Mar 31, 2015
(a) Use of Estimates.
In preparation of financial statements requires the management to make
judgments, estimates and assumption that affect the reported amounts of
Assets and Liabilities on the date of financial statements and the
reported amount of revenues and expenses during the reporting period.
Although these estimates are based on the management's best knowledge
of current events and actions, uncertainty about these assumptions and
estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets as liabilities In future periods.
(b) Fixed Assets:
Fixed Assets are stated at cost and includes amounts added on
revaluations less accumulated depreciations and impairment loss, if
any. All costs including financing cost till commencement of commercial
activities attributable to the Fixed Assets are capitalized.
(c) Depreciation on Tangible Fixed Assets.
(i) Depreciation on Plant and Machinery, Electrical installations and
Equipment etc. Is provided on a Straight Line Method over the estimated
useful life of assets.
(ii) Effective 1st April 2014, the company depreciates its fixed assets
over the useful life in the manner prescribed in Schedule II of the
Companies Act 2013, as against the earlier practice of depreciating at
the rates prescribed in Schedule XIV of the companies act 1956.
(iii) Based on terms of the Lease Deed signed as per Orders of the High
Court of Judicature at Bombay, the useful life of
building at Wadala has been estimated as 13 years (on a single shift
basis), which Is different from that prescribed in Schedule II of the
Act.
(iv) In case of pre-owned assets, the useful life is estimated on a
case to case basis.
(v) Depreciation on additions to assets or on sale/discardment of
assets, is calculated pro rata from the month of such addition or upto
the month of such sale / discardment, as the case may be.
(d) Impairment of Assets:
An Asset is treated as impaired when the carrying cost of Assets
exceeds its reasonable value. An impairment loss is charged to the
profit and loss account in the year in which on asset is identified as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount.
(e) Foreign currency transactions:
Transactions denominated in foreign currencies are recorded at the
exchange rate prevailing on the date of transactions.
(f) investments:
The long term investments are stated at cost provision for diminution
in the value of the long term investments is made only if such a
decline is other than temporary.
(g) Inventories:
The materials and consumables stores are valued at lower of cost or net
realizable value. The cost is worked out on FI F 0 basis and the work
in progress is valued at contract rate and I or at realizable value.
(h) Revenue recognition:
The work contracts are evaluated at the end of each year on stage
completion method. On contract under execution revenue is recognized by
evaluation of the work completed at the end of the accounting year. The
claim (including escalations) which in the opinion of the management
are recoverable on the contract are recognized at the time of
evaluation of the work. Various claims, arbitration matters raised by
company are subject to negotiation and redetermination. Claims make in
respect thereof are accounted as income in the year of receipt of
arbitration award and / or acceptance by client or evidence of
acceptance received from the Client. Revenue from operations includes
sale of scrap, services, service tax and value added tax.
Income from Services: Revenue from, warehousing contracts recognized
pro-rata over the period of contract as and when services are rendered.
Interest: Interest income is recognized on a time proportion basis
taking into account the amount outstanding and rate applicable.
Dividend: Dividend income is recognized when right to receive is
established
(i) Employee Benefits:
As per the past practices and as per the understanding between company
and the employees the monthly salary is inclusive of leave salary,
gratuity and bonus and the salary is paid inclusive of these benefits
to employee every month.
(j) Provision for Current and Deferred Tax:
Provision for current tax is made after taking Into consideration
benefits admissible under the provision of the provisions of The Income
Tax Act 1961.
Deferred Tax reflect the impact of "timing difference" between taxable
income and accounting income originating during the current year and
reversal of timing difference for the earlier years. Deferred Tax is
measured using the tax rates and laws that are enacted or substantively
enacted as on the balance sheet date.
Deferred Tax liabilities are recognized for all taxable timing
differences. Deferred Tax Asset is recognized and cured forward only to
the extent that there is a virtual certainty that the asset will be
revised in future.
(k) Provisions and contingent liabilities.
A provision is recognized if the Company has present obligation, as a
result of past event, that can be estimated reliably and it is probable
that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by the best estimate of the
outflow of economic benefits required to settle the obligations at the
reporting date.
Where no reliable estimate can be made, or disclosure is made as
contingent liability A disclosure for contingent liability is also made
when there is a possible obligation or a present obligation that may,
but probable will not require outflow of resources. Where there is
possible obligation or a present obligation in respect of which the
likely wood of outflow of resources is remote, no provision or
disclosure is made. Contingent liabilities are not recognized but are
disclosed in the notes.
(l) Earning per Share.
Basic earning per Share is computed by dividing the net profit after
tax by the weighted average number of equity shares outstanding during
the period.
Mar 31, 2014
(a) Use of Estimates.
In preparation of financial statements requires the management to make
judgments, estimates and assumption that affect the reported amounts of
Assets and Liabilities on the date of financial statements and the
reported amount of revenues and expenses during the reporting period.
Although these estimates are based on the management''s best knowledge
of current events and actions, uncertainty about these assumptions and
estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets as liabilities in future periods.
(b) Fixed Assets :
Fixed Assets are stated at cost and includes amounts added on
revaluations less accumulated depreciations and impairment loss, if
any. All costs including financing cost till commencement of commercial
activities attributable to the Fixed Assets are capitalized. -
(c) Depreciation on Tangible Fixed Assets.
Depreciation on Fixed Assets has been provided on straight line method
as per section 2.5 (2) (b) of the Companies Act 1956 for pro-rata
period for which the assets is put to use and lease hold land is stated
at cost since inception. In respect of assets acquired upto 1.4.1987 on
straight line method as per Circular No. 1/86 dated 20.5.1986 issued by
the department of Company affairs and in respect of assets acquired
from 2nd April 1987 and onwards at straight line method as the rates
and in manner specified in schedule XIV of the Companies Act 1956.
(d) Impairment of Assets:
An Asset is treated as impaired when the carrying cost of Assets
exceeds its reasonable value. An impaimlent loss is charged to the
profit and loss account in the year in which on asset is identified as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount. -
(e) Foreign currency transactions:
Transactions denominated in foreign currencies are recorded at the
exchange rate prevailing on the date of transactions.
(f) Investments:
The long term investments are stated at cost provision for diminution
in the value of the long term investments is made only if such a
decline is other than temporary.
(g) Inventories: .
The materials and consumables stores are valued at lower of cost or net
realizable value. The cost is worked out on F I F O basis and the work
in progress is valued at contract rate and / or at realizable value.
(h) Revenue recognition:
The work contracts are evaluated at the end of each year on stage
completion method.
On contract under execution revenue is recognized by evaluation of the
work completed at the end of the accounting year. The claim (including
escalations) which in the opinion of the management are recoverable on
the contract are recognized at the time of evaluation of the work.
Various claims, arbitration matters raised by company are subject to
negotiation and redetermination. Claims make in respect thereof are
accounted as income in the year of receipt of arbitration award and /
or acceptance by client or evidence of acceptance received from the
Client. Revenue from operations includes sale of scrap, services,
service tax and value added tax. Income from Services: Revenue from,
warehousing contracts recognized pro-rata over the period of contract
as and when services are rendered. -
Interest: Interest income is recognized on a time proportion basis
taking into account the amount outstanding and rate applicable.
Dividend: Dividend income is recognized when right to receive is
established
(i) Employee Benefits:
As per the past practices and as per the understanding between company
and the employees the monthly salary is inclusive of leave salary,
gratuity and bonus and the salary is paid inclusive of these benefits
to employee every month.
(j) Provision for Current and Deferred Tax:
Provision for current tax is made after taking into consideration
benefits admissible under the provision of the provisions of The Income
Tax Act 1961.
Deferred Tax reflect the impact of "timing difference" between taxable
income and accounting income originating during the current year and
reversal of timing
difference for the earlier years. Deferred Tax is measured using the
tax rates and laws- that are enacted or substantively enacted as on the
balance sheet date.
Deferred Tax liabilities are recognized for all taxable timing
differences. Deferred Tax Asset is recognized and cured forward only to
the extent that there is a virtual certainty that the asset will be
revised in future.
(k) Provisions and contingent liabilities.
A provision is recognized if the Company has present obligation, as a
result of past event, that can be estimated reliably and it is probable
that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by the best estimate of the
outflow of economic benefits required to settle the obligations at the
reporting date.
Where no reliable estimate can be made, or disclosure is made as
contingent liability A disclosure for contingent liability is also made
when there is a possible obligation or a present obligation that may,
but probable will not require outflow of resources. Where there is
possible obligation or a present obligation in respect of which the
likely wood of outflow of resources is remote, no provision or
disclosure is made.'' Contingent liabilities are not recognized but are
disclosed in the notes.
(l) Earning per Share.
Basic earning per Share is computed by dividing the net profit after
tax by the weighted average number of equity shares outstanding during
the period.
Mar 31, 2013
(a) Presentation and disclosure of financial statements.
During the year ended 31st March, 2012 the revised schedule VI notified
under the Companies Act, 1956, has become applicable to Company, for
preparation and presentation of it''s financial statements. It has
significant impact on presentation and disclosures made in the
financial statements the Company have reclassified the previous year
figures in accordance with the requirements applicable in the current
year.
(b) Use of Estimates.
In preparation of financial statements requires the management to make
judgments, estimates and assumption that affect the reported amounts of
Assets and Liabilities oh the date of financial statements and the
reported amount of revenues and expenses during the reporting period.
Although these estimates are based on the management''s best knowledge
of current events and actions, uncertainty about these assumptions and
estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets as liabilities in future periods.
(c ) Fixed Assets :
Fixed Assets are stated at cost and includes amounts added on
revaluations less accumulated depreciations and impairment loss, if
any. All costs including financing cost till commencement of commercial
activities attributable to the Fixed Assets are capitalized.
(d) Depreciation on Tangible Fixed Assets.
Depreciation on Fixed Assets has been provided on straight line method
as per section 2.5 (2) (b) of the Companies Act 1956 for pro-rata
period for which the assets is put to use and lease hold land is stated
at cost since inception. In respect of assets acquired upto 1.4.1987 on
straight line method as per Circular No. 1/86 dated 20.5.1986 issued by
the department of Company affairs and in respect of assets acquired
from 2nd April 1987 and onwards at straight line method as the rates
and in manner specified in schedule XTV of the Companies Act 1956.
(e) Impairment of Assets:
An Asset is treated as impaired when the carrying cost of Assets
exceeds its reasonable value. An impairment loss is charged to the
profit and loss account in the year in which on asset is identified as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount.
(f) Foreign currency transactions:
Transactions denominated in foreign currencies are recorded at the
exchange rate prevailing on the date of transactions.
(g) Investments:
The long term investments are stated at cost provision for diminution
in the value of the long term investments is made only if such a
decline is other than temporary.
(h) Inventories:
The materials and consumables stores are valued at lower of cost or net
realizable value. The cost is worked out on F IF O basis and the work
in progress is valued at contract rate and / or at realizable value.
(i) Revenue recognition:
The work contracts are evaluated at the end of each year on stage
completion method. On contract under execution revenue is recognized
by evaluation of the work completed at the end of the accounting year.
The claim (including escalations) which in the opinion of the
management are recoverable on the contract are recognized at the time
of evaluation of the work. Various claims, arbitration matters raised
by company are subject to negotiation and redetermination. Claims make
in respect thereof are accounted as income in the year of receipt of
arbitration award and / or acceptance by client or evidence of
acceptance received from the Client. Revenue from operations includes
sale of scrap, services, service tax and value added tax. Income from
Services: Revenue from, warehousing contracts recognized pro-rata over
the period of contract as and when services are rendered. Interest:
Interest income is recognized on a time proportion basis taking into
account the amount outstanding and rate applicable. Dividend: Dividend
income is recognized when right to receive is established
(J) Employee Benefits:
As per the past practices and as per the understanding between company
and the employees the monthly salary is inclusive of leave salary,
gratuity and bonus and the salary is paid inclusive of these benefits
to employee every month.
(k) Provision for Current and Deferred Tax:
Provision for current tax is made after taking into consideration
benefits admissible under the provision of the provisions of The Income
Tax Act 1961.
Deferred Tax reflect the impact of "timing difference" between taxable
income and accounting income originating during the current year and
reversal of timing difference for the earlier years. Deferred Tax is
measured using the tax rates and laws that are enacted or substantively
enacted as on the balance sheet date. Deferred Tax liabilities are
recognized for all taxable timing differences. Deferred Tax Asset is
recognized and cured forward only to the extent that there is a virtual
certainty that the asset will be revised in future.
(1) Provisions and contingent liabilities.
A provision is recognized if the Company has present obligation, as a
result of past event, that can be estimated reliably and it is probable
that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by the best estimate of the
outflow of economic benefits required to settle the obligations at the
reporting date.
Where no reliable estimate can be made, or disclosure is made as
contingent liability A disclosure for contingent liability is also made
when there is a possible obligation or a present obligation that may,
but probable will not require outflow of resources. Where there is
possible obligation or a present obligation in respect of which the
likely wood of outflow of resources is remote, no provision or
disclosure is made. Contingent liabilities are not recognized but are
disclosed in the notes.
(m) Earning per Share.
Basic earning per Share is computed by dividing the net profit after
tax by the weighted average number of equity shares outstanding during
the period.
Mar 31, 2012
(a) Presentation and disclosure of financial statements.
During the year ended 31st March, 2012 the revised schedule VI notified
under the Companies Act, 1956, has become' applicable to Company, for
preparation and presentation of its financial statements. It has
significant impact on presentation and disclosures made in the
financial statements the Company have reclassified the previous year
figures in accordance with the requirements applicable in the current
year.
(b) Use of Estimates.
In preparation of financial statements requires the management to make
judgments, estimates and assumption that affect the reported amounts of
Assets and Liabilities on the date of financial statements and the
reported amount of revenues and expenses during the reporting period.
Although these estimates are based on the management's best knowledge
of current events and actions, uncertainty about these assumptions and
estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets as liabilities in future periods.
(c) Fixed Assets
Fixed Assets are stated at cost and includes amounts added on
revaluations less accumulated depreciations and impairment loss, if
any. All costs including financing cost till commencement of commercial
activities attributable to the Fixed Assets are capitalized.
(d) Depreciation on Tangible Fixed Assets.
Depreciation on Fixed Assets has been provided on straight line method
as per section 2.5 (2) (b) of the Companies Act 1956 for pro-rata
period for which the assets is put to use and lease hold land is stated
at cost since inception. In respect of assets acquired upto 1.4.1987 on
straight line method as per Circular No. 1/86 dated 20.5.1986 issued by
the department of Company affairs and in respect of assets acquired
from 2nd April 1987 and onwards at straight line method as the rates
and in manner specified in schedule XIV of the Companies Act 1956.
(e) Impairment of Assets:
An Asset is treated as impaired when the carrying cost of Assets
exceeds its reasonable value. An impairment loss is charged to the
profit and loss account in the year in which on asset is identified as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount.
(f) Foreign currency transactions:
Transactions denominated in foreign currencies are recorded at the
exchange rate prevailing on the date of transactions.
(g) Investments:
The long term investments are stated at cost provision for diminution
in the value of the long term investments is made only if such a
decline is other than temporary.
(h) Inventories: ^
The materials and consumables stores are valued at lower of cost or net
realizable value. The cost is worked out on F IF O basis and the work
in progress is valued at contract rate and / or at realizable value.
(i) Revenue recognition:
The work contracts are evaluated at the end of each year on stage
completion method. On contract under execution revenue is recognized
by evaluation of the work completed at the end of the accounting year.
The claim (including escalations) which in the opinion of the
management are recoverable on the contract are recognized at the time
of
evaluation of the work. Various claims, arbitration matters raised by
company are subject to negotiation and redetermination. Claims make in
respect thereof are accounted as income in the year of receipt of
arbitration award and / or acceptance by client or evidence of
acceptance received from the Client. Revenue from operations includes
sale of scrap, services, service tax and value added tax.
Income from Services: Revenue from warehousing contracts recognized
pro-rata over the period of contract as and when services are rendered.
Interest: Interest income is recognized on a time proportion basis
taking into account the amount outstanding and rate applicable.
Dividend: Dividend income is recognized when right to receive is
established O') Employee Benefits:
As per the past practices and as per the understanding between company
and the employees the monthly salary is inclusive of leave salary,
gratuity and bonus and the salary is paid inclusive of these benefits
to employee every month.
(k) Provision for Current and Deferred Tax:
Provision for current tax is made after taking into consideration
benefits admissible under the provision of the provisions of The Income
Tax Act 1961.
Deferred Tax reflect the impact of "timing differenceà between
taxable income and accounting income originating during the current
year and reversal of timing difference for the earlier years. Deferred
Tax is measured using the tax rates and laws that are enacted or
substantively enacted as on the balance sheet date.
Deferred Tax liabilities are recognized for all taxable timing
differences. Deferred Tax Asset is recognized and cured forward only to
the extent that there is a virtual certainty that the asset will be
revised in future.
(1) Provisions and contingent liabilities.
A provision is recognized if the Company has present obligation, as a
result of past event, that can be estimated reliably and it is probable
that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by the best estimate of the
outflow of economic benefits required to settle the obligations at the
reporting date.
Where no reliable estimate can be made, or disclosure is made as
contingent liability A disclosure for contingent liability is also made
when there is a possible obligation or a present obligation that may,
but probable will not require outflow of resources. Where there is
possible obligation or a present obligation in respect of which the
likely wood of outflow of resources is remote, no provision or
disclosure is made. Contingent liabilities are not recognized but are
disclosed in the notes.
(m) Earnings per Share
Basic Earnings per Share is computed by dividing the net profit after
tax by the weighted average number of equity shares outstanding during
the period.
Mar 31, 2010
(i)Revenue Recognition:-
The works contracts are evaluated at the end of each year on stage
completion method.. On contracts under execution, revenue is recognised
by evaluation of the work completed at the end of the accounting year
The claims (including escalations) which in the opinion of the management
are recoverable on the contract are recognised at the time of evaluation
of the work.
Various claims, arbitration matters raised by the company are subject
to negotiations or redetermination. Claims made in respect thereof are
accounted as income in the year of receipt of Arbitration Award and/or
acceptance by Client or evidence of acceptance received from the
Client.
(ii) Valuation of Fixed Assets:-Fixed Assets are valued at cost. In
respect of assets scrapped. discarded the book value of such assets
after deduction of estimated value is written off as loss .The receipts
on sale of assets are accounted for as and when realised (iii)
Depreciation-Depreciation of Fixed Assets has been provided on straight
line method as per Section 205(2)(b) of the Companies Act, 1956 for pro
rata period for which the asset is put to use as under:-
a)ln respect of assets acquired upto 1.4.1987 on straight line method
as per Circular No. 1/86 dated 21.05.1986 issued bythe Department of
Company affairs.
b)In respect of assets acquired from 2nd April 1987 onwards at straight
line method at the rates and in the manner specified in Schedule XIV of
the Companies Act.
(iv) Borrowing Cost:-The borrowing costs that are attributable to the
acquisition. construction or production of qualifying assets are
capitalised as part of cost of such assets. A qualifying asset is an
asset that necessarily requires a substantial period of time to get
ready for its intended use or sell. All other borrowing costs are
recognised as an expense in the period in which they are incurred. (v)
Valuation of Inventories:-
(a) Materials and consumable stores are valued at lower of cost or net
realisable value. The cost is worked out on FIF O basis. (b)Work in
progress is valued at contract rate and/or at realisable value.
(vi) Foreign Currency transactions:-The payment for expenditure in
foreign currency has been accounted for at exchange rate on the date of
payment.
(vii) Retirement Benefits:-Retirement benefits including gratuity and
leave salary are provided in the accounts on accrual basis. (viii)
Investments :-Investments are stated at cost
(ix) Research and developement:-Capital expenditure on this account are
shown as additions to fixed assets. (x) Income Tax:
(a)Provision is made for income tax liability, which is likely to arise
on the results for the year at the current rate of tax in accordance
with provisions of The Income Tax Act, 1961.
(b)Deferred income tax is provided .using the liability method, on all
temporary differences at the Balance Sheet date between the tax base of
assets and liabilities and their carrying amounts for financial
reporting purposes. (c)Deferred tax assets are recognised on
unabsorbed depreciation only to the extent that there is virtual
certainty of their realisation.
(d)Deferred tax assets and liabilities are measured using the tax rates
and the tax laws that have been enacted or subsequently enacted at the
Balance Sheet level.
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article