Mar 31, 2014
1. ACCOUNTING ASSUMPTIONS:
The financial statements are drawn up in accordance with the historical
cost convention on accrual basis and comply with the accounting
standards referred to in Sec 211 (3C) of the Companies Act, 1956.
2. FIXED ASSETS:
All fixed assets are stated at cost of acquisition less accumulated
depreciation and impairment loss, if any.
3. DEPRECIATION:
Depreciation on all fixed assets is provided on straight-line method at
the rate specified in Schedule XIV of the Companies Act, 1956.
Depreciation on additions / deletions is provided on pro-rata basis to
the months of additions / deletions.
4. INVESTMENTS:
Investments are classified as long-term investments and are stated at
cost. Diminution in value, if any, which is of a temporary nature, is
not provided.
5. VALUATION OF INVENTORIES:
Finished Goods are valued at cost.
6. REVENUE RECOGNITION:
Sales are recognized, on involving and actual dispatch to customers and
are recorded exclusive of Sales Tax. Other incomes, interest incomes
are accounted on accrual basis.
7. FOREIGN CURRENCY TRANSACTION:
The transactions in foreign currency are accounted at exchange rate
prevailing on the date of transaction. Monetary items denominated in
foreign currency outstanding at the year-end are translated at the
year- end exchange rate and the unrealized exchange gain or loss is
recognized in the profit and loss account.
8. BORROWING COSTS:
Borrowing costs are recognized as an expense in the period in which
they are incurred, except to the extent where borrowing costs that are
directly attributable to the acquisition, construction, or production
of an asset till put for its intended use is capitalized as part of the
cost of that asset.
9. A) CURRENT TAX:
Provisions for Current Income tax liability is made on estimated
Taxable Income under Income Tax Act, 1961 after considering permissible
tax exemptions, deductions and disallowances. This liability is
calculated at the applicable tax rate or Minimum Alternate Tax rate
under section 115JB of The Income Tax, 1961 as the case maybe.
B) DEFERRED TAX:
Deferred Tax liability ascertained as on 31st March 2002 resulting from
timing differences between book profits and tax profits is accounted
for under the liability method, at the tax rate specified under section
115JB of the Income Tax Act, 1961 to the extent that the timing
differences are expected to crystallize. Deferred tax liability on
timing difference arising subsequent to 31st March, 2002 is accounted
at regular rate as enacted in the Income Tax Act, 1961.
10. PROVISION AND CONTINGENT LIABILITIES:
The Company recognizes a provision when there is a present obligation
as a result of a past event that probably requires an outflow of
resources and a reliable estimate can b made of the amount of the
obligation. A disclosure for a contingent liability is made when there
is a possible obligation or a present obligation that may, but probably
will not, requires an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure is made.
11. PROPOSED DIVIDEND:
Dividend proposed by the Board of Directors is provided in the books of
account, pending approval of the shareholders in Annual General
Meeting.
12. MEASUREMENT OF EBIDTA:
As per the guidance note on revised schedule VI of the Companies Act,
1956, issued by the ICAI, the company has elected to present earnings
before interest, tax, depreciation & amortization (EBIDTA) as a
separate line item on the face of the statement of profit and loss. The
company measures EBIDTA on the basis of profit / (loss) from continuing
operations. In its measurements, the company does not include finance
costs, depreciation and amortization expense and tax expense.
14. Previous year''s figures have been regrouped/reclassified wherever
Necessary to Correspond with the current year''s
classifications/disclosure.
Signatures to Significant Accounting Policies and Noted 1 to 18 to the
financial statements.
Mar 31, 2013
1. ACCOUNTING ASSUMPTIONS:
The financial statements are drawn up in accordance with the historical
cost convention on accrual basis and comply with the accounting
standards referred to in Sec 211 (3C) of the Companies Act, 1956.
2. FIXED ASSETS:
All fixed assets are stated at cost of acquisition less accumulated
depreciation and impairment loss, if any.
3. DEPRECIATION:
Depreciation on all fixed assets is provided on straight-line method at
the rate specified in Schedule XIV of the Companies Act, 1956.
Depreciation on additions / deletions is provided on pro-rata basis to
the months of additions / deletions.
4. INVESTMENTS:
Investments are classified as long-term investments and are stated at
cost. Diminution in value, if any, which is of a temporary nature, is
not provided.
5. VALUATION OF INVENTORIES:
Finished Goods are valued at cost.
6. REVENUE RECOGNITION:
Sales are recognized, on involving and actual dispatch to customers and
are recorded exclusive of Sales Sax. Other incomes, interest incomes
are accounted on accrual basis.
7. FOREIGN CURRENCY TRANSACTION:
The transactions in foreign currency are accounted at exchange rate
prevailing on the date of transaction. Monetary items denominated in
foreign currency outstanding at the year-end are translated at the
year- end exchange rate and the unrealized exchange gain or loss is
recognized in the profit and loss account.
8. BORROWING COSTS:
Borrowing costs are recognized as an expense in the period in which
they are incurred, except to the extent where borrowing costs that are
directly attributable to the acquisition, construction, or production
of an asset till put for its intended use is capitalized as part of the
cost of that asset.
9. A) CURRENT TAX:
Provisions for Current Income tax liability is made on estimated
Taxable Income under Income Tax Act, 1961 after considering permissible
tax exemptions, deductions and disallowances. This liability is
calculated at the applicable tax rate or Minimum Alternate Tax rate
under section 115JB of The Income Tax, 1961 as the case maybe.
B) DEFERRED TAX:
Deferred tax reflects the impact of current year timing differences
between accounting and taxable income and reversal of timing
differences of earlier years. Deferred tax is measured based on the tax
rates and laws that have been enacted or substantively enacted as of
the balance sheet date. Deferred tax assets are recognized only to the
extent there is reasonable certainty that sufficient future taxable
income will be available against which such deferred tax assets can be
realized and are reviewed at each balance sheet date.
10. PROVISION AND CONTINGENT LIABILITIES:
The Company recognizes a provision when there is a present obligation
as a result of a past event that probably requires an outflow of
resources and a reliable estimate can b made of the amount of the
obligation. A disclosure for a contingent liability is made when there
is a possible obligation or a present obligation that may, but probably
will not, requires an outflow of resources. When there is a possible
obligation or a present obligation that the likelihood of outflow of
resources is remote, no provision or disclosure is made.
11. PROPOSED DIVIDEND:
Dividend proposed by the Board of Directors is provided in the books of
account, pending approval of the shareholders in Annual General
Meeting.
12. MEASUREMENT OF EBIDTA:
As per the guidance note on revised schedule VI of the Companies Act,
1956, issued by the ICAI, the company has elected to present earnings
Mar 31, 2012
A. General
The Company follows mercantile basis of accounting. The accounts have
been prepared on the basis of historical cost and on the principles of
going concern.
b. Sales
Sales returns are being accounted consistently in the year of
settlement in view of the peculiar nature of the business of the
Company.
c. Revenue Recognition
Export benefit in terms of duty Drawback Incentive is accounted for on
actual Receipt/realization basis.
d. Fixed Assets
Fixed assets are stated at cost less accumulated depreciation.
e. Depreciation
1. Depredation is provided on straight line method in accordance with
the rates and in the manner as specified in Schedule XIV to the
Companies Act, 1956.
2. Patents and Trade mark are written off over a period of ten years
from the year of their acquisition.
f. Inventories
1. The stocks of Raw Materials and Packing Materials are valued at
cost
2. y Finished goods are valued at lower of cost or net realizable
value.
g. Investments
Long Term Investments are carried at cost Provision for diminution in
the value of long terms investments is made only if such a decline is
not temporary in the opinion of the management
h. Expenditure during Construction Period
1. Pre-operative expenses incurred during construction period are
allocated to the respective fixed assets/deferred revenue expenditure
on the completion of construction.
2. In case of completed and commissioned works, where final settlement
of bills of contractors / suppliers / architects is yet to be effected,
capitalization is made for provisional amount on the basis of the rates
as per purchase orders / agreements and necessary adjustments are
carried out in the year of settlement
i. Foreign Currency Transactions
Account Receivables are revalued in the accounts at year end based on
the prevailing exchange rates. If the net exchange difference on this
account is loss, the same is dealt with in the Statement of Profit and
Loss.
j. Miscellaneous Expenditure
1. Preliminary Expenses and Share Issue Expenses are being written off
over a Period of ten years. "4
2. Deferred Revenue Expenditure is mortised over a period of six
years.
k. Provision for Taxation
Provision for taxation is computed as per "Total Incomeà returnable
under the Income Tax Act 1961 after taking into account deductions and
exemptions.
I. Contingencies and Events occurring after the Balance Sheet Date
In the opinion of the Management of the Company, Contingencies & events
occurring after the Balance Sheet date is NIL.
m. Borrowing Cost
The Company has not accounted any Borrowing Cost in the Books of
Accounts & hence the Borrowing Cost for the year under review is NIL.
n. Leases
There is no Leasing Expenses charged to the account for the year under
review.
0. Earning Per Share
Earning per share is Rs.00.38 for the year under review.
p. Cash Flow Statement
Cash Flows are reported as per the indirect method as specified in the
Accounting Standard (AS-3), 'Cash Flow Statement'.