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Accounting Policies of Softech Infinium Solutions Ltd. Company

Mar 31, 2014

A) Basis for preparation:

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 the financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues and expenses during the reporting period, reported balances of assets and liabilities, and disclosure of contingent liabilities as at the date of the financial statements. Actual results could differ from those estimates. Any revision to accounting estimates is recognized prospectively in current and future periods.

c) Earnings per share:

Basic earnings per share is computed by dividing net profit or loss for the period attributable to equity shareholders by the weighted average number of shares outstanding during the year. Diluted earnings per share amounts are computed after adjusting the effects of all dilutive potential equity shares. The number of shares used in computing diluted earnings per share comprises the weighted average number of shares considered for deriving basic earnings per share, and also the weighted average number of equity shares, which could have been issued on the conversion of all dilutive potential equity shares.

d) Provisions, contingent liability and contingent assets:

Provisions are recognized when the Company has a present obligation as a result of past event; it is more likely than not than an outflow of resources will be required to settle the obligation and the amount can be reasonably estimated. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources. When 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. Contingent assets are not recognized in the financial statements.

e) Revenue Recognition:

Revenue is recognised only when it can be reliably measured and it is reasonable to expect ultimate collection.

f) Provision for Current and Deferred Tax:

Deferred tax resulting in timing difference between taxable income and accounting income is accounted for using the tax rates and laws that are enacted or substantively enacted as on balance sheet date. Deferred tax is recognised and carried forward only to the extent that there is virtual certainity that the asset will be realised in future. Since there are no timing differences, no deferred tax is recognised in the books of accounts.

g) Revenue from operations:

Revenue from sales is mainly on cash basis. Necessary vouchers for authenticity could not be verified

h) Fixed Assets are stated at historical cost. Depreciation has been provided on Straight line method on pro rata basis at the rates prescribed under Schedule XIV to the Companies Act, 1956.

i) Stock is valued at lower of cost or net realizable value

j) Miscellaneous Expenses to the extent not written off represent deferred expenses and are to be written off over a period of ten years.

3) The Sales refers to Software consultancy income.

4) The salary include the Salary & Allowances paid to whole time Directors as under (Rs) Nil (Nil)

5) Expenditure in Foreign Currency : (Rs) Nil (Nil)

6) Varies items pertaining to the previous year were regrouped, reclassified and rounded off pursuant to the revised schedule VI of the Companies Act, 1956 vide Ministry of Corporate Affairs Notification reference number S.O. 447(E) dated 28th February, 2011. '

6) a) Classification of Assets : An asset shall be classified as current when it satisfies any of the following criteria:

i. it is expected to be realized in, or is intended for sale or consumption in, the company's normal operating cycle;

ii. it is held primarily for the purpose of being traded;

iii. it is expected to be realized within twelve months after the reporting date; or

iv. it is cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting date.

All other assets shall be classified as non -current.

6) b) Classification of Liabilities: A liability shall be classified as current when it satisfies any of the following criteria:

i. it is expected to be settled in the company's normal operating cycle;

ii. it is held primarily for the purpose of being traded;

iii. it is due to be settled within twelve months after the reporting date; or

iv. the company does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting date. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification.

All other liabilities shall be classified as non-current.

b) Rights, preferences and restrictions attached to shares Equity shares:

The company has one class of fully paid equity shares having a par value of Rs. 10 each. Each shareholder is eligible for one vote per share held by him. Any dividend proposed by the Board of Directors, except in case of interim dividend, is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

c) Shares held by holding company, its subsidiaries and associates - NIL -

d) Detail of shares held by shareholders more than 5% of the aggregate shares in the company

e) Shares allotted as fully paid up by way of bonus shares (during 5 year preceding march 31,2014) - NIL -

f) Shares reserved for issue under options and contracts/ commitments for the sale of shares/ disinvestment, including the terms and amounts; - NIL -

g) For the period of five years immediately preceding the date as at which the Balance Sheet is Prepared:

- Aggregate number and class of shares of allotted as fully paid up pursuant to contract(s) without payment being received in cash. - NIL -

- Aggregate number and class of shares allotted as fully paid up by way of bonus shares. - NIL -

- Aggregate number and class of shares bought back. - NIL -

h) Terms of any securities convertible into equity/ preference shares issued along with the earliest date of conversion in descending order starting from the farthest such date. - NIL-.

i) Calls unpaid ( showing aggregate value of calls unpaid by directors and officers ) , - NIL -

j) Forfeited shares (amount originally paid up ) - NIL -

During the year, the warrants convertible into equity shares of Rs. 10 each at a price of Rs. 22/- per share, became invalid and void ab initio as no such allotment could be validly made without actual receipt of application money.


Mar 31, 2013

A) Basis for preparation:

The financial statements are prepared under the historicafcost 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 the financial statements requires management to make estimates and assumptions that affect the reported amounts of revenues and expenses during the reporting period, reported balances of assets and liabilities, and disclosure of contingent liabilities as at the date of the financial statements. Actual results could differ from those estimates. Any revision to accounting estimates is recognized prospectively in current and future periods.

c) Earnings per share:

Basic earnings per share is computed by dividing net profit or loss for the period attributable to equity shareholders by the weighted average number of shares outstanding during the year. Diluted earnings per share amounts are computed after adjusting the effects of all dilutive potential equity shares. The number of shares used in computing diluted earnings per share comprises the weighted average number of shares considered for deriving basic earnings per share, and also the weighted average number of equity shares, which could have been issued on the conversion of all dilutive potential equity shares.

d) Provisions, contingent liability and contingent assets:

Provisions are recognized when the Company has a present obligation as a result of past event; it is more likely than not than an outflow of resources will be required to settle the obligation and the amount can be reasonably estimated. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may. but probably will not. require an outflow of resources. When 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. Contingent assets are not recognized in the financial statements.

e) Revenue Recognition:

Revenue is recognised only when it can be reliably measured and it is reasonable to expect ultimate collection.

f) Provision for Current and Deferred Tax:

Deferred tax resulting in timing difference between taxable income and accounting income is accounted for using the tax rates and laws that are enacted or substantively enacted as on balance sheet date. Deferred tax is recognised and carried forward only to the extent that there is virtual certainity that the asset will be realised in future. Since there are no timing differences, no deferred tax is recognised in the books of accounts.

g) Revenue from operations:

Revenue from sales is mainly on cash basis. Necessary ..vouchers for uthenticity could not be verified h) Fixed Assets are stated at historical cost. Deprecation has been provided on traight line method on pro rata basis at the rates prescribed under Schedule XIV to the Companies Act, 1956. i) Stock is valued at lower of cost or net realizable value j) Miscellaneous Expenses to the extent not written off represent deferred expenses and are to be written off over a period often years.


Mar 31, 2012

I) The accounts have been prepared on accrual basis convention and materially complies, with mandatory accounting standards issued by the Institute of Chartered Accountants of India and also in accordance with the generally acceptable accounting principles in India. These financial statements have been prepared to comply in all material aspect with the accounting standards contained in Companies (Accounting Standards) Rules, 2006 as notified under Section 211(3C) of the Companies Act, 1956.

ii) Fixed Assets are stated at historical cost. Deprecation has been provided on Straight line method on pro rata basis at the rates prescribed under Schedule XIV to the Companies Act, 1956.

iii) Stock is valued at lower of cost or net realizable value

iv) Miscellaneous Expenses to the extent not written off represent deferred expenses and are to be written off over a period of ten years.


Mar 31, 2010

I) The accounts have been prepared on accrual basis convention and materially complies with mandatory accounting standards issued by the Institute of Chartered Accountants of India.

ii) Fixed Assets are stated at historical cost Deprecation has been provided on Straight line method on prorata basis at the rates prescribed under Schedule XIV to the Companies Act, 1956.

iii) Stock is valued at lower of cost or net realisable value

iv) Miscellaneous Expenses to the extent not written off represent deferred expenses and are to be written off over a period often years.


Mar 31, 2009

I) The accounts have been prepared on accrual basis convention and materially complies with mandatory accounting standards issued by the Institute of Chartered Accountants of India.

ii) Fixed Assets are stated at historical cost. Deprecation has been provided on Straight line method on prorata basis at the rates prescribed under Schedule XTV to the Companies Act, 1956.

iii) Stock is valued at lower of cost or net realisable value

iv) Miscellaneous Expenses to the extent not written off represent deferred expenses and are to be written off over a period often years.

 
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