Mar 31, 2014
1.1 Basis of accounting and preparation of financial statements.
The financial statements of the Company have been prepared in
accordance with the Generally Accepted Accounting Principles in India
(Indian GAAP) to comply with the Accounting Standards notified under
the Companies (Accounting Standards) Rules, 2006 (as amended) and the
relevant provisions of the Companies Act, 1956. The financial
statements have been prepared on accrual basis under the historical
cost convention. The accounting policies adopted in the preparation of
the financial statements are consistent with those followed in the
previous year.
1.2 Inventories
Stock in trade is valued scrip wise, at cost or net realisable value
whichever is lower in case of listed shares. Whereas in case of
unquoted shares, valuation is at cost. Cost is calculated on the basis
of first- in- first- out method.
1.3 Cash & Cash Equivalents
In the cash flow statement, cash and cash equivalents includes cash on
hand, demand deposites with banks, other short term highly liquid
investments with original maturities of three months or less.
1.4 Tangible Fixed Assets:
Fixed Assets have been stated at historical cost inclusive of
incidental expenses, less accumulated depreciation.
1.5 Depreciation:
Depreciation has been provided on Straight line Method on prorata-basis
and in some cases to the extent available at the rates and in the
manner prescribed in schedule XIV to the Companies Act, 1956.
1.6 Revenue Recognition
Sales are recognised on transfer of significant risks and rewards of
the ownership of the goods to the buyer and are reported net of
turnover / trade discounts, returns and claims if any. Revenue from
services are accounted as and when incurred.
Dividend income on investments is accounted for when the right to
receive the payment is established.
Interest income is accounted on time proportion basis taking into
account the amount outstanding and applicable
1.7 Investments
Long term investments are stated at cost, less provision for diminution
in the value other than temporary, if any.
1.8 Employee benefits
The Company does not have any employee to whom gratuity or any
retirement benefits are payable.
1.9 Earning per Share:
Basic earning per share is calculated by dividing the net profit or
loss for the year attributable to equity shareholders by the weighted
average number of equity shares outstanding during the year.
1.10 Taxation
Tax liability is estimated considering the provision of the Income Tax,
1961. Deferred tax is recognised on timing differences; 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. On prudent basis, deferred tax assets are recognised and
carried forward to the extent only when there is reasonable certainty
that the assets will be adjusted in future.
Mar 31, 2012
1. General
i) The Accounts have been prepared on historical cost basis ignoring
Changes, if any in the purchasing power of money.
ii) All revenue and expenses are accounted on accrual basis.
2. Taxation
i) Provision for current tax is made after taking into consideration
benefits admissible under the provision of the Income Tax Act, 1961.
ii) Deferred Tax resulting from timing difference between book and
taxable profit is accounted for using tax rates and law that have been
enacted as on the Balance Sheet Date. Deferred Tax Asset, if any, is
recognized and carried forward only to the extent that there is a
reasonable certainly that the assets will be realized in future.
3. Borrowing Cost.
Borrowing cost directly attributable to the acquisition or construction
of fixed asset are capitalized as part of the cost of the asset, up to
the date the asset is put to use. Other borrowing costs are changed to
the profit & loss account in the year in which they arc incurred.
4. Investment
Long term investments arc stated at cost. Provision for diminution in
value of long term investment is made only if such a decline is other
than temporary.
5. Income Recognition
Income earned during the year is from Consultancy fees and is shown in
the Profit & Loss Account.
Mar 31, 2011
1. General
i) The Accounts have been prepared on historical cost basis ignoring
Changes, if any in the purchasing power of money. ii) All revenue and
expenses are accounted on accrual basis.
2. Taxation
i) Provision for current tax is made after taking into consideration
benefits admissible under the provision of the Income Tax Act, 1961.
ii) Deferred Tax resulting from timing difference between book and
taxable profit is accounted for using tax rates and law that have been
enacted as on the Balance Sheet Date. Deferred Tax Asset, if any, is
recognized and carried forward only to the extent that there is a
reasonable certainly that the assets will be realized in future.
3. Borrowing Cost.
Borrowing cost directly attributable to the acquisition or construction
of fixed asset are capitalized as part of the cost of the asset, up to
the date the asset is put to use, Other borrowing costs are changed to
the profit & loss account in the year in which they are incurred.
4. Investment
Long term investments are stated at cost. Provision for diminution in
value of long term investment is made only if such a decline is other
than temporary.
5. Income Recognition
Income earned during the year is from Consultancy fees and is shown in
the Profit & Loss Account.
6. REVENUE RECOGNITION
Accrual basis of accounting has been adopted in preparation of the
accounts.
7. PRELIMINARY EXPENSES/PUBLIC ISSUE EXPENSES
Preliminary expenses/Public Issue expenses are being written off over a
period of 10 years.
8. FIXED ASSETS/DEPRECIATION
a) The gross block of Fixed Assets is stated at cost of acquisition or
construction including any cost attributed in bringing the assets to
their working condition for their intended use.
b) Depreciation on assets has been provided on W.D.V. basis at the rate
specified in Schedule XIV of the Companies Act, 1956.
c) Depreciation is provided on pro-rata basis from the date of
addition.
9. INVENTORIES
The basis of valuation of inventories is as under :- Raw
Material/Stores & Spares/ - Cost or net realizable value Packing
Material & Finished goods whichever is lower.
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