Mar 31, 2014
A. Basis of preparation of Accounts
The financial statements are prepared on accrual basis, following the
historical cost convention in accordance with the Generally Accepted
Accounting Principles (GAAP) which are consistently adopted by the
Company, and in compliance with the Accounting Standard issued by the
Institute of Chartered Accountants of India and provisions of the
Companies Act 1956, to the extent applicable.
B. Use of Estimates
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 assets and
liabilities and disclosure of contingent liabilities on the date of
the financial statements. Any differences between the actual results
and the estimates are recognized in the period in which the results
are known / materialized.
C. Fixed Assets
Fixed Assets are stated at cost of acquisition including expenses
incidental to their acquisition less accumulated depreciation &
impairment.
D. Depreciation
Depreciation on Fixed Assets is provided on the Written Down Value
Method, at the rates and in the manner prescribed in Schedule XIV to
the Companies Act, 1956.
E. Revenue Recognition
Revenue is recognized to the extent it is probable that the economic
benefits will flow to the company and the revenue can be reliably
measured.
F. Foreign Exchange Transaction
Transaction in foreign currency is recorded at the original rate of
exchange in force at the time of transaction were effected. Current
assets & liabilities balances in foreign currencies at the balance
sheet date are restated at the year end exchange rates and the
resultant net gain or loss adjusted in the revenue account.
G. Inventories
Stock in trade is valued at cost or net realizable value whichever is
lower
H. Employee Benefits
01. Short-term employee benefits are recognized as an expense at the
undiscounted amount in the profit and loss account of the year in
which the related service is rendered.
02. Post employment and other long term employee benefits are
recognised as an expense in the profit and loss account for the year
in which the employee has rendered services. The expense is recognised
at the present value of the amount payable determined using actuarial
valuation techniques. Actuarial gains and loss in respect of post
employment and other long term benefits are charged to the profit and
loss account.
I. Retirement Benefits
Company has policy of making provision for retirement benefits as and
when the liability arises.
J. 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 and loss account in the year in which an asset is identified as
impaired. The impairment loss recognized in prior accounting period is
reversed if there has been a change in the estimate of recoverable
amount.
K. Derivate Instruments :
Derivate financial instruments are recorded at fair value on the date
of the derivative transaction and are re measured at their fair value
at subsequent balance sheet date. Changes in the fair value of
derivatives are recorded in the Profit & loss account.
L. 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 "time differences" between taxable and
accounting income is accounting income is accounted for using the tax
rates and laws that are enacted or substantively enacted as on balance
sheet date. The effect of deferred tax asset & liabilities of a charge
in tax rates is recognised in the profit & loss account in the year of
change.
Mar 31, 2013
A. Basis of preparation of Accounts
The financial statements are prepared on accrual basis, following the
historical cost convention in accordance with the Generally Accepted
Accounting Principles iGAAP) which are consistently adopted by the
Company, and In compliance with the Accounting Standard issued by the
institute of Chartered Accountants of India and provisions of the
Companies Act 1956, to the extent applicable.
B. Use of Estimates
The presentation of financial statements fn conformity with the
Generally Accepted Accounting Principles requites estimates and
assumptions to be made that affect the reported amount of assets and
liabilities and disclosure of contingent liabilities on the date of the
financial statements. Any differences between the actual results and
the estimates are recognized In the period In which the results, are
known / materialized.
C. Flxgd Assets
Fixed Assets are stated at cost of acquisition including expenses
incidental to thetr acquisition less accumulated depreciation &
impairment.
P. Depreciation
Depreciation on Fixed Assets is provided on the Written Down Value
Method, at the rates and in the manner prescribed In Schedule XIV to
the Companies Act, 1fl54.
E.Revenue Recognition
Revenue ts recognized to the extent It is probable that the economic
benefits will flow to the company and the revenue can be reliably
measured.
F.Foreign Exchange Transaction
Transaction in foreign currency is recorded at the original rate of
exchange In force at the lime of transaction were effected. Current
assets & liabilities balances in foreign currencies at the balance
sheet date are restated at the year end exchange rates and the
resultant net gain or loss adjusted in the revenue account.
G.lnventortes
Stock in trade is valued at cost or net realizable value whichever is
lower
H,Employee Benefits
01. Short-term employee benefits are recognized as an expense at the
undlscounted amount in the profit and loss account of the year in which
the related service Is rendered.
02. Post employment and other long term employee benefits are
recognised as an expense in the profit and loss account for the year in
which the employee has rendered services. The expense Is recognised at
the present value of the amount payable determined using actuarial
valuation techniques. Actuarial gains and loss in respect of post
employment and other long term benefits are charged to the profit and
toss account
I .Retirement Benefits
Company has policy of making provision for retirement benefits as and
when the (lability arises.
J .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 and loss account in the year In which an asset Is Identified as
impaired. The impairment loss recognized (n prior accounting period Is
reversed tf there has been a change In the estimate of recoverable
amount.
K-Oertvate Instruments:
Denvate financial instruments are recorded at fair value on the dale of
the derivative transaction and are re measured at their fair value at
subsequent balalnce sheet date. Changes In the fair value of
derivatives are recorded in the Profit Et toss account.
L.Provision fur Current and Deferred Tax.
Provision for current tax is made after taking into consideration ben
fits admissable under the provisions of the income tax Act, 1961.
Deferred tax resulting from "time differences'' between taxable and
accounting income is accounting income is accounted for using the tax
rates and laws that are enacted or substantively enacted as on balance
sheet date, the effect of deferred tax asset Er. liabilities of a
charge in tax rates is recognised in (he profit & loss account in the
year of change,
Mar 31, 2012
A. Basis of Accounting: - The financial statements are prepared under
Historical cost convention on an accrual basis and are consistent with
generally accepted accounting principles.
B. Use of Estimates: - The preparation of financial statements
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 revenue and expenses during the
reporting period. Difference between the actual results and estimates
are recognized in the period in which the results are known /
materialized.
C. Fixed Assets: - All fixed assets are valued at cost less
depreciation.
D. Depreciation:- Depreciation on fixed assets is provided on written
down value basis in accordance with section 205(2) (b) as per rate
specified in schedule XIV of the companies act 1956
E. Revenue Recognition: - Sales are recognized on passing of property
in goods based on agreement with the customers.
F. Impairment of Assets: - An asset is treated as impaired when the
carrying cost of assets exceeds is its recoverable value An impairment
loss is charged to the profit and loss account in the year in which an
asset is identified as impaired The impairment loss recognized m prior
accounting period is reversed if there has been a change in the
estimate of recoverable amount.
G. Foreign Exchange Transactions: - Transaction in foreign currency is
recorded at the original rates of exchange in force at the time of
transaction were effected. Current assets & liabilities balances in
foreign currencies at the balance sheet date are restated at the year
end exchange rates and the resultant net gain or loss adjusted in the
revenue account.
H. Investments: - Long term investments are reflected at cost.
I. Inventories: - Stock in trade is valued at cost or net realizable
value whichever is lower.
J. Sales: - Sales is inclusive of sales tax and net of returns.
K. Custom Duties, Excise & Sales Tax: -
(i) The custom duties payable on imported material lying as at the end
of the year in the custom bonded warehouse neither included in expenses
nor considered in valuation of the inventories of such materials. Such
duties are accounted for an actual payment on clearance of such
materials. This accounting practice has no impact on profit of this
company
ii) Excise duty is accounted on the basis of both, payments made in
respect of goods cleared as also provision made for goods lying in
bonded warehouse. Sales tax is charged to profit and loss account.
L. Employee Benefits: -
(i) Short-term employee benefits are recognized as an expense at the
undiscounted amount in the profit and loss account of the year in which
the related service is rendered.
(ii) Post employment and other long term employee benefits are
recognized as an expense in the profit and loss account for the year in
which the employee has rendered services. The expense is recognized at
the present value of the amount payable determined using actuarial
valuation techniques. Actuarial gains and losses in respect of post
employment and other long term benefits are charged to the profit and
loss account.
M. Employee Separation Cost:- Compensation to employees who have opted
for retirement from the Company is charged to the profit and loss
account in the year of retirement.
N. Borrowing Costs:- Borrowing costs that are attributable to the
acquisition or construction of qualifying assets are capitalized as part
assets. A qualifying asset is one of that necessarily substantial period
of time to get ready for its intended use. All other borrowing costs are
charged to revenue.
O. 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 differences" 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. The deferred tax asset is
recognized and carried forward only to the extent that there is a
virtual certainty that the asset will be realized in future.
P. 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
events and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognized but are disclosed in the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
Mar 31, 2011
Basis of preparation of financial statements:
The financial statements are prepared under the historical cost
convention, on an accrual basis and in accordance with the applicable
accounting standards.
1.1) Fixed Assets:-
Fixed Assets are stated at cost, less accumulated depreciation. Cost
comprises the purchase price and any attributable cost of bringing the
asset to its working condition for its intended use.
1.2) Depreciation:-
Depreciation on Fixed Assets is provided on Written Down Method at the
rates and in the manner specified in the Schedule XIV of the Companies
Act 1956.
1.3) Investments:-
Long term investments are stated at cost. No provision for diminution
in the value of the investments are made as such diminution is viewed
as diminution other than permanent in nature.
1.4) Revenue Recognition:-
Interest is recorded on time basis. Dividend income on investments is
accounted for when the right to receive the payment is established.
1.5) Taxation :-
The provision for Current Tax is determined on the basis of taxable
income for the current accounting year in accordance with the Income
Tax Act, 1961. Deferred Tax resulting from timing difference" between
book and taxable profit is accounted for using the tax rates and laws
that are enacted or substantively enacted as on the balance sheet date.
The deferred tax assets is recognized and carried forward to the extent
that there is reasonable certainty that the asset will be realized in
future.
1.6) Retirement Benefits:- The gratuity liability is provide on cash
basis.
1.7) Segment Information :-
Since the company is dealing in only one segment, i.e. financing, there
is no reportable segment as per AS-17 on "segment Reporting" issued by
institute of Chartered Accountant of India.
Mar 31, 2010
Basis of preparation of financial statements:
The financial statements are prepared under the historical cost
convention, on an accrual basis and in accordance with the applicable
accounting standards.
1.1) Fixed Assets:-
Fixed Assets are stated at cost, less accumulated depreciation. Cost
comprises the purchase price and any attributable cost of bringing the
asset to its working condition for its intended use.
1.2) Depreciation:-
Depreciarion on Fixed Assets is provided on Written Down Method at the
rates and in the manner specified in the Schedule XIV of the Companies
Act 1956.
1.3) Investments:-
Long term investments are stated at cost. No provision for diminution
in the value of the investments are made as such diminution is viewed
as diminution other than permanent in nature.
1.4) Revenue Recognition:-
Interest is recorded on time basis. Dividend income on investments is
accounted for when the right to receive the payment is established.
1.5) Taxation :-
The provision for Current Tax is determined on the basis of taxable
income for the current accounting year in accordance with the Income
Tax Act, 1961.
Deferred Tax resulting from timing difference" between book and
taxable profit is accounted for using the tax rates and laws that are
enacted or substantively enacted as on the balance sheet date. The
deferred tax assets is recognized and carried forward to the extent
that there is reasonable certainty that the asset will be realized in
future.
1.6) Retirement Benefits:-
The gratuity liability is provide on cash basis.
1.7) Segment Information :-
Since the company is dealing in only one segment, i.e. financing, there
is no reportable segment as per AS-17 on "segment Reporting" issued by
institute of Chartered Accountant of India.
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