Mar 31, 2014
Basis of Accounting
The Financial statements have been prepared in accordance with the
Generally Accepted Accounting Principles in India (Indian GAAP) to
comply with the Accounting Standards notified under section 211 (3C) of
the Companies Act, 1956 ("the Act") (which continue to be applicable in
respect of Section 133 of the Companies Act, 2013 ("the 2013 Act") in
terms of general circular 15/2013 dated September 13, 2013 of the
Ministry of Corporate Affairs ) and relevant provisions of the Act/2013
Act as applicable.
Use of Estimates
The Preparation of the financial statements is in conformity with the
generally accepted accounting principles require management to make
estimates and assumptions that effect the reported amount of assets and
liabilities and disclosure of contingent liabilities at the date of
financial statements and reported amounts of revenue and expenses
during the year. Difference between the actual result and estimates are
recognized in the year in which the results are known /materialized.
a) CONVENTION
The Accounts are prepared under historical cost convention and on the
basis of going concern concept.
b) REVENUE RECOGNITION
Sales of Goods and Services are accounted for on accrual basis. Sales
include Excise duty and education cess. Other Incomes are accounted
for on accrual basis except where the receipt of income is uncertain.
c) FIXED ASSETS
All the fixed assets have been stated at historical cost less
accumulated depreciation.
d) . DEPRECIATION
Depreciation on fixed assets has been provided on the basis of
straight-line method as per schedule XIV of the Companies Act, 1956''and
on during additions/ Sales the year, on pro-rata basis.
e) IMPAIRMENT
Fixed Assets are tested for impairment if there is any indication of
their possible impairment. An impairment loss is recognized where the
carrying amount of a fixed asset (or cash generating unit) exceeds it s
recoverable amount, i.e. higher of value in use and ''net selling price.
Imp airment loss recognized in one year can get reversed fully or
partly in a subsequent years.
f) INVESTMENTS
1 Investments are classified into long- term investments and current
investments. Long- term investments are stated at cost. ''Provision for
diminution in the value of a non current investment is made on
individual investment basis if such diminution is other ''than
temporary. Current investments are carried at the lower of cost and
fair value and provisions are made to recognize the decline in the
carrying value.
g) INVENTORIES
Raw materials, stores and spare parts, work in progress and finished
goods are valued at the lower of the historical cost and the net
realizable value. Scrap and slow moving / unserviceable stocks are
valued at the net realizable value. Cost of inventories has been valued
oh FIFO basis.
h) EMPLOYEE BENEFITS:
Gratuity and other retirement benefits are charged to profit and loss
account through a provision for accruing liability based ''on assumption
that such benefits are payable to the eligible employees at the end of
accounting year.
i) INCOME TAX
Income Tax are computed using the tax effect accounting method where
taxes are accrued in the same period, as the related ''revenue and
expenses to which they relate. The differences that result between
profit offered for income tax and the profit as per financial
statements are identified and thereafter a deferred tax assets or
deferred tax liability is recorded for timing difference,namely
differences that originate in one accounting period and reverse in
another, based on the tax effect of the aggregate ''amount being
considered. Deferred t ax assets and liabilities are measured using tax
rates and tax laws enacted or substantially ''enacted by the balance
sheet date. Deferred tax assets are recognized only if ''there is
reasonable/ virtual certainly that they will be realized and are
reviewed for the appropriateness of their respective carrying valued at
each Bajance Sheet date. Until 2001, provision has been made for income
tax on an yearly basis, under the tax payable method, based on the tax
liability as computed after taking credit for allowances and
exemptions. In case of matters under appeal, if any , * due to
disallowances or otherwise, full provision is made when the said
liabilities are accepted by the comp any.
Mar 31, 2013
The financial statements have been prepared in accordance with
applicable Accounting Standards notified by the Companies(Accounting
Standards) Rules,2006 (as amended) and the relevant requirements of the
Companies Act, 1956. Significant accounting policies applied in
preparing and presenting these financial statements are set out below:
a) CONVENTION
TheAccounts are prepared under historical cost convention and on the
basis of going concern concept.
b) REVENUE RECOGNITION
Sales of Goods and Services are accounted for on accrual basis. Sales
include Excise duty and education cess.Other Incomes are accounted for
on accrual basis except where the receipt of income is uncertain.
c) FIXED ASSETS
All the fixed assets have been stated at historical cost less
accumulated depreciation.
d) DEPRECIATION *-
Depreciation on fixed assets has been provided on the basis of
straight-line method as per schedule XIV of the Companies Act, 1956''and
on during additions/ Sales the year, on pro-rata basis.
e) IMPAIRMENT
Fixed Assets are tested for impairment if there is any indication of
their possible impairment. An impairment loss is recognized where the
carrying amount of a fixed asset (or cash generating unit) exceeds its
recoverable amount, i.e. higher of value in use and ''net selling price.
Impairment loss recognized in one year can get reversed fully or partly
in a subsequent years.
f) INVESTMENTS
Investments are classified into long- term investments and current
investments. Long- term investments are stated at cost, ''Provision for
diminution in the value of a non current investment is made on
individual investment basis if such diminution is other ''than
temporary. Current investments are carried at the lower of cost and
fair value and provisions are made to recognize the decline in the
carrying value.
g) INVENTORIES
Raw materials, stores and spare parts, work in progress and finished
goods are valued at the lower of the historical cost and the net
realizable value. Scrap and slow moving / unserviceable stocks are
valued at the net realizable value. Cost of inventories has been valued
on FIFO basis.
h) EMPLOYEE BENEFITS
Gratuity and other retirement benefits are charged to profit and loss
account through a provision for accruing liability based ''on assumption
that such benefits are payable to the eligible employees at the end of
accounting year.
i) INCOME TAX
Income Tax are computed using the tax effect accounting method where
taxes are accrued in the same period, as the related ''revenue and
expenses to which they relate. The differences that result between
profit offered for income tax and the profit as per financial
statements are identified and thereafter a deferred tax assets or
deferred tax liability is recorded for timing difference.namely
differences that originate in one accounting period and reverse in
another, based on the tax effect of the aggregate ''amount being
considered. Deferred tax assets and liabilities are measured using tax
rates and tax laws enacted or substantially ''enacted by the balance
sheet date. Deferred tax assets are recognized only if ''there is
reasonable/ virtual certainly that they will be realized and are
reviewed for the appropriateness of their respective carrying valued at
each Balance Sheet date. Until 2001, provision has been made tor income
tax on an yearly basis, under the tax payable method, based on the tax
liability as computed after taking credit for allowances and
exemptions. In case of matters under appeal, if any, due to
disallowances or otherwise, full provision is made when the said
liabilities are accepted by the company.
Mar 31, 2012
The financial statements have been prepared in accordance with
applicable Accounting Standards notified by the Companies(Accounting
Standards) Rules'2006 (as amended) and the relevant requirements of the
Companies Act' 1956. Significant accounting policies applied in
preparing and presenting these financial statements are set out below:
a) CONVENTION
The Accounts are prepared under historical cost convention and on the
basis of going concern cpncept.
b) REVENUE RECOGNITION
Sales of Goods and Services are accounted for on accrual basis. Sales
include Excise duty and education cess.Other Incomes are accounted for
on accrual basis except where the receipt of income is uncertain.
c) FIXED ASSETS
All the fixed assets have been stated at historical cost less
accumulated depreciation.
d) DEPRECIATION
Depreciation on fixed assets has been provided on the basis of
straight-line method as per schedule XIV of the Companies Act' 1956'and
on during additions/ Sales the year' on pro-rata basis.
e) IMPAIRMENT
Fixed Assets are tested for impairment if there is any indication of
their possible impairment. An impairment loss is recognized where the
carrying amount of a fixed asset (or cash generating unit) exceeds its
recoverable amount' i.e. higher of value in use and 'net selling price.
Impairment loss recognized in one year can get reversed fully or partly
in a subsequent years.
f) INVESTMENTS
Investments are classified into long- term investments and current
investments. Long- term investments are stated at cost. 'Provision for
diminution in the value of a non current investment is made on
individual investment basis if such diminution is other 'than
temporary. Current investments are carried at the lower of cost and
fair value and provisions are made to recognize the decline in the
carrying value.
g) INVENTORIES
Raw materials' stores and spare parts' work in progress and finished
goods are valued at the lower of the historical cost and the net
realizable value. Scrap and slow moving / unserviceable stocks are
valued at the net realizable value. Cost of inventories has been valued
on FIFO basis.
h) EMPLOYEE BENEFITS
Gratuity and other retirement benefits are charged to profit and loss
account through a provision for accruing liability based 'on assumption
that such benefits are payable to the eligible employees at the end of
accounting year.
i) INCOME TAX
Income Tax are computed using the tax effect accounting method where
taxes are accrued in the same period' as the related 'revenue and
expenses to which they relate. The differences that result between
profit offered for income tax and the profit as per financial
statements are identified and thereafter a deferred tax assets or
deferred tax liability is recorded for timing difference'namely
differences that originate in one accounting period and reverse in
another' based on the tax effect of the aggregate 'amount being
considered. Deferred tax assets and liabilities are measured using tax
rates and tax laws enacted or substantially 'enacted by the balance
sheet date. Deferred tax assets are recognized only if 'there is
reasonable/ virtual certainly that they will be realized and are
reviewed for the appropriateness of their respective carrying valued at
each Balance Sheet date. Until 2001' provision has been made for income
tax on an yearly basis' under the tax payable method' based on the tax
liability as computed after taking credit for allowances and
exemptions. In case of matters undei appeal' if any' due to
disallowances or otherwise' full provision is made when the said
liabilities are accepted by the company.
Retirement Benefits : Since none of the employee has completed the
requried period of service ' hance no provision for gratuity has been
made.
Mar 31, 2010
The financial statements have been prepared in accordance with
applicable accounting standards issued by the Institute of Chartered
Accountants of India and the relevant presentational requirements of
the Companies Act, 1956. A summary of important accounting policies
applied, are set out below:
a) CONVENTION
The Accounts are prepared under historical cost convention and on the
basis of going concern concept.
b) REVENUE RECOGNITION
Sales of Goods and Services are accounted for on accrual basis. Sales
include Excise duty and education cess. Other Incomes are accounted
for on accrual basis except where the receipt of income is uncertain.
c) FIXED ASSETS
All the fixed assets have been stated at historical cost less
accumulated depreciation.
d) DEPRECIATION
Depreciation on fixed assets has been provided on the basis of
straight-line method as per schedule XIV of the Companies Act, 1956 and
on additions/ Sales during the year, on pro-rata basis.
e) INVENTORIES
Raw materials, stores and spare parts, work in progress and finished
goods are valued at the lower of the historical cost and the net
realizable value. Scrap and slow moving / unserviceable stocks are
valued at the net realizable value. Cost of inventories has been valued
on FIFO basis.
f) EMPLOYEE BENEFITS:
i) Contribution to Provident Fund is accounted for on accrual basis
ii) Gratuity and other retirement benefits are charged to profit and
loss account through a provision for accruing liability based on
assumption that such benefits are payable to the eligible employees at
the end of accounting year.
g) INCOME TAX
Income Tax are computed using the tax effect accounting method where
taxes are accrued in the same period, as the related revenue and
expenses to which they relate. The differences that result between
profit offered for income tax and the profit as per financial
statements are identified and thereafter a deferred tax assets or
deferred tax liability is recorded for timing difference, namely
differences that originate in one accounting period and reverse in
another, based on the tax effect of the aggregate amount being
considered. Deferred tax assets and liabilities are measured using tax
rates and tax laws enacted or substantially enacted by the balance
sheet date. Deferred tax assets are recognized only if there is
reasonable/ virtual certainly that they will be realized and are
reviewed for the appropriateness of their respective carrying valued at
each Balance Sheet date. Until 2001, provision has been made for income
tax on an yearly basis, under the tax payable method, based on the tax
liability as computed after taking credit for allowances and
exemptions.
In case of matters under appeal, if any, due to disallowances or
otherwise, full provision is made when the said liabilities are
accepted by the company.
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