Accounting Policies of RO Jewels Ltd. Company

Mar 31, 2024

Significant Accounting Policies

A. Basis of preparation of Financial Statements

The Financial statements are prepared under the historical cost convention and on accrual
basis in accordance with applicable accounting standards referred to in section 133 read
with rule as amended time to time.

Accounting policies not specifically referred to otherwise are consistent and in accordance
with the generally accepted accounting principles

B. Revenue Recognition

Sales are recorded exclusive of Taxes.

C. Property, Plant and Equipments

Property, Plant and Equipments are stated at cost of acquisition or construction less
accumulated depreciation, including financial cost till such assets are ready for its intended
use.

D. Depreciation

Depreciation is charged on written down value method as per Companies Act 2013.

E. Impairment of Assets

Impairment of assets if any is ordinarily assessed by comparing recoverable value of
individual assets with its carrying cost.

F. Inventories

Inventories are valued at cost or net realizable value whichever is lower. Cost in respect of
inventories is ascertained on Weighted Average Method.

G. Investments

Long Term Investments if any are stated at cost. Provision for dimunation if any in value of
assets is only made when the same is of permanent nature.

H. Retirement Benefits

i As certified by the management, the company has no liability under the Provident Fund

& Super Annuation Fund as the said acts do no apply to the company.

ii It is explained to us that the company does not provide for any leave encashment and
any liability arising thereon shall be paid and dealt with in the books of accounts at the
actual time of payment.

I. Prior Period Items

Significant items of Income or Expenditure, which relates to the prior accounting
periods, are accounted in the Profit and Loss Account under the head "prior year
Adjustments" other than those occasioned by the events occurring during or after the
close of the year and which are treated as relatable to the current year.

J. Borrowing Cost

Borrowing cost on working capital is charged against the profit & loss account in which
it is incurred.

Borrowing costs that are attributable to the acquisition or construction or manufacture
of qualifying assets are capitalized as a part of the cost of such assets till the date of
acquisition or completion of such assets. In respect of a suspended project for an
extended period, borrowing costs are not capitalized for such period.

K. Taxes on Income

Taxes on income of the current period are determined on the basis of taxable income
and credits computed in accordance with the provisions of the Income tax Act, 1961.

Deferred tax is recognized on timing differences between the accounting income and
the taxable income for the year, and quantified using the tax rates and laws enacted or
substantively enacted as on the Balance Sheet date.