Mar 31, 2015
1.1 BASIS OF PREPARATION
The Consolidated financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under Historical
Cost convention on accrual basis. GAAP comprises mandatory Accounting
Standards as specified in the Companies (Accounting Standards) Rules,
2006.
1.2 PRINCIPLES OF CONSOLIDATION
The financial Statement of the Subsidiary company used in the
consolidation are drawn up to the same reporting date as of the
Company.
The Consolidated financial statements have been prepared on the
following basis:
i. The Consolidated Financial Statements have been prepared using
uniform accounting policies for like transactions and other events in
similar circumstances and are presented to the extent possible, in the
same manner as the company's separate Financial Statements.
ii. The Consolidated of the financial statements of the holding company
and its Subsidiary is done to the extent possible on a line by line
bases by adding together like items of assets,liabilities,income and
expenses;inter group transactions,balances and unrealized inter company
profits have been eliminated in the process of consolidation.
iii. The excess of cost to the Company of its investments in subsidiary
companies over its share of the equity of the subsidiary companies at
the dates on which the investments in the subsidiary companies are
made, is recognized as 'Goodwill' being an asset in the consolidated
financial statements.Alternatively,where the share of equity in the
subsidiary company as on the date of investment is in excess of cost of
investment in the company,it is recognized as 'Capital Reserve' and
shown under the head 'Reserves and Surplus', in the consolidated
financial statement.
iv. Minority interest in subsidiary represents the minority
shareholders proportionate share of net asset and net income.
1.3 USE OF ESTIMATES:
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent liabilities at the date of the
financial statements and the results of operations during the reporting
period. Although these estimates are based upon management's best
knowledge of current events and actions, actual results could differ
from these estimates. Significant estimates used by the management in
the preparation of these financial statements include classification of
assets and liabilities into current and non-current, estimates of the
economic useful lives of fixed assets, provisions for bad and doubtful
debts. Any revision to accounting estimates is recognised
prospectively.
1.4 INVENTORY:
Stock in trade is valued at lower of cost or the closing rate as per
the quotation of Recognized Stock Exchange as on the balance sheet
date.
1.5 EVENTS OCCURING AFTER BALANCE SHEET DATE :
Material events occurring after the date of Balance sheet are taken
into cognizance.
1.6 EXPENDITURE :
Expenses are accounted on the accrual basis and provisions are made for
all known losses and liabilities.
1.7 DEPRECIATION:
Depreciation is provided on straight line method on the basis of useful
life of each asset setout under Schedule-II of the Companies Act, 2013
on a pro-rata basis.
1.8 REVENUE RECOGNITION:
a) Screening Income:
In cases where the Company has a formal contract with the advertiser or
advertising agency, revenue is recognized as specified in the
contract.In other cases, revenue is recognized after completion of
screening of related advertisement.
b) Project Management/Development Income:
Income is recognized as and when the bill is raised.
1.9 TANGIBLE FIXED ASSETS:
- Fixed assets are stated at cost of acquisition including directly
attributable costs for bringing the asset into intended use, less
accumulated depreciation, amortization and impairment losses.
- Borrowing costs directly attributable to acquisition or construction
of those Fixed assets which necessarily take a substantial period of
time to get ready for their intended use are capitalized.
- Expenditure directly relating to expansion is capitalized only if it
increases the life or functionality of an asset beyond its original
standard of performance.
1.10 INTAGIBLE ASSETS :
Intangible assets acquired separately are measured on initial
recognition at cost. Following initial recognition, intangible assets
are carried at cost less accumulated amortization and accumulated
impairment losses, if any. Intangible assets are amortized on a
straight line basis over a period of 3 years, which is estimated to be
the useful life of the asset.
1.11 INVESTMENTS:
Long-term investments are stated at cost. Provision for diminution in
the value of long-term investments is made only if such decline is not
temporary in the opinion of the management.
1.12 EMPLOYEES RETIREMENT BENEFITS:
a. Short term employee benefits being all those benefits payable within
12 months of rendering the services such as salaries, house rent
allowance & expected cost of bonus are recognised in the period in
which the employee renders the related services.
b. Provident fund and Employee State Insurance: The company's
contribution to the recognized Provident Fund and ESIC does not arise
as the criteria for the number of employees as required by the
respective Acts are not met.
c. Ex-gratia: Ex gratia payment to employees is accounted on payment
basis
d. Gratuity: The company makes annual contributions to funds
administered by trustees and managed by insurance companies for amounts
notified by the said insurance companies. The company accounts for the
net present value of its obligation for gratuity benefits based on an
independent external actuarial valuation determined on the basis of the
projected unit cash method carried out annually. Actuarial gains and
losses are immediately recognized in the Profit and Loss Account.
Provision in respect of leave encashment benefit is made based on
accrual basis.
1.13 BORROWING COSTS :
Borrowing costs directly attributable to the acquisition or
construction of qualifying fixed assets are capitalised as part of the
cost of the assets, upto the date the asset is put to use. Other
borrowing costs are charged to the Profit and Loss Account in the year
in which they are incurred.
1.14 LEASE:
Asset taken on Lease under which, all the risk and rewards of ownership
are effectively retained by the lessor is classified as Operating
Lease. Operating lease payments are recognized as an expense on accrual
basis in accordance with the respective Lease Agreements under the head
"Rent" in notes to statement of profit and loss.
1.15 EARNINGS PER SHARE:
Basic earning per share is computed by dividing the net profit after
tax by the weighted average number of equity share outstanding during
the period.
The number of shares used in computing Diluted Earnings per Share
comprises the weighted average shares considered for deriving basic
Earnings per Share, and also the weighted average number of Equity
Shares that could have been issued on the conversion of all dilutive
potential Equity Shares.
1.16 TAXES ON INCOME:
Tax expense comprises both current and deferred taxes. The current
charge for income taxes is calculated in accordance with the relevant
tax regulations. Deferred income taxes reflects the impact of current
year timing differences between taxable income and accounting income
for the year and reversal of timing differences of earlier years.
Deferred tax is measured based on the tax rates and the tax laws
enacted or substantively enacted at the balance sheet date.
Deferred tax assets are recognized only to the extent that there is
reasonable certainty that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
Deferred tax assets are recognized on carry forward of unabsorbed
depreciation and tax losses only if there is virtual certainty that
such deferred tax assets can be realized against future taxable
profits.
Unrecognized deferred tax assets of earlier years are re-assessed and
recognized to the extent that it has become reasonably certain that
future taxable income will be available against which such deferred tax
assets can be realized.
Minimum Alternative tax (MAT) credit is recognized as an asset only
when and to the extent there is convincing evidence that the Company
will pay normal income tax during the specified period. In the year in
which the MAT credit becomes eligible to be recognized as an asset in
accordance with the recommendations contained in Guidance Note issued
by the Institute of Chartered Accountants of India, the said asset is
created by way of a credit to the statement of profit and loss and
shown as MAT Credit Entitlement. The Company reviews the same at each
balance sheet date and writes down the carrying amount of MAT Credit
Entitlement to the extent there is no longer convincing evidence to the
effect that Company will pay normal income tax during the specified
period.
1.17 IMPAIRMENT OF ASSETS :
At the end of each year, the company determines whether a provision
should be made for impairment loss on fixed assets by considering the
indications that an impairment loss may have occurred in accordance
with A.S-28 "Impairment of Assets" issued by MCA, where the recoverable
amount of any fixed asset is lower than its carrying amount, a
provision for impairment loss on Fixed asset is made for the
difference, if any.
Since there is no Impairment loss recognized during the previous year,
the effect for the same has not been given in the Financial Statements.
1.18 CONTINGENT LIABILITIES:
Depending upon the facts of each case and after due evaluation of legal
aspects, claims against the Company not acknowledged as debts are
treated as contingent liabilities and the same is disclosed in notes.
The Company has only one class of shares referred to as equity shares
having a par value of Re.1/-. Each holder of equity shares is entitled
to one vote per share held.
The Company declares and pays dividend in Indian rupees. The dividend
proposed by the Board of Directors is subject to the approval of the
shareholders in the ensuing annual general meeting.
Dividend, if approved, is payable to the shareholders in proportion to
their shareholding. In the event of liquidation of the Company, the
holders of equity shares will be entitled to receive any of the
remaining assets of the company.
The distribution will be in proportion to the number of equity shares
held by the shareholders.
Jun 30, 2011
The financial statements are prepared on the accrual basis of
accounting and in accordance with the applicable mandatory Accounting
Standards and the relevant provisions of the Companies Act 1956.
(a) Fixed assets and depreciation:
i) Fixed assets are stated at cost less accumulated depreciation.
ii) The Company capitalizes all costs relating to the acquisition and
installation of fixed assets,
iii) Depreciation on fixed assets is calculated based on straight-line
method, prorata to the period of use of assets in the manner specified
in Schedule XIV to the Companies Act, 1956, at the rates prescribed
there in.
(b) Retirement Benefits: Provident Fund & Employee State Insurance -
The Company has not made any contributions towards such funds, as the
provisions of the said act are not applicable. Gratuity - The Company
has not made provision for Gratuity as none of the employees currently
employed with the company have met the criteria as defined under the
Gratuity Act of 1972. Leave Encashment - The Company does not have any
policy for encashment of leave. Hence the company has not made any
provision for leave encashment.
(c) Inventories: The Company has not carried any stock during and as at
the end of the year and hence the question of valuation of inventories
does not arise.
(d) Earnings Per Share:
i) Basic Earnings per share is calculated by dividing the net earning
available to the Equity Shareholders by the weighted average number of
Equity Shares outstanding during the year.
ii) Diluted Earnings per share is calculated by dividing the net
earnings available to existing and potential Equity Shareholders by
aggregate of the weighted average number of Equity Shares considered
for deriving basic earnings per share.
(e) Income Recognition: Screening Income: In cases where the Company
has a formal contract with the advertiser or advertising agency,
revenue is recognized as specified in the contract. In other cases,
revenue is recognized after completion of screening of related
advertisement.
Project Management/Development Income:
Income is recognized as and when the bill is raised.
(f) Deferred Taxes:
The net result of the deferred tax is the Deferred Tax Asset. However,
Deferred Tax Assets are not recognized on the unabsorbed business and
depreciation losses as the company is not reasonably certain that there
will be a sufficient- future taxable business income to recover such
losses.
(g) Cash Flow Statement:
Cash flows are reported using the indirect method, whereby net profits
before tax is adjusted for the effects of transactions of a non-cash
nature and the changes during the period in inventories and operating
receivables and payables. The cash flows from regular revenue
generating, investing and financing activities of the Company are shown
separately.
(h) Impairment of Assets:
The Company assessed its fixed assets for impairment as at 30th June,
2011 and concluded that there has been no significant impaired fixed
asset that needs to be recognized in the books of account.
Jun 30, 2010
The financial statements are prepared on the accrual basis of
accounting and in accordance with the applicable mandatory Accounting
Standards and the relevant provisions of the Companies Act 1956.
(a) Fixed assets and depreciation:
I. Fixed assets are stated at cost less accumulated depreciation.
II. The Company capitalizes all costs relating to the acquisition and
installation of fixed assets.
III. Depreciation on fixed assets is calculated based on straight-line
method, prorata to the period of use of assets in the manner specified
in Schedule XIV to the Companies Act, 1956, at the rates prescribed
there in.
(b) Retirement Benefits:
Provident Fund & Employee State Insurance - The Company has not made
any contributions towards such funds, as the provisions of the said act
are not applicable.
Gratuity - The Company has not made provision for Gratuity as none of
the employees currently employed with the company have met the criteria
as defined under the Gratuity Act of 1972.
Leave Encashment - The Company does not have any policy for encashment
of leave. Hence the company has not made any provision for leave
encashment.
(c) inventories:
The Company has not carried any stock during and as at the end of the
year and hence the question of valuation of inventories does not arise.
Earnings Per Share:
i. Basic Earnings per share is calculated by dividing the net earning
available to the Equity Shareholders by the weighted average number of
Equity Shares outstanding during the year.
ii. Diluted Earnings per share is calculated by dividing the net
earnings available to existing and potential Equity Shareholders by
aggregate of the weighted average number of Equity Shares considered
for deriving basic earnings per share.
(d) Income Recognition:
Screening Income:
In cases where the Company has a formal contract with the advertiser or
advertising agency, revenue is recognized as specified in the contract.
In other cases, revenue is recognized after completion of screening of
related advertisement.
Project Management/Development Income: Income is recognized as and when
the bill is raised.
(e) Deferred Taxes:
The net result of the deferred tax is the Deferred Tax Asset. However,
Deferred Tax Assets are not recognized on the unabsorbed business and
depreciation losses as the company is not reasonably certain that there
will be a sufficient future taxable business income to recover such
losses.
(f) Cash Flow Statement :
Cash flows are reported using the indirect method, whereby net profits
before tax is adjusted for the effects of transactions of a non-cash
nature and the changes during the period in inventories and operating
receivables and payables. The cash flows from regular revenue
generating, investing and financing activities of the Company are shown
separately.
(g) Impairment of Assets:
The Company assessed its fixed assets for impairment as at 30th June,
2010 and concluded that there has been no significant impaired fixed
asset that needs to be recognized in the books of account.
Jun 30, 2009
The financial statements are prepared on the accrual basis of
accounting and in accordance with the applicable mandatory Accounting
Standards and the relevant provisions of the Companies Act 1956.
(a) Fixed assets and depreciation:
I. Fixed assets are stated at cost less accumulated depreciation.
II. The Company capitalizes all costs relating to the acquisition and
installation of fixed assets.
III. Depreciation on fixed assets is calculated based on straight-line
method, prorata to the period of use of assets in the manner specified
in Schedule XIV to the Companies Act, 1956, at the rates prescribed
there in.
IV. Depreciation on individual low cost assets (costing less than
Rs.5, 000) is provided for in full in the year of purchase irrespective
of date of installation.
(b) Retirement Benefits:
Provident Fund fr Employee State Insurance - The Company has not made
any contributions towards such funds, as the provisions of the said act
are not applicable.
Gratuity - The Company has not made provision for Gratuity as none of
the employees currently employed with the company have met the criteria
as defined under the Gratuity Act of 1972.
Leave Encashment - The Company does not have any policy for encashment
of leave. Hence the company has not made any provision for leave
encashment.
(c) Inventories:
The Company has not carried any stock during and as at the end of the
year and hence the question of valuation of inventories does not arise.
(d) Earnings Per Share:
i. Basic Earnings per share is calculated by dividing the net earning
available to the Equity Shareholders by the weighted average number of
Equity Shares outstanding during the year.
ii. Diluted Earnings per share is calculated by dividing the net
earnings available to existing and potential Equity Shareholders by
aggregate of the weighted average number of Equity Shares considered
for deriving basic earnings per share.
(e) Income Recognition:
Screening Income:
In cases where the Company has a formal contract with the advertiser or
advertising agency, revenue is recognized as specified in the contract.
In other cases, revenue is recognized after completion of screening of
related advertisement.
Project Management Development Income:
Income is recognized as and when the bill is raised.
(f) Deferred Taxes:
The net result of the deferred tax is the Deferred Tax Asset. However,
Deferred Tax Assets are not recognized on the unabsorbed business and
depreciation losses as the company is not reasonably certain that there
will be a sufficient future taxable business income to recover such
losses.
(g) Fringe Benefit Tax :
Consequent to the introduction of Fringe Benefit tax effective April 1,
2005, in accordance with the guidance note on accounting for fringe
benefit tax issued by the ICAI, the Company has made provision for
Fringe Benefit Tax under Income taxes on accrual basis. (h) Cash Flow
Statement:
Cash flows are reported using the indirect method, whereby net profits
before tax is adjusted for the effects of transactions of a non-cash
nature and the changes during the period in inventories and operating
receivables and payables. The cash flows from regular revenue
generating, investing and financing activities of the Company are shown
separately.
(i) Impairment of Assets:
The Company assessed its fixed assets for impairment as at 30th June,
2009 and concluded that there has been no significant impaired fixed
asset that needs to be recognized in the books of account.