Mar 31, 2015
A) Basis of Preparation of Financial Statements:
i) The financial statements are prepared under the historical cost
convention and are prepared on accrual basis in accordance with the
generally accepted accounting principles in India (Indian
GAAP),applicable provisions of the Companies Act, 2013, the Accounting
Standards specified under Section 133 of the Companies Act, 2013 read
with Rule 7 of Companies (Accounts) Rules 2014. All incomes and
expenditures, having a material bearing on the finanical statements,
are recognized on an accrual basis.
Use of Estimates
ii) The preparation of financial statements in conformity with Indian
GAAP requires judgements, estimates and assumptions to be made that
affect the reported amount of assets and liabilities on the date of the
financial statements and the reported amount of revenues and expenses
during the reporting period. Difference between the actual results and
estimates are recognised in the period in which the results are known/
materialized.
B) Fixed Assets :
Tangible Assets
i) Tangible Assets are stated at historical cost of acquisition /
construction, net of cenvat less accumulated depreciation and
impairment loss, if any. All costs including financial costs and
revenue expenditure till commencement of services, net charges on
foreign exchange contracts and adjustments arising from exchange rate
variations attributable to the tangible assets are capitalized.
Grants/ subsidies received, if any, from Government and others towards
cost/ part of the cost fixed asset(s) are reduced from the cost of the
respective asset(s) and the net cost incurred by the Company only is
carried to the fixed assets block.
Intangible assets
Intangible Assets are stated at cost of acquisition net of recoverable
taxes less accumulated amortisation/ depletion and impairment loss, if
any. The cost comprises purchase price, borrowing costs, and any cost
directly attributable to bringing the asset to its working condition
for the intended use .
ii) Capital Work-in-Progress: Amounts spent on expansion project are
carried at cost under the head Capital Works in Progress. As and when
the assets are put to commercial use, cost of the respective asset is
capitalized. Besides the direct cost, indirect costs relating to the
acquisition and installation of assets incurred till the assets are put
to use are capitalized in the proportionate value of assets.
Depreciation, Amortization and Depletion
iii) Depreciation on tangible fixed assets is provided under straight
line method (SLM) over the useful lives of assets estimated by the
management in the manner prescribed in Schedule II to the Companies
Act, 2013.
iv) Amortisation of intangible assets is provided as per the useful
lives of the same.
v) Impairment of Assets : An asset is treated as impaired when the
carrying cost exceeds its recoverable value. An impairment loss is
charged to the Profit & Loss Account in the year in which an asset is
identified as impaired. The impairment loss recognized in a prior
accounting period is reversed if there has been a change in the
estimate of recoverable amount.
C) Revenue Recognition :
Revenue is recognized to the extent it is probable that the economic
benefits will flow to the company and the revenue can be reliably
measured.
i) Revenue from Testing and Analysis Services is recognized as the
service is performed in accordance with the methods prescribed in AS -
9, Revenue Recognition.
ii) Interest income is recognized on a time proportion basis taking
into account the amount outstanding and the rate applicable.
D) Employee Benefits :
i) Short term employee benefits are recognized as an expense at the
undiscounted amount in the Profit and Loss account of the year in which
the related service is rendered.
ii) Post employment and other long term employee benefits are
recognized as an expense in the Profit and Loss account for the year in
which the employee has rendered services. The expense is recognized at
the present value of the amounts payable determined using actuarial
valuation techniques. Actuarial gains and losses in respect of post
employment and other long term benefits are charged to the Profit and
Loss account.
E) Prior Period Expenses/ Income :
The Company follows the practice of making adjustments through
"expenses/income under/over provided" in previous years in respect of
material transactions pertaining to that period prior to the current
accounting year.
F) Foreign Currency Transactions :
Foreign currency transactions are recorded at the rates of exchange
prevailing on the date of transaction. Foreign currency monetary items
are reported using the closing rate. Non-monetary items which are
carried in terms of historical cost denominated in a foreign currency
are reported using the exchange rate at the date of transaction.
Exchange differences arising on the settlement of monetary items or on
reporting company's monetary items at rates different from those at
which they were initially recorded during the year, or reported in
previous financial statements, are recognized as income or expense in
the year in which they arise.
G) 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 its intended use. All other
borrowing costs are charged to Profit and Loss account.
H) Earnings per Share :
The basic earnings per share is computed by dividing the net profit
attributable to equity shareholders for the period by the weighted
average number of equity shares 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 which
could have been issued on the conversion of all dilutive potential
equity shares. In computing diluted earnings per share, only potential
equity shares that are dilutive and that either reduce earnings per
share or increase loss per share are included.
I) Provision for Current and Deferred Tax :
Provision for Current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax resulting from "timing difference" between taxable income
and accounting income is accounted for using the tax rates and laws
that are enacted or substantively enacted as on the balance sheet date.
Deferred tax asset is recognized and carried forward only to the extent
that there is virtual certainty that the asset will be realized in
future.
J) Provisions, Contingent Liabilities and Contingent Assets :
Provisions involving substantial degree of estimation in measurement
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 the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
K) General :
Accounting policies not specifically referred to above are consistent
with the generally accepted accounting principles followed in India.
Mar 31, 2014
A ) Basis of Preparation of Financial Statements:
i) The financial statements are prepared under the historical cost
convention and are prepared on accrual basis in accordance with the
generally accepted accounting principles in India (Indian GAAP), the
Accounting Standards notified under the Companies (Accounting Standard)
Rules, 2006 and the relevant provisions of the Companies Act, 1956.
Use of Estimates
ii) The preparation of financial statements in conformity with Indian
GAAP requires judgements, estimates and assumptions to be made that
affect the reported amount of assets and liabilities on the date of the
financial statements and the reported amount of revenues and expenses
during the reporting period. Difference between the actual results and
estimates are recognised in the period in which the results are known/
materialized.
B) Fixed Assets :
Tangible Assets
i) Tangible Assets are stated at historical cost of acquisition /
construction, net of cenvat less accumulated depreciation and
impairment loss, if any. All costs including financial costs and
revenue expenditure till commencement of services, net charges on
foreign exchange contracts and adjustments arising from exchange rate
variations attributable to the tangible assets are capitalized.
Grants/ subsidies received, if any, from Government and others towards
cost/ part of the cost fixed asset(s) are reduced from the cost of the
respective asset(s) and the net cost incurred by the Company only is
carried to the fixed assets block.
Intangible assets
Intangible Assets are stated at cost of acquisition net of recoverable
taxes less accumulated amortisation/ depletion and impairment loss, if
any. The cost comprises purchase price, borrowing costs, and any cost
directly attributable to bringing the asset to its working condition
for the intended use .
ii) Capital Work-in-Progress: Amounts spent on expansion project are
carried at cost under the head Capital Works in Progress. As and when
the assets are put to commercial use, cost of the respective asset is
capitalized. Besides the direct cost, indirect costs relating to the
acquisition and installation of assets incurred till the assets are put
to use are capitalized in the proportionate value of assets.
Depreciation, Amortization and Depletion
iii) Depreciation on fixed assets, both Tangible & Intangible, is
provided under straight line method (SLM) at the rates specified in
Schedule XIV of the Companies Act, 1956. Depreciation on additions /
deletions to assets during the year is provided on pro- rata basis.
iv) Impairment of Assets : An asset is treated as impaired when the
carrying cost exceeds its recoverable value. An impairment loss is
charged to the Profit & Loss Account in the year in which an asset is
identified as impaired. The impairment loss recognized in a prior
accounting period is reversed if there has been a change in the
estimate of recoverable amount.
C) Revenue Recognition :
Revenue is recognized to the extent it is probable that the economic
benefits will flow to the company and the revenue can be reliably
measured.
i) Revenue from Testing and Analysis Services is recognized as the
service is performed in accordance with the methods prescribed in AS -
9, Revenue Recognition.
ii) Interest income is recognized on a time proportion basis taking
into account the amount outstanding and the rate applicable.
D) Employee Benefits :
i) Short term employee benefits are recognized as an expense at the
undiscounted amount in the Profit and Loss account of the year in which
the related service is rendered.
ii) Post employment and other long term employee benefits are
recognized as an expense in the Profit and Loss account for the year in
which the employee has rendered services. The expense is recognized at
the present value of the amounts payable determined using actuarial
valuation techniques. Actuarial gains and losses in respect of post
employment and other long term benefits are charged to the Profit and
Loss account.
E) Prior Period Expenses/ Income :
The Company follows the practice of making adjustments through
"expenses/income under/over provided" in previous years in respect of
material transactions pertaining to that period prior to the current
accounting year.
F) Foreign Currency Transactions :
Foreign currency transactions are recorded at the rates of exchange
prevailing on the date of transaction. Foreign currency monetary items
are reported using the closing rate. Non-monetary items which are
carried in terms of historical cost denominated in a foreign currency
are reported using the exchange rate at the date of transaction.
Exchange differences arising on the settlement of monetary items or on
reporting company''s monetary items at rates different from those at
which they were initially recorded during the year, or reported in
previous financial statements, are recognized as income or expense in
the year in which they arise.
G) 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 its intended use. All other
borrowing costs are charged to Profit and Loss account.
H) Earnings per Share :
The basic earnings per share is computed by dividing the net profit
attributable to equity shareholders for the period by the weighted
average number of equity shares 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 which
could have been issued on the conversion of all dilutive potential
equity shares. In computing diluted earnings per share, only potential
equity shares that are dilutive and that either reduce earnings per
share or increase loss per share are included.
I) Provision for Current and Deferred Tax :
Provision for Current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax resulting from "timing difference" between taxable income
and accounting income is accounted for using the tax rates and laws
that are enacted or substantively enacted as on the balance sheet date.
Deferred tax asset is recognized and carried forward only to the extent
that there is virtual certainty that the asset will be realized in
future.
J) Provisions, Contingent Liabilities and Contingent Assets :
Provisions involving substantial degree of estimation in measurement
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 the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
K) General :
Accounting policies not specifically referred to above are consistent
with the generally accepted accounting principles followed in India.
Mar 31, 2012
A) Basis of Preparation of Financial Statements :
i) The financial statements have been prepared in compliance with all
material aspects with the notified Accounting Standards by Companies
(Accounting Standards) Rules, 2006 and the relevant provisions of the
Companies Act, 1956.
ii) Financial statements are based on historical cost and are prepared
on accrul basis.
iii) Accounting policies have been consistently applied by the Company
and are in consistent with those used in the previous year.
iv) The preparation of financial statement 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
financial statements and the results of operations during the reporting
period end. Although these estimates are based upon management's best
knowledge of current events and actions, actual results could differ
from these estimates.
B) Fixed Assets :
i) Fixed assets are stated at historical cost of acquisition /
construction, net of cenvat less accumulated depreciation and
impairment loss, if any. All costs including financial costs and
revenue expenditure till commencement of services, net charges on
foreign exchange contracts and adjustments arising from exchange rate
variations attributable to the fixed assets are capitalized.
Grants/ subsidies received, if any, from Government and others towards
cost/ part of the cost fixed asset(s) are reduced from the cost of the
respective asset(s) and the net cost incurred by the Company only is
carried to the fixed assets block.
ii) Capital Work-in-Progress: Amounts spent on expansion project are
carried at cost under the head Capital Works in Progress. As and when
the assets are put to commercial use, cost of the respective asset is
capitalized. Besides the direct cost, indirect costs relating to the
acquisition and installation of assets incurred till the assets are put
to use are capitalized in the proportionate value of assets.
iii) Depreciation on fixed assets is provided under straight line
method (SLM) at the rates specified in Schedule XIV of the Companies
Act, 1956. Depreciation on additions / deletions to assets during the
year is provided on pro- rata basis.
iv) Impairment of Assets : An asset is treated as impaired when the
carrying cost exceeds its recoverable value. An impairment loss is
charged to the Profit & Loss Account in the year in which an asset is
identified as impaired. The impairment loss recognized in a prior
accounting period is reversed if there has been a change in the
estimate of recoverable amount.
C) Revenue Recognition :
Revenue is recognized to the extent it is probable that the economic
benefits will flow to the company and the revenue can be reliably
measured.
i) Revenue from Testing and Analysis Services is recognized as the
service is performed in accordance with the methods prescribed in AS -
9, Revenue Recognition.
ii) Interest income is recognized on a time proportion basis taking
into account the amount outstanding and the rate applicable.
D) Employee Benefits :
i) Short term employee benefits are recognized as an expense at the
undiscounted amount in the Profit and Loss account of the year in which
the related service is rendered.
ii) Post employment and other long term employee benefits are
recognized as an expense in the Profit and Loss account for the year in
which the employee has rendered services. The expense is recognized at
the present value of the amounts payable determined using actuarial
valuation techniques. Actuarial gains and losses in respect of post
employment and other long term benefits are charged to the Profit and
Loss account.
E) Prior Period Expenses/ Income :
The Company follows the practice of making adjustments through
"expenses/income under/over provided" in previous years in respect of
material transactions pertaining to that period prior to the current
accounting year.
F) Foreign Currency Transactions:
Foreign currency transactions are recorded at the rates of exchange
prevailing on the date of transaction. Foreign currency monetary items
are reported using the closing rate. Non-monetary items which are
carried in terms of historical cost denominated in a foreign currency
are reported using the exchange rate at the date of transaction.
Exchange differences arising on the settlement of monetary items or on
reporting company's monetary items at rates different from those at
which they were initially recorded during the year, or reported in
previous financial statements, are recognized as income or expense in
the year in which they arise.
G) 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 its intended use. All other
borrowing costs are charged to Profit and Loss account.
H) Earnings per Share :
The basic earnings per share is computed by dividing the net profit
attributable to equity shareholders for the period by the weighted
average number of equity shares 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 which
could have been issued on the conversion of all dilutive potential
equity shares. In computing diluted earnings per share, only potential
equity shares that are dilutive and that either reduce earnings per
share or increase loss per share are included.
I) Provision for Current and Deferred Tax :
Provision for Current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax resulting from "timing difference" between taxable income
and accounting income is accounted for using the tax rates and laws
that are enacted or substantively enacted as on the balance sheet date.
Deferred tax asset is recognized and carried forward only to the extent
that there is virtual certainty that the asset will be realized in
future.
J) Provisions, Contingent Liabilities and Contingent Assets :
Provisions involving substantial degree of estimation in measurement
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 the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
K) General :
Accounting policies not specifically referred to above are consistent
with the generally accepted accounting principles followed in India.
Mar 31, 2010
A) Basis of Preparation of Financial Statements:
i) The financial statements have been prepared in compliance with all
material aspects with the notified Accounting Standards by Companies
(Accounting Standards) Rules, 2006 and the relevant provisions of the
Companies Act, 1956.
ii) Financial statements are based on historical cost and are prepared
on accrual basis.
iii) Accounting policies have been consistently applied by the Company
and are in consistent with those used in the previous year.
iv) The preparation of financial statement 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
financial statements and the results of operations during the reporting
period end. Although these estimates are based upon managements best
knowledge of current events and actions, actual results could differ
from these estimates.
B) Fixed Assets:
i) Fixed assets are stated at historical cost of acquisition /
construction, net of cen vat less accumulated depreciation and
impairment loss, if any. All costs including financial costs and
revenue expenditure till commencement of services, net charges on
foreign exchange contracts and adjustments arising from exchange rate
variations attributable to the fixed assets are capitalized.
Grants/ subsidies received, if any, from Government and others towards
cost/ part of the cost fixed asset(s) are reduced from the cost of the
respective asset(s) and the net cost incurred by the Company only is
carried to the fixed assets block.
ii) Capital Work-in-Progress: Amounts spent on expansion project are
carried at cost under the head Capital Works in Progress. As and when
the assets are put to commercial use, cost of the respective asset is
capitalized. Besides the direct cost, indirect costs relating to the
acquisition and installation of assets incurred till the assets are put
to use are capitalized in the proportionate value of assets.
iii) Depreciation on fixed assets is provided under straight line
method (SLM) at the rates specified in Schedule XIV of the Companies
Act, 1956. Depreciation on additions/ deletions to assets during the
year is provided on pro-rata basis.
v) Impairment of Assets: An asset is treated as impaired when the
carrying cost exceeds its recoverable value. An impairment loss is
charged to the Profit & Loss Account in the year in which an asset is
identified as impaired. The impairment loss recognized in a prior
accounting period is reversed if there has been a change in the
estimate of recoverable amount.
C) Revenue Recognition:
Revenue is recognized when it is earned and no significant uncertainty
exists as to its realization or collection. Income from operations
include Income from services rendered, adjusted for discounts and
excludes service tax and other applicable taxes collected.
D) Retirement Benefits:
Provident fund cost is accounted as per provisions of the said Act.
Provision for value of unutilised leave due to employees is made on
accrual basis. For provision of gratuity liability, the Company has
adopted Actuarial Valuation.
E) Prior Period Expense/ Income:
The Company follows the practice of making adjustments through
"expenses/income under/over provided" in previous years in respect of
material transactions pertaining to that period prior to the current
accounting year.
F) Foreign Currency Transactions:
Foreign currency transactions are recorded at the rates of exchange
prevailing on the date of transaction. Foreign currency monetary items
are reported using the closing rate. Non-monetary items which are
carried in terms of historical cost denominated in a foreign currency
are reported using the exchange rate at the date of transaction.
Exchange differences arising on the settlement of monetary items or on
reporting companys monetary items at rates different from those at
which they were initially recorded during the year, or reported in
previous financial statements, are recognized as income or expense in
the year in which they arise.
G) 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. Aqualifying asset is one that necessarily takes
substantial period of time to get ready for its intended use. All other
borrowing costs are charged to Profit and Loss account.
H) Provision for Current and Deferred Tax: .,
Provision for Current tax is made after taking into consideration
benefits admissible under the provisions of the Income Tax Act, 1961.
Deferred tax resulting from "timing difference" between taxable income
and accounting income is accounted for using the tax rates and laws
that are enacted or substantively enacted as on the balance sheet date.
Deferred tax asset is recognized and carried forward only to the extent
that there is virtual certainty that the asset wick be realized in
future.
I) Provisions, Contingent Liabilities and Contingent Assets:
Provisions involving substantial degree of estimation in measurement
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 the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
J) General:
Accounting policies not specifically referred to above are consistent
with the generally accepted accounting principles followed in India.
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