Mar 31, 2014
A. Basis of Accounting
The accounts have been prepared to comply in all material aspects with
applicable accounting principles in India, the Accounting Standards
issued by the Institute of Chartered Accountants of India and the
relevant provisions of the Companies Act, 1956.
B. Accounting Convention
The financial statements are prepared under the historical cost
convention on accrual basis, in accordance with generally accepted
accounting principal in India and to comply with the Accounting
Standards prescribed in the Companies (Accounting Standards) Rules,
2006 issued by the Central Government in exercise of the power
conferred under the subsection (l)(a) of section 642 and provisions of
Companies Act ,1956.
The preparation of the financial statements in conformity to the above
requires the management of the company to make estimates and assumption
that affect the reported amounts of revenue and expenses of the year,
reported balances of the assets and liabilities as on the date of the
financial statement. Instances of such estimates include future
obligation under the employee retirement benefit plans. Actual results
could differ from those estimates.
C. Fixed Assets
Fixed Assets are capitalised at cost of acquisition inclusive of
freight, transportation and other incidental expenses relating to
installation.
D. Depreciation
Depreciation on fixed assets has been provided on Straight Line method
at pro-rata basis, as per the rates prescribed in Schedule XIV of the
Companies Act, 1956. Cost of Leasehold Land is amortised over lease
period.
E. Taxation
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax for timing differences between tax profits and book
profits is accounted for using the tax rates and laws that have been
enacted or substantially enacted as of the balance sheet date. Deferred
tax assets are recognised to the extent there is reasonable certainty
that these assets can be realised in future.
F. Additional Demand of Taxes
Payment of additional demand of Income Tax is accounted for on payment
basis. Similarly refund of above is accounted for "As and when
received" basis.
G. Investment
The investments are classified as current investment or long-term
investment. Current Investments are carried at lower of Cost or Market
Value. Long-term Investments are carried at cost and provision recorded
to recognize any decline, other than temporary, in the carrying value
such investment.
H. Lease
Assets given under lease where the significate portion of risk and
rewards of ownership are retained by the company, are classified as
operating lease. Lease rentals are charged to the statement of profit &
Loss account on accrual basis.
I. Advances
Advances have been classified as "Standard", "Sub-standard" "Doubtful"
and "Loss assets" and provisions for possible losses on such advances
are made as per prudential norms issued by Reserve Bank of India as
under:-
Sub-Standard asset
10%
Doubtful assets
100% of unsecured portion Plus 20%/30%/50% of secured portion depending
upon the period for which advance has remained doubtful.
Loss assets
100%
Further, a general provision @0.25% on Standard Advances is made.
J. Statutory Reserve
The company has created a reserve fund by way of transferring a sum at
the rate of 20% of its net profits in accordance with the directions of
the Reserve Bank of India in pursuance of the issuance of certificate
of registration under section of 45-1A of the Reserve Bank of India Act
1934.
Mar 31, 2013
A. Basis of Accounting
The accounts have been prepared to comply in all material aspects with
applicable accounting principles in India, the Accounting Standards
issued by the Institute of Chartered Accountants of India and the
relevant provisions of the Companies Act, 1956.
B. Accounting Convention
The financial statements are prepared under the historical cost
convention on accrual basis, in accordance with generally accepted
accounting principal in India and to comply with the Accounting
Standards prescribed in the Companies (Accounting Standards) Rules,
2006 issued by the Central Government in exercise of the power
conferred under the subsection (l)(a) of section 642 and provisions of
Companies Act ,1956.
The preparation of the financial statements in conformity to the above
requires the management of the company to make estimates and assumption
that affect the reported amounts of revenue and expenses of the year,
reported balances, of the assets and liabilities as on the date of the
financial statement. Instances of such estimates include future
obligation under the employee retirement benefit plans. Actual results
could differ from those estimates.
C. Fixed Assets
Fixed Assets are capitalised an cost of acquisition inclusive of
freight, transportation and other incidental expenses relating to
installation.
D. Depreciation
Depreciation on fixed assets has been provided on Straight Line method
at pro-rata basis, as per the rates prescribed in Schedule XIV of the
Companies Act, 1956. Cost of Leasehold Land is amortised over lease
period.
E. Taxation
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax for timing differences between tax profits and book
profits is accounted for using the tax rates and laws that have been
enacted or substantially enacted as of the balance sheet date. Deferred
tax assets are recognised to the extent there is reasonable certainty
that these -assets can be realised in future.
F. Additional Demand of Taxes
Payment of additional demand of Income Tax is accounted for on payment
basis. Similarly refund of above is accounted for "As and when
received" basis.
G. Investment
The investments are classified as current investment or long-term
investment. Current Investments are carried at lower of Cost or Market
Value. Long-term Investments are carried at cost and provision recorded
to recognize any decline, other than temporary, in the carrying value
of such investment.
H. Lease
Assets given under lease where the significate portion of risk and
rewards of ownership are retained by the company, are classified as
operating lease. Lease rentals are charged to the statement of profit &
Loss account on accrual basis.
I. Advances
Advances have been classified as "Standard", "Sub-standard" "Doubtful"
and "Loss assets" and provisions for possible losses on such advances
are made as per prudential norms issued by Reserve Bank of India as
under:-
Sub-Standard asset 10%
Doubtful assets
100% of unsecured portion Plus 20%/30%/50% of secured portion depending
upon the period for which advance has remained doubtful.
Loss assets 100%
Further, a general provision @0.25% on Standard Advances is made.
Mar 31, 2012
A. Basis of Accounting
The accounts have been prepared to comply in all material aspects with
applicable accounting principles in India, the Accounting Standards
issued by the Institute of Chartered Accountants of India and the
relevant provisions of the Companies Act, 1956.
B. Accounting Convention
The financial statements are prepared under the historical cost
convention on accrual basis, in accordance with generally accepted
accounting principal in India and to comply with the Accounting
Standards prescribed in the Companies (Accounting Standards) Rules,
2006 issued by the Central Government in exercise of the power
conferred under the subsection (l)(a) of section 642 and provisions of
Companies Act ,1956.
The preparation of the financial statements in conformity to the above
requires the management of the company to make estimates and assumption
that affect the reported amounts of revenue and expenses of the year,
reported balances of the assets and liabilities as on the date of the
financial statement. Instances of such estimates include future
obligation under the employee retirement benefit plans. Actual results
could differ from those estimates.
C. Fixed Assets
Fixed Assets are capitalised at cost of acquisition inclusive of
freight, transportation and other incidental expenses relating to
installation.
D. Depreciation
Depreciation on fixed assets has been provided on Straight Line method
at pro-rata basis, as per the rates prescribed in Schedule XIV of the
Companies Act, 1956. Cost of leasehold land is amortised over lease
period.
E. Taxation
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax for timing differences between tax/profits and book
profits is accounted for using the tax rates and laws that have been
enacted or substantially enacted as of the balance sheet date. Deferred
tax assets are recognised to the extent there is reasonable certainty
that these assets can be realised in future.
F. Additional Demand of Taxes
Payment of additional demand of Income Tax is accounted for on payment
basis. Similarly refund of above is accounted for "As and when
received" basis.
G. Investment
The investments are classified as current investment or long-term
investment. Current investments are carried at lower of cost and Market
Value. Long-term investments are carried at cost and provision recorded
to recognize any decline, other than temporary, in the carrying value
of such investment.
H. Lease
Assets given under lease where the significate portion of risk and
rewards of ownership are retain by the company are classified as
operating lease. Lease rentals are charged to the statement of profit &
Loss account on accrual basis.
I. Advances
Advances have been classified as "Standard", "Sub-standard" "Doubtful"
and "Loss assets" and provisions for possible losses on such advances
are made as per prudential norms issued by Reserve Bank of India as
under:-
Sub-Standard asset 10%
Doubtful assets
100% of unsecured portion Plus 20%/30%/50% of secured portion depending
upon the period for which advance has remained doubtful.
Loss assets 100%
Further a general provision @0.25% on standard Advances is made.