Mar 31, 2014
A) Basis of Preparation
The financial Statements have been prepared to comply in all material
respects with the Accounting Standards notified by companies(Accounting
Standards) Rules 2006,(as amended) read with General Circular No
15/2013 dated 13th September 2013 and General Circular No 8/2014 dated
4th April 2014 issued by Ministry of Corporate Affairs and the relevant
provisions of the Companies Act 195. The financial statements have been
prepared under the historical cost convention on an accrual basis
except in case of assets for which revaluation is carried out. The
accounting policies have been consistently applied by the Company and
are consistent with those used in the previous year.
b) Revenue recognition
Revenue is recognized to the extent that it is probable that the
economic benefit will flow to the company and the revenue can be
reliably measured.
Sales of Goods
Revenue is recognized when the significant risks and rewards of
ownership of the goods have passed to the buyer. Sales are net of trade
discounts and sales tax.
c) Fixed Assets
Fixed Assets are stated at cost (or revalued amount, as the case may
be) less accumulated depreciation and Impairment losses if any. Cost
comprises the purchase price and any attributable cost of bringing the
assets to its working condition for its indented use.
d) Depreciation
Depreciation on fixed assets is provided on written down value method
as prescribed by schedule XIV to the Companies Act, 1956.
e) Inventory
Inventories are valued at lower of cost or net realizable value.
f) Foreign CurrencyTransactions
Transactions denominated in foreign currencies are recorded at the
exchange rates prevailing at the date of transaction. The exchange
differences arising on settlement/transaction are recognized in the
revenue accounts.
g) Taxon Income
Current tax is determined as the amount of tax payable in respect of
taxable income for the year based on the provisions of the Income Tax
Act, 1961.
Deferred tax for the year is recognised on timing differences; being
the difference between taxable incomes and accounting income that
originate in one period and are capable of reversal in one or more
subsequent periods.
Deferred Tax Assets and Liabilities are measured using the tax rates
and tax laws that have been enacted or substantively enacted by the
Balance Sheet date.
h) Earnings Per Share
Basic earnings per share are calculated by dividing the net profit or
loss for the period attributable to equity shareholders (after
deducting preference dividends and attributable taxes) by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they were entitled to participate in dividend relative to a
fully paid equity share during the reporting period. The weighted
average number of equity shares outstanding during the period is
adjusted for events of bonus issue, bonus elements in a rights issue to
existing shareholders, share splits, and reverse share splits
(consolidation of shares).
For the purpose of calculating diluted earnings per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity shares.
i) Provisions
A provision is recognized when an enterprise has a present obligation
as a result of past event and it is probable that an outflow of
resources will be required to settle the obligation, in respect of
which a reliable estimate can be made. Provisions are not discounted to
its present value and are determined based on best estimate required to
settle the obligation at the balance sheet date. These are reviewed at
each balance sheet date and adjusted to reflect the current best
estimates.
Contingent liabilities are shown by way of note in the Notes to
accounts in respect of obligations where based on the evidence
available, their existence at the Balance Sheet date is considered not
probable. Contingent assets are neither recognized in the accounts nor
disclosed.
j) Use of Estimates .
The preparation of financial statements in conformity with generally
accepted accounting principles requires the management to make
estimates and assumptions that affect the reporting amounts of assets
and liabilities and disclosure of contingent liabilities at the date of
the financial statements and the results of operations during the
reporting period. Although these estimates are based upon management''s
best knowledge of current events and actions, actual results could
differ from these estimates. Difference between the actual results and
estimates are recognized in the period in which the results are
known/materialized.
a. There has been no movement in equity shares outstanding at the
beginning and at the end of the year
b. The Company has only one class of equity share having a par value of
Rs 10/-. Each holder is entitled to one vote per equity share. Dividend
not proposed by the Board of Directors for equity share holders.
c. Repayment of capital on liquidation will be in proportion to the
number of equity shares held by shareholders.
d. Details of shareholders holding more than 5% shares in the company:
Cash Credit, Letter of Credit and Buyers Credit Secured by
a. Hypothecation of Machinery, Equipment, Stock of Raw Materials,
Semi-finished goods and Finished Goods.
b. Fixed Assets acquired out of such loan and other unencumbered
assets.
c. Personal guarantee of a director.
d. Lien of Deposits.
Mar 31, 2009
A. Segment Reporting
The company engaged primarily in the business of trading in Alloys &
Minerals. Hence there is no separate reportable segment reporting.
b. Related party Disclosures
Related party disclosures as required by Accounting Standard 18
"Related Party Disclosures ", (AS)- 18 issued by the Institute of
Chartered Accountants of India are given below:-
c. Earnings per share
The earnings per share, computed as per the requirement under Accounting
Standard 20, "Earning per Share (AS)-20 issued by The Institute of
Chartered Accountants of India, is as follows:
d. Deferred Tax Assets :
As per Accounting standard 22 " Accounting for Taxes on Income (A5)-22
issued by the institute of Chartered Accountants of India, Deferred Tax
resulting from timing differences between book and tax profit is
accounted for at the current rate of tax to the extent that timing
differences are expected to crystallize. Deferred Tax Assets during the
year aggregating to Rs.66273.00 has been recognized in the Profit and
Loss account. The details are as per annexure appended.
g. Contingent Liabilities
The Company has preferred an appeal against the demand raised by the
Income Tax Department for the
A.Y.: 2001-02 Rs.5, 31,635.00
A.Y.: 2002-03 Rs.5, 17,353.00
h. Since the Company is Trading in Minerals & Alloys the description
for the same differs on the basis of supply, requirements etc; in the
absence of the relevant description it is not possible to give the
quantitative details of stock as required under paragraph 3, 4c and 4d
of part II of Schedule IV to the Companies Act, 1956.
i. The company had not availed any loan/deposits from
public/shareholders except stated otherwise.
j. Balances from Sundry Debtors, Creditors are subject to confirmation
and reconciliation,
k. Previous year figures have been regrouped or reclassified where
necessary to make them comparable with current year''s figures.