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Accounting Policies of SIL Investments Ltd. Company

Mar 31, 2018

Note 22 : Summary of significant accounting policies and other notes to the financial statements:

22.01 Nature of Operations

The main business of the Company is of investments and financing activities.

22.02 Summary of significant accounting policies

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards notified under Section 133 and the relevant provisions of the Companies Act, 2013. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the Company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it accrues to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties, taxes, incidental expenses and erection/ commissioning expenses etc.

(D) Depreciation

i) Depreciation on the fixed assets has been charged at Straight Line method with reference to the economic useful life of its fixed assets as prescribed by Schedule II of the Companies Act, 201 3.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Non-Current (Long term) investments are stated at cost. The Company provides for diminution, other than temporary, in the value of Long term investments. Current investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund is not applicable to the Company as the total number of employees are below the minimum required number of employees under payment of Employees Provident Fund (Misc. Provisions) Act, 1952.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

(H) Borrowing costs

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use are capitalized as part of the cost of the respective asset. All other borrowing costs are expensed in the period they occur.

(I) Current Tax and Deferred Tax

Tax expense comprises of current and deferred income tax. Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with 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 substantially enacted as on the balance sheet date. Deferred tax asset is recognized and carried forward only to the extent that there is virtual certainty that the asset will be realized in future and the same is reviewed at each balance sheet.

(J) Earning per equity share

The Company reports basic and diluted earning per share in accordance with Accounting Standard-20 on "Earning Per Share". Basic earning per share is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year. Diluted earning per share is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year as adjusted for the effects of all dilutive potential equity shares, except where the results are anti-dilutive.

22.03 As there is only one segment in the Company, hence Segment Reporting (AS-1 7) is not applicable.

22.04 There is a shortfall in the market value of certain non-current & current investments in shares, hence, the Company has not made provision in respect of such shortfall is Rs.75.85 lakhs (Previous year shortfall Rs. Nil). As the same in the opinion of the Management is not permanent in nature. However, there is no dimunition in overall market value of the Quoted Investments.

22.05 RELATED PARTY DISCLOSURE

A Subsidiaries

— SCM Investment & Trading Co. Ltd. — RTM Investment & Trading Co. Ltd. -SIL Properties Ltd. - RTM Properties Ltd.

B Key Management Personnel and their relatives

Mrs. Shalini Nopany (Managing Director) Mr. C. S. Nopany (Relative of Managing Director)

C Enterprise owned or significantly influenced by Key Management Personnel and their relatives

-

D Transactions with Related Parties during the year

.

Particulars

Key Management Subsidiaries personnel and their relatives

(Rs. in lakhs) Enterprise owned or significantly influenced by Key Management Personnel and their relatives

(a) 1 Inter Corporate Loan placed — SCM Investment & Trading Co. Ltd.

(A)
780.00

(B)

(C)

H

— RTM Investment & Trading Co. Ltd.

1350.00

H

2 Intercorporate Loan received back — SCM Investment & Trading Co. Ltd.

233.00

(98.00)

(Rs. in lakhs)

Particulars

Key Management Subsidiaries personnel and their relatives

Enterprise owned or significantly influenced by Key Management Personnel and their relatives

(A) (B)

(C)

— RTM Investment & Trading Co. Ltd.

651.00

(68.75)

3

Remuneration to Managing Director

60.29

(38.54)

4

Sitting Fees of Mr. C.S. Nopany

0.63

(0.53)

5

Interest income on Intercorporate Loan

— SCM Investment & Trading Co. Ltd.

151.75

(183.93)

— RTM Investment & Trading Co. Ltd.

312.34

(382.03)

(b)

Balance outstanding as on 31 .03.201 8

Incorporate Loan receivable

— SCM Investment & Trading Co. Ltd.

1950.00

(1403.00)

— RTM Investment & Trading Co. Ltd.

3655.00

(2956.00)

(c)

Interest receivable on Intercorporate Loan as on 31.03.2018

— SCM Investment & Trading Co. Ltd.

13.69

(26.13)

— RTM Investment & Trading Co. Ltd.

25.74

(65.04)

Figures in bracket represent previous year''s amounts.

22.06 DISCLOSURES AS PER SCHEDULE V OF SECURITIES AND EXCHANGE BOARD OF INDIA (LISTING OBLIGATIONS AND DISCLOSURES REQUIREMENTS) REGULATIONS, 2015

(Rs. in lakhs)

Particulars

Balance Maximum outstanding as on

amount of loan during the year (Previous year)

31st March, 2018

(31st March, 2017)

Loan to Subsidiaries:

— SCM Investment & Trading Co. Ltd.

1950.00

1950.00

(1403.00)

(1501.00)

— RTM Investment & Trading Co. Ltd.

3655.00

3655.00

(2956.00)

(3024.75)

Others :

— Avadh Sugar & Energy Limited

1500.00

1500.00

(1 500.00)

(1500.00)

— Magadh Sugar & Energy Limited

2000.00

500.00

(500.00)

(1500.00)

— Champaran Marketing Co. Ltd.

-

2000.00

(2000.00)

(2000.00)

(Rs. in lakhs)

Particulars

Balance as on 31st March, 2018 (31st March, 2017)

Maximum outstanding amount of loan during the year (Previous year)

— Hargaon Investments & Trading Co. Ltd.

350.00

1900.00

(1 900.00)

(1900.00)

— Yashovardhan Investment & Trading Co. Ltd.

1 500.00

2000.00

(2000.00)

(2000.00)

- GMB Investments Pvt. Ltd.

-

200.00

(200.00)

(200.00)

— Shital Commercial Ltd.

-

200.00

(200.00)

(200.00)

— Uttam Commercial Ltd.

-

200.00

(200.00)

(200.00)

— Deepshikha Trading Co. Pvt. Ltd.

-

200.00

(200.00)

(200.00)

— Uttar Pradesh Trading Co. Ltd.

475.00

1000.00

(1 000.00)

(1000.00)

22.07 DISCLOSURES UNDER SECTION 186(4) OF THE COMPANIES ACT, 2013

Name

Amount Purpose (Rs. in lakhs)

SCM Investments & Trading Co. Ltd.

1950.00

RTM Investments & Trading Co. Ltd.

3655.00

Avadh Sugar & Energy Limited Magadh Sugar & Energy Limited Hargaon Investments & Trading Co. Ltd.

1500.00 2000.00 350.00

Inter Corporate Deposit on commercial terms

Yashovardhan Investments & Trading Co. Ltd.

1500.00

Uttar Pradesh Trading Co. Ltd.

475.00

Avadh Sugar & Energy Ltd. Magadh Sugar & Energy Ltd. Ganges Securities Ltd.

1022.08

7m on I Investment in equity shares 90.65 J

Ganges Securities Ltd.

11.49 Investment in Preference shares

22.08 EARNINGS PER SHARE (EPS)

The numerators and denominators used to calculate Basic and Diluted Earnings Per Share :

(Rs. in lakhs)

Particulars

For the Year ended 31st March, 2018

For the Year ended 31stMarch,2017

Profit for the Year (A) (Rs.in Lakhs)

12880.25

1718.63

Number of Equity Shares (B)

10595860

10595860

Nominal Value of Equity Share (Rs.)

10.00

10

Basic and Diluted Earnings per Share (Rs.) A/B

121.56

16.22

22.09 EXPENDITURE IN FOREIGN CURRENCY (On Accrual Basis)

(Rs. in lakhs)

Particulars

2017-18

2016-17

Travelling :

57.17

17.44

REMITTANCE IN FOREIGN CURRENCY ON ACCOUNT OF DIVIDENDS

Particulars

Year ended 31st March, 2018

Year ended 31stMarch,2017

Amount of Dividend related to 201 6-1 7 remitted in Foreign Exchange (Rs

-

-

Number of Non-Resident Shareholders

149

26

Number of Shares held by such Non-Resident Shareholders

45980

15236

Deposited in Indian Rupees in the Bank Accounts maintained by the

shareholders in India.

22.11 Previous year figures have been reclassified/regrouped to conform current year figures.

Signature to Notes 1 to 22.1 1

In terms of our Report of even date attached.

For Jitendra K. Agarwal & Associates

For and on behalf of Board of Directors of

Chartered Accountants

SIL Investments Limited

Firm Reg. No. 318086E

Kuldeep Ma loo

Brij Mohan Agarwal

C. S. Nopany

Shalini Nopany

Partner

Director- In -Charge

Chairman

Managing Director

Membership No. 515708

DIN: 03101758

DIN: 00014587

DIN: 00077299

Camp :

Kolkata

Vikas Baheti

Lokesh Gandhi

Date :

08th May, 2018

Chief Financial Officer

Company Secretary & Compliance Officer

PAN: ALUPB2706M

Membership No. F9053


Mar 31, 2016

Terms/ Rights attached to Equity Shares

Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders. There is no restriction on distribution of dividend. However, same is subject to the approval of the shareholders in the Annual General Meeting.

22.01 Nature of Operations

The main business of the Company is of investments and financing activities.

22.02 Summary of significant accounting policies

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards notified under Section 133 and the relevant provisions of the Companies Act,2013. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the Company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties, taxes, incidental expenses and erection/commissioning expenses etc.

(D) Depreciation

i) Depreciation on the fixed assets has been charged at Straight Line method with reference to the economic useful life of its fixed assets as per prescribed by Schedule II of the Companies Act, 2013.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Non-Current (Long term) investments are stated at cost. The company provides for diminution, other than temporary, in the value of Long term investments. Current investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund is not applicable to the Company as the total number of employees are below the minimum required number of employees under payment of Employees Provident Fund (Misc. Provisions) Act, 1952.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognized when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates


Mar 31, 2015

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards notified under Section 133 and the relevant provisions of the Companies Act,2013. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the Company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties,taxes,incidental expenses and erection/commissioning expenses etc.

(D) Depreciation

i) Depreciation on the fixed assets has been charged at Straight Line method with reference to the economic useful life of its fixed assets as per prescribed by Schedule II to the Companies Act, 2013.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Non-Current (Long term) investments are stated at cost. The Company provides for diminution, other than temporary, in the value of Long term investments. Current investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund is not applicable to the Company as the total number of employees are below the minimum required number of employees under payment of Employees Provident Fund (Misc. Provisions) Act, 1952.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.


Mar 31, 2014

1.01 Nature of Operations

The main business of the Company is of investments and financing activities.

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards issued under the Accounting Standard Rules,2006 notified by the Central Government and the relevant provisions of the Companies Act,1956. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to undertainties. The accounting policies have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties,taxes,incidental expenses and erection commissioning expenses etc.

(D) Depreciation

i) Depreciation on the fixed assets is provided on Straight Line method at the rates specified in the Schedule XIV of the Companies Act, 1956.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Non-Current Investments are stated at cost. The Company provides for diminution, other than temporary, in the value of Non-Current Investments. Current Investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund is not applicable to the Company as the total number of employees are below the minimum required number of employees under payment of Employees Provident Fund (Misc. Provisions) Act, 1952.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.


Mar 31, 2013

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards issued under the Accounting Standard Rules, 2006 notified by the Central Government and the relevant provisions of the Companies Act,1956. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the Company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties,taxes,incidental expenses and erection/ commissioning expenses, etc.

(D) Depreciation

i) Depreciation on the fixed assets is provided on Straight Line method at the rates specified in the Schedule XIV of the Companies Act, 1956.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Long term investments are stated at cost. The Company provides for diminution, other than temporary, in the value of Long term investments. Current investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund is not applicable to the Company as the total number of employees are below the minimum required number of employees under Payment of Employees Provident Fund (Misc. Provisions) Act, 1952.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.


Mar 31, 2012

01 Nature of Operations

The main business of the Company is of investments and financing activities.

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards issued under the Accounting Standard Rules/2006 notified by the Central Government and the relevant provisions of the Companies Act,1956. The financial statements have been prepared under the historical cost convention on accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties,taxes,incidental expenses and erection/commissioning expenses etc.

(D) Depreciation

i) Depreciation on the fixed assets is provided on Straight Line method at the rates specified in the Schedule XIV of the Companies Act, 1956.

ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Long term investments are stated at cost. The company provides for diminution, other than temporary, in the value of Long term investments. Current investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund are charged to the Profit & Loss Statement of the year when the contributions to the respective funds are due.

b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

c) Year end leave encashment benefit is provided for on accrual basis.

(G) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.


Mar 31, 2011

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards issued under the Companies Accounting Standard Rule, 2006 notified by the Central Government and the relevant provisions of the Companies Act,1956. The financial statements have been prepared under the historical cost convention on an accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties, taxes, incidental expenses and erection / commissioning expenses etc.

(D) Depreciation

(i) Depreciation on the fixed assets is provided on Straight Line method at the rates specified in the Schedule XIV of the Companies Act, 1956.

(ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Long term Investments are stated at cost . The company provides for diminution, other than temporary, in the value of Long term Investments. Current Investments are valued at lower of cost or fair value.

(F) Retirement Benefits

a) Retirement benefits in the form of Provident Fund are charged to the Profit & Loss Account of the year when the contributions to the respective funds are due.

(b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

(c) Year end leave encashment benefits is provided for on accrual basis.

(G) Earnings per share

Earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.

(H) Accounting Policy on Deferred Tax

In accordance with Accounting Standard -22 "Accounting for Taxes on Income" issued under the Accounting Standard Rule 2006 notified by the Central Government and the relevant provision of Companies Act, 1956. The deferred tax for timing differences between the book and taxable income for the year is accounted for using the tax rates and laws that have been enacted or substantively enacted as of the balance sheet date. Deferred Tax assets arising from temporary timing differences are recognised to the extent there is reasonable certainty that the assets can be realised in future and the same is reviewed at each Balance Sheet Date.

(I) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

Notes:

* Excluding provision for accrued leave.


Mar 31, 2010

(A) Basis of Accounting

The financial statements have been prepared to comply in all material respects with the mandatory Accounting Standards issued under the Companies Accounting Standard Rule,2006 notified by the Central Government and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared under the historical cost convention on an accrual basis except claims/refund which are accounted for on receipt basis due to uncertainties. The accounting policies have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue Recognition

Income from Investments and financing activities is taken into account when it become accrue to the Company.

(C) Fixed Assets

Fixed assets are stated at cost of acquisition inclusive of duties, taxes, incidental expenses and erection / commissioning expenses etc.

(D) Depreciation

(i) Depreciation on the fixed assets is provided on Straight Line method at the rates specified in the Schedule XIV of the Companies Act, 1956.

(ii) Depreciation on the fixed assets disposed off during the year is provided on pro-rata basis with reference to the date of disposal.

(E) Investments

Long term Investments are stated at cost . The company provides for diminution, other than temporary, in the value of Long term Investments. Current Investments are valued at lower of cost or fair value.

(F) Retirement Benefits

(a) Retirement benefits in the form of Provident Fund are charged to the Profit & Loss Account of the year when the contributions to the respective funds are due.

(b) Gratuity has not been provided as the Payment of Gratuity Act is not applicable to the Company as total number of employees are below the minimum required number of employees under Payment of Gratuity Act, 1972.

(c) Year end leave encashment benefits is provided for on accrual basis.

(G) Earning per share

Earning per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.

(H) Accounting Policy on Deferred Tax

In accordance with Accounting Standard -22 “Accounting for Taxes on Income” issued under the Accounting Standard Rule 2006 notified by the Central Government and the relevant provision of Companies Act, 1956. The deferred tax for timing differences between the book and taxable income for the year is accounted for using the tax rates and laws that have been enacted or substantively enacted as of the balance sheet date. Deferred Tax assets arising from temporary timing differences are recognised to the extent there is reasonable certainty that the assets can be realised in future and the same is reviewed at each Balance Sheet Date.

(I) Provisions

A provision is recognised when an enterprise has a present obligation as a result of past event; 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. Provisions except those disclosed elsewhere in the notes to the financial statements, are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

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