Mar 31, 2015
Foreign Currency Transaction: monetary assets are translated at
the exchange rates prevailing on the date of Revenu
Revenue fom contracts priced on time are recognised when the services
are rendered and related costs are b Intees ed. receipts are recognised
on time proportion basis taking into account the amount outstanding and
c DMapp nd icab recognised when the right to receive payment is
established.
a Other short term employee benefits
The amount of short term employee benefits expected to be paid in
exchange of services rendered by the employee is recognised during the
period in which the service is rendered. The benefits include
performance incentive.
b Segment Reporting
The Company's main business is providing of software services. There
are no separate reportable segments as per Accounting Standard 17 (AS
17). Secondary segmental reporting is based on geographical location of
customer and assets.
c Derivative Instruments and hedge accounting
Forwarding Exchange Contracts enterend int hedging foreign currency
risk of an existing asset or liability. The premium or discount arising
at the inception of forward exchange contract is amortized and
recognized as an expense/ income over the life of the contract.
Exchange difference on such contract, except the contracts which are
long term foreign currency monetary item, are recognized in the
statement of profit & loss in the period in which the exchange rate
change. Any Profit or Loss arising on cancellation or renewal of such
forward exchange contract is also recognised as income or as expense
for the period.
d The Managing Director & Executive Chairman have given their personal
guarantee for the Term loan and cash credit facilities availed from
State Bank of India.
Mar 31, 2014
I Basis of Preparation of financial Statements
The financial statements have been prepared to comply with Accounting
Principles generally accepted in India, the Accounting Standards
notified under the Companies (Accounting Standard Rules) 2006 and the
relevant provisions of the Companies Act, 1956.
ii Fixed Assets:
a Tangible Assets
Fixed assets are stated at cost less accumulated depreciation and
impairment loss, if any. The carrying amount of assets are reviewed at
each balance sheet date if there is an indication of impairment based
on internal/external factors. An impairment loss is recognised whenever
the carrying amount of an asset exceeds its recoverable amount. The
reduction is treated as impairment loss and recognised in the statement
of Profit & Loss account. b Intangible Assets
Intangible assets are stated at cost less accumulated depreciation. The
costs consists of purchase cost and any other cost directly
attributable to bringing the assets to its working condition for its
intended use. Subsequent expenditure incurred in relation to an item of
intangible asset are added to its book value only if they increase the
future benefits from the existing asset beyond the previously assessed
standard of performance.
iii Investments:
Investments held are all long term based on Management''s intention at
the time of purchase.
Cost of overseas investments comprise of Indian rupee value of
consideration paid for the investment translated at the exchange rate
prevailing at the date of investment.
iv Foreign Currency Transaction:
a Foreign currency denominated monetary assets are translated at the
exchange rates prevailing on the date of the balance sheet.
b Monetary items denominated in foreign currency at the year end are
restated at year end rates.
c Non Monetary item foreign currency items are stated at cost.
d Items of revenue and expenditure are translated at the rates
prevailing on the date ofthe transaction.
The resultant differences are recognised in the Statement of Profit &
Loss account.
v Revenue recognition:
a Revenue from contracts priced on time are recognised when the
services are rendered and related costs are incurred.
b Interest receipts are recognised on time proportion basis taking into
account the amount outstanding and rate applicable.
c Dividend is recognised when the right to receive payment is
established.
vi Depreciation
Depreciation is charged on Straight Line method as per the rates
prescribed. Pro rata depreciation is charged on additions during the
year
vii Taxation
a Current Tax expense comprise of tax on income from Indian and
overseas operations. Income tax payable is determined as per the
provisions of the Indian Income tax Act, 1961. Minimum Alternative Tax
(MAT) paid which gives rise to future economic benefits in the form of
adjustment of future tax liability is considered as an asset.
b Deferred Tax expense is recognised on timing difference being the
difference between taxable and accounting income that originate in one
period to be reversed in one or more subsequent periods. Deferred tax
liability or asset are determined at the rates prevailing at the
balance sheet date.
viii Employee benefits
a Provident fund
Provident fund contributions are as per the rates prescribed by the
Employees Provident fund act and the same is charged to the profit &
loss account
b Gratuity
The expenditure is recognised based on present value of obligation as
determined in accordance with AS 15 on Employee benefits c Other short
term employee benefits
The amount of short term employee benefits expected to be paid in
exchange of services rendered by the employee is recognised during the
period in which the service is rendered. The benefits include
performance incentive. ix Derivative Instruments and hedge accounting
Forwarding exchange Contracts enterend int hedging foreign currency
risk of an existing asset or liability. The premium or discount arising
at the inception of forward exchange contract is amortized and
recognised as an expense/ income over the life of the contract.
Exchange difference on such contract, except the contracts which are
long term foreign currency monetary item, are recognized in the
statement of profit & loss in the period in which the exchange rate
change. Any Profit or Loss arising on cancellation or renewal of such
forward exchange contract is also recognised as income or as expense
for the period.
Mar 31, 2013
A Fixed Assets:
Fixed assets are stated at cost less accumulated depreciation. The
carrying amount of assets are reviewed at each balance sheet date if
there is an indication of impairment based on internal/external
factors. An impairment loss is recognised whenever the carrying amount
of an asset exceeds its recoverable amount. The reduction is treated
as impairment loss and recognised in the statement of profit & loss
account.
b Investments:
Investments held are all long term based on Management''s intention at
the time of purchase. Cost of overseas investments comprise of Indian
rupee value of consideration paid for the investment translated at the
exchange rate prevailing at the date of investment.
c Current Assets:
Trade Receivables are stated at net realisable value
d Income recognition:
Revenue from software development services, products are recognised
when services are recognised on completion of contract or stage of
completion as per applicable terms and conditions agreed with
customers. Revenue from contacts priced on time are recognised when
services are rendered and related costs incurred.
e Foreign Currency Transaction:
Foreign currency denominated monetary assets are translated at the
exchange rates prevailing on the date of the balance sheet. Items of
revenue and expenditure are translated at the rates prevailing on the
date of the transaction. The resultant differences are recognised in
the Statement of Profit & Loss account.
f Retirement Benefits
Company provides for gratuity for eligible employees determined by
actuarial valuation.
g Forward Contracts in foreign currencies
The company uses forward contracts to hedge its exposure to movements
in foreign exchange rates. The use of these forward contracts reduce
the risk or cost of the company and not used for speculative or trading
purposes.
Mar 31, 2012
A Fixed Assets:
Fixed assets are stated at cost less accumulated depreciation. The
carrying amount of assets are reviewed at each balance sheet date if
there is an indication of impairment based on internal/external
factors. An impairment loss is recognised whenever the carrying amount
of an asset exceeds its recoverable amount. The reduction is treated as
impairment loss and recognised in the statement of profit & loss
account.
b Investments:
Investments held are all long term based on Management's intention at
the time of purchase. Cost of overseas investments comprise of Indian
rupee value of consideration paid for the investment translated at the
exchange rate prevailing at the date of investment.
c Current Assets:
Trade Receivables are stated at net realisable value
d Income recognition:
Revenue from software development services, products are recognised
when services are recognised on completion of contract or stage of
completion as per applicable terms and conditions agreed with
customers. Revenue from contacts priced on time are recognised when
services are rendered and related costs incurred.
e Foreign Currency Transaction:
Foreign currency denominated monetary assets are translated at the
exchange rates prevailing on the date of the balance sheet. Items of
revenue and expenditure are translated at the rates prevailing on the
date of the transaction. The resultant differences are recognised in
the Statement of Profit & Loss account.
f Retirement Benefits
Company provides for gratuity for eligible employees determined by
actuarial valuation.
g Forward Contracts in foreign currencies
The company uses forward contracts to hedge its exposure to movements
in foreign exchange rates. The use of these forward contracts reduce
the risk or cost of the company and not used for speculative or trading
purposes.
Mar 31, 2011
Fixed Assets:
Fixed assets are stated at cost of acquisition less accumulated
depreciation. The carrying amounts of assets are reviewed at each
balance sheet date if there is an indication of impairment based on
internal/external factors. An impairment loss is recognised wherever
the carrying amount of an asset exceeds its recoverable amount. The
reduction is treated as impairment loss and is recognised in the profit
& loss account.
Investments:
Investments are stated at cost. Investments in shares of fully owned
foreign subsidiary are stated at cost and expressed in Indian rupees at
the rate of exchange prevailing at the time of actual remittance.
Current Assets:
Debtors: Debtors are stated at net realizable value.
Revenue Recognition:
Items of Income & Expenditure are recognised on accrual basis. Revenue
from software development, Services & Products are recognized on
completion of contract or stage of completion as per the applicable
terms & conditions agreed with customers.
Depreciation:
Depreciation is charged on Straight line method as per rates specified
in Schedule XIV of the Companies Act, 1956. Depreciation has been
calculated on prorata basis on additions during the year.
Foreign Currency transactions:
Income from Software Development, Services & products and expenses are
recorded at rates prevailing on the date of the transaction. Expenses
incurred in foreign currency are recorded at rates prevailing when the
expenditure was incurred. The foreign exchange difference which have
arisen during the year have been recognised in the period in which they
arise.
Monetary Current Assets & Current Liabilities that are denominated in
foreign currency are translated at the exchange rate prevalent as at
the date of the balance sheet. The resultant difference is recognised
in the Profit & Loss Account.
Mar 31, 2010
Fixed Assets:
Fixed assets are stated at cost of acquisition less accumulated
depreciation. The carrying amounts of assets are reviewed at each
balance sheet date if there is an indication of impairment based on
internal/external factors. An impairment loss is recognised wherever
the carrying amount of an asset exceeds its recoverable amount. The
reduction is treated as impairment loss and is recognised in the profit
& loss account.
Investments:
Investments are stated at cost. Investments in shares of fully owned
foreign subsidiary are stated at cost and expressed in Indian rupees at
the rate of exchange prevailing at the time of actual remittance.
Current Assets:
Debtors: Debtors are stated at net realizable value.
Revenue Recognition:
Items of Income & Expenditure are recognised on accrual basis. Revenue
from software development, Services & Products are recognized on
completion of contract or stage of completion as per the applicable
terms & conditions agreed with customers.
Depreciation:
Depreciation is charged on Straight line method as per rates specified
in Schedule XIV of The Companies Act, 1956. Depreciation has been
calculated on prorata basis on additions during the year.
Foreign Currency transactions:
Income from Software Development, Services & products and expenses are
recorded at rates prevailing on the date of the transaction. Expenses
incurred in foreign currency are recorded at rates prevailing when the
expenditure was incurred. The foreign exchange difference which have
arisen during the year have been recognised in the period in which they
arise.
Monetary Current Assets & Current Liabilities that are denominated in
foreign currency are translated at the exchange rate prevalent as at
the date of the balance sheet. The resultant difference i s recognised
in the Profit & Loss Account.
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