Accounting Policies of Pariksha Fin-Invest-Lease Ltd. Company

Mar 31, 2015

1. Basis of Accounting :

The accounts have been prepared under historical cost convention and in accordance with applicable accounting standards and relevant disclosure requirements of the Companies Act, 2013.

2. Revenue Recognition:

All the items of cost/expenditure and revenue/income have been accounted for on accrual basis. Dividend income is recognized when the right to receive payment is established.

3. Fixed Assets:

Fixed assets are stated at cost, less accumulated depreciation/amortisation. Costs include all expenses incurred to bring the assets to its present location and condition. All Fixed Assets are stated at Historical Cost Less Depreciation.

4. Investments:

Non Current Investments are stated at cost. Provision for diminution is made only if in the opinion of the management such decline is other than temporary.

5. Depreciation:

Depreciation / amortization in respect of fixed assets acquired after 31st March, 2014 is charged on a straight line basis so as to write off the cost of the assets over their useful life's as mentioned below and for the assets acquired prior to 1st April, 2014, the carrying amount as on April 1, 2014 is depreciated over the remaining useful life as per the requirements of Schedule - II to the Companies Act 2013.

Type of Fixed useful life

Computer equipment 3 years

Office equipment 5 years

Furniture and fixtures 10 years

Motor Cycle 10 years

6. Inventories:

Stock in trade is valued scrip wise at cost based on FIFO method or market value whichever is lower

7. Retirement Benefits:

i) The provisions of the Provident Fund Act. 1952 are not applicable to the company for the time being.

ii) The provisions of Payment of Gratuity Act, 1972 are not applicable to the company for the time being as none of the employees of the company has completed the stipulated period of service for qualifying for this benefit.

Current tax is determined as the amount of tax payable in respect of taxable income for the period. Deferred tax is recognized subject to the consideration of prudence, 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. Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

9. Impairment of assets:

The company on an annual basis makes an assessment of any indicator that may lead to impairment of assets. If any such indication exists, the company estimates the recoverable amount of the assets. If such recoverable amount is less than the carrying amount, then the carrying amount is reduced to its recoverable amount by treating the difference between them as impairment loss and is charged to the profit and loss account.

10. Segment Reporting :

The company is engaged in the business of loans and investments which is the single reportable segment.

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Mar 31, 2014

1. Basis of Accounting :

The accounts have been prepared under historical cost convention and in accordance with applicable accounting standards and relevant disclosure requirements of the Companies Act, 1956.

2. Revenue Recognition:

All the items of cost/expenditure and revenue/income have been accounted for on accrual basis. Dividend income is recognised when the right to receive payment is established.

3. Fixed Assets:

The fixed assets are stated at cost. The cost of a fixed asset comprises its purchase price and any directly attributable cost of bringing the asset to working condition for its intended use.

4. Investments:

Non Current Investments are stated at cost. Provision for diminution is made only if in the opinion of the management such decline is other than temporary.

5. Depreciation:

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956.

6. Inventories:

Stock in trade is valued scrip wise at cost based on FIFO method or market value whichever is lower.

7. Retirement Benefits:

i) The provisions of the Provident Fund Act, 1952 are not applicable to the company for the time being.

ii) The provisions of Payment of Gratuity Act, 1972 are not applicable to the company for the time being as none of the employees of the company has completed the stipulated period of service for qualifying for this benefit.

8. Taxes on Income:

Current tax is determined as the amount of tax payable in respect of taxable income for the period. Deferred tax is recognized subject to the consideration of prudence, 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 Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

9. Impairment of assets:

The company on an annual basis makes an assessment of any indicator that may lead to impairment of assets. If any such indication exists, the company estimates the recoverable amount of the assets. If such recoverable amount is less than the carrying amount, then the carrying amount is reduced to its recoverable amount by treating the them as impairment loss and is charged to the profit and loss account

10. Segment Reporting :

The company is engaged in the business of loans and investments which is the single reportable segment.

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Mar 31, 2013

1. Basis of Accounting :

The accounts have been prepared under historical cost convention and in accordance with applicable accounting standards and relevant disclosure requirements of the Companies Act, 1956.

2. Revenue Recognition:

All the items of cost/expenditure and revenue/income have been accounted for on accrual basis. Dividend income is recognised when the right to receive payment is established.

3. Fixed Assets :

The fixed assets are stated at cost. The cost of a fixed asset comprises its purchase price and any directly attributable cost of bringing the asset to working condition for its intended use.

4. Investments:

Non Current Investments are stated at cost. Provision for diminution is made only if in the opinion of the management such decline is other than temporary.

5. Depreciation:

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956.

6. Inventories:

Stock in trade is valued scrip wise at cost based on FIFO method or market value whichever is lower.

7. Retirement Benefits:

i) The provisions of the Provident Fund Act, 1952 are not applicable to the company for the time being.

ii) The provisions of Payment of Gratuity Act, 1972 are not applicable to the company for the time being as none of the employees of the company has completed the stipulated period of service for qualifying for this benefit.

8. Taxes on Income:

Current tax is determined as the amount of tax payable in respect of taxable income for the period. Deferred tax is recognized subject to the consideration of prudence, 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. Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

9. Impairment of assets:

The company on an annual basis makes an assessment of any indicator that may lead to impairment of assets. If any such indication exists, the company estimates the recoverable amount of the assets. If such recoverable amount is less than the carrying amount, then the carrying amount is reduced to its recoverable amount by treating the difference between them as impairment loss and is charged to the profit and loss account.

10. Segment Reporting :

The company is engaged in the business of loans and investments which is the single reportable segment.

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Mar 31, 2012

1. Basis of Accounting :

The accounts have been prepared under historical cost convention and in accordance with applicable accounting standards and relevant disclosure requirements of the Companies Act, 1956.

2. Revenue Recognition:

All the items of cost/expenditure and revenue/income have been accounted for on accrual basis. Dividend income is recognised when the right to receive payment is established,

3. Fixed Assets :

The fixed assets are stated at cost. The cost of a fixed asset comprises its purchase price and any directly attributable cost of bringing the asset to working condition for its intended use.

4. Investments :

Non Current Investments are stated at cost. Provision for diminution is made only if in the opinion of the management such decline is other than temporary.

5. Depreciation:

Depreciation on fixed assets is provided on straight line method at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956.

6 Inventories:

Stock in trade is valued scrip wise at cost based on FIFO method or market value whichever is lower.

7. Retirement Benefits:

i) The provisions of the Provident Fund Act, 1952 are not applicable to the company for the time being.

ii) The provisions of Payment of Gratuity Act, 1972 are not applicable to the company for the time being as none of the employees of the company has completed the stipulated period of service for qualifying for this benefit,

8. Taxes on Income:

Current tax is determined as the amount of tax payable in respect of taxable income for the period. Deferred tax is recognized subject to the consideration of prudence, 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. Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

9 Impairment of assets:

The company on an annual basis makes an assessment of any indicator that may lead to impairment of assets. If any such indication exists, the company estimates the recoverable amount of the assets. If such recoverable amount is less than the carrying amount, then the carrying amount is reduced to its recoverable amount by treating the difference between them as impairment loss and is charged to the profit and loss account.

10. Segment Reporting :

The company is engaged in the business of loans and investments which is the single reportable segment