Mar 31, 2015
(a) BASIS OF PREPARATION OF FINANCIAL STATEMENT
The financial statements of the Company have been prepared in
accordance with the Generally Accepted Accounting Principles in India
(Indian GAAP) to comply with the Accounting Standards notified under
the Companies (Accounting Standards) Rules, 2006 (as amended) and the
relevant provisions of the Companies Act, 2013. The financial
statements have been prepared on accrual basis under the historical
cost convention. The accounting policies adopted in the preparation of
the financial statements are consistent with those followed in the
previous year.
(b) USE OF ESTIMATES
The preparation of the financial statements in conformity with Indian
GAAP requires the Management to make estimates and assumptions
considered in the reported amounts of assets and liabilities (including
contingent liabilities) and the reported income and expenses during the
year. The Management believes that the estimates used in preparation of
the financial statements are prudent and reasonable. Future results
could differ due to these estimates and the differences between the
actual results and the estimates are recognised in the periods in which
the results are known/ materialize.
(c) INVENTORIES
i) Inventories are valued at lower of cost (FIFO Basis) or Net
Realisable value.
ii) Cost of inventories have been computed to include all costs of
purchases, cost of conversion and other costs incurred in bringing the
inventories to their present location and condition.
(d) CASH AND CASH EQUIVALENTS (FOR PURPOSES OF CASH FLOW STATEMENT)
Cash comprises cash on hand and demand deposits with banks. Cash
equivalents are short-term balances (with an original maturity of three
months or less from the date of acquisition), highly liquid investments
that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.
(e) CASH FLOW STATEMENT
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are
segregated based on the available information.
(f) PRIOR PERIOD AND EXCEPTIONAL ITEMS
(i) All identifiable items of Income and Expenditure pertaining to
prior period are accounted through "Prior Period Expense Account".
(ii) Exceptional items are generally non-recurring items of
income/profit and expenses/loss within profit and loss from Ordinary
activities, which are of such nature or incident at these disclosures
is relevant to explain the performance of the Company for the year.
(g) DEPRECIATION
i) Depreciation on Fixed Assets is provided on Written down method at
rates and in the manner specified in Schedule III to the Companies Act,
2013 read with the relevant circulars issued by the Department of
Company Affairs.
ii) Depreciation on Assets acquired during the year is provided on
pro-rata basis with reference to the date of addition.
iii) Individual assets costing less than Rs.5000 are fully depreciated
in the year of purchase.
iv) Intangible assets are amortized in span of 10 years.
(h) REVENUE RECOGNITION
i) Sales are recognised, net of returns and trade discounts, on
transfer of significant risks and rewards of ownership to the buyer,
which generally coincides with the delivery of goods to customers.
Sales inclusive of Excise duty but exclude Vat and CST.
ii) Income from services rendered is accounted for when the work is
performed.
iii) Interest revenues are recognized on time proportion basis taking
into account the amount outstanding and the rate applicable.
(i) FIXED ASSETS
i) Fixed assets are stated at cost of acquisition or construction. They
are stated at historical cost less accumulated depreciation.
ii) Expenditure on accounts of modification/alteration in plant and
machinery, which increases the future benefit from the existing asset
beyond its previous assessed standard of performance, is capitalized.
(j) FOREIGN CURRENCY TRANSACTIONS
i) There is no Foreign Currency Transaction during the year.
(k) INVESTMENTS
i) 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 in the opinion of the management.
ii) Current investment are carried at the lower of cost and quoted/fair
value, computed category wise.
(l) EMPLOYEE BENEFITS
i) Provident Fund and Pension Fund: Contribution to provident and
pension fund maintained with the Provident fund authorities is charged
to Profit & Loss account on accrual basis.
ii) Gratuity: Gratuity liability as on 31st March, 2015 has not been
determined by the actuarial valuation and so that such liability has
not been provided for in these accounts the gratuity expenses debited
to profit & loss account as and when paid to employees at the time of
resignation.
iii) Leave Encashment: The Company has policy to make payment of
unutilised leaves every year as per rules of the applicable Act.
iv) Other Employee Benefits: Other Employee Benefits such as bonus etc.
are accounted for on accrual basis.
(m) BORROWING COSTS
Borrowing costs that are attributable to the acquisition or
construction of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes
substantial period of time to get ready for intended use. All other
borrowing costs are charged to revenue.
(n) SEGMENT ACCOUNTING
Accounting Standard Interpretation (ASI) 20 Dated 14th February, 2004
issued by the Accounting Standards Board of the Institute Chartered
Accountants of India, on AS 17, Segment Reporting clarifies that in
case, by applying the definitions of "business segment" and
"geographical segment" given in AS 17, it is concluded that there is
neither more than one business segment nor more than one geographical
segment. Segment information as per AS 17 is not required to be
disclosed.
(o) RELATED PARTY TRANSACTIONS
Disclosure of transactions with Related Parties, as required by
Accounting Standard 18 "Related Party disclosures" has been set out in
a separate note forming part of this schedule. Related Parties as
defined under clause 3 of the Accounting Standard 18 has been
identified on the basis of representation made by key managerial
personnel and information available with the Company.
(p) LEASES
The Company's significant leasing arrangements are in respect of
operating leases for office premises, stores & godown. The leasing
arrangements ranging between 11 months and five years are generally,
and are usually Renewable by mutual consent on agreed terms. The
aggregate lease rentals payable are charged as rent including lease
rentals.
(q) EARNING PER SHARE
The Company reports basic and diluted earnings per share (EPS) in
accordance with the Accounting Standard 20 prescribed under The
Companies Accounting Standards Rules, 2006. The Basic EPS has been
computed by dividing the income available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting year. The Diluted EPS has been computed using the weighted
average number of equity shares and dilutive potential equity shares
outstanding at the end of the year.
(r) TAXES ON INCOME
i) Deferred Taxation
In accordance with the Accounting Standard 22 Â Accounting for Taxes on
Income, prescribed under The Companies Accounting Standards Rules,
2006, the deferred tax for timing differences between the book and tax
profits for the year is accounted for by using the tax rates and laws
that have been enacted or substantively enacted as of the Balance Sheet
Date.
Deferred tax assets arising from timing differences are recognised to
the extent there is virtual certainty that the assets can be realized
in future.
Net outstanding balance in Deferred Tax account is recognized as
deferred tax liability/asset. The deferred tax account is used solely
for reversing timing difference as and when crystallized.
ii) Current Taxation
Provision for taxation has been made in accordance with the income tax
laws prevailing for the relevant assessment years.
(s) IMPAIRMENT OF FIXED ASSETS
The carrying amount of assets, other than inventories, is reviewed at
each balance sheet date to determine whether there is any indication of
impairment. If any such indication exists, the assets recoverable
amount is estimated.
The impairment loss is recognized whenever the carrying amount of an
asset or its cash generation unit exceeds its recoverable amount. The
recoverable amount is the greater of the asset's net selling price and
value in the uses, which is determined, based on the estimated future
cash flow discounted to their present values. All impairment losses are
recognized in the profit and loss account.
An impairment loss is reversed if there has been a change in the
estimates used to determine the recoverable amount and is recognized in
the profit and loss account.
(t) PROVISION, CONTINGENT LIABILITIES AND CONTIGENT ASSETS
Provisions involving substantial degree of estimation in measurements
are recognised 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 recognised but are disclosed in notes.
Contingent assets are neither recognised nor disclosed in the financial
statements.
(u) ACCOUNTING OF CLAIMS
i) Claims received are accounted at the time of received return goods
and damaged and expiry goods.
ii) Claims raised by Government authorities regarding taxes and duties,
which are disputed by the Company, are accounted based on legality of
each claim. Adjustments, if any, are made in the year in which disputes
are finally settled.
(v) EXPORT INCENTIVES
Though other Accounting Standards also apply to the Company by virtue
of the Companies Accounting Standards Rules, 2006, no disclosure for
the same is being made as the Company has not done any transaction to
which said accounting standards apply.
Mar 31, 2014
(a) BASIS OF PREPARATION OF FINANCIAL STATEMENT
The financial statements of the Company have been prepared in
accordance with the Generally Accepted Accounting Principles in India
(Indian GAAP) to comply with the Accounting Standards notified under
the Companies (Accounting Standards) Rules, 2006 (as amended) and the
relevant provisions of the Companies Act, 1956. The financial state-
ments have been prepared on accrual basis under the historical cost
convention. The accounting policies adopted in the preparation of the
financial statements are consistent with those followed in the previous
year.
(b) USE OF ESTIMATES
The preparation of the financial statements in conformity with Indian
GAAP requires the Management to make esti- mates and assumptions
considered in the reported amounts of assets and liabilities (including
contingent liabilities) and the reported income and expenses during the
year. The Management believes that the estimates used in preparation of
the financial statements are prudent and reasonable. Future results
could differ due to these estimates and the differences between the
actual results and the estimates are recognised in the periods in which
the results are known/ materialise.
(c) INVENTORIES
i) Inventories are valued at lower of cost (FIFO Basis) or Net
Realisable value.
ii) Cost of inventories have been computed to include all costs of
purchases, cost of conversion and other costs incurred in bringing the
inventories to their present location and condition.
(d) CASH AND CASH EQUIVALENTS (FOR PURPOSES OF CASH FLOW STATEMENT)
Cash comprises cash on hand and demand deposits with banks. Cash
equivalents are short-term balances (with an original maturity of three
months or less from the date of acquisition), highly liquid investments
that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.
(e) CASH FLOW STATEMENT
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are segre-
gated based on the available information.
(f) PRIOR PERIOD AND EXCEPTIONAL ITEMS
(i) All identifiable items of Income and Expenditure pertaining to
prior period are accounted through "Prior Period Expenses Account".
(ii) Exceptional items are generally non-recurring items of
income/profit and expenses/loss within profit and loss from ordinary
activities, which are of such nature or incident at there disclosures
is relevant to explain the performance of the Company for the year.
(g) DEPRECIATION
i) Depreciation on Fixed Assets is provided on Written down method at
rates and in the manner specified in Schedule XIV to the Companies Act,
1956 read with the relevant circulars issued by the Department of
Company Affairs.
ii) Depreciation on Assets acquired during the year is provided on
pro-rata basis with reference to the date of addition.
iii) Individual assets costing less than Rs.5000 are fully depreciated
in the year of purchase.
iv) Intangible assets are amortised in spnn of 10 years.
(h) REVENUE RECOGNITION
i) Sales are recognised, net of returns and trade discounts, on
transfer of significant risks and rewards of ownership to the buyer,
which generally coincides with the delivery of goods to customers.
Sales inclusive of Excise duty but exclude Vat and CST.
ii) Income from services rendered is accounted for when the work is
performed.
iii) Interest revenues are recognized on time proportion basis taking
into account the amount outstanding and the rate applicable.
(i) FIXED ASSETS
i) Fixed assets are stated at cost of acquisition or construction. They
are stated at historical cost less accumulated depreciation.
ii) Expenditure on accounts of modification/alteration in plant and
machinery, which increases the future benefit from the existing asset
beyond its previous assessed standard of performance, is capitalized.
(j) FOREIGN CURRENCY TRANSACTIONS
i) There is no Foreign Currency Transaction during the year.
(k) INVESTMENTS
i) 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 in the opinion of the management.
ii) Current investment are carried at the lower of cost and quoted/fair
value, computed category wise.
(l) EMPLOYEE BENEFITS
i) Provident Fund and Pension Fund: Contribution to provident and
pension fund maintained with the Provident fund authorities is charged
to Profit & Loss account on accrual basis.
ii) Gratuity: Gratuity liability as on 31st March, 2014 has not been
determined by the actuarial valuation and so that such liability has
not been provided for in these accounts the gratuity expenses debited
to profit & loss account as and when paid to employees at the time of
resignation.
iii) Leave Encashment: The Company have policy to make payment of
unutilised leaves every year as per rules of the applicable Act.
iv) Other Employee Benefits: Other Employee Benefits such as bonus etc.
are accounted for on accrual basis.
(m) BORROWING COSTS
Borrowing costs that are attributable to the acquisition or
construction of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes
substantial period of time to get ready for intended use. All other
borrowing costs are charged to revenue.
(n) SEGMENT ACCOUNTING
Accounting Standard Interpretation (ASI) 20 Dated 14th February, 2004
issued by the Accounting Standards Board of the Institute Chartered
Accountants of India, on AS 17, Segment Reporting clarifies that in
case, by applying the definitions of "business segment" and
"geographical segment" given in AS 17, it is concluded that there is
neither more than one business segment nor more than one geographical
segment. Segment information as per AS 17 is not required to be
disclosed.
(o) RELATED PARTY TRANSACTIONS
Disclosure of transactions with Related Parties, as required by
Accounting Standard 18 "Related Party disclosures" has been set out in
a separate note forming part of this schedule. Related Parties as
defined under clause 3 of the Accounting Standard 18 have been
identified on the basis of representation made by key managerial
personnel and information available with the Company.
(p) LEASES
The Company''s significant leasing arrangements are in respect of
operating leases for office premises, stores & godown. The leasing
arrangements ranging between 11 months and five years are generally,
and are usually renew- able by mutual consent on agreed terms. The
aggregate lease rentals payable are charged as rent including lease
rentals.
(q) EARNING PER SHARE
The Company reports basic and diluted earnings per share (EPS) in
accordance with the Accounting Standard 20 prescribed under The
Companies Accounting Standards Rules, 2006. The Basic EPS has been
computed by dividing the income available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting year. The Diluted EPS has been computed using the weighted
average number of equity shares and dilutive potential equity shares
outstanding at the end of the year.
(r) TAXES ON INCOME
i) Deferred Taxation
In accordance with the Accounting Standard 22 - Accounting for Taxes on
Income, prescribed under The Companies Accounting Standards Rules,
2006, the deferred tax for timing differences between the book and tax
profits for the year is accounted for by using the tax rates and laws
that have been enacted or substantively enacted as of the Balance Sheet
Date.
Deferred tax assets arising from timing differences are recognised to
the extent there is virtual certainty that the assets can be realised
in future.
Net outstanding balance in Deferred Tax account is recognized as
deferred tax liability/asset. The deferred tax account is used solely
for reversing timing difference as and when crystallized. ii) Current
Taxation
Provision for taxation has been made in accordance with the income tax
laws prevailing for the relevant assessment years.
(s) IMPAIRMENT OF FIXED ASSETS
The carrying amount of assets, other than inventories, is reviewed at
each balance sheet date to determine whether there is any indication of
impairment. If any such indication exists, the assets recoverable
amount is estimated.
The impairment loss is recognized whenever the carrying amount of an
asset or its cash generation unit exceeds its recoverable amount. The
recoverable amount is the greater of the asset''s net selling price and
value in the uses, which is determined, based on the estimated future
cash flow discounted to their present values. All impairment losses are
recognized in the profit and loss account.
An impairment loss is reversed if there has been a change in the
estimates used to determine the recoverable amount and is recognized in
the profit and loss account.
(t) PROVISION, CONTINGENT LIABILITIES AND CONTIGENT ASSETS
Provisions involving substantial degree of estimation in measurements
are recognised 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 recognised but are disclosed in notes.
Contingent assets are neither recognised nor disclosed in the financial
statements.
(u) ACCOUNTING OF CLAIMS
i) Claims received are accounted at the time of received return goods
and damaged and expiry goods.
ii) Claims raised by Government authorities regarding taxes and duties,
which are disputed by the Company, are accounted based on legality of
each claim. Adjustments, if any, are made in the year in which disputes
are finally settled.
(v) EXPORT INCENTIVES
Though other Accounting Standards also apply to the Company by virtue
of the Companies Accounting Standards Rules, 2006, no disclosure for
the same is being made as the Company has not done any transaction to
which the said accounting standards apply.
Mar 31, 2013
(a) BASIS OF PREPARATION OF FINANCIAL STATEMENT
The financial statements of the Company have been prepared in
accordance with the Generally Accepted Accounting Principles in India
(Indian GAAP) to comply with the Accounting Standards notified under
the Companies (Accounting Standards) Rules, 2006 (as amended) and the
relevant provisions of the Companies Act, 1956. The financial state-
ments have been prepared on accrual basis under the historical cost
convention. The accounting policies adopted in the preparation of the
financial statements are consistent with those followed in the previous
year.
(b) USE OF ESTIMATES
The preparation of the financial statements in conformity with Indian
GAAP requires the Management to make estimates and assumptions
considered in the reported amounts of assets and liabilities (including
contingent liabilities) and the reported income and expenses during the
year. The Management believes that the estimates used in preparation of
the financial statements are prudent and reasonable. Future results
could differ due to these estimates and the differences between the
actual results and the estimates are recognized in the periods in which
the results are known/ materialize.
(c) INVENTORIES
i) Inventories are valued at lower of cost (FIFO Basis) or Net
Realizable value.
ii) Cost of inventories have been computed to include all costs of
purchases, cost of conversion and other costs incurred in bringing the
inventories to their present location and condition.
(d) CASH AND CASH EQUIVALENTS (FOR PURPOSES OF CASH FLOW STATEMENT)
Cash comprises cash on hand and demand deposits with banks. Cash
equivalents are short-term balances (with an original maturity of three
months or less from the date of acquisition), highly liquid investments
that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.
(e) CASH FLOW STATEMENT
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are segre-
gated based on the available information.
(f) PRIOR PERIOD ITEMS
All identifiable items of Income and Expenditure pertaining to prior
period are accounted through "Prior Period Expenses Account"
(g) DEPRECIATION
i) Depreciation on Fixed Assets is provided on straight line method at
rates and in the manner specified in Schedule XIV to the Companies Act,
1956 read with the relevant circulars issued by the Department of
Company Affairs.
ii) Depreciation on Assets acquired / disposed off during the year is
provided on pro-rata basis with reference to the date of
addition/disposal.
iii) Individual assets costing less than Rs.5000 are fully depreciated
in the year of purchase.
(h) REVENUE RECOGNITION
i) Sales are recognized, net of returns and trade discounts, on
transfer of significant risks and rewards of ownership to the buyer,
which generally coincides with the delivery of goods to customers.
Sales exclude sales tax/ value added tax.
ii) Income from services rendered is accounted for when the work is
performed.
iii) Interest revenues are recognized on time proportion basis taking
into account the amount outstanding and the rate applicable.
iv) Benefit on account of export incentives in the form of import
licenses are being accounted in the year of export based on the
certainty of receipt.
(i) FIXED ASSETS
i) Fixed assets are stated at cost of acquisition or construction. They
are stated at historical cost less accumulated depreciation.
ii) Expenditure on accounts of modification/alteration in plant and
machinery, which increases the future benefit from the existing asset
beyond its previous assessed standard of performance, is capitalized.
iii) Any capital expenditure in respect of assets, the ownership of
which would not vest with the Company, are charged off to revenue in
the year of incurrence.
(j) FOREIGN CURRENCY TRANSACTIONS
i) Initial Recognition
Transactions denominated in foreign currencies are recorded at the
exchange rates prevailing on the date of the transaction.
ii) Conversion
At the year-end, monetary items denominated in foreign currencies,
other than those covered by forward contracts, are converted into rupee
equivalents at the yearend exchange rates.
iii) Exchange Differences
All exchange differences arising on settlement and conversion of
foreign currency transaction are included in the Profit and Loss
Account.
iv) Forward Exchange Contracts
In respect of transactions covered by forward exchange contracts, the
difference between the forward rate and the exchange rate at the date
of contract is recognized as income or expense over the life of the
contract. (k) INVESTMENTS
i) 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 in the opinion of the management.
ii) Current investment are carried at the lower of cost and quoted/fair
value, computed category wise.
(l) EMPLOYEE BENEFITS
i) Provident Fund and Pension Fund: Contribution to provident and
pension fund maintained with the Provident fund authorities is charged
to Profit & Loss account on accrual basis.
ii) Gratuity: Gratuity liability as on 31st March, 2013 has not been
determined by the actuarial valuation and so that such liability has
not been provided for in these accounts.
iii) Leave Encashment: The company does not have any policy to carry
forward unutilized leaves. Accordingly no provision for same is made in
these accounts.
iv) Other Employee Benefits: Other Employee Benefits are accounted for
on accrual basis.
(m) BORROWING COSTS
Borrowing costs that are attributable to the acquisition or
construction of qualifying assets are capitalized as part of the cost
of such assets. A qualifying asset is one that necessarily takes
substantial period of time to get ready for intended use. All other
borrowing costs are charged to revenue.
(n) SEGMENT ACCOUNTING
Accounting Standard Interpretation (ASI) 20 Dated 14th February, 2004
issued by the Accounting Standards Board of the Institute Chartered
Accountants of India, on AS 17, Segment Reporting clarifies that in
case, by applying the definitions of "business segment" and
"geographical segment" given in AS 17, it is concluded that there
is neither more than one business segment nor more than one
geographical segment. Segment information as per AS 17 is not required
to be disclosed.
(o) RELATED PARTY TRANSACTIONS
Disclosure of transactions with Related Parties, as required by
Accounting Standard 18 "Related Party disclosures" has been set out
in a separate note forming part of this schedule. Related Parties as
defined under clause 3 of the Accounting Standard 18 have been
identified on the basis of representation made by key managerial
personnel and information available with the Company.
(p) LEASES
The Company''s significant leasing arrangements are in respect of
operating leases for office premises, stores & godown. The leasing
arrangements ranging between 11 months and five years are generally,
and are usually renew-
able by mutual consent on agreed terms. The aggregate lease rentals
payable are charged as rent including lease rentals.
(q) EARNING PER SHARE
The Company reports basic and diluted earnings per share (EPS) in
accordance with the Accounting Standard 20 prescribed under The
Companies Accounting Standards Rules, 2006. The Basic EPS has been
computed by dividing the income available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting year. The Diluted EPS has been computed using the weighted
average number of equity shares and dilutive potential equity shares
outstanding at the end of the year.
(r) TAXES ON INCOME
i) Deferred Taxation
In accordance with the Accounting Standard 22 - Accounting for Taxes on
Income, prescribed under The Companies Accounting Standards Rules,
2006, the deferred tax for timing differences between the book and tax
profits for the year is accounted for by using the tax rates and laws
that have been enacted or substantively enacted as of the Balance Sheet
Date.
Deferred tax assets arising from timing differences are recognized to
the extent there is virtual certainty that the assets can be realized
in future.
Net outstanding balance in Deferred Tax account is recognized as
deferred tax liability/asset. The deferred tax account is used solely
for reversing timing difference as and when crystallized.
ii) Current Taxation
Provision for taxation has been made in accordance with the income tax
laws prevailing for the relevant assessment years.
(s) IMPAIRMENT OF FIXED ASSETS
The carrying amount of assets, other than inventories, is reviewed at
each balance sheet date to determine whether there is any indication of
impairment. If any such indication exists, the assets recoverable
amount is estimated.
The impairment loss is recognized whenever the carrying amount of an
asset or its cash generation unit exceeds its recoverable amount. The
recoverable amount is the greater of the asset''s net selling price and
value in the uses, which is determined, based on the estimated future
cash flow discounted to their present values. All impairment losses are
recognized in the profit and loss account.
An impairment loss is reversed if there has been a change in the
estimates used to determine the recoverable amount and is recognized in
the profit and loss account.
(t) PROVISION, CONTINGENT LIABILITIES AND CONTIGENT ASSETS
Provisions involving substantial degree of estimation in measurements
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 notes.
Contingent assets are neither recognized nor disclosed in the financial
statements.
(u) ACCOUNTING OF CLAIMS
i) Claims received are accounted at the time of lodgment depending on
the certainty of receipt and claims payable are accounted at the time
of acceptance.
ii) Claims raised by Government authorities regarding taxes and duties,
which are disputed by the Company, are accounted based on legality of
each claim. Adjustments, if any, are made in the year in which disputes
are finally settled.
(v) EXPORT INCENTIVES
Export benefits under various scheme announced by the Central
Government under Exim policies are accounted for in the year of receipt
as against accrual basis to the extent considered receivable, depending
on the certainty of receipt up to previous year. However there is no
impact of the same on the profitability for the current year.
(W) Though other Accounting Standards also apply to the Company by
virtue of the Companies Accounting Standards Rules, 2006, no disclosure
for the same is being made as the Company has not done any transaction
to which they said accounting standards apply.
Mar 31, 2012
I) SYSTEMS OF ACCOUNTING
a) The Financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the the Companies Act,1956.
b) Accounting policies not specifically referred to otherwise are
consistant with the generally accepted accounting priciples. The
Company follows the mercantile systems of accounting and recognises
income and expenditure on acrual basis.
II) FIXED ASSETS
a) Fixed Assets are stated as cost less accumulated depreciation. All
cost relating to acquisition and installation of Fixed Assets.
III) DEPRECIATION
a) Depreciation on Fixed Assets is provided on Written down value
method at rates and in the manner specified under Schedule XIV to the
Companies Act,1956 read with the relevant circulars issued by the
Department of Company Affairs.
b) Depreciation on Assets acquired during the period is provided on
pro-rata basis with reference to the date of addition/disposal.
IV) INVESTMENTS
Long term investments are carried at cost. Provision for demunation in
the value of investments is made only, if, such a decline is other than
temporary in the opinion of the management.
V) FOREIGN CURRENCIES
Transactions in foreign currencies are recorded at the exchange rates
prevailing at the date of transactions. The resulting gain/loss is
recognised in the profit and loss account.
VI) INVENTORIES
Stocks of Raw materials,Packing materials and Work-in-process are
valued at Cost while Finished Goods is valued at lower of cost or
market value.
VII)REVENUE RECOGNITION
a) Sales- sales is accounted net of VAT,CST & Excise duty paid on
PLA.Sales is recognised at the point of despatch of finished goods. Job
Charges income is accounted at end of each quarter on the basis of work
done for the parties.
b) Unutilised CENVAT credit accounted at the end of year.
c) Insurance and other claims, to the extent considered recoverable,
are accounted for in the year of claim.
d) Interest on loans & advances accounts are provided at the rate
mutually decided orally between the parties. If there are no certainty
of recoverable of loans & advances, the interest is not provided.
e) The amount of Bad & Doubtfuls written off from Sundry Debtors, loans
& advances, accounts on the basis of parties capacity for payment or
tentitive decision is possible of court cases.
VIII) CASH FLOW
The cash flow statement is prepared as per method prescribed in
accounting Standard-(AS)-3.
IX) CONTINGENT LIABILITIES
Contingent liabilities are defined in accounting Standard (AS)-29 are
disclosed by way of notes to the accounts, if required.
X) EARNING PER SHARE
Earning per Share on the basis of diluted earnings per share (EPS) in
accordance with Accounting Standard- 20 issued by the Institure of
Chartered Accountants of India. The Basis EPS has been computed by
dividing the net profit available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting period.
XI) SEGMENT REPORTING
The Company's main business is manufacturing of H.L. Medicine. All
other activities of the Company revolve around this main business.
There are no separate segments within the Company as defined by AS 17
(Segment Reporting) issued by The Institute of Chartered Accountants of
India.
XII) DEFERRED IAX :
Deferred Tax assets or liabilities is recognised for timing difference
between the profit as per financial statements and the profit offered
to income tax, based on tax rates that have been enacted or
substantively enacted at the Balance Sheet date. The Deferred Tax
assests are recognised only, if, there is reasonable certainty that
sufficient future taxable income will be available, against which that
can be realise.
XIII) IMPAIRMENT LOSS OF ASSETS :
Considering absence of indication of impairment from external and
internal sources of information as laid down under AS-28 issued by ICAI
and considering the nature of business, no exercise for impairment of
fixed assets has been deemed necessary in terms of para 6 of relevant
standard.
Mar 31, 2011
I) SYSTEMS OF ACCOUNTING
a) The Financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the the Companies Act,1956.
b) Accounting policies not specifically referred to otherwise are
consistant with the generally accepted account- ing priciples. The
Company follows the mercantile systems of accounting and recognises
income and expendi- ture on accrued basis.
II) FIXED ASSETS
a) Fixed Assets are stated as cost less accumulated depreciation. All
cost relating to acquisition and installation of Fixed Assets including
financial cost upto the date the assets are put to used and adjustment
arising from exchange rate variation relating to specific borrowing
towards to the fixed assets.
III) DEPRECIATION
a) Depreciation on Fixed Assets is provided on Written down value
method at rates and in the manner specified under Schedule XIV to the
Companies Act,1956 read with the relevant circulars issued by the
Department of Company Affairs.
b) Depreciation on Assets acquired during the period is provided on
pro-rata basis with reference to the date of addition/disposal.
IV) INVESTMENTS
Long term investments are carried at cost. Provision for demunation in
the value of investments is made only, if, such a decline is other than
temporary in the opinion of the management.
V) FOREIGN CURRENCIES
Transactions in foreign currencies are recorded at the exchange rates
prevailing at the date of transactions. The resulting gain/loss is
recognised in the profit and loss account.
VI) INVENTORIES
Stocks of Raw materials,Packing materials and Work-in-process are
valued at Cost while Finished Goods is valued at lower of cost or
market value.
VII) REVENUE RECOGNITION
a) Sales- sales is accounted net of VAT,CST & Excise duty paid on
PLA.Sales is recognised at the point of despatch of finished goods. Job
Charges income is accounted at end of each quarter on the basis of work
done for the parties.
b) Unutilised CENVAT credit accounted at the end of year.
c) Insurance and other claims, to the extent considered recoverable,
are accounted for in the year of claim.
d) Interest on loans & advances accounts are provided at the rate
mutually decided orally between the parties. If, there are no certainty
of recoverable of loans & advances, the interest is not provided.
e) The amount of Bad & Doubtfuls written off from Sundry Debtors, loans
& advances, accounts on the basis of parties capacity for payment or
tentitive decision is possible of court cases.
VIII) CASH FLOW
The cash flow statement is prepared as per method prescribed in
accounting Standard-(AS)-3.
IX) CONTINGENT LIABILITIES
Contingent liabilities are defined in acocunting Standard (AS)-29 are
disclosed by way of notes to the accounts, if required.
X) EARNING PER SHARE
Earning per Share on the basis of diluted earnings per share (EPS) in
accordance with Accounting Standard- 20 issued by the Institure of
Chartered Accountants of India. The Basis EPS has been computed by
dividing the net profit available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting period.
XI) SEGMENT REPORTING
The Company's main business is manufacturing of H.L. Medicine. All
other activities of the Company revolve around this main business.
There are no separate segments within the Company as defined by AS 17
(Segment Reporting) issued by The Institute of Chartered Accountants of
India.
XII) DEFERRED TAX :
Deferred Tax assets or liabilities is recognised for timing difference
between the profit as per financial state- ments and the profit offered
to income tax, based on tax rates that have been enacted or
substantively enacted at the Balance Sheet date. The Deferred Tax
assests are recognised only, if, there is reasonable certainty that
sufficient future taxable income will be available, against which that
can be realise.
XIII) IMPAIRMENT LOSS OF ASSETS :
Considering absence of indication of impairment from external and
internal sources of information as laid down under AS-28 issued by ICAI
and considering the nature of business, no exercise for impairment of
fixed assets has been deemed necessary in terms of para 6 of relevant
standard.
Mar 31, 2010
I) SYSTEMS OF ACCOUNTING
a) The Financial statements have been prepared under the historical
cost convention in accordance with the generally accepted accounting
principles and the provisions of the the Companies Act,1956.
b) Accounting policies not specifically referred to otherwise are
consistant with the generally accepted account- ing priciples. The
Company follows the mercantile systems of accounting and recognises
income and expendi- ture on acrual basis.
II) FIXED ASSETS
a) Fixed Assets are stated as cost less accumulated depreciation. All
cost relating to acquisition and installation of Fixed Assets including
financial cost upto the date the assets are put to used and adjustment
arising from exchange rate variation relating to specific borrowing
towards to the fixed assets.
III) DEPRECIATION
a) Depreciation on Fixed Assets is provided on Written down value
method at rates and in the manner specified under Schedule XIV to the
Companies Act,1956 read with the relevant circulars issued by the
Department of Company Affairs.
b) Depreciation on Assets acquired during the period is provided on
pro-rata basis with reference to the date of addition/disposal.
IV) INVESTMENTS
Long term investments are carried at cost. Provision for demunation in
the value of investments is made only, if. such a decline is other
than temporary in the opinion of the management.-
V) FOREIGN CURRENCIES
Transactions in foreign currencies are recorded at the exchange rates
prevailing at the date of transactions. The resulting gain/loss is
recognised in the profit and loss account.
VI) INVENTORIES
Stocks of Raw materials,Packing materials and Work-in-process are
valued at Cost while Finished Goods is valued at lower of cost or
market value.
VII) REVENUE RECOGNITION
a) Sales- sales is accounted net of VAT, CST & Excise duty paid on
PLA.Sales is recognised at the point of despatch of finished goods. Job
Charges income is accounted at end of each quarter on the basis of work
done for the parties.
b) Unutilised CENVAT credit accounted at the end of year.
c) Insurance and other claims, to the extent considered recoverable,
are accounted for in the year of claim.
d) Interest on loans & advances accounts are provided at the rate
mutually decided orally between the parties. If there are no certainty
of recoverable of loans & advances, the interest is not provided
e) The amount of Bad & Doubtfuls written off from Sundry Debtors, loans
& advances, accounts on the basis of , parties capacity for payment or
tentitive decision is possible of court cases.
VIII) CASH FLOW
The cash flow statement is prepared as per method prescribed in
accounting Standard-(AS)-3.
IX) CONTINGENT LIABILITIES
Contingent liabilities are defined in acocunting Standard (AS)-29 are
disclosed by way of notes to the accounts, if required.
X) EARNING PER SHARE
Earning per Share on the basis of diluted earnings per share (EPS) in
accordance with Accounting Standard- 20 issued by the Institure of
Chartered Accountants of India. The Basis EPS.has been computed by
dividing the net profit available to equity shareholders by the
weighted average number of equity shares outstanding during the
accounting period.
XI) SEGMENT REPORTING
The Companys main business is manufacturing of H.L. Medicine. All
other activities of the Company revolve around this main business.
There are no separate segments within the Company as defined by AS 17
(Segment Reporting) issued by The Institute of Chartered Accountants of
India.
XII) DEFERRED TAX:
Deferred Tax assets or liabilities is recognised for timing difference
between the profit as per financial state- ments and the profit
offered to income tax, based on tax rates that have been enacted or
substantively enacted at the Balance Sheet date. The Deferred Tax
assests are recognised only, if, there is reasonable certainty that
sufficient future taxable income will be available, against which that
can be realise.
XIII) IMPAIRMENT LOSS OF ASSETS :
Considering absence of indication of impairment from external and
internal sources of information as laid down under AS-28 issued by ICAI
and considering the nature of business, no exercise for impairment of
fixed assets has been deemed necessary in terms of para 6 of relevant
standard.
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