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Accounting Policies of Silicon Valley Infotech Ltd. Company

Mar 31, 2015

Note - 1

A. Basis of Preparation of Financial Statement

The financial statements are prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and the provisions of the Companies Act, 2013.

B. Use of Estimates

The preparation of financial statements requires estimates and assumptions to be made 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. Differences between the actual results and estimates are recognised in the period in which the results are known /materialised.

C. Own fixed assets

Fixed Assets are stated at cost less accumulated depreciation and impairment, if any. Direct costs are capitalized until fixed assets are ready for use. Capital work-in-progress comprises the cost of fixed assets that are not yet ready for their intended use at the reporting date.

D. Depreciation and amortization

Depreciation on fixed assets is provided on the written down value method over the useful lives of assets estimated by the Management at the rates and in the manner prescribed in Schedule II of Companies Act, 2013.

E. Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Dividend income is recognized when right to receive is established. Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable. Depreciation for assets purchased/sold during a period is proportionately charged.

F. Impairment of Assets

An assets is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

G. Investments

Current investments are carried at lower of cost and quoted/fair value computed category wise. Long Term Investments are stated at cost. Provision for diminution in the value of long term investments is made only if such a decline is other than temporary.

H. Inventories

Items of inventories are measured at lower of cost and net realisable value after providing for obsolescence, if any. Cost of inventories comprises cost of purchase, cost of conversion and other costs including manufacturing overheads incurred in bringing them to their respective present location and condition. Cost of raw materials, stores and spares, packing materials, trading and other products are determined on weighted average basis. By-products are valued at net realisable value.

I. Employee Benefits

Short term employee benefits are recognised 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 recognised as an expense in the Profit and Loss account for the year in which the employee has rendered services.

J. Provision for Current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income Tax Act, 1961. Deferred tax resulting from "timing difference" between taxable and accounting income is accounted for using the tax rates and laws that enacted or substantively enacted as on the balance sheet date. Deferred tax assets is recognized and carried forward only to the extent that there is a virtual certainty that the asset will be realised in future.

K. Provisions, Contingent Liabilities and Contingent Assets

Provision 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. Contingents Assets are neither recognized nor disclosed in the financial statements.

L. Previous year's figures have been regrouped and rearranged, wherever necessary.




Mar 31, 2014

Note -1

A. Basis of Preparation of Financial Statement

The financial statements are prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and the provisions of the Companies Act, 1956.

B. Use of Estimates

The preparation of financial statements requires estimates and assumptions to be made 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. Differences between the actual results and estimates are recognised in the period in which the results are known /materialised.

C. Own fixed assets

Fixed Assets are stated at cost less accumulated depreciation and impairment, if any. Direct costs are capitalized until fixed assets are ready for use. Capital work-in-progress comprises the cost of fixed assets that are not yet ready for their intended use at the reporting date.

D. Depreciation and amortization

Depreciation on fixed assets is provided on the written down value method over the useful lives of assets estimated by the Management at the rates and in the manner prescribed in Schedule XIV ofthe Companies Act, 1956.

E. Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Dividend income is recognized when right to receive is established. Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable. Depreciation for assets purchased/sold during a period is proportionately charged.

F. Impairmentof Assets

An assets is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

G. Investments

Current investments are carried at lower of cost and quoted/fair value computed category wise. Long Term Investments are stated at cost. Provision for diminution in the value of long term investments is made only if such a decline is other than temporary.

H. Inventories

Items of inventories are measured at lower of cost and net realisable value after providing for obsolescence, if any. Cost of inventories comprises cost of purchase, cost of conversion and other costs including manufacturing overheads incurred in bringing them to their respective present location and condition. Cost of raw materials, stores and spares, packing materials, trading and other products are determined on weighted average basis. By-products are valued at net realisable value.

I. Employee Benefits

Short term employee benefits are recognised 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 recognised as an expense in the Profit and Loss account for the year in which the employee has rendered services.

J. Provision for Current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions ofthe Income Tax Act, 1961. Deferred tax resulting from "timing difference" between taxable and accounting income is accounted for using the tax rates and laws that enacted or substantively enacted as on the balance sheet date. Deferred tax assets is recognized and carried forward only to the extent that there is a virtual certainty that the asset will be realised in future.

K. Provisions, Contingent Liabilities and Contingent Assets

Provision 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. Contingents Assets are neither recognized nor disclosed inthe financial statements.

L. Previous year''s figures have been regrouped and rearranged.


Mar 31, 2013

A. Basis of Preparation of Financial Statement

The financial statements are prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and the provisions of the Companies Act, 1956.

B. Use of Estimates

The preparation of financial statements requires estimates and assumptions to be made 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. Differences between the actual results and estimates are recognjsed in the period in which the results are known/materialised.

C. Own Fixed Assets

Fixed Assets are stated at cost less accumulated depreciation and impairment, if any. Direct Costs are capitalised until fixed assets are ready for use. Capital work-in-progress comprises the cost of fixed assets that are not yet ready for their intended use at the reporting date.

D. Depreciation and Amortisation

Depreciation on fixed assets is provided on the written down value method over the useful lives of assets estimated by the Management at the rates and in the manner prescribed in Schedule XIV of the Companies Act, 1956.

E. Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Dividend income is recognized when right to receive is established. Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable. Depreciation for assets purchased/sold during a period is proportionately charged.

F. Impairment of Assets

As assets is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

G. Investments

Current investments are carried at lower of cost and quoted/fair value computed category wise. Long Term Investments are stated at cost. Provision for dimunition in the value of long term investments is made only if such a decline is other than temporary.

H. Inventories

Items of inventories are measured at lower of cost and net realisable value after providing for obsolescence, if any. Cost of inventories comprises cost of purchase, cost of conversion and other costs including manufacturing overheads incurred in bringing them to their respective present location and condition. Cost of raw materials, stores and spates, packing materials trading and other products are determined on weighted average basis. By-products are value at net realisable value.

I. Employee Benefits

Short term employee benefits ars recognised as an expense at trie undiscounted amount in the Profit and Loss Account of the year in which the related servis rendered. Post employment and other long term employee benefits are recognised as an expense in the Profit and Loss Account for the year in which the employee has rendered services.

J. Provision for Current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions of Income Tax Act, 1961. Deferred Tax resulting from "timing difference" between taxable and acounting income is accounted for using the tax rates and laws that enacted or substantially enacted as on the balance sheet date. Deferred tax assets is recognized and carried forward only to the extent that there is a virtual certainity that the asset will be realised in future.

K. Provisions, 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 recognised nor disclosed in the financial statements.


Mar 31, 2012

A. Basis of Preparation of Financial Statement

The financial statements are prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and the provisions of the Companies Act, 1956.

B. Use of Estimates

The preparation of financial statements requires estimates and assumptions to be made 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. Differences between the actual results and estimates are recognised in the period in which the results are known/materialised.

C. Own Fixed Assets

Fixed Assets are stated at cost less accumulated depreciation and impairment, if any. Direct Costs are capitalised until fixed assets are ready for use.Capital work-in-progress comprises the cost of fixed assets that are not yet ready for their intended use at the reporting date.

D. Depreciation and Amortisation

Depreciation on fixed assets is provided on the written down value method over the useful lives of assets estimated by the Managementat the rates and in the manner prescribed in Schedule XIV of the Companies Act, 1956.

E. Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Dividend income is recognized when right to receive is established. Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable. Depreciation for assets purchased/sold during a period is proportionately charged.

F. Impairment of Assets

As assets is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

G. Investments

Current investmentsare carried at lower of cost and quoted/fair value computed category wise. Long Term Investments are stated at cost. Provision for dimunition in the value of long term investments is made only if such a decline is other than temporary.

H. Inventories

Items of inventories are measured at lower of cost and net realisable value after providing for obsolescence, if any. Cost of inventories comprises cost of purchase, cost of conversion and other costs including manufacturing overheads incurred in bringing them to their respective present location and condition. Cost of raw materials, stores and spares, packing materials trading and other products are determined on weighted average basis. By-products are value at net realisable value.

I. Employee Benefits

Short term employee benefits are recognised as an expense at the undiscounted amountin the Profit and Loss Account of the year in which the related servis rendered. Post employment and other long term employee benefits are recognised as an expense in the Profit and Loss Account for the year in which the employee has rendered services. t

J. Provision for Current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions

of Income Tax Act,1961. Deferred Tax resulting from "timing difference" between taxable and acounting income is accounted for using the tax rates and laws that enacted or substantially enacted as on the balance sheet date. Deferred tax assets is recognized and carried forward only to the extent that there is a virtual certainity that the asset will be realised in future.

K. Provisions, 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 recognised nor disclosed in the financial statements.


Mar 31, 2011

A. BASIS OF ACCOUNTING:

The Financial Statements have been prepared under the Historical Cost Convention and one on accrual basis.

B. INCOME RECOGNITION :

All revenues/incomes except Dividend, Interest on Debentures are recognised on accrual basis of accounting.

C. PRINCIPAL ACCOUNTING POLICIES:

Accounting Policies, unless specifically stated to be otherwise, are consistent and are in conso- nance with generally accepted accounting principles. ,

D. GRATUITY:

The Company has taken Group Gratuity Policy from LIC of India for its employees and contribution paid during the year has been charged to Profit & Loss Account.

E. STOCK IN TRADE:

Stock in Trade are valued at lower of Cost and Market Value.

F. FIXED ASSETS :

Fixed Assets are stated at cost of acquisition less depreciation.

G. DEPRECIATION:

Depreciation has been provided on Straight Line Method at the rates prescribed in Schedule XIV to the Companies Act, 1956.

H. CONTINGENT LIABILITIES;

Contingent liabilities are generally not provided for in the books of accounts and are seperately shown in the Notes on Accounts.


Mar 31, 2010

A. BASIS OF ACCOUNTING:

The Financial Statements have been prepared under Historcal Cost Convention and one of accrual basis.

B. INCOME RECOGNITION:

All revenuss/income except Dicidend, Interest on Debantures are recognised on acconral basis of accounting.

C. PRINCIPAL ACCOUNTING POLICIES:

Accounting Poticies, unless specificalty stated to be otherwise, are consistant and are in consonance with generally accepted accounting principle.

D. GRATUTY:

The Company has taken Group Gratuity Policy from LIC of India for its emplouees and contribution paid during the year has been charged to Profit & Loss Account.

E. STOCK IN TRADE:

Stock in Trade are valued at lower of Cost and Market value.

F. FIXED ASSETS:

Fixed Assets are stated at cost of exquisition less depreciation.

G. DEPRECIATION:

Depreciatiom has been provided on Straight Line Mathod at the rates prascribed in Schedule XIV to the Companies Act, 1958. Excapt Power Projects on which no Depraciation has been charged.

H. CONTINGENT LIABILITIES:

Contingent liablities are generally not provided for in the books of accounts and are seperaley shown in the Notes on Accounts.

 
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