Mar 31, 2015
Accounting Convention
The financial statement are prepared under the historical cost
convention on the "Accrual Concept" of accountancy in accordance with
the accounting principles generally accepted in India and comply with
the accounting standards issued by the institute of Chartered
Accountants of India to the extent applicable and with the relevant
provisions of the Companies Act, 2013.
Use of Estimates
The preparation of financial statements requires management to make
estimates and assumptions that affect the reported amount of assets and
liabilities on the date of the financial statement and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual results and estimates are recognized in the period
in witch results are known/materialized.
Fixed Assets
Fixed assets are stated at cost less accumulated depreciation and
impairment losses, if any. Cost comprises of all expenses incurred to
bring the assets to its present location and condition. Borrowing cost
directly attributable to the acquisition /construction are included in
the cost of fixed assets. Adjustments arising from exchange rate
variations attributable to the fixed assets are capitalized.
In case of new projects / expansion of existing projects, expenditure
incurred during construction / preoperative period including interest
and finance charge on specific / general purpose loans, prior to
commencement of commercial production are capitalized. The same are
allocated to the respective fixed assets on completion of construction
/ erection of the capital project / fixed assets.
Capital assets (including expenditure incurred during the construction
period) under erection / installation are stated in the Balance Sheet
as "Capital Work in Progress."
Impairment of Assets
At each balance sheet date, the Company reviews the carrying amount of
its fixed assets to determine whether there is any indication that
those assets suffered an impairment loss. If any such indication
exists, the recoverable amount of the assets is estimated in order to
determine the extent of impairment loss. Recoverable amount is the
higher of an asset's net selling price and value in use. In assessing
value in use, the estimated future cash flows expected from the
continuing use of the assets and from its disposal are discounted to
their present value using a pre-tax discount rate that reflects the
current market assessments of time value of money and the risks
specific to the assets.
Depreciation
All fixed assets, except capital work in progress, are depreciated on a
written down value method. Depreciation is provided based on useful
life of the assets as prescribed in Schedule II to the Companies Act,
2013. Depreciation on additions to / deletions from fixed assets made
during the period is provided on pro-rata basis from / up to the date
of such addition / deletion as the case may be.
Investments
Long term investments are stated at cost. Current investments are
stated at lower of cost and market price. Provision for diminution in
the value of long term investments is made only if such a decline is
other than temporary in the opinion of the management.
Inventories
Inventories are measured at lower of cost and net realizable value.
Cost of raw materials, stores & spares parts are ascertained on FIFO
basis. Cost of finished goods and process stock is ascertained on full
absorption cost basis. Cost of inventories comprises of cost of
purchase, cost of conversion and other costs incurred in bringing in
them to their present location & condition.
Revenue Recognition
Sales are recognized when goods are supplied. Sales are net of trade
discounts, rebates and vat. It does not include interdivisional sales.
Revenue in respect of other items is recognized when no significant
uncertainty as to its determination or realization exists.
Borrowing Cost
Borrowing cost that are attributable to the acquisition, construction
or production of qualifying assets are capitalized as part of the cost
of such assets. A qualifying assets is one that necessarily takes a
substantial period of time to get ready for its intended use. All other
borrowing costs are charged to revenue.
Employee Benefits
Short - term employee benefits are recognized as an expense at the
undiscounted amount in the profit & loss account of the year in which
the related service is rendered.
Post employment and other long term employee benefits are recognized as
an expense in the profit & loss account for the year in which the
liabilities are crystallized
Taxes on Income
Income tax expenses for the year comprises of current tax and deferred
tax. Current tax provision is determined on the basis of taxable income
computed as per the provisions of the Income Tax Act. Deferred tax is
recognized for all timing differences that are capable of reversal in
one or more subsequent periods subject to conditions of prudence and by
applying tax rates that have been substantively enacted by the balance
sheet date.
Provision, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities are not recognized but are disclosed in the
notes.
Contingent assets are neither recognized nor disclosed in the financial
statements.
Mar 31, 2014
Accounting Convention
The financial statements are prepared under the historical cost
convention on the "Accrual Concept" of accountancy in accordance with
the accounting principles generally accepted in India and comply with
the accounting standards issued by the Institute of Chartered
Accountants of India to the extent applicable and with the relevant
provisions of the Companies Act, 1956.
Use of Estimates
The preparation of financial statements requires management to make
estimates and assumptions that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual results and estimates are recognized in the period
in which results are known / materialized.
Fixed Assets
The Gross Block of Fixed Assets are shown at the cost which indudes
taxes, duties (Net of Cenvat) and other identifiable direct expenses
and interest on borrowings attributable to acquisition of Fixed Assets
upto the date of Commissioning of the assets.
In case of new projects / expansion of existing projects, expenditure
incurred during construction / preoperative period including interest
and finance charges on specific / general purpose loans, prior to
commencement of commercial production are capitalized. The same has
been allocated to the respective Fixed assets on completion of
construction / erection of the capital project / fixed assets.
Capital assets (induding expenditure incurred during the construction
period) under erection / installation are stated in the Balance Sheet
as "Capital Work in Progress."
Impairment of Assets
At each balance sheet date, the Company reviews the carrying amounts of
its fixed assets to determine whether there is any indication that
those assets suffered an impairment loss. If any such indication
exists, the recoverable amount of the asset is estimated in order to
determine the extent of impairment loss. Recoverable amount is the
higher of an asset''s net selling price and value in use. In assessing
value in use, the estimated future cash flows expected from the
continuing use of the asset and from its disposal are discounted to
their present value using a pre-tax discount rate that reflects the
current market assessments of time value of money and the risks
specific to the asset.
Depreciation
The company has provided depreciation on fixed assets by written Down
valued at the rates specified in schedule XIV of The Companies Act,
1956. However depredation is taken for the whole month in which assets
is installed.
Depredation on additions to / deletions from fixed assets made during
the period is provided on pro-rata basis from / up to the month of such
addition / deletion as the case may be.
Investments
Long term investments are stated at cost. Current investments are
stated at lower of cost and market price. Provision for diminution in
the value of long term investments is made only if such a decline is
other than temporary in the opinion of the management.
Inventories
1) Grey Cloth, Colour & chemical, packing material are valued at cost.
2) Semi finish goods are valued at estimated cost as per ''Full
absorption basis'' in accordance with the revised Accounting Standard
- 2.
3) Finished goods are valued at cost or net realizable value, whichever
is less.
Due consideration is given to the saleability of the stock and no
obsolete or unserviceable/ damaged items included therein except at
their net realizable value.
Revenue Recognition
Sales are recognized when goods are supplied. Sales are net of trade
discounts, rebates and vat. It does not include interdivisional sales.
Revenue in respect of other item is recognized when no significant
uncertainty as to its determination or realization exists.
Borrowing Cost
Borrowing costs that are attributable to the acquisition, construction
or production of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes a
substantial period of time to get ready for its intended use. All other
borrowing costs are charged to revenue.
Employee Benefits
Short -term employee benefits are recognized as an expense at the
undiscounted amount in the profit and loss account of the year in which
the related service is rendered.
Post employment and other long term employee benefits are recognized as
an expense in the profit and loss account for the year in which the
employee has rendered services.
Taxes on Income
income tax expenses for the year comprises of current tax and deferred
tax. Current tax provision is determined on the basis of taxable income
computed as per the provisions of the Income Tax Act. Deferred tax is
recognized for all timing differences that are capable of reversal in
one or more subsequent periods subject to conditions of prudence and by
applying tax rates that have been substantively enacted by the balance
sheet date.
Provision, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities are not recognized but are disclosed in the
notes.
Contingent assets are neither recognized nor disclosed in the financial
statements.
Mar 31, 2010
Accounting Convention
The financial statements are prepared under the historical cost
convention on the "Accrual Concept" of accountancy in accordance with
the accounting principles generally accepted in India and comply with
the accounting standards issued by the Institute of Chartered
Accountants of India to the extent applicable and with the relevant
provisions of the Companies Act, 1956. Use of Estimates
The preparation of financial statements requires management to make
estimates and assumptions that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual results and estimates are recognized in the period
in which results are known / materialized.
Fixed Assets
The Gross Block of Fixed Assets are shown at the cost which includes
taxes, duties (Net of Cenvat) and other identifiable direct expenses
and interest on borrowings attributable to acquisition of Fixed Assets
upto the date of Commissioning of the assets.
In case of new projects / expansion of existing projects, expenditure
incurred during construction / preoperative period including interest
and finance charges on specific / general purpose loans, prior to
commencement of commercial production are capitalized. The same has
been allocated to the respective fixed assets on completion of
construction / erection of the capital project / fixed assets.
Capital assets (including expenditure incurred during the construction
period) under erection / installation are stated in the Balance Sheet
as "Capital Work in Progress."
Impairment of Assets
At each balance sheet date, the Company reviews the carrying amounts of
its fixed assets to , determine whether there is any indication that
those assets suffered an impairment loss. If any such indication
exists, the recoverable amount of the asset is estimated in order to
determine the extent of impairment loss. Recoverable amount is the
higher of an assets net selling price and value in use. In assessing
value in use, the estimated future cash flows expected from the
continuing use of the asset and from its disposal are discounted to
their present value using a pre-tax discount rate that reflects the
current market assessments of time value of money and the risks
specific to the asset.
Depreciation
The company has provided depreciation on fixed assets by written Down
valued at the rates specified in schedule XIV of The Companies Act,
1956. However depreciation is taken for the whole month in which assets
is installed.
Depreciation on additions to / deletions from fixed assets made during
the period is provided on pro- rata basis from / up to the month of
such addition / deletion as the case may be.
Investments
Long term investments are stated at cost. Current investments are
stated at lower of cost and market price. Provision for diminution in
the value of long term investments is made only if such a decline is
other than temporary in the opinion of the management.
Inventories
1) Grey Cloth, Colour & chemical, packing material are valued at cost.
2) Semi finish goods are valued at estimated cost as per "Full
absorption basis in accordance with the revised Accounting Standard -
2.
3) Finished goods are valued at cost or net realizable value, whichever
is less.
Due consideration is given to the saleability of the stock and no
obsolete or unserviceable /damaged items included therein except at
their net realizable value.
Revenue Recognition
Sales are recognized when goods are supplied. Sales are net of trade
discounts, rebates and vat. It does not include interdivisional sales.
Revenue in respect of other item is recognized when no significant
uncertainty as to its determination or realization exists.
Borrowing Cost
Borrowing costs that are attributable to the acquisition, construction
or production of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes a
substantial period of time to get ready for its intended use. All other
borrowing costs are charged to revenue.
Employee Benefits
Short -term employee benefits are recognized as an expense at the
undiscounted amount in the profit and loss account of the year in which
the related service is rendered.
Post employment and other long term employee benefits are recognized as
an expense in the profit and loss account for the year in which the
employee has rendered services.
Taxes on Income
Income tax expenses for the year comprises of current tax and deferred
tax. Current tax provision is determined on the basis of taxable income
computed as per the provisions of the Income Tax Act. Deferred tax is
recognized for all timing differences that are capable of reversal in
one or more subsequent periods subject to conditions of prudence and by
applying tax rates that have been substantively enacted by the balance
sheet date. Provision, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities are not recognized but are disclosed in the
notes.
Contingent assets are neither recognized nor disclosed in the financial
statements.
Mar 31, 2009
Accounting Convention
The financial statements are prepared under the historical cost
convention on the "Accrual Concept" of accountancy in accordance with
the accounting principles generally accepted in India and comply with
the accounting standards issued by the Institute of Chartered
Accountants of India to the extent applicable and with the relevant
provisions of the Companies Act, 1956.
Use of Estimates
The preparation of financial statements requires management to make
estimates and assumptions that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual results and estimates are recognized in the period
in which results are known / materialized.
Fixed Assets
The Gross Block of Fixed Assets are shown at the cost which includes
taxes, duties (Net of Cenvat) and other identifiable direct expenses
and interest on borrowings attributable to acquisition of Fixed Assets
upto the date of Commissioning of the assets.
In case of new projects / expansion of existing projects, expenditure
incurred during construction / preoperative period including interest
and finance charges on specific / general purpose loans, prior to
commencement of commercial production are capitalized. The same has
been allocated to the respective fixed assets on completion of
construction / erection of the capital project / fixed assets.
Capital assets (including expenditure incurred during the construction
period) under erection / installation are stated in the Balance Sheet
as "Capital Work in Progress."
Impairment of Assets
At each balance sheet date, the Company reviews the carrying amounts of
its fixed assets to determine whether there is any indication that
those assets suffered an impairment loss. If any such indication
exists, the recoverable amount of the asset is estimated in order to
determine the extent of impairment loss. Recoverable amount is the
higher of an assets net selling price and value in use. In assessing
value in use, the estimated future cash flows expected from the
continuing use of the asset and from its disposal are discounted to
their present value using a pre-tax discount rate that reflects the
current market assessments of time value of money and the risks
specific to the asset. Depreciation
The company has provided depreciation on fixed assets by written Down
valued at the rates specified in schedule XIV of The Companies Act,
1956. However depreciation is taken for the whole month in which assets
is installed.
Depreciation on additions to / deletions from fixed assets made during
the period is provided on pro- rata basis from / up to the month of
such addition / deletion as the case may be.
Investments
Long term investments are stated at cost. Current investments are
stated at lower of cost and market price. Provision for diminution in
the value of long term investments is made only if such a decline is
other than temporary in the opinion of the management.
Inventories
1) Grey Cloth, Colour & chemical, packing material are valued at cost.
2) Semi finish goods are valued at estimated cost as per "Full
absorption basis in accordance with the revised Accounting Standard -
2.
3) Finished goods are valued at cost or net realizable value, whichever
is less.
Due consideration is given to the saleability of the stock and no
obsolete or unserviceable /damaged items included therein except at
their net realizable value.
Revenue Recognition
Sales are recognized when goods are supplied. Sales are net of trade
discounts, rebates and vat. It does not include interdivisional sales.
Revenue in respect of other item is recognized when no significant
uncertainty as to its determination or realization exists.
Borrowing Cost
Borrowing costs that are attributable to the acquisition, construction
or production of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes a
substantial period of time to get ready for its intended use. All other
borrowing costs are charged to revenue.
Employee Benefits
Short -term employee benefits are recognized as an expense at the
undiscounted amount in the profit and loss account of the year in which
the related service is rendered.
Post employment and other long term employee benefits are recognized as
an expense in the profit and loss account for the year in which the
employee has rendered services.
Taxes on Income
Income tax expenses for the year comprises of current tax and deferred
tax. Current tax provision is determined on the basis of taxable income
computed as per the provisions of the Income Tax Act.
Deferred tax is recognized for all timing differences that are capable
of reversal in one or more subsequent periods subject to conditions of
prudence and by applying tax rates that have been substantively enacted
by the balance sheet date.
Provision, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities are not recognized but are disclosed in the
notes.
Contingent assets are neither recognized nor disclosed in the financial
statements.