Accounting Policies of Everlon Financials Ltd. Company

Mar 31, 2025

1 Corporate Information

Everlon Financials Limited (Formerly known as Everlon Synthetics Limited) ("the Company'') is a listed entity incorporated in India under the Companies Act,1956 and registered vide CIN L65100MH1989PLC052747 on July 26,1989. The Company is also registered as a Non-Banking Finance Company with the Reserve Bank of India (RBI) vide registration certificate No.N-13.02443 issued dated December 19,2022.

The company is engaged in the business of funding of Solar Plants and providing financial services, trading and investment in the securities market.

2 Summary of Significant Accounting Policies

(a) Basis of preparation and Presentation

The Financial Statements have been prepared in accordance with Indian Accounting Standards (Ind AS) as per the Companies (Indian Accounting Standards) Rules, 2015 as amended from time to time and notified under section 133 of the Companies Act, 2013 (the Act) along with other relevant provisions of the Act, the guidelines issued by the RBI, wherever applicable and notification for Implementation of Indian Accounting Standard vide circular RBI/2019-20/170 DOR(NBFC).CC.PD.No.109/22.10.106/2019-20 dated March 13,2020 ("RBI Notification") issued by RBI as applicable to NBFC. The Company uses accrual basis of accounting except in case of significant uncertainties.

(b) Basis of Measurement

The Ind AS Financial Statements have been prepared as a going concern on historical cost basis using Indian Rupees as its functional and reporting currency, which is depicted as "Rs", "INR" or "''". The Management has followed the going concern as it is satisfied that the Company shall be able to continue its business for the foreseeable future and no material uncertainty exists that may cast significant doubt on the going concern assumption. In making this assessment, the Management has considered a wide range of information relating to present and future conditions, including future projections of profitability, cash flows and capital resources.

Property, Plant & Equipment are carried at historical cost of acquisition less accumulated depreciation and impairment losses, consistent with the criteria specified in Ind AS 16 "Property, Plant & Equipment".

(d) Depreciation

The Company has provided for depreciation using the written down value method over the estimated useful life of the assets as prescribed under part C of Schedule II of the Companies Act, 2013 as per the useful life specified therein.

Financial Instruments

Financial assets and liabilities are recognised when the company becomes a party to the contractual provisions of the

(e) Financial Assets

1) Initial recognition:

(a) those measured at amortised cost

(b) those to be measured subsequently at fair value through Statement of Profit & Loss.

The classification depends on the entity''s business model for managing the financial assets and the contractual terms of

2) Measurement:

All financial assets are initially recognised at fair value. Transaction costs of acquisition of financial assets carried at fair Amortised cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely

3) Impairment of Financial Assets

In accordance with Ind-As 109, the company uses "Expected Credit Losses (ECL)" model, for evaluating impairment of Expected credit losses are measured through as loss allowance at an amount equal to:

The 12-months expected credit losses (expected credit losses that result from those default events on the financial instruments that are possible within 12 months after the reporting date); or

Full lifetime expected credit losses (expected losses that result from all possible default events over the life of the financial instrument)

The credit loss is difference between all contractual cash flow that are due to an entity in accordance with the contract and all the cash flows that the entity expects to receive (i.e. all cash shortfalls), discounted at the original effective interest rate. This is assessed on an individual or collective basis after considering all reasonable factors including that which are forward-looking.

For trade receivable company applies ''Simplified approach'' which requires expected lifetime losses to be recognised from initial recognition of the receivables. The Company uses historical default rates to determine impairment loss on the portfolio of trade receivables. At every reporting date these historical default rates are reviewed and changes in the forward looking estimates are analysed.

For other assets, the Company uses 12 months ECL to provide for impairment loss where there is no significant increase in credit risk. If there is significant increase in credit risk full lifetime ECL is used.

Other Financial Assets mainly consist of Unsecured Loans, Loans to employees, Security Deposit, other deposit, interest ^^^^^caud_ion_iFjxed_iDeposjts_iothejjeejvabJe_iand_iadvances_imeasued_iat_iamortjzed_icost^^^^^^^^^^^^^^^^^^^_

(f) Financial liabilities

1) Initial recognition and measurement

The Company classifies all financial liabilities as subsequently measured at amortised cost, except for financial liabilities at fair value through profit or loss. Such liabilities, including derivatives that are liabilities, shall be subsequently measured at fair value.

2) Subsequent measurement

Financial liabilities are carried at amortised cost using the effective interest method. For trade and other payables maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments.

Derecognition of Financial Instruments:

The company derecognises a financial asset when the contractual rights to the cash flows from the Financial Asset expire

3) or it transfers the Financial Asset and the transfer qualifies for derecognition under Ind AS 109. A Financial Liability (or part of Financial Liability) is derecognised from the Company''s Balance Sheet when the obligation specified in the contract is discharged or cancelled or expires.

Offsetting of financial instruments

Financial assets and financial liabilities are offsetted and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously.

(g) Fair Value Measurement of Financial Instruments

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

â¢ In the principal market for the asset or liability, or

â¢ In the absence of a principal market, in the most advantageous market for the asset or liability The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant''s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1 â Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Level 2 â Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.

Level 3 â Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting year.

(h) Revenue Recognition

Interest income from a financial asset is recognized when it is probable that the economics benefits will flow to the company and the amount of income can be measured reliably.

Sale of shares and securities is accounted on execution of contract notes.

Dividend income on equity shares is recognized when the Company''s right to receive the payment is established, which is generally when shareholders approve the dividend. Dividends on trading inventory are recognized as operating income, while dividends on investment are classified as "Other income".

(i) Cash, cash equivalents and other bank deposits

Cash and cash equivalents include cash on hand and other short term, highly liquid investments with original maturities of three months or less thar are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

Bank deposits with maturity exceeding three months are disclosed in "Bank balance other than above" i.e.other than cash and cash equivalents.

(j) Inventories

Inventories comprise of Shares and are valued at fair value has per Ind AS 109 "Financial Instruments" . Cost for the purpose of closing stock valuation has been taken as per the closing Market Value of the respective scrip.

(k) Employee Benefits

Employee benefits are provided in the books in the following manner:

Defined Contribution Plans : Company''s contributions paid/ payable during the year to provident fund is recognised in the Statement of Profit & Loss.

Defined Benefit Plans: The company''s liabilities towards gratuity and leave encashment, a defined benefit obligation, has been made on the basis of actual amount due as against the past practice of actuarial valuation due to insignificant number of employees.

(l) Direct Taxes Current Tax

Income tax expense represents the sum of current tax and deferred tax and includes any adjustments related to past periods in current and /or deferred tax adjustments that may become necessary due to certain developments or reviews during the relevant year. Current income tax is based on the taxable income and calculated using the applicable tax rates.

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities, in accordance with the Income Tax Act, 1961 and the Income Computation and Disclosure Standards (ICDS) prescribed therein. The tax rates and tax law used to compute the amounts are those that are enacted or substantively enacted, at the reporting date.

Advance taxes and provisions for current income taxes are presented in the balance sheet after off-setting advance tax paid and income tax provision.

Deferred Tax

Deferred income tax is provided, using the liability method, on all temporary difference at the balance sheet date between the tax bases of asset and the carrying amount liabilities used in the computation of taxable profit and their carrying amounts in the financial statements for financial reporting purposes.

Deferred tax liabilities are recognized for all taxable temporary differences and deferred tax assets are recognized for deductible temporary differences to the extent that it is probable that taxable profits will be available against which the deductible temporary differences can be utilized.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets, if any, are reassessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered. Deferred tax asset and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date.

Deferred tax relating to items recognized outside the Statement of Profit and Loss is recognized either in OCI or in Other Equity.

Deferred tax asset and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax

(m) Contingent Liabilities & Assets

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the Company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses its existence in the financial statements.

A Contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity. The Company does not have any contingent assets in the financial statements.

(n) Earning per share (EPS)

The Company report basic and diluted earnings per share in accordance with Ind AS 33 "Earning per Share". The Basic EPS is computed by dividing the profit after taxes by the weighted number of equity shares outstanding during the accounting period. The diluted EPS is computed using the weighted average number of the aggregate of equity shares outstanding at the end of the year and those that may be possible issued in the near future.

(o) Provisions

A provision is recognized when the Company has a present obligation Legal or Constructive that is reasonably estimatable and it is probable that an outflow of economic benefits will be required to settle the obligation. These estimates are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost.

(p) Provision for Doubtful Debts and Written-off of bad debts

Provision are recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. When provision is measured using the cash flow estimated to settle the present obligation, its carrying amount is the present value of these cash flows (when the effect of the time value of money is material).

Debts specifically considered fully or partially irrecoverable are written-off and provision against sub-standard and doubtful asset is made in accordance with the guidelines issued by RBI under the Non-Systemically Important NonBanking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2015. Sums recovered against debts earlier written off and provision no longer considered necessary in the context of the current status of the borrower are written back.

3 Use of Judgment''s, Estimates and Assumptions

The Preparation of Company''s financial Statements requires management to make judgements, estimates and assumptions that affect the reported amount of revenue, expenses, assets and liabilities and the accompanying disclosures. Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustments to the carrying amount of assets or liabilities affected in next financial years.

a. Determination of the estimated useful lives of Property, Plant and Equipment and Intangible Assets:

Estimates are involved in determining the cost attributable to bringing the assets to the location and condition necessary for it to be capable of operating in the manner intended by the management. Property, Plant and Equipment/Intangible Assets are depreciated/ amortised over their estimated useful life, after taking into account estimated residual value. Management reviews the estimated useful life and residual values of the assets annually in order to determine the amount of depreciation/amortisation to be recorded during any reporting period. The useful life and residual values are based on the Company''s historical experience with similar assets and take into account anticipated technological changes. The depreciation/ amortisation for further period is revised if there are significant changes from previous estimates.

b. Provisions:

Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow of funds resulting from past operations or events and the amount of cash outflow can be reliably estimated. The timing of recognition and quantification of the liability requires the application of judgements to existing facts and circumstances, which can be subject to change. The carrying amount of provisions and liabilities are reviewed regularly and revised to take account of changing facts and circumstances..

c. Current versus non-current classification:

All the assets and liabilities have been classified as current or non-current as per the company''s normal operating cycle of twelve months and other criteria set out in Schedule III to the Companies Act, 2013.

d. Impairment of financial assets:

e. Impairment of non-financial assets:

The impairment provisions for financial assets are based on assumptions about risk of default and expected cash loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on Company''s past history, existing market conditions as well as forward looking estimates at the end of each reporting period. The impairment provision for of non-financial assets company estimates asset''s recoverable amount, which is higher of an asset''s or Cash Generating Units (CGU''s) fair value less costs of disposal and its value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account, if no such transactions can be identified, an appropriate evaluation model is used.

f. Recognition of Deferred Tax Assets and Liabilities:

Deferred tax assets and liabilities are recognised for deductible temporary differences and unused tax losses for which there is probability of utilisation against the future taxable profit. The Company uses judgement to determine the amount of deferred tax that can be recognised, based upon the likely timing and the level of future taxable profits and business developments.

g. Recent pronouncements

Ministry of Corporate Affairs (âMCA") notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended 31st March, 2025, MCA has notified Ind AS - 117 Insurance Contracts and amendments to Ind AS 116 - Leases, relating to sale and leaseback transactions, applicable to the Company w.e.f. April 1, 2024. The Company has reviewed the new pronouncements and based on its evaluation has determined that it does not have any significant impact in its financial statements.

Mar 31, 2024

2 Summaryof Significant Accounting Policies

(a) Basis of preparation and Presentation

The Financial Statements have been prepared in accordance with Indian Accounting Standards (Ind AS) as per the Companies (Indian Accounting Standards) Rules, 2015 as amended from time to time and notified under section 133 of the Companies Act, 2013 (the Act) along with other relevant provisions ofthe Act, the guidelines issued by the RBI, wherever applicable and notification for Implementation of Indian Accounting Standard vide circular RBI/2019-20/170 DOR(NBFC).CC.PD.No.l09/22.10.106/2019-20dated March 13,2020 ("RBI Notification") issued by RBI as applicableto NBFC. TheCompanyusesaccrual basisofaccountingexcept incaseofsignificant uncertainties.

(b) BasisofMeasurement

The Ind AS Financial Statements have been prepared as a going concern on historical cost basis using Indian Rupees as its functional and reporting currency, which is depicted as "Rs", "INR" orThe Management has followed the going concern as it is satisfied that the Company shall be able to continue its business for the foreseeable future and no material uncertainty exists that may cast significant doubt on the going concern assumption. In making this assessment, the Management has considered a wide range of information relating to present and future conditions, includingfuture projections of profitability, cash flows and capital resources.

Fair value is the price that would be received against sale of an asset or paid to transfer a liability in an orderly transaction between the market participants at the measurement date.

The financial assets and liabilities are measured at fair value based on quoted market prices in active markets, or in its absence thereof, using various valuation techniques. The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgement is required in establishing fair values. Changes in

assumptions about these factors could affect the reported fair value offinancial instruments.

(d) Use of Estimates

The preparation of financial statements in conformity with Ind AS requires management to makes judgements, estimates and assumptions, that affect the application of accounting policies and the reported amounts of assets, liabilities, incomes and expenses at the date of these financial statements and the reported amounts of revenues and expenses for the years presented. Such estimates have inherent uncertainties and a level of subjectivity involved in measurement of items, it is possible that the outcomes in the subsequent financial years could differ from those based on Management''s estimates.

Estimates and underlying assumptions are reviewed at each balance sheet date. Revisions to accounting estimates are recognised in the period in which the estimate is revised and future periods affected.

Key sources of estimation uncertainty at the date of financial statements, which may cause a material adjustments to the carrying amounts of assets and liabilities within the next financial year, is in respect of useful lives of property, plant and equipment, fairvalue offinancial assets/liabilities and impairment of investments, etc.

(e) Financial Instruments

A Financial Instruments (assets and liabilities) is defined as any contract that gives rise to a financial asset of one entity anda financial liability or equity instrument of another entity.

Financial Instruments are recognised when the Company becomes a party to the contractual provisions of the instruments. Fortradable securities, the company recognizes the financial instruments on settlement date.

Financial assets and liabilities are initially measured at fairvalue. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities are added to or deducted from the fair value ofthe financial assets orfinancial liabilities, as appropriate, on initial recognition.

Financial Assets:

Financial assets include cash, or an equity instrument of another entity, or a contractual right to receive cash or another financial asset from another entity. Few examples of financial assets are loan receivables, investment in equity and debt instruments, trade receivableand cash and cash equivalents.

Financial assets are classified into various measurement categories as per Ind AS 109 "Financial Instruments" and Ind AS32" Financial Instruments: Presentation" asfollows.

i) Financial Assets measured at Amortized Cost:

A financial asset is subsequently measured at Amortized Cost if it is held within a business model whose objective is to hold the asset in orderto collect contractual cash flows and the contractual terms ofthe Financial Asset give rise on specified dated to cash flows that are solely payments of principal and interest on the principal amount outstanding.

ii) Debt instruments at Fair Value Through Other Comprehensive Income (FVTOCI):

A debt instrument is subsequently measured at FVTOCI if it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and contractual terms of financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Debt instruments included within the FVTOCI category are measured at each reporting date at fair value with such changes being recognized in Other Comprehensive Income (OCI).

The interest income on these assets is recognized in the Statement of Profit and Loss.

iii) Equity instruments at Fair Value Through Other Comprehensive Income (FVTOCI):

An unquoted equity asset, not held for trading, is subsequently measured at FVTOCI at each reporting date at fair value with such changes being recognized in the Statement of Profit and Loss.

The dividend income on these assets is recognized in the Statement of Profit and Loss.

iv) Equity instruments through Fair Value Through Profit and Loss Account (FVTPL):

Equity investments that are not classified to be measured through FVTOCI are measured through FVTPL. Subsequent changes in fairvalue are recognized in the Statement of Profit and Loss.

The Company derecognizes a financial asset when the contractual cash flows from the asset expires or it transfers its rights to receive contractual cash flows from the financial asset in a transaction in which substantially all the risks and rewards of ownership are transferred. Any interest in transferred financial assets that is created or retained by the Company is recognized as a separate asset or liability.

On derecognition of the asset, cumulative gains or loss previously recognized in OCI is reclassified from OCI to the Statement of Profit and Loss.

v) Financial Liabilities and Equity Instruments:

An equity instruments is any contract that evidences a residual interest in the assets of an entity after deducting all if its liabilities. Equity instruments issued by the company is recognized at the proceeds received, net of directly attributabletransaction cost.

Financial liabilities are liabilities that represent a contractual obligation to deliver cash or another financial assets to another entity, or a contract that may or will be settled in the entity''s own quity instruments. Trade payables, debt securities and other borrowings and subordinated debts are various types offinancial liabilities.

After initial recognition, all financial liabilities are subsequently measured at amortized cost. Any gains or losses arising on derecognized of liabilities are recognized in the Statement of Profit and Loss.

A Financial liability is derecognized when the obligation under the liability is discharged, cancelled or expired.

f Impairment of Financial Assets:

The carrying values of Financial Assets are reviewed for any possible impairment at each balance sheet date. The gross carrying amount of a financial asset is written off (either partially or in full) tothe extent that there is no realistic prospect of recovery. This is generally the case when the Company determines that the debtor does not have asset or sources of income that could generate sufficient cash flows to repay the amounts subject to the write-off. However, financial assets that are written off could still be subject to enforcement activities under the Company''s recovery procedures, taking intoaccount legal advicewhere appropriate. Any recoveries made are recognized in the Statement of Profit and Loss.

g Property, Plant & Equipment

h Depreciation

The Company has provided for depreciation using the written down value method over the estimated useful life of the assets as prescribed under part C ofSchedule II ofthe Companies Act, 2013 as perthe useful life specified therein, i Revenue Recognition

Interest income from a financial asset is recognized when it is probable that the economics benefits will flow to the companyand the amount of income can be measured reliably.

Sale ofshares and securities is accounted on execution ofcontract notes.

j Cash, cash equivalents and other bank deposits

Bank deposits with maturity exceeding three months are disclosed in "Bank balance other than above" i.e.otherthan cash and cash equivalents.

k Inventories

Inventories comprise of Shares and are valued at fair value has per Ind AS 109 "Financial Instruments" . Cost for the purpose of closing stockvaluation has been taken as perthe closing Market Value ofthe respective scrip.

I Employee Benefits

Employee benefits are provided in the books in the following manner:

Defined Contribution Plans : Companyâs contributions paid/ payable during the year to provident fund is recognised in the Statement of Profit & Loss.

Defined Benefit Plans: The companyâs liabilities towards gratuity and leave encashment, a defined benefit obligation, has been made on the basis of actual amount due as against the past practice of actuarial valuation due to _insignificant numberofemployees._

m Direct Taxes Current Tax

Deferred Tax

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilized. Unrecognized deferred tax assets, if any, are reassessed at each reporting date and are recognized to the extent that it has become probablethat future taxable profits will allowthe deferredtax asset to be recovered. Deferred tax asset and liabilities are measured at the tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted orsubstantively enacted at the reporting date.

Deferred tax relating to items recognized outside the Statement of Profit and Loss is recognized either in OCI or in Other Equity.

Deferred tax asset and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate tothe same taxable entity and the same taxation authority.

Mar 31, 2015

A) Recognition of Income and Expenditure:

The Accounts are prepared on accrual basis,

b) Fixed Assets and Depreciation:

I) Fixed Assets includes all expenditure of Capital nature and are stated at cost of Acquistion, Installation and commissioning less depreciation, Fixed Assets are stated at historical cost,

II) Depreciation on Fixed Assets other than Land & Plant and Machinery is provided as per written down value method of Income Tax Act, 1961,which is not lower than minimum rates prescribed under schedule XIV of Companies Act in case of following Assets:-

1. Computer 60% and in case of following assets, depreciation rates are lower than minimum prescribed rates:-

2. Furniture & Fixtures 10%

3. Vehicles 15%

4. Electrical Installation 10%

5. Air Conditioning 15%

6. Testing Equipment 15%

7. Office Equipment 15%

III) In case of Plant and Machinery, Coompany has provided Depreciation on Straight Line method as per schedule XIV of Companies Act, 1956,

IV) No Depreciation has been provided on assets sold/discarded during the year

c) Investments:

Investments are valued at cost inclusive of expenses incidental to their acquisition, Investments meant for long term are carried at cost and any diminution in value of permanent nature are provided for in accounts,

d) Valuation of Inventories:

1) Raw Materials, Consumable,

At Cost and other expenditure incurred inclusive of excise duty to bring the inventories to its present location and conditions, Cost is determined on FIFO basis,

2) Work-in-progress

At Cost of material and labour together with relevant factory overheads,

3) Finished Goods

At Cost of material and labour together with relevant factory overheads (inclusive of excise duty ) or net realisable value whichever is lower

e) Impairment of Assets:

If internal /external indications suggest that an asset of the company may be impaired, the recoverable amount of asset/ cash generating unit is determined on the Balance Sheet date and if it is less than its carrying amount, the carrying amount of the asset / cash generating unit is reduced to the said recoverable amount, The recoverable amount is measured as the higher of net selling price and value in use of such assets / cash generating unit, which is determined by the present value of the estimated future Cash Flows,

f) Provision for Retirement Benefits:

Provision for gratuity is made in accounts assuming that all the employee retire at the end of the year, The Company has carried out acturial valuation of Retirement Benefits during the year.

g) Contingent Liabilities:

Contingent liabilities are not provided for in the accounts and are disclosed separately in Notes on Accounts

Mar 31, 2014

01. ACCOUNTING POLICIES:

a) Recognition of Income and Expenditure: The Accounts are prepared on accrual basis.

b) Fixed Assets and Depreciation:

I) Fixed Assets includes all expenditure of Capital nature and are stated at cost of Acquistion, Installation and commissioning less depreciation. Fixed Assets are stated at historical cost.

II) Depreciation on Fixed Assets other than Land & Plant and Machinery is provided as per written down value method of Income Tax Act, 1961 .which is not lower than minimum rates prescribed under schedule XIV of Companies Act in case of following Assets:-

1. Computer 60%

and in case of following assets, depreciation rates are lower than minimum prescribed rates:-

2. Furniture & Fixtures 10%

3. Vehicles 15%

4. Electrical Installation 10%

5. Air Conditioning 15%

6. Testing Equipment 15%

7. Office Equipment 15%

III) In case of Plant and Machinery, Coompany has provided Depreciation on Straight Line method as per schedule XIV of Companies Act, 1956.

IV) No Depreciation has been provided on assets sold/discarded during the year

c) Investments:

Investments are valued at cost inclusive of expenses incidental to their acquisition. Investments meant for long term are carried at cost and any diminution in value of permanent nature are provided for in accounts.

d) Valuation of Inventories:

1) Raw Materials, Consumable, At Cost and other expenditure incurred inclusive of excise

duty to bring the inventories to its present location and conditions. Cost is determined on FIFO basis.

2) Work-in-progress At Cost of material and labour together with relevant factory overheads.

3) Finished Goods At Cost of material and labour together with relevant factory overheads (inclusive of excise duty) or net realisable value whichever is lower

e) Impairment of Assets:

If internal /external indications suggest that an asset of the company may be impaired, the recoverable amount of asset/ cash generating unit is determined on the Balance Sheet date and if it is less than its carrying amount, the carrying amount of the asset/cash generating unit is reduced to the said recoverable amount. The recoverable amount is measured as the higher of net selling price and value in use of such assets /cash generating unit, which isdetermined by the present value of the estimated future Cash Flows.

f) Provision for Retirement Benefits:

Provision for gratuity is made in accounts assuming that all the employee retire at the end of the year. The Company has carried out acturial valuation of Retirement Benefits during the year.

g) Contingent Liabilities:

Contingent liabilities are not provided for in the accounts and are disclosed separately in Notes on Accounts

Mar 31, 2013

A) Recognition of Income and Expenditure:

The Accounts are prepared on accrual basis.

b) Fixed Assets and Depreciation:

I) Fixed Assets includes all expenditure of Capital nature and are stated at cost of Acquistion, Installation and commissioning less depreciation. Fixed Assets are stated at historical cost.

II) Depreciation on Fixed Assets other than Land & Plant and Machinery is provided as per written down value method of Income Tax Act, 1961,which is not lower than minimum rates prescribed under schedule XIV of Companies Act in case of following Assets:- 1. Computer 60% and in case of following assets, depreciation rates are lower than minimum prescribed rates:-

2. Furniture & Fixtures 10%

3. Vehicles 15%

4. Electrical Installation 10%

5. Air Conditioning 15%

6. Testing Equipment 15%

7. Office Equipment 15%

III) In case of Plant and Machinery, Coompany has provided Depreciation on Straight Line method as perschedule XIV of Companies Act,1956.

IV) No Depreciation has been provided on assets sold/discarded during the year

c) Investments:

Investments are valued at cost inclusive of expenses incidental to their acquisition. Investments meant for long term are carried at cost and any diminution in value of permanent nature are provided for in accounts.

d) Valuation of Inventories:

1) Raw Materials, Consumable, At Cost and other expenditure incurred inclusive of excise duty to bring the inventories to its present location and conditions.

Cost is determined on FIFO basis.

2) Work-in-progress At Cost of material and labour together

with relevant factory overheads.

3) Finished Goods At Cost of material and labour together

with relevant factory overheads ( inclusive of excise duty ) or net realisable value whichever is lower

e) Impairment of Assets:

If internal /external indications suggest that an asset of the company may be impaired, the recoverable amount of asset/ cash generating unit is determined on the Balance Sheet date and if it is less than its carrying amount, the carrying amount of the asset / cash generating unit is reduced to the said recoverable amount. The recoverable amount is measured as the higher of net selling price and value in use of such assets / cash generating unit, which is determined by the present value of the estimated future Cash Flows.

f) Provision for Retirement Benefits:

Provision for gratuity is made in accounts assuming that all the employee retire at the end of the year However, acturial valuation not carried out by the company.

g) Contingent Liabilities:

Contingent liabilities are not provided for in the accounts and are disclosed separately in Note on Accounts

Mar 31, 2012

A) Recognition of Income and Expenditure:

The Accounts are prepared on accrual basis.

b) Fixed Assets and Depreciation:

I) Fixed Assets includes all expenditure of Capital nature and are stated at cost of Acquistion, Installation and commissioning less depreciation. Fixed Assets are stated at historical cost.

II) Depreciation on Fixed Assets other than Land is provided as per written down value method of Income Tax Act, 1961 .which is not lower than minimum rates prescribed under schedule XIV of Companies Act in case of following Assets:-

c) Investments:

Investments are valued at cost inclusive of expenses incidental to their acquisition. Investments meant for long term are carried at cost and any diminution in value of permanent nature are provided for in accounts.

e) impairment of Assets:

If internal /external indications suggest that an asset of the company may be impaired, the recoverable amount of asset/ cash generating unit is determined on the Balance Sheet date and if it is less than its carrying amount, the carrying amount of the asset / cash generating unit is reduced to the said recoverable amount. The recoverable amount is measured as the higher of net selling price and value in use of such assets / cash generating unit, which is determined by the present value of the estimated future Cash Flows.

f) Provision for Retirement Benefits:

Provision for gratuity is made in accounts assuming that all the employee retire at the end of the year However, acturial valuation not carried out by the company.

g) Contingent Liabilities:

Contingent liabilities are not provided for in the accounts and are disclosed separately in Notes on Accounts

Mar 31, 2010

01. ACCOUNTING POLICIES:

a) Recognition of Income and Expenditure: The Accounts are prepared on accrual basis.

b) Fixed Assets and Depreciation:

I) Fixed Assets includes all expenditure of Capital nature and are stated at cost of acquistion, installation and commissioning less depreciation. Fixed Assets are stated at historical cost.

II) Depreciation on Fixed Assets other than Land is provided as per written down value method of Income Tax Act, 1961 .which is not lower than minimum rates prescribed under schedule XIV of Companies Act in case of following Assets:-

1. Computer 60%

and in case of following assets, depreciation rates are lower than minimum prescribed rates: -

1. Furniture & Fixtures 10%

2. Vehicles 15%

3. Plant & Machinery 15%

4. Electrical Installation 10%

5. Air Conditioning 15%

6. Testing Equipment 15%

7. Office Equipment 15%

III) No Depreciation has been provided on assets sold/discarded during the year

c) Investments:

Investments are valued at cost inclusive of expenses incidental to their acquisition. Investments meant for long term are carried at cost and any diminution in value of permanent nature are provided for in accounts.

d) Valuation of Inventories:

1) Raw Materials, Consumable, : At Cost and other expenditure incurred inclusive of excise duty to bring the inventories to its present location and conditions. Cost is determined on FIFO basis.

2) Work-in-progress : At Cost of material and labour together with relevant factory overheads.

3) Finished Goods : At Cost of material and labour together with relevant factory overheads (inclusive of excise duty) or net realisable value whichever is lower

4) Stock of Shares : At cost

e) Impairment of Assets:

If internal /external indications suggest that an asset of the company may be impaired, the recoverable amount of asset/ cash generating unit is determined on the Balance Sheet date and if it is less than its carrying amount, the carrying amount of the asset/ cash generating unit is reduced to the said recoverable amount. The recoverable amount is measured as the higher of net selling price and value in use of such assets/ cash generating unit, which is determined by the present value of the estimated future Cash Flows.

f) Provision for Retirement Benefits:

Provision for gratuity is made in accounts assuming that all the employee retir, at the end of the year However, acturial valuation not carried out by the company.

g) Contingent Liabilities:

Contingent liabilities are not provided for in the accounts and are disclosed separately in Notes on Accounts

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