Mar 31, 2015
From the year ended 31 March 2015, the Schedule III notified under the
Companies Act 2013, has become applicable to the company, for
preparation and presentation of its financial statements. The adoption
of Schedule III does not impact recognition and measurement principles
followed for preparation of financial statements. However, it has
significant impact on presentation and disclosures made in the
financial statements. The company has also reclassified the previous
year figures in accordance with the requirements applicable in the
current year.
* Use of estimates
The preparation of financial statements in conformity with Indian GAAP
requires the management to make judgments, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although these estimates are based on the
management's best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amounts of assets or
liabilities in future periods.
* Fixed Assets
Fixed Assets are stated at cost. Depreciation of fixed assets is
calculated at the rates prescribed under Schedule XIV to the Companies
Act, 1956.
* Depreciation
Depreciation on fixed assets is provided on straight-line method at the
rates prescribed in Schedule XIV to the Companies Act, 1956.
* Investment
Investments, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments. On initial recognition, all
investments are measured at cost.
Current investments are carried in the financial statements at lower of
cost and fair value determined on an individual investment basis.
Long-term investments are carried at cost. On disposal of an
investment, the difference between its carrying amount and net disposal
proceeds is charged or credited to the statement of profit and loss.
* Inventories
Raw materials, components, stores and spares are valued at lower of
cost and net realizable value. Work in progress and finished goods are
valued at lower of cost and net realizable value.
* Revenue Recognition
Revenue is recognized to the extent that it is probable that the
economic benefits will flow to the company and the revenue can be
reliably measured.
* Income tax
* Tax expense comprises current and deferred tax. Current income-tax is
measured at the amount expected to be paid to the tax authorities in
accordance with the Income-tax Act, 1961 enacted in India and tax laws
prevailing in the respective tax jurisdictions where the company
operates. The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, at the reporting date.
* Deferred income taxes reflect the impact of timing differences
between taxable income and accounting income originating during the
current year and reversal of timing differences for the earlier years.
Mar 31, 2014
From the year ended 31 March 2012, the revised Schedule VI notified
under the Companies Act 1956, has become applicable to the company, for
preparation and presentation of its financial statements. The adoption
of revised Schedule VI does not impact recognition and measurement
principles followed for preparation of financial statements. However,
it has significant impact on presentation and disclosures made in the
financial statements. The company has also reclassified the previous
year figures in accordance with the requirements applicable in the
current year.
* Use of estimates
The preparation of financial statements in conformity with Indian GAAP
requires the management to make judgments, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although these estimates are based on the
management''s best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amounts of assets or
liabilities in future periods.
* Fixed Assets
Fixed Assets are stated at cost. Depreciation of fixed assets is
calculated at the rates prescribed under Schedule XIV to the Companies
Act, 1956.
* Depreciation
Depreciation on fixed assets is provided on straight-line method at the
rates prescribed in Schedule XIV to the Companies Act, 1956.
* Investment
Investments, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments. On initial recognition, all
investments are measured at cost.
Current investments are carried in the financial statements at lower of
cost and fair value determined on an individual investment basis.
Long-term investments are carried at cost. On disposal of an
investment, the difference between its carrying amount and net disposal
proceeds is charged or credited to the statement of profit and loss.
* Inventories
Raw materials, components, stores and spares are valued at lower of
cost and net realizable value. Work in progress and finished goods are
valued at lower of cost and net realizable value.
* Revenue Recognition
Revenue is recognized to the extent that it is probable that the
economic benefits will flow to the company and the revenue can be
reliably measured.
* Income tax
* Tax expense comprises current and deferred tax. Current income-tax is
measured at the amount expected to be paid to the tax authorities in
accordance with the Income-tax Act, 1961 enacted in India and tax laws
prevailing in the respective tax jurisdictions where the company
operates. The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, at the reporting date.
* Deferred income taxes reflect the impact of timing differences
between taxable income and accounting income originating during the
current year and reversal of timing differences for the earlier years.
Mar 31, 2013
- Fixed Assets
Fixed Assets are stated at cost. Depreciation of fixed assets is
calculated at the rates prescribed under Schedule XIV to the Companies
Act, 1956.
- Depreciation
Depreciation on fixed assets is provided on straight-line method at the
rates prescribed in Schedule XIV to the Companies Act, 1956.
- Investment
Investments, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments. On initial recognition, all
investments are measured at cost.
Current investments are carried in the financial statements at lower of
cost and fair value determined on an individual investment basis.
Long-term investments are carried at cost. On disposal of an
investment, the difference between its carrying amount and net disposal
proceeds is charged or credited to the statement of profit and loss.
- Inventories
Raw materials, components, stores and spares are valued at lower of
cost and net realizable value. Work in progress and finished goods are
valued at lower of cost and net realizable value.
- Revenue Recognition
Revenue is recognized to the extent that it is probable that the
economic benefits will flow to the company and the revenue can be
reliably measured.
- Income tax
o Tax expense comprises current and deferred tax. Current income-tax is
measured at the amount expected to be paid to the tax authorities in
accordance with the Income-tax Act, 1961 enacted in India and tax laws
prevailing in the respective tax jurisdictions where the company
operates. The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, at the reporting date.
o Deferred income taxes reflect the impact of timing differences
between taxable income and accounting income originating during the
current year and reversal of timing differences for the earlier years.
Mar 31, 2012
During the year ended 31 March 2012, the revised Schedule VI notified
under the Companies Act 1956, has become applicable to the company, for
preparation and presentation of its financial statements. The adoption
of revised Schedule VI does not impact recognition and measurement
principles followed for preparation of financial statements. However,
it has significant impact on presentation and disclosures made in the
financial statements. The company has also reclassified the previous
year figures in accordance with the requirements applicable in the
current year.
· Use of estimates
The preparation of financial statements in conformity with Indian GAAP
requires the management to make judgments, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities and the disclosure of contingent liabilities, at the end of
the reporting period. Although these estimates are based on the
management''s best knowledge of current events and actions, uncertainty
about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amounts of assets or
liabilities in future periods.
· Fixed Assets
Fixed Assets are stated at cost. Depreciation of fixed assets is
calculated at the rates prescribed under Schedule XIV to the Companies
Act, 1956.
· Depreciation
Depreciation on fixed assets is provided on straight-line method at the
rates prescribed in Schedule XIV to the Companies Act, 1956.
Investment
Investments, which are readily realizable and intended to be held for
not more than one year from the date on which such investments are
made, are classified as current investments. All other investments are
classified as long-term investments. On initial recognition, all
investments are measured at cost. Current investments are carried in
the financial statements at lower of cost and fair value determined on
an individual investment basis. Long-term investments are carried at
cost. On disposal of an investment, the difference between its carrying
amount and net disposal proceeds is charged or credited to the
statement of profit and loss.
Mar 31, 2011
A) ACCOUNTING CONVENTION
Financial statements are prepared under the historical cost convention,
in accordance with generally Accepted Accounting Principles and the
provisions of the Companies Act, 1956 except where otherwise stated.
The company generally follows mercantile system of accounting and
recognizes income and expenditure on accrual basis.
b) USE OF ESTIMATES
The preparation of financial statements in conformity with GAAP
requires that the management makes estimates and assumptions that
affect the reported amount of assets and liabilities, disclosure of
contingent liabilities as at the date of financial statements, and the
reported amount of revenues and expenses during the reported year.
Actual results could differ from those estimates.
c) FIXED ASSETS
Fixed Assets are stated at cost less Depreciation.
d) DEPRECIATION
Depreciation has been provided as per Straight Line Method at rates
prescribed in Schedule XIV of the Companies Act 1956.
e) INVESTMENTS
The investments of the company are bifurcated into long term and short
term investments. The long term investments are stated at cost. Any
decline in the value of investments other than a temporary decline is
recognized and charged to Profit & Loss Account.
f) EXPENDITURE
Accrual basis of accounting has been followed.
g) REVENUE RECOGNITION
All incomes are accounted for on accrual basis except dividend income,
which is accounted for as per the provisions of accounting standard
issued by The Institute of Chartered Accountants of India.
i) TAXATION
Income tax is accounted for in accordance with Accounting Standard 22
"Accounting for taxes on income" as issued by the Institute of
Chartered Accountants of India. Tax expense comprises both current and
deferred taxes. Current tax is determined on the taxable profits of the
year using the applicable tax rates and tax laws. Deferred tax for the
year is recognized on timing difference, being the difference between
taxable income and accounting income that originate in one period and
are capable of reversal in one or more subsequent periods.
Deferred tax assets and liabilities are measured using the tax rates
and tax laws that have been enacted or substantively enacted by the
Balance Sheet date. Deferred tax assets are recognized and carried
forward only if there is a reasonable/virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
j) EARNING PER SHARE
The earnings considered in accounting the company''s Earning Per Share
("EPS") comprises the Net Profit after tax. The number of shares used
in computing Basic and Diluted EPS is the weighted average number of
shares outstanding during the year.
k) IMPAIRMENT OF ASSETS
All assets other than inventories, investments and deferred tax assets
are reviewed for impairment at each balance sheet date, wherever events
or changes in circumstances indicate that the carrying amount may not
be recoverable.
l) CONTINGENT LIABILITIES
Contingent liabilities are not provided for, and if any, are disclosed
separately by way of notes.
Mar 31, 2010
A) ACCOUNTING CONVENTION
Financial statements are prepared under the historical cost convention,
in accordance with generally Accepted Accounting Principles and the
provisions of the Companies Act, 1956 except where otherwise stated.
The company generally follows mercantile system of accounting and
recognizes income and expenditure on accrual basis.
b) USE OF ESTIMATES
The preparation of financial statements in conformity with GAAP
requires that the management makes estimates and assumptions that
affect the reported amount of assets and liabilities, disclosure of
contingent liabilities as at the date of financial statements, and the
reported amount of revenues and expenses during the reported year.
Actual results could differ from those estimates.
c) FIXED ASSETS
Fixed Assets are stated at cost less Depreciation.
d) DEPRECIATION
Depreciation has been provided as per Straight Line Method at rates
prescribed in Schedule XIV of the Companies Act 1956.
e) INVESTMENTS
The investments of the company are bifurcated into long term and short
term investments. The long term investments are stated at cost. Any
decline in the value of investments other than a temporary decline is
recognized and charged to Profit & Loss Account.
f) EXPENDITURE
Accrual basis of accounting has been followed.
g) REVENUE RECOGNITION
All incomes are accounted for on accrual basis except dividend income,
which is accounted for as per the provisions of accounting standard
issued by The Institute of Chartered Accountants of India.
i) TAXATION
Income tax is accounted for in accordance with Accounting Standard 22
ÂAccounting for taxes on income as issued by the Institute of
Chartered Accountants of India. Tax expense comprises both current and
deferred taxes. Current tax is determined on the taxable profits of the
year using the applicable tax rates and tax laws. Deferred tax for the
year is recognized on timing difference, being the difference between
taxable income and accounting income that originate in one period and
are capable of reversal in one or more subsequent periods.
Deferred tax assets and liabilities are measured using the tax rates
and tax laws that have been enacted or substantively enacted by the
Balance Sheet date. Deferred tax assets are recognized and carried
forward only if there is a reasonable/virtual certainty that sufficient
future taxable income will be available against which such deferred tax
assets can be realized.
j) EARNING PER SHARE
The earnings considered in accounting the company''s Earning Per Share
(ÂEPSÂ) comprises the Net Profit after tax. The number of shares used
in computing Basic and Diluted EPS is the weighted average number of
shares outstanding during the year.
k) IMPAIRMENT OF ASSETS
All assets other than inventories, investments and deferred tax assets
are reviewed for impairment at each balance sheet date, wherever events
or changes in circumstances indicate that the carrying amount may not
be recoverable.
l) CONTINGENT LIABILITIES
Contingent liabilities are not provided for, and if any, are disclosed
separately by way of notes.
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article