Mar 31, 2014
A. BASIS OF PREPARATION OF FINANCIAL STATEMENTS
Financial statements have been prepared as a going concern basis under
historical cost convention, in accordance with the generally accepted
accounting principles and the provisions of the Companies Act, 1956 as
adopted consistently by the Company.
B. USE OF ESTIMATE
The preparation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual result and estimates are recognised in the period in
which the results are known/ materialized.
C. FIXED ASSETS
Fixed assets are stated at cost of acquisition or construction, net of
cenvat/Value added Tax, less accumulated depreciation and impairment
loss, if any. All costs, including finance cost till commencement of
commercial production & net charges on forward exchange contracts
attributable to the fixed assets are capitalised.
D. INTANGIBLE ASSETS
i. Intangible assets are stated at cost of acquisition less accumulated
amortization.
ii. As per Accounting Standard-26 "Intangible Assets", expenditure from
which no future economic benefits can be derived are recognised as an
expense, like expenditure on start-up activities, unless this
expenditure is included in the cost of an item of Fixed Assets under
AS-10. Start up costs may consists of Preliminary Expenses incurred in
establishing a legal entity such as legal and secretarial costs, etc.
E. CAPITALWORK-IN-PROGRESS
All expenses including direct and indirect expenses that arc
exclusively being incurred for the proposed project, except as
mentioned in AS-26 but otherwise required by AS-10, are being
accumulated and will be attributable to the proposed acquisition /
construction of fixed assets to make it reach in its working condition
for its intended use, including depreciation, enabling ultimate
allocation to different assets on a reasonable basis.
F. DEPRECIATION
i. Depreciation is provided on straight line method at the rates and
in the manner prescribed in Schedule XIV, of the
Companies Act, 1956.
ii. Depreciation on addition / deletion during the year has been
provided on prorate basis to the date of addition/deletion.
iii. No depreciation has been charged on Lease- hold land.
G. IMPAIRMENT OF ASSETS
An asset is treated as impaired when the carrying cost of the asset
exceeds its recoverable value. An impairment loss is charged to the
profit & loss account in the year in which an asset is identified as
impaired. The impairment loss recognized in prior accounting periods is
reversed if there has been a change in the estimate of recoverable
amount.
H. INVESTMENTS
Long term investments are stated at cost. Provision for diminution in
the value of long term investment is made only if such decline is other
than temporary in the opinion of the management. The carrying amount
for current investments recognized in Financial Statements is the lower
of cost and fair value. Any reduction to fair value and any reversals
of such reductions, in case of these Current Investments, are included
in the profit and loss statement.
I. TRANSACTION IN FOREIGN CURRENCY
i. Transactions denominated in foreign currencies are normally
recorded at the exchange rate prevailing at the date of the
transaction.
ii. Monetary Items denominated in foreign currencies at the year end
are restated at year end rates. In case of those items, which are
covered by forward exchange contracts, the difference between the year
end rate and spot rate on the date of the contract is recognized as
exchange difference and transferred to dollar hedge account as on to
date of Balance Sheet and the premium paid on forward contracts has
been recognized over the life of the contract.
iii. All other exchange difference are dealt with in the profit & loss
account.
J. REVENUE RECOGNITION
Revenue is recognized only when it can be reliably measured and it is
reasonable to expect ultimate collection. Revenue from operations
includes sale of goods, services, sales tax, service tax, excise duty
and sales during trial run period, adjusted for discount (net).Sales
are recorded net of vat and excise duty, after deducting returns,
discount & claim.
K. EXPORT INCENTIVES
i. Benefit on account of entitlement to Import duty free materials
under the "Duty Exemption pass book Scheme/Focus Market Scheme/Focus
Product scheme" is recognized as and when right to receive are
established as per the terms of the scheme.
ii. The Benefits in respect of Advance Licence received by the Company
against the Export made by it are recognized as and when goods are
imported against them.
iii. The Benefit in respect of Duty Drawback is recoginsed at the time
of exports.
L. INVENTORIES
Inventories are valued at lower of cost and net realisable value. Work
in process and finished goods include appropriate proportion of
overheads and, where applicable, excise duty.
M. EMPLOYEE BENEFITS
All employee benefits payable wholly within twelve months of rendering
the service are classified as short term employee benefits and are
recognised in the period in which the employee renders the related
service. Long Term Defined Contributions are accounted for on the basis
of contributions made during the year, whereas Long Term Defined
Benefits are accounted on the basis of as and when it is paid.
N. PROVISION FOR CURRENT AND DEFERRED TAX
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income-tax Act, 1961.
Deferred tax resulting from "timing difference" between taxable and
accounting income is accounted for using the tax rates and laws that
are enacted or substantively enacted as on the balance sheet date.
Deferred tax asset is recognised and carried forward only to the extent
that there is a virtual certainty that the asset will be realised in
future.
O. PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
event and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognised but are disclosed in the
financial statements. Contingent assets are neither recognized nor
disclosed in the financial statements.
Mar 31, 2013
A. BASIS OF PREPARATION OF FINANCIAL STATEMENTS
Financial statements have been prepared as a going concern basis under
historical cost convention, in accordance with (he Company accept
accounting Pencil and the provisions of the Companies Act, 1956
as adopted consistently by the
B. USE OF ESTIMATE
The preparation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period Difference
between the actual result and estimates are recognized in the period in
which the results are known materialized.
C. FIXEDASSETS
Fixed assets are stated at cost of acquisition or construction, net of
convert/Value added Tax, less accumulated depreciation and impairment
loss, if any. All costs, including finance cost till commencement of
commercial production & net charges on toward exchange contracts
attributable to the Fixed assets are capitalized.
I). INTANGIBLE ASSETS
i. Intangible assets are stated at cost of acquisition less accumulated
amortization.
ii. As per Accounting Standard-26 "Intangible Assets''*, expenditure
from which no future economic benefits can be derived are recognized as
an expense, like expenditure on start-up activities, unless this
expenditure is included in the cost of an it e m
E. CAPITALWORK-IN-PROGRESS
All expenses including direct and indirect expenses that are
exclusively being incurred for proposed project except us the proposed
acquisition/construction of fixed accumulated and will be attributable
to the proposed ninth h- 0 fix. classless 10 rack " reach "s working
condition for its intended use. including depreciation cabling
ultimately location to different assets on reasonable basis.
F. DEPRECIATION
i. Depreciation is provided on straight line method at the rules and
in the manner prescribed in Schedule XIV. of the t companies Acts 06.
ii Depreciation on addition/ deletion during the year has been provided
on prorate basis to the date of addition/ deletion.
iii. No depreciation has been charged on Lease- hold land.
G. IMPAIRMENT OF ASSETS
An asset is treated as impaired when the carrying cost of the asset
exceeds its recoverable value. An impairment loss is charged to the
profit & loss account in the year in which an asset is identified as
impaired. The impairment loss recognized in prior accounting pentodes is
reversed it there has been a change in the estimate of recoverable
amount.
H. INVESTMENTS
Long term investments are stated at cost provision for diminution in the
value of long term investment is made only if such opinion to the
management. The carrying amount for current investments recognized in
Financial Statements is the lower of cost and fair value. Any reduction
to fair value and any reversals of such reductions, in ease of these C
arrant Investments, are included in the profit and loss statement
I. TRANSACTION IN FOREIGN CURRENCY
Transaction denominated in forcing currencies are normalcy "corded at
the exchange role prevailing at I he date of the currencies a'' ''the year
end are restated at year end rates. In case of those items "''f art
towered by exchange contracts, the difference between the yearend role
and spot role on the date of the as exchange difference and transferred
lo dollar hedge account as on to date of Balance Sheet and the premium
prude on forward contracts has been recognized over the life of the
contract 111. All other exchange difference arc dealt with in the
profit & loss account
J. REVENUE RECOGNITION A
Revenue is recognized only when it can be reliably measured and it is
reasonable to expect ultimate collection. Revenue from operations
includes sale of goods, services, sales tax, service tax. excise duty
and sales during trial run period, adjusted for discount (net).Sales
arc recorded net of vat and excise duty, after deducting returns,
discount & claim.
K. EXPORT INCENTIVES
i. Benefit on account of entitlement to Import duty free materials
under the "Duty Exemption pass book Scheme/Focus Market Scheme/Focus
Product scheme" is recognized as and when right to receive are
established as per the terms of the scheme.
ii. The Benefits in respect of Advance Licensee received by the Company
against the Export made by it arc recognized as and when goods are
imported against them.
in. The Benefit in respect of Duty Drawback is recognized at the lime
of exports.
L. INVENTORIES
Inventories arc valued at lower of cost and net realizable value. Work
in process and finished goods include appropriate proportion of
overheads and. where applicable, excise duty.
M. EMPLOYEE BENEFITS
All employee benefits payable wholly within twelve months of rendering
the service are classified as short term employee benefits and are
recognized in the period in which the employee renders the related
service. Long Term Defined Contributions are accounted for on the basis
of contributions made during the year, whereas Long Term Defined
Benefits arc accounted on the basis of as and when it is paid.
N. PROVISION FOR CURRENT AND DEFERRED TAX
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income-tax Act. 1%1.
Deferred tax resulting from "timing difference" between taxable and
accounting income is accounted for using the tax rates and laws that
are connected or substantively enacted as on the balance sheet
date. Deferred lax tassel is recognized and carried forward only us the
Cxienf that there is a virtual certainty that the asset will be realized
in future.
O. PROVISION, CONTINGENT LIABILITIES ANO CONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
event and if is probable that there will be an outflow of resources.
Contingent Liabilities are not recognized but are disclosed in the
financial statements. Contingent assets are neither recognized nor
disclosed in the financial statements.
Mar 31, 2012
A. BASIS OF PREPARATION OF FINANCIAL STATEMENTS
Financial statements have been prepared as a going concern basis under
historical cost convention, in accordance with the generally accepted
accounting principles and the provisions of the Companies Act, 1956 as
adopted consistently by the Company.
B. USE OF ESTIMATE
The preparation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual result and estimates are recognised in the period in
which the results are known/ materialized.
C. FIXED ASSETS ,
Fixed assets are stated at cost of acquisition or construction, net of
cenvat/Value added Tax, less accumulated depreciation and impairment
loss, if any. All costs, including finance cost till commencement of
commercial production & net charg& on forward exchange contracts
attributable to the fixed assets are capitalised.
D. INTANGIBLE ASSETS
i. Intangible assets are stated at cost of acquisition less
accumulated amortization. Computer Software is amortized over a period
of five years.
ii. As per Accounting Standard-26 "Intangible Assets", expenditure
from which no future economic benefits can be derived are recognised as
an expense, like expenditure on start-up activities, unless this
expenditure is included in the cost of an item of Fixed Assets under
AS-10. Start up costs may consists of Preliminary Expenses incurred in
establishing a legal entity such as legal and secretarial costs, etc.
E. CAPITAL WORK-IN-PROGRESS
All expenses including direct and indirect expenses that are
exclusively being incurred for the proposed project, except as
mentioned in AS-26 but otherwise required by AS-10, are being
accumulated and will be attributable to the proposed acquisition /
construction of fixed assets to make it reach in its working condition
for its intended use, including depreciation, enabling ultimate
allocation to different assets on a reasonable basis.
F. DEPRECIATION
i. Depreciation is provided on straight line method at the rates and
in the manner prescribed in Schedule XIV, of the Companies Act, 1956.
ii. Depreciation on addition / deletion during the year has been
provided on prorate basis to the date of addition/deletion.
iii. No depreciation has been charged on Lease- hold land.
G. IMPAIRMENT OF ASSETS
An asset is treated as impaired when the carrying cost of the asset
exceeds its recoverable value. An impairment loss is charged to the
profit & loss account in the year in which an asset is identified as
impaired. The impairment loss recognized in prior accounting periods is
reversed if there has been a change in the estimate of recoverable
amount.
H. INVESTMENTS
Long term investments are stated at cost. Provision for diminution in
the value of long term investment is made only if such decline is other
than temporary in the opinion of the management. The carrying amount
for current investments recognized in Financial Statements is the lower
of cost and fair value. Any reduction to fair value and any reversals
of such reductions, in case of these Current Investments, are included in
the profit and loss statement.
I. TRANSACTION IN FOREIGN CURRENCY
i. Transactions denominated in foreign currencies are normally
recorded at the exchange rate prevailing at the date of the transaction.
ii. Monetary Items denominated in foreign currencies at the year end
are restated at year end rates. In case of those items, which are
covered by forward exchange contracts, the difference between the year
end rate and spot rate on the date of the contract is recognized as
exchange difference in the profit and loss account and the premium paid
on forward contracts has been recognized over the life of the contract.
iii. All other exchange difference are dealt with in the profit & loss
account.
J. REVENUE RECOGNITION
Revenue is recognized only when it can be reliably measured and it is
reasonable to expect ultimate collection. Revenue from operations
includes sale of goods, services, sales tax, service tax, excise duty
and sales during trial run period, adjusted for discount (net), Value
Added Tax (VAT) and gain / loss on corresponding hedge contracts. Sales
are recorded net of vat and excise duty, after deducting returns,
discount & claim.
K. EXPORT INCENTIVES
i. Benefit on account of entitlement to Import duty free materials
under the "Duty Exemption pass book Scheme/Focus Market Scheme/Focus
Product scheme" is recognized as and when right to receive are
established as per the terms of the scheme.
ii. The Benefits in respect of Advance Licence received by the Company
against the Export made by it are recognized as and when goods are
imported against them.
iii. The Benefit in respect of Duty Drawback is recoginsed at the time
of exports.
L. INVENTORIES '
Inventories are valued at lower of cost and net realisable value. Work
in process and finished goods include appropriate proportion of
overheads and, where applicable, excise duty.
M. EMPLOYEE BENEFITS
All employee benefits payable wholly within twelve months of rendering
the service are classified as short term employee benefits and are
recognised in the period in which the employee renders the related
service. Long Term Defined Contributions are accounted for on the basis
of contributions made during the year, whereas Long Term Defined
Benefits are accounted on the basis of as and when it is paid.
N. PROVISION FOR CURRENT AND DEFERRED TAX
Provision for current tax is made after taking into consideration
benefits admissible under the provisions of the Income-tax Act, 1961
Deferred tax will be provided at the end of year, if any.
O. PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
event and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognised but are disclosed in the
financial statements. Contingent assets are neither recognized nor
disclosed in the financial statements.
Mar 31, 2011
A. BASIS OF PREPERATION OF FINANCIAL STATEMENTS
The financial statements have been prepared under the historical cost
convention, in accordance with the generally accepted accounting
principles & the provisions of the Companies Act, 1956, as adopted
consistently by the company.
The company generally follows mercantile system of accounting and
recognizes significant items of Income & Expenditure on an accrual
basis. The presentation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of revenues and
expenses during the reporting period. Difference between the actual
result and estimated are recognized in the period in which the results
are known/materialized.
B. FIXED ASSETS
Fixed assets are recorded at the cost of acquisition/construction (net
of Vat/ Cenvat availed) and all direct expenses up to date of
production, less accumulated depreciation.
C. DEPRECIATION
Depreciation has been provided on straight-line method at the rates and
in the manner prescribed in schedule XIV of the Companies Act, 1956.
Depreciation on addition/deletion during the year has been provided on
prorata basis to the date of addition/deletion. No depreciation has
been charged on Lease- hold land.
D. INVESTMENT
Long term investments are stated at cost. Provision for diminution in
the value of long term investment is made only if such decline is other
than temporary in the opinion of the management.
E. INVENTORIES
Inventories are valued as per below given basis:
A. Raw material: - Lower of cost or market value.
B. Stock in process: -At estimated cost.
C. Finish stock: - Lower of cost or net realisable value.
F. SALES & PURCHASE
Sales are recorded net of vat and excise duty, after deducting returns,
discounts & claim. Purchases are recorded net of Value Added Tax and
Cenvat availed.
G. EMPLOYEE RETIREMENT BENEFITS
Gratuity is being accounted on cash basis as & when paid. Company's
contribution to provident fund and leave encashment are charged to
profit & loss account on accrual basis.
H. CONTINGENT LIABILITIES
Contingent liabilities are not provided for and are disclosed
separately by way of notes.
I. FOREIGN CURRENCY TRANSACTIONS
Transactions in foreign exchange, not covered by forward contracts, are
accounted at the exchange rates prevailing on the date of the
transaction. Gains or losses arising out of subsequent fluctuations are
accounted for on actual payment/ realization. Amount outstanding on the
year end are accounted for exchange gain /loss at rate prevailing on
the year end.
J. EXPORT INCENTIVES
Export Incentives have been accounted on accrual basis on exception of
claim receivable, any amount & difference between actual amounts
received & provision/claimed not accepted has been recorded in the year
of actual realization/materialized.
Mar 31, 2010
A. BASIS OF PREPERATION OF FINANCIAL STATEMENTS
The financial statements have been prepared under the historical cost
convention, in accordance with the generally accepted accounting
principles & the provisions of the Companies Act, 1956, as adopted
consistently by the company.
The company generally follows mercantile system of accounting and
recognizes significant items of Income & Expenditure on an accrual
basis. The presentation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of revenues and
expenses during the reporting period. Difference between the actual
result and estimated are recognized in the period in which the results
are known/materialized.
B. FIXED ASSETS
Fixed assets are recorded at the cost of acquisition/construction (net
of Vat/ Cenvat availed) and all direct expenses up to date of
production, less accumulated depreciation.
C. DEPRECIATION
Depreciation has been provided on straight-line method at the rates and
in the manner prescribed in schedule XIV of the Companies Act, 1956.
Depreciation on addition/deletion during the year has been provided on
prorata basis to the date of addition/deletion. No depreciation has
been charged on Lease- hold land.
D. INVESTMENT
Long term investments are stated at cost. Provision for diminution in
the value of long term investment is made only if such decline is other
than temporary in the opinion of the management
E. INVENTORIES
Inventories are valued as per below given basis:
A. Raw material: - Lower of cost or market value.
B. Stock in process: -At estimated cost.
C. Finish stock: - Lower of cost or net realisable value.
F. SALES & PURCHASE
Sales are recorded net of vat and excise duty, after deducting returns,
discounts & claim. Purchases are recorded net of Value Added Tax and
Cenvat availed.
G. EMPLOYEE RETIREMENT BENEFITS
Gratuity is being accounted on cash basis as & when paid. Companys
contribution to provident fund and leave encashment are charged to
profit & loss account on accrual basis.
H. CONTINGENT LIABILITIES
Contingent liabilities are not provided for and are disclosed
separately by way of notes.
I. FOREIGN CURRENCY TRANSACTIONS
Transactions in foreign exchange, not covered by forward contracts, are
accounted at the exchange rates prevailing on the date of the
transaction. Gains or losses arising out of subsequent fluctuations are
accounted for on actual payment/ realization. Amount outstanding on the
year end are accounted for exchange gain /loss at rate prevailing on
the year end.
J. EXPORT INCENTIVES
Export Incentives have been accounted on accrual basis on exception of
claim receivable, any amount & difference between actual amounts
received & provision/claimed not accepted has been recorded in the year
of actual realization/materialized.