Accounting Policies of Silgo Retail Ltd. Company

Mar 31, 2025

A) Basis of Accounting:

These financial statements are prepared in accordance with Indian Accounting Standards ("Ind AS"), the provisions of the
Companies Act, 2013 ("the Companies Act”), as applicable and guidelines issued by the Securities and Exchange Board of
India ("SEBI”). The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 and Companies (Indian Accounting Standards) Amendment Rules, 2016.

These financial statements have been prepared on the historical cost basis, except for certain financial instruments which
are measured at fair values at the end of each reporting period, as explained in the accounting policies below. Historical
cost is generally based on the fair value of the consideration given in exchange for goods and services. Fair value is the
price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date. All amounts included in the financial statements are reported in Lakhs of Indian
rupees except share and per share data, unless otherwise stated. Due to rounding off, the numbers presented throughout
the document may not add up precisely to the totals and percentages may not preciselyreflect the absolute figures.

B) Use of Estimates and Judgments:

The preparation of financial statement in conformity with accounting standard requires the Management to make
estimates, judgments and assumptions. These estimates, judgments and assumptions affects the application of accounting
policies and the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of
financial statement and reported amounts of revenue and expenses during the period. Accounting estimates could change
form period to period. Actual result could differ from those estimates. As soon as the Management is aware of the changes,
appropriate changes in estimates are made. The effect of such changes are reflected in the period in which such changes are
made and, if material, their effect are disclosed in the notes to financial statement.

C) Revenue recognition:

Sales are recorded net of Goods and Service Tax collections. Purchases are recorded net of Input creditin respect of
indirect taxes that are subsequently eligible for Input Credit / Refund.

D) Expenditure:

Expenses are accounted on the accrual basis and provisions are made for all known losses and liabilities.The cost of
software developed for in house use was charged to revenue in the same year in which the cost incurred.

E) Property, Plant and Equipment:

Fixed assets are stated at cost less accumulated depreciation and impairment losses if any. Cost comprises the purchase price and
directly attributable cost of bringing the asset to its working condition for its intended use. Any trade discounts and rebates are
deducted in arriving at the purchase price.

F) Method of Depreciation:

Depreciation on Fixed Asset is provided as per the useful life of such asset as per the guidance provided in schedule II of
Companies Act, 2013 on Written Down Value method of Depreciation.

G) Investments:

Current Investment are valued at the lower of cost and fair value as at the Balance Sheet date. Non- Current
Investments are carried at cost. However, where there is a decline, other than temporary innature, the value

H) Inventories:

Inventories are valued at weighted average price. Cost of Inventory compromises of all cost of

conversion and other cost incurred in bringing them to their respective present location, condition and valued on the basis
of Weighted Average Price Method.

I) Borrowing cost:

The borrowing costs that are directly attributable to the acquisition, construction or productions of a qualifying asset are
capitalized as part of the cost of that asset. The amount of borrowing cost eligible for capitalization is determined in
accordance with Ind AS 23.

J) Foreign currency transactions

Foreign currency transactions during the year are booked at the applicable customs rates on the date oftransactions. Monetary
Assets & Liabilities related to foreign currency transactions, remaining un- settled at the end of the year are translated at rate
prevailing on reporting date.

K) Employee Benefits

Employee benefits Employee benefits include contribution to provident fund, gratuity fund andemployee state insurance
scheme.

Defined benefit plans

Gratuity and Pension are defined benefit plans, the cost of providing benefits is determined using the

Projected Unit Credit Method, with actuarial valuations, being carried out at the date of each statementof financial position.

The retirement benefit obligations recognized in the statement of contributions to the scheme. Under a defined benefit
plan, it is the Company''s obligation to provide agreed benefits to the employees. The related actuarial risks fall on the
Company.

Defined contribution plans

Contributions to defined contribution plans like provident fund are recognized as expense whenemployees have rendered services
entitling them to such benefits.

L) Taxes on Income

Tax on income for the current period is determined on the basis of the taxable income computed in accordance with
the provisions of Income Tax Act, 1961. Deferred Tax is recognized on timing differences between accounting income
and taxable income for the year, and based on the rates of tax as per law enacted or substantively enacted as on the
balance sheet date at the year end. Deferred tax assets is recognised and carried forward, subject to consideration of
prudence, to the extent that thereis a reasonable certainty of its realization.

M) Cash Flow Statement

The statement of cash flow has been prepared under the indirect method as set out in AccountingStandard - 3 issued under
the Companies (Accounting Standard) Rules,2006.

N) Earnings Per Share

Basic earnings per share is computed by dividing the profit after tax (including the post tax effect of extraordinary items, if
any) by the weighted average number of equity shares outstanding during the period. Diluted earnings per share is
computed by dividing the profit / (loss) after tax (including the posttax effect of extraordinary items, if any) as adjusted for
dividend, interest and other charges to expense or income relating to the dilutive potential equity shares, by the weighted
average number of equity shares considered for deriving basic earnings per share and the weighted average number of
equity shares which could have been issued on the conversion of all dilutive potential equity shares. Potential equity shares
are deemed to be dilutive only if their conversion to equity shares would decrease the netprofit per share from continuing
ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless
they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the
shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity
shares are determined independently for each period presented. The number of equity shares and potentially dilutive
equity shares are adjusted for share splits / reverse share splits and bonus shares, as
appropriate.

O) Cash and Cash Equivalents

Cash and Cash Equivalents include Cash and Cheques in Hand, Balances with Banks, and demand deposits with Banks and
other Short term highly liquid investments where the original maturity is lessthan three months or less.

P) Details of dues to Micro and Small Enterprises as per MSMED Act, 2006

Based on the information available with the company, none of suppliers have been identified, who are registered under
the Micro, Small and Medium Enterprises Development Act 2006 (MSMED) to whomthe company owes and the same is
not outstanding for more than 45 days as at 31 March 2025. The information has been determined to the extent such
parties have been identified on the basis ofinformation available within the company.

Q) Government Grant

Government grant/subsidies are recognized on the reasonable assurance of receipt of subsidy and completion of all
conditions attached. If the grant/subsidies are related to subvention a particular expenses than in that case, it
deducted from those expenses in the year of recognition governmentgrant/subsidies.

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Mar 31, 2024

2. Significant Accounting Policies

A) Basis of Accounting:

These financial statements are prepared in accordance with Indian Accounting Standards ("Ind AS"), the provisions of the Companies Act, 2013 ("the Companies Act"), as applicable and guidelines issued by the Securities and Exchange Board of India ("SEBI"). The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting Standards) Amendment Rules, 2016. These financial statements have been prepared on the historical cost basis, except for certain financial instruments which are measured at fair values at the end of each reporting period, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for goods and services. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

All amounts included in the financial statements are reported in Thousands of Indian rupees except share and per share data, unless otherwise stated. Due to rounding off, the numbers presented throughout the document may not add up precisely to the totals and percentages may not precisely reflect the absolute figures.

B) Use of Estimates and Judgments:

The preparation of financial statement in conformity with accounting standard requires the Management to make estimates, judgments and assumptions. These estimates, judgments and assumptions affects the application of accounting policies and the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of financial statement and reported amounts of revenue and expenses during the period. Accounting estimates could change from period to period. Actual result could differ from those estimates. As soon as the Management is aware of the changes, appropriate changes in estimates are made. The effects of such changes are reflected in the period in which such changes are made and, if material, their effect are disclosed in the notes to financial statement.

C) Revenue recognition:

Sales are recorded net of Goods and Service Tax collections. Purchases are recorded net of Input credit in respect of indirect taxes that are subsequently eligible for Input Credit! Refund.

D) Expenditure:

Expenses are accounted on the accrual basis and provisions are made for all known losses and liabilities. The cost of software developed for in house use was charged to revenue in the same year in which the cost incurred.

E) Property, Plant and Equipment:

Fixed assets are stated at cost less accumulated depreciation and impairment losses if any. Cost comprises the purchase price and directly attributable cost of bringing the asset to its working condition for its intended use. Any trade discounts and rebates are deducted in arriving at the purchase price.

F) Method of Depreciation:

Depreciation on Fixed Asset is provided as per the useful life of such asset as per the guidance provided in schedule II of Companies Act, 2013 on Written Down Value method of Depreciation.

G) Investments:

Current Investment are valued at the lower of cost and fair value as at the Balance Sheet date. Non- Current Investments are carried at cost. However, where there is a decline, other than temporary in nature, the value.

H) Inventories:

Inventories are valued at weighted average price. Cost of Inventory compromises of all cost of conversion and other cost incurred in bringing them to their respective present location, condition and valued on the basis of Weighted Average Price Method.

I) Borrowing cost:

The borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as part of the cost of that asset. The amount of borrowing cost eligible for capitalization is determined in accordance with Ind AS 23.

J) Foreign currency transactions

Foreign currency transactions during the year are booked at the applicable customs rates on the date of transactions. Monetary Assets & Liabilities related to foreign currency transactions remaining unsettled at the end of the year are translated at rate prevailing on reporting date.

K) Employee Benefits

Employee benefits Employee benefits include contribution to provident fund, gratuity fund and employee state insurance scheme.

Defined benefit plans

Gratuity and Pension are defined benefit plans, the cost of providing benefits is determined using the Projected Unit Credit Method, with actuarial valuations, being carried out at the date of each statement of financial position. The retirement benefit obligations recognized in the statement of contributions to the scheme. Under a defined benefit plan, it is the Company''s obligation to provide agreed benefits to the employees. The related actuarial risks fall on the Company.

Defined contribution plans

Contributions to defined contribution plans like provident fund are recognized as expense when employees have rendered services entitling them to such benefits.

L) Taxes on Income

Tax on income for the current period is determined on the basis of the taxable income computed in accordance with the provisions of Income Tax Act, 1961. Deferred Tax is recognized differences between accounting income and taxable income for the year and bas 40-the s of tax

as per law enacted or substantively enacted as on the balance sheet date at the year end. Deferred tax assets is recognized and carried forward, subject to consideration of prudence, to the extent that there is a reasonable certainty of its realization.

M) Cash Flow Statement

The statement of cash flow has been prepared under the indirect method as set out in Accounting Standard —3 issued under the Companies (Accounting Standard) Rules,2006.

N) Earnings Per Share

Basic earnings per share is computed by dividing the profit after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equities shares outstanding during the period. Diluted earnings per share is computed by dividing the profit! (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares. Potential equity shares are deemed to be dilutive only if their conversion to equity shares decreases the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted at the beginning of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity shares are determined independently for each period presented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits! reverse share splits and bonus shares, as appropriate.

O) Cash and Cash Equivalents

Cash and Cash Equivalents include Cash and Cheques in Hand, Balances with Banks, and demand deposits with Banks and other short term highly liquid investments where the original maturity is less than three months or less.

P) Details of dues to Micro and Small Enterprises as per MSMED Act, 2006

Based on the information available with the company, none of suppliers have been identified, who are registered under the Micro, Small and Medium Enterprises Development Act 2006 (MSMED) to whom the company owes and the same is not outstanding for more than 45 days as at 31 March 2023. The information has been determined to the extent such parties have been identified based on information available within the company.

Q) Government Grant

Government grant/subsidies are recognized on the reasonable assurance of receipt of subsidy and completion of all conditions attached. If the grant/subsidies are related to subvention a particular expense than in that case, it deducted from those expenses in the year of recognition government grant/subsidies.