Mar 31, 2015
A. Basis of Accounting
The financial statements, have beep prepared under the historical cost convention, on accrual basis except where otherwise stated and with all material aspects of Generally Accepted Accounting Principles (GAAP) In India GAAP comprise. 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 applicable). The accounting policies have been consistently applied by the Company and' are consistent with those of previous-year
b. Use of Estimates
The preparation of financial statements in company with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements and the result of operations during the transporting period. Although these estimates are based up of past experience, present realization and Future presumptions actual results may differ from these estimates, Any revision to. these accounting estimates is, recognized prospectively, in future periods.
c. Revenue Recognition
I) Revenue is recognized when the significant risk and rewards of Owner ships of the goods have passed to the buyer and is recorded net of excise duty, service tax value added tax and credit discounts, For the periods of disclosure In the financial statements sales are reflected gross and net of excise duty In the Statement of Profit and Loss account.
II), Other Income Is accounted for on accrual basis except where the receipt of income is uncertain in which case. it Is accounted for on receipt basis.
III) Dividend Income is recognized when the company rightf to receive the dividend is established,
IV) Inter income Is recognized of the time proportion method basis except where the receipt of Income Is uncertain In which case it is accounted for on receipt basis;
d. fixed Assets (Tangible)
i) During the year there were no fixed assets.
i) Non - current investments are carried at cost, after providing for diminution in value, if Is of, permanent nature
ii) Current investments are carried at lower of cost and fair value. The comparison of cost and fair value is carried out separately in respect of each Investment. The Company was unable to produce the NSC certificate 35-shown under the Balance sheet
There was no closing Stock of raw material packing materials consumable stores work in progress etc,.
g. Foreign Currency Transactions
i) There were no foreign currency transactions during the year.
h. Employees/ Retirement Benefits
i) There were no Gratuity and leave encashment defined "benefit scheme for the Company.
I. Provision Contingent Liabilities and contingent Assets
Provisions are recognized in respect of obligations based on the evidence available their existence at the Balance Sheet date, is considered probable. Estimated liabilities in respect of business performance are provided for based on past experience and historical data.
Liabilities are provided there are reasonable prospects of such liabilities nattering other liabilities barring frivolous claims not acknowledged as debt are disclosed by Way of any Continent assets are not recognized of disposal in the financial statement.
a. The company had some transaction, relating to saree trading and is also restructuring of finance to mitigate the liabilities of the company, It has entered into and made compromise settlement with books and financial institution out of proceeds from sale of land.
b. The company has not been able to ascertain dues of Micro, small and medium enterprises as required under the MSED Acct, 2006 since relevant information is not available.
d. Balance confirmation have been required for the dues on account of debenture lying over side, sales have been filled by the company for recovery of long outstanding debenture of Rs. 127 Lacs.
f. In view of past losses and uncertainty of future profits the company has not account for deferred assets. advances, debtors have not been received.
h. i} Since there are no leave to the credit of employees, as at the end of the financial year, no provisions required for leave.
ii) No provision. Has been made or account of gratuity' as none of the employees have put In the required of services making them eligible for gratuity.
i. Intangibles fixed Assets'
There were no intangible assets during there parties period;'
j. Segment Reporting
Company doesn't required to report segment wise activities.
Mar 31, 2012
Basic of Accounting:
The Financial Statements are prepared under historical cost convention on and on accrual basis, except depreciation and interest.
a) The company recognizes sales at the point of dispatch of goods to the customers.
b) Interest is accounted as per terms of relevant arrangements.
Fixed assets are stated at cost or revalued figure less accumulated depreciation.
In the reporting year there were no inventories. -
Long term investments are valued at cost with an appropriate provision for permanent diminution in value.
Gratuity and leave wages is accounted for on cash basis. There re no schemes for retirement benefits for the employees presently in operation s there are no permanent employees in the Company''s payroll.
Current tax is determined in respect of taxable income for the year based on applicable tax rates and Laws.
Deferred tax is recognized, subject to consideration of prudence, on timing difference being the difference between taxable income and accounting income that originates in one period and one capable of set off in one on more subsequent year and is measured using tax rates and laws that have been enacted or subsequently erected by the balance sheet date. Deferred tax assets have not been accounted for.
Borrowing costs attributable to the acquisition or construction of qualifying assets is capitalized as part of the cost of the assets. Other borrowing costs are recognized as expense in the period in which these are incurred.
The Company does not cany any intangible assets.
Provisions & Contingent Liabilities
The Company recognizes a provision when there is a present obligation as a result of past event that probably requires an out flow of resources and a reliable estimate can be made of the amount of obligation.
A disclosure for a Contingent Liability is made when there is possible obligation or a present obligation that may, but probably will not require an outflow or resources.