation is provided on the revised carrying value of the asset
over its remaining useful life. Reversal of impairment losses
recognized in prior years is recorded when there is an indication that
the impairment losses recognized for the asset no longer exist or have
decreased.
L. PROVISIONS, CONTINGENT LIABILITIES AND
CONTINGENT ASSETS
A provision is recognized if, as a result of a past event, the Company
has a present legal obligation that is reasonably estimable and it is
probable that an outflow of economic benefits will be required to
settle the obligation. Provisions are determined by the best estimate
of the outflow of economic benefits required to settle the obligation
at the reporting date. Where no reliable estimate can be made, a
disclosure is made as contingent liability. A disclosure for a
contingent liability is also made when there is a possible obligation
or a present obligation that may, but probably will not, require an
outflow of resources. Where there is a possible obligation or a present
obligation in respect of which the likelihood of outflow of resources
is remote, no provision or disclosure is made.
M. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
N. SEGMENT POLICIES
The Company's reporting segments are identified based on
activities/products, risk and reward structure, organization structure
and internal reporting systems.
O. INVESTMENTS
Investments intended to be held for more than a year are classified as
long term investments. All other investments are classified as current
investments. Current investments are stated at lower of cost and
market/fair value. Long term investments are stated at cost. Decline in
value of long term investments is recognized, if considered other than
temporary.
P. BORROWING COSTS
Borrowing costs directly attributable to the acquisition, construction
or production of an asset that necessarily takes a substantial period
of time to get ready for its intended use or sale are capitalized as
part of the cost of the respective asset. All other borrowing costs are
expensed in the period they occur. Borrowing costs consist of interest
and other costs that an entity incurs in connection with the borrowing
of funds.
Q. CASH FLOW STATEMENT
Cash flows are reported using the indirect method, whereby profit
before tax is adjusted for the effects of transactions of a non-cash
nature, any deferrals or accruals of past or future operating cash
receipts or payments and item of income or expenses associated with
investing or financing cash flows. The cash flows from operating,
investing and financing activities of the Company are segregated.
Mar 31, 2014
A. BASIS OF PREPARATION
The financial statements have been prepared to comply in all material
respects with the Accounting Standards notified by Companies
(Accounting Standards) Rules, 2006 and the relevant provisions of the
Companies Act, 1956. The financial statements have been prepared under
the historical cost convention on an accrual basis except as stated
otherwise. The accounting policies have been consistently applied by
the Company and are consistent with those used in the previous year.
B. USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent liabilities at the date of the
financial statements and the results of operations during the reporting
period. Although these estimates are based upon management''s best
knowledge of current events and actions, actual results could differ
from these estimates. Difference between the actual result and
estimates are recognised in the period in which the results are known /
materialized.
C. FIXED ASSETS
i. Fixed Assets are stated at historical cost less depreciation. The
cost comprises directly attributable costs such as freight, insurance
and specific installation charges for bringing the assets to their
working condition for intended use.
ii. Intangible Assets are recognized on the basis of recognition
criteria as set out in Accounting Standard AS-26 "Intangible Assets".
D. DEPRECIATION
Depreciation is provided on the basis of Straight Line Method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
E. INVENTORIES
i. Finished Goods are valued at cost or net realizable value whichever
is lower.
ii. Raw materials are valued at lower of cost or net realizable value
(NRV).
iii. By products are valued at estimated realizable price.
iv. Stores and Spare parts are valued at/or under cost.
Cost for the purpose of inventory valuation is computed on FIFO (First
In First Out) basis.
F. REVENUE RECOGINTION
Revenue is recognized on mercantile basis except for claims/insurance
claims, which are accounted for on ascertainment basis in view of
uncertainty involved in determining the final amount.
Interest income on fixed deposit with bank is recognized on time
proportion basis taking into account the amount outstanding and the
rate applicable.
Dividend income from investments is recognized when the Company''s right
to receive payment is established.
G. CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash at bank and in hand and short
term investments with an original maturity of three months or less.
H. SUBSIDIES
State subsidies are accounted for on receipt basis.
I. RETIREMENT BENEFITS
i. GRATUITY
Provision for Gratuity in the nature of defined benefit obligation is
considered on the basis of revised Accounting Standard (AS-15) on
actuarial valuation. The discount rate and other actuarial assumptions
are based on the parameters defined in the Accounting Standard.
ii. PROVIDENT FUND
Company''s contribution to the Provident Fund in the nature of Defined
Contribution Plan is being charged to Statement of Profit & Loss
Account in the year in which services are rendered by the employees.
iii. LEAVE ENCASHMENT
Short term benefits are provided for on accrual basis on the basis of
management estimates.
TAXES ON INCOME
Income tax expense is accounted for in accordance with AS-22,
"Accounting for Taxes on Income", as stated below:
i. Provision for current tax is made based on taxable income for the
year computed in accordance with provisions of the Income
Tax Act, 1961.
ii. Deferred tax is recognized, subject to the consideration of
prudence, on timing differences, being the difference between taxable
income and accounting income that originate in one period and are
capable of reversal in one or more subsequent periods.
iii. Deferred tax is measured based on the tax rates and the tax laws
enacted or substantively enacted at the balance sheet date. Deferred
tax assets and deferred tax liabilities are offset, if a legally
enforceable right exists to set off current tax assets against current
tax liabilities and the deferred tax assets and deferred tax
liabilities relate to the taxes on income levied by same governing
taxation laws.
iv. Deferred tax asset is recognized and carried forward to the extent
that there is a reasonable certainty of realization. In the case of
unabsorbed depreciation and carry forward tax losses deferred tax asset
is recognized, to the extent there is virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
K. IMPAIRMENT OF ASSETS
Impairment loss is recognized wherever the carrying amount of an asset
is in excess of its recoverable amount and the same is recognized as an
expense in the statement of profit and loss account and carrying amount
of the asset is reduced to its recoverable amount. Post impairment,
depreciation is provided on the revised carrying value of the asset
over its remaining useful life. Reversal of impairment losses
recognized in prior years is recorded when there is an indication that
the impairment losses recognized for the asset no longer exist or have
decreased.
L. PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions are recognized for liabilities that can be measured by using
a substantial degree of estimation, if
i. the Company has a present obligation as a result of a past event,
ii. a probable outflow of resources is expected to settle the
obligation and
iii. the amount of the obligation can be reliably estimated.
Contingent Liability is disclosed in the case of
i. a present obligation arising from the past event, when it is not
probable that an outflow of resources will be required to settle the
obligation.
ii. a possible obligation, unless the probability of outflow of
resources is remote.
Contingent Assets are neither recognized nor disclosed.
Provisions, Contingent liabilities and Contingent assets are reviewed
at each Balance Sheet date.
M. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
N. SEGMENT POLICIES
The Company''s reporting segments are identified based on
activities/products, risk and reward structure, organization structure
and internal reporting systems.
O. INVESTMENTS
Investments intended to be held for more than a year are classified as
long term investments. All other investments are classified as current
investments. Current investments are stated at lower of cost and
market/fair value. Long term investments are stated at cost. Decline in
value of long term investments is recognized, if considered other than
temporary.
P. BORROWING COSTS
Borrowing costs directly attributable to the acquisition, construction
or production of an asset that necessarily takes a substantial period
of time to get ready for its intended use or sale are capitalized as
part of the cost of the respective asset. All other borrowing costs
are expensed in the period they occur. Borrowing costs consist of
interest and other costs that an entity incurs in connection with the
borrowing of funds.
(iii) Terms / Rights attached to Equity Shares
The company has only one class of Equity Shares having a par value of
Rs.10/= each. Each holder is entitled to one vote per share if fully
paid up. No dividend is proposed by the Board of Directors in the
ensuing Annual General Meeting. In the event of liquidation of the
company, the holder of Equity Shares will be entitled to receive
remaining assets of the company after distribution of all preferential
amounts. The distribution will be in proportion to the number of Equity
Shares held and amount paid per share.
Mar 31, 2013
A. BASIS OF PREPARATION
The financial statements have been prepared to comply in all material
respects with the Accounting Standards notified by Companies
(Accounting Standards) Rules, 2006 and the relevant provisions of the
Companies Act, 1956. The financial statements have been prepared under
the historical cost convention on an accrual basis except as stated
otherwise. The accounting policies have been consistently applied by
the Company and are consistent with those used in the previous year.
B. USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent liabilities at the date of the
financial statements and the results of operations during the reporting
period. Although these estimates are based upon management''s best
knowledge of current events and actions, actual results could differ
from these estimates. Difference between the actual result and
estimates are recognised in the period in which the results are known /
materialized.
C. FIXED ASSETS
i. Fixed Assets are stated at historical cost less depreciation. The
cost comprises directly attributable costs such as j freight, insurance
and specific installation charges for bringing the assets to their
working condition for intended use. Intangible Assets are recognized
on the basis of recognition criteria as set out in Accounting Standard
26 "Intangible Assets".
D. DEPRECIATION
Depreciation is provided on the basis of Straight Line Method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
E. INVENTORIES
i. Finished Goods are valued at cost or net realizable value whichever
is lower. ii. Raw materials are valued at lower of cost or net
realizable value. Hi. By products are valued at estimated realizable
price. iv. Stores and Spare parts are valued at/or under cost.
Cost for the purpose of inventory valuation is computed on FIFO (First
In First Out) basis.
F. REVENUE RECOGINTION
i. Revenue is recognized on mercantile basis except for
claims/insurance claims, which are accounted for on I ascertainment
basis in view of uncertainty involved in determining the final amount.
ii. Interest income on fixed deposit with bank is recognized on time
proportion basis taking into account the amount outstanding and the
rate applicable. iii. Dividend income from investments is recognized
when the Company''s right to receive payment is established. G
SUBSIDIES ! State subsidies are accounted for on receipt basis.
H. RETIREMENT BENEFITS
i. GRATUITY
Provision for Gratuity in the nature of defined benefit obligation is
considered on the basis of revised Accounting Standard -15 on actuarial
valuation. The discount rate and other actuarial assumptions are based
on the parameters defined in the Accounting Standard. ii. PROVIDENT
FUND Company''s contribution to the Provident Fund in the nature of
Defined Contribution Plan is being charged to Statement of Profit &
Loss in the year in which services are rendered by the employees.
iii. LEAVE ENCASHMENT Short term benefits are provided for on accrual
basis on the basis of management estimates.
I. TAXES ON INCOME
Income tax expense is accounted for in accordance with AS-22,
"Accounting for Taxes on Income", as stated below: i. Provision for
current tax is made based on taxable income for the year computed in
accordance with provisions of the Income Tax Act, 1961.
ii. Deferred tax is recognized, subject to the consideration of
prudence, on timing differences, being the difference between taxable
income and accounting income that originate in one period and are
capable of reversal in one or more subsequent periods.
iii. Deferred tax is measured based on the tax rates and the tax laws
enacted or substantively enacted at the balance sheet date. Deferred
tax assets and deferred tax liabilities are offset, if a legally
enforceable right exists to set off current tax assets against current
tax liabilities and the deferred tax assets and deferred tax
liabilities relate to the taxes on income levied by same governing
taxation laws.
iv. Deferred tax asset is recognized and carried forward to the extent
that there is a reasonable certainty of realization. In the case of
unabsorbed depreciation and carry forward tax losses deferred tax asset
is recognized, to the extent there is virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
J. IMPAIRMENT OF ASSETS
Impairment loss is recognized wherever the carrying amount of an asset
is in excess of its recoverable amount and the same is recognized as an
expense in the statement of profit and loss and carrying amount of the
asset is reduced to its recoverable amount. Post impairment,
depreciation is provided on the revised carrying value of the asset
over its remaining useful life. Reversal of impairment losses
recognized in prior years is recorded when there is an indication that
the impairment losses recognized for the asset no longer exist or have
decreased. K. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares. L.
SEGMENT POLICIES
The Company''s reporting segments are identified based on
activities/products, risk and reward structure, organization structure
and internal reporting systems. M. INVESTMENTS
Investments intended to be held for more than a year are classified as
long term investments. All other investments are classified as current
investments. Current investments are stated at lower of cost and
market/fair value. Long term investments are stated at cost. Decline in
value of long term investments is recognized, if considered other than
temporary. N. BORROWING COSTS
Borrowing costs directly attributable to the acquisition, construction
or production of an asset that necessarily takes a substantial period
of time to get ready for its intended use or sale are capitalized as
part of the cost of the respective asset. All other borrowing costs are
expensed in the period they occur. Borrowing costs consist of interest
and other costs that an entity incurs in connection with the borrowing
of funds. O. PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions are recognized for liabilities that can be measured by using
a substantial degree of estimation, if
i. the Company has a present obligation as a result of a past event,
ii. a probable outflow of resources is expected to settle the
obligation and
iii. the amount of the obligation can be reliably estimated.
Contingent Liability is disclosed in the case of i. a present
obligation arising from the past event, when it is not probable that an
utflow of resources will be required to settle the obligation. ii. a
possible obligation, unless the probability of outflow of resources is
remote. Contingent Assets are neither recognized nor disclosed.
Provisions, Contingent liabilities and Contingent assets are reviewed
at each Balance Sheet date. P. CASH AND CASH EQUIVALENTS Cash and cash
equivalents comprise cash at bank and in hand and short term
investments with an original maturity of three months or less.
Mar 31, 2012
A. BASIS OF PREPARATION
The financial statements have been prepared to comply in all material
respects with the Accounting Standards notified by Companies
(Accounting Standards) Rules, 2006 and the relevant provisions of the
Companies Act, 1956. The financial statements have been prepared under
the historical cost convention on an accrual basis except as stated
otherwise. The accounting policies have been consistently applied by
the Company and are consistent with those used Ih the previous year.
B. USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent liabilities at the date of the
financial statements and the results of operations during the reporting
period. Although these estimates are based upon management's best
knowledge of current events and actions, actual results could differ
from these estimates. Difference between the actual result and
estimates are recognised in the period in which the results are known /
materialized.
C. PRESENTATION AND DISCLOSURE OF FINANCIAL STATEMENTS
During the year ended March 31, 2012, the revised schedule VI notified
under the Companies Act 1956, has become applicable to the Company, for
preparation and presentation of its financial statements. The adoption
of revised schedule VI does not impact recognition and measurement
principles followed for preparation of financial statements. However,
it has significant impact on presentation and disclosures made in the
financial statements. The company has also reclassified the previous
year figures in accordance with the requirements applicable in the
current year.
D. FIXED ASSETS
i. Fixed Assets are stated at historical cost less depreciation. The
cost comprises directly attributable costs such as freight, insurance
and specific installation charges for bringing the assets to their
working condition for intended use.
ii. Intangible Assets are recognized on the basis of recognition
criteria as set out in Accounting Standard AS-26 "Intangible
Assets".
E DEPRECIATION
Depreciation is provided on the basis of Straight Line Method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
F. INVENTORIES
i. Finished Goods are valued at cost or net realizable value whichever
is lower.
ii. Raw materials are valued at lower of cost or net realizable value
(NRV).
iii. By products are valued at estimated realizable price.
iv. Stores and Spare parts are valued at/or under cost.
Cost for the purpose of inventory valuation is computed on FiFO (First
In First Out) basis.
G. REVENUE RECOGINTION
Revenue is recognized on mercantile basis except for claims/insurance
claims, which are accounted for on ascertainment basis in view of
uncertainty involved in determining the final amount.
Interest income on fixed deposit with bank is recognized on time
proportion basis taking into account the amount outstanding and the
rate applicable.
Dividend income from investments is recognized when the Company's right
to receive payment is established.
H. CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash at bank and in hand and short
term investments with an original maturity of three months or less.
I. SUBSIDIES
State subsidies are accounted for on receipt basis.
J. RETIREMENT BENEFITS
i. GRATUITY
Provision for Gratuity in the nature of defined benefit obligation is
considered on the basis of revised Accounting Standard (AS-15) on
actuarial valuation. The discount rate and other actuarial assumptions
are based on the parameters defined in the Accounting Standard.
ii. PROVIDENT FUND
Company's contribution to the Provident Fund in the nature of Defined
Contribution Plan is being charged to Statement of Profit & Loss
Account in the year in which services are rendered by the employees.
iii. LEAVE ENCASHMENT
Short term benefits are provided for on accrual basis on the basis of
management estimates.
K. TAXES ON INCOME
Income tax expense is accounted for in accordance with AS-22,
"Accounting for Taxes on Income", as stated below:
i. Provision for current tax is made based on taxable income for the
year computed in accordance with provisions of the Income Tax Act,
1961.
ii. Deferred tax is recognized, subject to the consideration of
prudence, on timing differences, being the difference between taxable
income and accounting income that originate in one period and are
capable of reversal In one or more subsequent periods.
iii. Deferred tax is measured based on the tax rates and the tax laws
enacted or substantively enacted at the balance sheet date. Deferred
tax assets and deferred tax liabilities are offset, if a legally
enforceable right exists to set off current tax assets against current
tax liabilities and the deferred tax assets and deferred tax
liabilities relate to the taxes on income levied by same governing
taxation laws.
Deferred tax asset is recognized and carried forward to the extent that
there is a reasonable certainty of realization. In the case of
unabsorbed depreciation and carry forward tax losses deferred tax asset
is recognized, to the extent there is virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
L. IMPAIRMENT OF ASSETS
Impairment loss is recognized wherever the carrying amount of an asset
is in excess of its recoverable amount and the same is recognized as an
expense in the statement of profit and loss account and carrying amount
of the asset is reduced to its recoverable amount. Post impairment,
depreciation is provided on the revised carrying value of the asset
over its remaining useful life. Reversal of impairment losses
recognized in prior years is recorded when there is an indication that
the impairment losses recognized for the asset no longer exist or have
decreased.
M. PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions are recognized for liabilities that can be measured by using
a substantial degree of estimation, if
i. the Company has a present obligation as a result of a past event,
ii. a probable outflow of resources is expected to settle the
obligation and
iii. the amount of the obligation can be reliably estimated.
Contingent Liability is disclosed in the case of
i. a present obligation arising from the past event, when it is not
probable that an outflow of resources will be required to settle the
obligation.
ii. a possible obligation, unless the probability of outflow of
resources is remote.
Contingent Assets are neither recognized nor disclosed.
Provisions, Contingent liabilities and Contingent assets are reviewed
at each Balance Sheet date.
N. EARNINGS PER SHARE
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
O. SEGMENT POLICIES
The Company's reporting segments are identified based on
activities/products, risk and reward structure, organization structure
and internal reporting systems.
P. INVESTMENTS
Investments intended to be held for more than a year are classified as
long term investments. All other investments are classified as current
investments. Current investments are stated at lower of cost and
market/fair value. Long term investments are stated at cost Decline in
value of long term investments is recognized, if considered other than
temporary,
R. BORROWING COSTS
Borrowing costs directly attributable to the acquisition, construction
or production of an asset that necessarily takes a substantial period
of time to get ready for its intended use or sale are capitalized as
part of the cost of the respective asset All other borrowing costs are
expensed in the period they occur. Borrowing costs consist of interest
and other costs that an entity incurs in connection with the borrowing
of funds.
Mar 31, 2010
I. General
The accounts have been drawn up on historical cost convention and on
the basis of applicable Accounting standards as notified under the
Companies (Accounting Standards) Rules, 2006 and disclosure
requirements of Schedule V! of the Companies Act. 1956.
ii Fixed Assets
Fixed Assets are stated at historical cost less depreciation. The cost
comprises directly attributable costs such as freight, insurance and
specific installation charges for bringing the assets to their working
condition for intended use.
iii Depreciation
Depreciation is provided on the basis of straight-line method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
iv Inventory
a. Finished Goods are valued at cost or market value whichever is
lower.
b. Raw materials are valued at lower of cost or net realisable value.
c. By-Products are vaiued at estimated realisable price.
d. Stores and Spare parts are valued at or under cost.
Cost for the purpose of inventory valuation is computed on weighted
average basis. v Revenue Recognition Revenue is recognised on
mercantile basis including marine insurance except for claims /
insurance claims, which are accounted for on ascertainment basis in
view of uncertainty involved in determining the final amount.
vi Subsidies
State Subsidies are accounted for on receipt basis,
vii Retirement Benefits and leave encashment
a. Gratuity- Provision for Gratuity in the nature of defined benefit
obligation is considered on the basis of revised Accounting Standard
(AS-15) on actuarial valuation. The discount rate and other actuarial
assumptions are based on the paramenters defined in the Accounting
Standared.
b. Provident Fund - Companys contribution to the Provident Fund in
the nature of Defined Contribution Plan are being charged to the Profit
& Loss Account in the year in which services are rendered by the
employees.
C. Leave Encashment - Short term benefits are provided for on accrual
basis on the basis of Management estimates.
viii Income Tax Provision of current income tax is made considering
various allowances and benefits available to the company under the
provisions of income tax laws. In pursuance of Accounting Standard AS -
22 Accounting for Taxes on Income, deferred tax is recognized on
timing difference arising between book income and taxable income to the
extent such timing differences are capable of reversal in one or more
subsequent periods. Deferred Tax Asset on account of unabsorbed losses
and depreciation are recog- nized only to the extent thai there is a
virtual certainty of sufficient future taxable income available to
realize such assets.
ix Intangible Assets
Intangible Assets are recognised on the basis of recognition criteria
as set out in Accounting Standard AS -26 Intangible Assets issued by
the Institute of Chartered Accountants of India.
x Impairment of Assets
Impairment loss is recognized wherever the carrying amount of an asset
is in excess of its recoverable amount and the same is recognized as an
expense in the statement of profit and loss account and carrying amount
on the asset is reduced to its recoverable amount. Post impairment,
depreciation is provided on the revised carrying value of the asset
over its remaining useful life. Reversal of impairment losses
recognized in prior year is recorded when there is an indication that
the impairment losses recognized for the asset no longer exist or have
decreased.
xi Provisions, Contingent Liabilities and Contingent Assets
Provisions are recognised for liabilities that can be measured by using
a substantial degree of estimation, if
a) the Company has a present obligation as a result of a past event,
b) a probable outflow of resources is expected to settle the obligation
and
c) the amount of the obligation can be reliably estimated.
Contingent Liability is disclosed in the case of
a) a present obligation arising from the past event, when it is not
probable that an outflow of resources will be required to settle the
obligation.
b) a possible obligation, unless the probability of outflow of
resources is remote.
Contingent Assets are neither recognised nor disclosed.
Provisions, Contingent liabilities and Contingent assets are reviewed
at each Balance Sheet date.
Mar 31, 2009
I. General
The accounts have been drawn up on historical cost convention and on
the basis of applicable accounting standards and disclosure
requirements of Schedule VI of the Companies Act. 1956.
ii Fixed Assets
Fixed Assets are stated at historical cost Jess depreciation.
iii Depreciation
Depreciation is provided on the basis of straight-line method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
iv Inventory
a. Finished Goods are valued at cost or market value whichever is
lower.
b. Raw materials are valued at lower of cost or net realisable value.
c. By-Products are valued at estimated realisable price.
d. Stores and Spare parts are valued at or under cost.
v Revenue Recognition
Revenue is recognised on mercantile basis including marine insurance
except for claims / insurance claims, which are accounted for on
ascertainment basis.
vi Subsidies
State Subsidies are accounted for on receipt basis.
vii Retirement Benefits and leave encashment
a. Gratuity- Provision for Gratuity in the nature of defined benefit
obligation is considered on the basis of revised Accounting Standard
(AS-15) on actuarial valuation. The discount rate and other actuarial
assumptions are based on the paramenters defined in the Accounting
Standared.
b. Provident Fund - Companys contribution to the Provident Fund in the
nature of Defined Contribution Plan are being charged to the Profit &
Loss Account.
C. Leave with Wages- Short term benefits are provided for on accrual
basis on the basis of Management estimates.
viii Income Tax
Provision of current income tax is made considering various allowances
and benefits available to the company under the provisions of income
tax laws. In pursuance of Accounting Standard AS - 22 Accounting for
Taxes on Income issued by the Institute of Chartered Accounts of
India, deferred tax is recognised on timing differences arising between
book income and taxable income to the extent such timing differences
are capable of reversal in one or more subsequent periods. Deferred tax
assets on account of unabsorbed taxes and depreciation are recognised
only to the extent that there is a virtual certainty of sufficient
future taxable income available to realise such assets.
ix Miscellaneous Expenditure
Share issue expenses and preliminary expenses are written off over ten
years.
x Intangible Assets
Intangible Assets are recognised on the basis of recognition criteria
as set out in Accounting Standard AS -26 Intangible Assets issued by
the Institute of Chartered Accountants of India!
xi Impairment of Assets
Impairment loss is recognized wherever the carrying amount of an asset
is- in excess of its recoverable amount and the same is recognized as
an. expense in the statement of profit and loss account and carrying
amount on the asset is reduced to its recoverable amount. Post
impairment, depreciation is provided on the revised carrying value of
the asset over its remaining useful life. Reversal" of impairment
losses recognized in prior year is recorded when there is an indication
that the impairment losses recognized for the asset no. longer exist or
have decreased.
xii Contingent Liabilities
Contingent Liabilities, if material are disclosed by way of notes.
Mar 31, 2004
I. General
The accounts have been drawn upon historical cost convention and on the
basis of applicable accounting standards and disclosure requirements of
Schedule VI of the Companies Act, 1956.
ii. Fixed Assets
Fixed Assets are stated at historical cost less depreciation.
iii. Depreciation
Depreciation is provided on the basis of straight-line method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
iv. Inventory
a. Finished Goods are valued at cost or market value whichever is
lower.
b. Raw materials are valued at lower of cost or net realisable value.
c. By-Products are valued at estimated realisable price.
d. Stores and spare parts are valued at or under cost.
v. Revenue Recognition
Revenue is recognised on mercantile basis except for claims/ insurance
claims, which are accounted for on ascertainment basis.
vi. Subsidies
State Subsidies are accounted for on receipt basis.
vii. Retirement Benefits
Provision for gratuity are accounted as per AS-15 on accrual basis.
viii. Income Tax
Provision of current income tax is made considering various allowances
and benefits available to the company under the provisions of income
tax laws. In pursuance of Accounting Standard AS-22 Accounting for
Taxes on Income issued by the Institute of Chartered Accountants of
India, deferred tax is recognised on timing differences arising between
book income and taxable income to the extent such timing differences
are capable of reversal in one or more subsequent periods. Deferred tax
assets on account of unabsorbed taxes and depreciation are recognised
only to the extent that there is a virtual certainty of sufficient
future taxable income available to realise such assets.
ix. Miscellaneous Expenditure
Share issue expenses and preliminary expenses are written off over ten
years.
Mar 31, 2003
I. General
The accounts have been drawn upon historical cost convention and on the
basis of applicable accounting standards and disclosure requirements of
Schedule VI of the Companies Act, 1956.
ii. Fixed Assets
Fixed Assets are stated at historical cost less depreciation.
iii. Depreciation
Depreciation is provided on the basis of straight-line method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956.
iv. Inventory Valuation
a. Finished Goods are valued at cost or market value whichever is
lower.
b. Raw materials are valued at lower of cost or net realisable value.
c. Stores and spare parts are valued at or under cost.
d. By-Products are valued at estimated realisable price.
v. Revenue Recognition
Revenue is recognised on mercantile basis except for claims/ insurance
claims, which are accounted for on ascertainment basis.
vi. Subsidies
State Subsidies are accounted for on receipt basis.
vii. Retirement Benefits
Provision for gratuity is made on accrual basis.
viii. Taxes on Income
Provision of current income tax is made considering various allowances
and benefits available to the company under the provisions of income
tax laws. In pursuance of Accounting Standard AS-22 Accounting for
Taxes on Income issued by the Institute of Chartered Accountants of
India, deferred tax is recognised on timing differences arising between
book income and taxable income to the extent such timing differences
are capable of reversal in one or more subsequent periods. Deferred tax
assets on account of unabsorbed taxes and depreciation are recognised
only to the extent that there is a virtual certainty of sufficient
future taxable income available to realise such assets.
ix. Miscellaneous Expenditure
Share issue expenses and preliminary expenses are written off over ten
years.
Mar 31, 2002
I. General
The accounts have been drawn upon historical cost convention and on the
basis of applicable accounting standards and disclosure requirements of
Schedule VI of the Companies Act, 1956.
ii. Fixed Assets
Fixed Assets are stated at historical cost less depreciation.
iii. Depreciation
Depreciation is provided on the basis of straight-line method as per
the rates and in the manner prescribed in Schedule XIV of the Companies
Act, 1956. iv. Inventory Valuation
a. Finished Goods are valued at cost or market value whichever is
lower.
b. Raw materials are valued at lower of cost or net realisable value.
c. Stores and spare parts are valued at or under cost.
d. By-Products are valued at estimated realisable price.
v. Revenue Recognition
Revenue is recognised on mercantile basis except for claims/ insurance
claims, which are accounted for on ascertainment basis.
vi. Subsidies
State Subsidies are accounted for on receipt basis.
vii. Taxes on Income
Provision of current income tax is made considering various allowances
and benefits available to the company under the provisions of income
tax laws.
In pursuance of Accounting Standard AS-22 Accounting for Taxes on
Income issued by the Institute of Chartered Accountants of India,
deferred tax is recognised on timing differences arising between book
income and taxable income to the extent such timing differences are
capable of reversal in one or more subsequent periods. Deferred tax
assets on account of unabsorbed taxes and depreciation are recognised
only to the extent that there is a virtual certainty of sufficient
future taxable income available to realise such assets.
viiil. Miscellaneous Expenditure
Share issue expenses and preliminary expenses are written off over ten
years.