Mar 31, 2015
1. Basis of Preparation of Financial Statements:
The financial statements of the Company have been prepared in
accordance with the Generally Accepted Accounting Principles in India,
to comply with the applicable mandatory Accounting Standards specified
under Section 133 of the Companies Act, 2013, read with Rule 7 of the
Companies (Accounts) Rules,2014 and the relevant provisions of the
Companies Act, 2013. The accounting policies adopted in the preparation
of financial statements are consistent with those followed in the
previous year, except wherever specified.
2. Going Concern :
The financial statements are prepared on a going concern basis. The
management of the Company believes that, the Company will continue to
operate as a going concern and will be in a position to meet all its
liabilities as they fall due for payment.
3. Use of Estimates:
In preparing the Company's financial statements in conformity with the
accounting principles generally accepted in India, management is
required to make estimates and assumptions that affect the reported
amounts of assets and liabilities and the disclosure of contingent
liabilities at the date of the financial statements and reported
amounts of revenues and expenses during the reporting period. Actual
results could differ from those estimates. Any revision to accounting
estimates is recognised prospectively in the current and future
periods.
4. Fixed Assets:
Fixed Assets is stated at cost of acquisition (net of CENVAT, wherever
applicable) as reduced by accumulated depreciation. The cost of assets
includes other direct/indirect and incidental cost incurred to bring
them into their working condition.
When assets are disposed or retired, their cost is removed from the
financial statements. The gain or loss arising on the disposal or
retirement of an asset is determined as the difference between sales
proceeds and the carrying amount of the asset and is recognised in
Statement of Profit and Loss for the relevant financial year.
5. Depreciation:
In respect of fixed assets acquired during the year, depreciation/
amortization is charged on a straight line basis so as to write off the
cost of the assets over the useful lives as prescribed in Schedule II
of the Companies Act, 2013 and for the assets acquired prior to April
1, 2014, the carrying amount as on April 1, 2014 is depreciated over
the remaining useful life of the assets. Depreciation on grant portion
of the assets is adjusted to the grant account.
6. Revenue Recognition:
Revenue is recognised when practically all risk and rights connected
with ownership have been transferred to the buyer. This usually occurs
upon dispatch, after the price has been determined and collection of
the sales proceeds is reasonable certain.
i. Interest Income
Interest Income is recognized on accrual basis.
7. Earning Per Share:
Basic earnings per share is calculated by dividing net profit after tax
for the year attributable to Equity Shareholders of the company by the
weighted average number of Equity Shares issued during the year.
Diluted earnings per share is calculated by dividing net profit
attributable to equity Shareholders (after adjustment for diluted
earnings) by average number of weighted equity shares outstanding
during the year.
8. Provisions, Contingent Liabilities and Contingent Assets:
A provision is recognized when there is 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.
A disclosure for a contingent liability is made when there is a
possible or present obligation that may, but probably will not require
an outflow of resources.
Contingent Assets are neither recognized nor disclosed in the financial
statements
9. Income Tax
Provision for current tax is made after taking into consideration
benefits admissible under the provision of the Income Tax Act, 1961.
Mar 31, 2014
2.1. ACCOUNTING CONVENTION
The Company follows mercantile system of accounting and recognizes
income and expenditure on accrual basis unless otherwise disclosed by
way of note.
* These accounts have been prepared under the historical cost
conventions, on accrual basis and on the accounting principles of a
going concern.
* Accounting policies unless specifically stated to be otherwise are
consistent and are in consonance with generally accepted a unting
principles.
* The Accounting Standards and relevant guidelines notes issued by the
Institute of Chartered Accountants of India and relevant provisions of
the Companies Act, 1956.
2.2. FIXED ASSETS
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of freight, duties, taxes, interest and other incidental
expenses related to acquisition and installation.
2.3. INVESTMENTS
Long term investments are stated at cost less provision for diminution
in value other than temporary if any.
2.4. INVENTORIES
Inventories are valued at lower of cost or net realizable value. Cost
of inventories is computed on a FIFO basis. Finished Goods and Work in
progress included raw material cost, Cost of conversion and other cost
in bringing the inventories to their present location and condition.
2.5. DEPRECIATION AND AMMORTIZATION
Depreciation is charged under the straight line method in accordance
with the rates and manner specified in Schedule XIV to the Companies
Act, 1956.
2.6. IMPAIRMENT OF ASSETS
The carrying amount of assets are reviewed at each balance sheet date
if there is any indication of impairment based on internal/ external
factors. An impairment loss Is recognized wherever the carrying amount
of asset exceeds its recoverable amount
2.7. USE OF ESTIMATES
The preparation of financial statements in conformity with Indian GAAP
requires management to make estimates and assumptions Considered in the
reported amount of assets and liabilities (including contingent
liabilities) and the reported income and expenses during the year. The
management believes that the estimates used in the preparation of
financial statements are prudent and reasonable. Future results could
differ due to these estimates and the difference between actual results
and the estimates as are recognized in the period in which the results
are known/ materialized.
2.8.REEVENUE RECOGNITION
i. Revenue is recognized with the dispatch of goods to the customers
adopting the mercantile system of accounting, li. Other miscellaneous
revenue are recognized when amount and reliability is certain.
2.9.BORROWING COST
Borrowing cost relating to (i) funds borrowed for acquisition of
qualifying fixed assets are capitalized till the date of commissioning
and thereafter charged to Profit and loss A/c and (ii) funds borrowed
for other purposes are charged to Profit and Loss A/c.
2.10-FQREIGN CURRENCY TRANSACTION
The company has opted for accounting the exchange differences arising
on reporting of long term Foreign Currency monetary items in line with
companies (Accounting standards ) Amendment rules 2009 relating to
accounting standard 11 (AS-11) notified by Government Of India on 31st
March, 2009.
2.11. RESEARCH AND DEVELOPMENT
Revenue expenditure charged to Profit and loss Account under respective
heads of account and capital expenditure added to the cost of fixed
assets in the year in which incurred.
2.12. GOVERNMENT GRANTS
Gr relating to Fixed Assets are shown as deduction from the gross value
of fixed assets and those of the nature of Project Capital Subsidy
Reserves and other Government Grants including export incentives are
credited to Profit and loss account or deducted from the related
expense.
2.13. EMPLOYEE BENEFITS
Company's contribution to Provident Fund are charged to Profit and Loss
Account is accounted for on accrual basis. Gratuity under the payment
of Gratuity Act is provided for on accrual basis.
2.14. TAXATION
Tax liability is estimated considering the provision of the Income Tax
Act, 1961. Deferred Tax is recognized subjects to the consideration of
Prudence, on timing difference, 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.
2.15. PROVISIONS. CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is present obligation as result of past.
events and it is probable that there will be an outflow of resources.
Contingent liabilities, if any, are not recognized in the accounts but
are disclosed by way of notes. Contingent assets are neither recognized
nor disclosed in the financial statements.
Mar 31, 2013
1.1 Basis of Preparation of financial Statements
i. The financial statements have been prepared under historical cost
convention in accordance with the generally accepted accounting
principles, applicable Accounting Standards as prescribed under the
Companies (Accounting Standards) Rules, 2006 and provisions of the
Companies Act, 1956 adopted consistently by the Company,
ii. The Company follows the mercantile systems of accounting and
recognizes significant items of incomes and expenditure on accrual
basis. Wherever it is not possible to determine the quantum of accrual
with reasonable certainly, e.g. insurance & others claims, refund of
customs duty, VAT and export incentives these continue to be accounted
for on settlement basis.
1.2 Use of Estimates
The preparation of the financial statements in conformity with Indian
GAAP requires the Managements to makes estimates and assumptions
considered in the reported amounts of assets and liabilities (including
contingent liabilities) and the reported income and expenses during the
year. The Managements believes that the estimates used in preparation
of the financial statements are prudent and reasonable. Future results
could differ due to these estimates and the differences between the
actual results and the estimates as are recognized in the periods in
which the results are known/materialize.
1.3 Fixed Assets
Fixed Assets are stated at cost less accumulated depreciation. Cost
comprises of fright, duties, taxes, interest and other incidental
expenses related to acquisition and installation.
1.4 Depreciation/Amortization
Depreciation is changed under the Straight Line Method in accordance
with the rates and manner specified in Schedule XIV to the Companies
Act, 1956.
1.5 Impairment of Assets
The carrying amounts of assets are reviewed at each balance sheet date
if there any indication of impairment based on internal/extemal
factors. An impairment loss is recognized wherever the carrying amount
of an asset exceeds its recoverable amount.
1.6 Investment
Long term investments are started at cost less provision for diminution
in value other than temporary, if any.
1.7 Inventories
Inventories are valued at lower of cost and net realizable value. Cost
of inventories is computed on a FIFO basis Finished Goods and Work in
progress included raw material cost. Cost of conversion and other cost
in bringing the inventories to their present location and conditions.
1.8 Revenue Recognition
i. Revenue is recognized with the dispatch of goods to the customers
adopting the mercantile system of accounting.
ii. Other Miscellaneous Revenue are recognized when amount and
reliability is certain.
1.9 Borrowing Cost
Borrowing cost relating to (i) funds borrowed for acquisition of
qualifying fixed assets are capitalized till the date of commissioning
and thereafter charged to Profit and Loss Account and (ii) funds
borrowed for other purposes are charged to profit and loss Account.
1.10 Foreign Currency Transactions
The Company has opted for accounting the exchange differences arising
on reporting of long term foreign currency monetary items in line with
Companies (Accounting Standards) Amendment Rules 2009 relating to
accounting Standard 11 (AS-11) notified by Government of India on 31st
March, 2009.
1.11 Research & Development
Revenue expenditure charged to Profit and Loss Account under respective
heads of account and capital expenditure added to the cost of fixed
Assets in the year in which it is incurred.
1.12 Governments Grants
Grants relating to Fixed Assets arc shown as deduction from the gross
value of the Fixed Assets and those of the nature of project Capital
Subsidy are credited to Capital Subsidy Reserves & others Governments
grants including export incentives are credited to Profit & Loss
Account or deducted from the related expenses.
1.13 Employee Benefits
Company's Contribution to Provident Fund are charged to Profit & Loss
Account is accounted for on accrual basis. Gratuity under the payment
of Gratuity Act is provided for on actuarial basis,
1.14 Taxation
Tax liability is estimated considering the provision of the Income Tax
Act, 1961. Deferred Tax is recognized subjects to the consideration of
prudence, on timing difference, 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.
1.15 Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is present obligation as result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities, if any, are not recognized in the accounts but
are disclosed by way of notes. Contingent assets are neither recognized
nor disclosed in the financial statements.
Mar 31, 2012
1.1 Basis of Preparation of financial Statements
i. The financial statements have been prepared under historical cost
convention in accordance with the generally accepted accounting
principles, applicable Accounting Standards as prescribed under the
Companies (Accounting Standards) Rules, 2006 and provisions of the
Companies Act, 1956 adopted consistently by the Company.
ii. The Company follows the mercantile systems of accounting and
recognizes significant items of incomes and expenditure on accrual
basis. Wherever it is not possible to determine the quantum of accrual
with reasonable certainly, e.g, insurance & others claims, refund of
customs duty. VAT and export incentives these continue to be accounted
for on settlement basis.
1.2 Use of Estimates
The preparation of the financial statements in conformity with Indian
GAAP requires the Managements to makes estimates and assumptions
considered in the reported amounts of assets and liabilities (including
contingent liabilities) and the reported income and expenses during the
year. The Managements believes that the estimates used in preparation
of the financial statements arc prudent and reasonable. Future results
could differ due to these estimates and the differences between the
actual results and the estimates as are recognized in the periods in
which the results are known/materialize.
1.3 Fixed Assets
Fixed Assets are staled at cost less accumulated depreciation. Cost
comprises of fright, duties, taxes, interest and other incidental
expenses related to acquisition and installation.
1.4 Depreciation/Amortization
Depreciation is changed under the Straight Line Method in accordance
with the rates and manner specified in Schedule XIV to the Companies
Act. 1956.
1.5 Impairment of Assets
The carrying amounts of assets are reviewed at each balance sheet date
if there any indication of impairment based on internal/extemal
factors. An impairment loss is recognized wherever the carrying amount
of an asset exceeds its recoverable amount.
1.6 Investment
Long term investments are started at cost less provision for diminution
in value other than temporary, if any.
1.7 Inventories
Inventories are valued at lower of cost and net realizable value. Cost
of inventories is computed on a FIFO basis Finished Goods and progress
included raw material cost. Cost of conversion and other cost in
bringing the inventories to their present location and conditions.
1.8 Revenue Recognition
i. Revenue is recognized with the dispatch of goods to the customers
adopting the mercantile system of accounting.
ii. Other Miscellaneous Revenue are recognized when amount and
realisability is certain.
1.9 Borrowing Cost
Borrowing cost relating to (i) funds borrowed for acquisition of
qualifying fixed assets are capitalized till the date of commissioning
and thereafter charged to Profit and Loss Account and (ii) funds
borrowed for other purposes are charged to profit and loss Account.
1.10 Foreign Currency Transactions
The Company has opted for accounting the exchange differences arising
on reporting of long term foreign currency monetary items in line with
Companies (Accounting Standards) Amendment Rules 2009 relating to
accounting Standard 11 (AS-ll) notified by Government of India on 31st
March, 2009.
1.11 Research & Development
Revenue expenditure charged to Profit and Loss Account under respective
heads of account and capital expenditure added to the cost of fixed
Assets in the year in which it is incurred.
1.12 Governments Grants
Grants relating to Fixed Assets are shown as deduction from the gross
value of the Fixed Assets and those of the nature of project Capital
Subsidy arc credited to Capital Subsidy Reserves & others Governments
grants including export incentives are credited to Profit & Loss
Account or deducted from the related expenses.
1.13 Employee Benefits
Company's Contribution to Provident Lund arc charged to Profit & Loss
Account is accounted for on accrual basis. Gratuity under the payment
of Gratuity Act is provided for on actuarial basis.
1.14 Taxation
Tax liability is estimated considering the provision of the Income Tax
Act, 1961. Deferred Tax is recognized subjects to the consideration of
prudence, on timing difference, 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.
1.15 Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
arc recognized when there is present obligation as result of past
events and it is probable that there will be an outflow of resources.
Contingent liabilities, if any. are not recognized in the accounts but
are disclosed by way of notes. Contingent assets arc neither recognized
nor disclosed in the financial statements.
Mar 31, 2011
1. BASIS OF PREPARATION OF FINANCIAL STATEMENTS :
a. The financial statements have been prepared under the historical cost
convention,in accordance with the generally accepted acccounting
principals and the provisions of the Companies Act,1956, as adopted
consistenly by the company.
b. The Company follows mercantile system of accounting and recognines
significant items of income and expenditure on accrual basis.
4. REVENUE RECOGNITION :
a. Revenue is recognised with the despatch of goods to the customers
adopting the mercantile system of accounting.
b. Other Miscellaneuos Revenue are recognised when amount and realisa-
bility is certain.
5. TAXES ON INCOME :
i. Provision for I-tax has to be made on the basis of provisions of I-
Tax Act and MAT as per section 115JB.
ii. In accordance with the Accounting Standard AS-22 Accounting of
Taxes on Income issued by the Institute of Chartered Accountants of
India deferred tax liabilities & assets arising from timing difference
are expected to crystallize in later years are recognized only there is
virtual certainty of relaistion of profit.
6. PRELIMINARY EXPENSES :
Preliminary Expenses are amortised over a period of five years, in
accordance with the provisions of Section 35D of Income Tax Act,1961.
7. INSURANCE CLAIM :
Insurnace Claim are accounted for on settlement basis.
8. EMPLOYEE RETIREMENT BENEFITS :
Company's contibution to provident fund are charged to profit & loss
account.No provision for gratuity has been made in books and the same
will dealt as and when paid.
9.INVESTMENT & SECURITY DEPOSITS :
a. Investments are valued at cost.
b. Income on investment are being accounted for on cash basis.
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