Mar 31, 2015
A) Basis of preparation of financial statements
The accompanying financial statements are prepared and presented under
the historical cost convention on the accrual basis of accounting, and
comply with the Accounting Standards prescribed by the Companies
(Accounting Standards) Rules, 2006 ('the Rules') and the requirements
of the Companies Act, 2013 ('the Act'), to the extent applicable to the
Company. The financial statements are presented in Indian Rupees.
b) Use of Estimate
The preparation of the financial statements in conformity with
generally accepted accounting principles requires the management to
make estimates and assumptions that affect the reported amount of
assets, liabilities, revenues and expenses and the disclosure of
contingent liabilities on the date of the financial statement. Actual
results could differ from the estimates. Any revision to accounting
estimates is recognized prospectively in current and future periods.
c) Depreciation
The Assets are depreciated in accordance with the provisions of
Schedule II of the Act. Schedule II of the act requires systematic
allocation of the depreciable amount of an asset over its useful life.
The said schedule also requires that the useful life of an asset should
not be longer than the useful life prescribed in part C of the said
schedule and the residual value of an asset should not be more than
five percent of its original cost
d) Impairment of Assets
An asset is treated as impaired when the carrying cost of 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 recognised in prior accounting period is reversed
if there has been a change in the estimate of recoverable amount.
e) Foreign Currency Transactions
Transaction in foreign currency is recorded at the exchange rates
prevailing at the time of the transaction. Transaction gains or losses
realized upon settlement of foreign currency transactions are included
in the determining net profit for the period in which the transaction
is settled. Monetary items denominated in the foreign currencies at the
year end are restated at year end rates.
f) Investments
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
g) Inventories
Inventories are valued at lower of cost or net realisable value after
providing for obsolescence, if any.
h) Revenue recognition
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly, wherever there are uncertainties in the
ascertainment /realisation of income, the same is not accounted for.
Income is accounted for on accrual basis.
i) Employee Benefits
i. The company's contribution to provident fund in accordance with the
Employee's Provident and Misc. Provision Act 1952 is not applicable.
ii. The liability for gratuity to be provided in according to the
provisions of the Payment of Gratuity Act 1972 is not applicable.
j) Provision for Current and Deferred Tax
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961.
Deferred tax resulting from timing difference between book and taxable
profit for the year is accounted for using the tax rates and laws that
have been enacted or substantially enacted as on the balance sheet
date. The deferred tax asset is recognised and carried forward only to
the extent there is a reasonable certainty that the deferred tax assets
will be adjusted in future.
k) Provisions and Contingencies
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities, if any are not recognised and are
disclosed in the Notes on Accounts.
l) Segment Reporting
As per Accounting Standard (AS) 17 on "Segment Reporting", segment
information has been provided under the Notes to Financial Statements.
Mar 31, 2014
A) Basis of preparation of financial statements
The accompanying financial statements are prepared and presented under
the historical cost convention on the accrual basis of accounting, and
comply with the Accounting Standards prescribed by the Companies
(Accounting Standards) Rules, 2006 (''the Rules'') and the requirements
of the Companies Act, 1956 (''the Act''), to the extent applicable to the
Company. The financial statements are presented in Indian Rupees.
b) Use of Estimate
The preparation of the financial statements in conformity with
generally accepted accounting principles requires the management to
make estimates and assumptions that affect the reported amount of
assets, liabilities, revenues and expenses and the disclosure of
contingent liabilities on the date of the financial statement. Actual
results could differ from the estimates. Any revision to accounting
estimates is recognized prospectively in current and future periods.
c) Depreciation
Depreciation on fixed assets has been provided on WDV method at the
rates prescribed in schedule XIV of the Companies Act, 1956 on a pro
rata basis from the date the asset is ready to use till the date of
sale.
d) Impairment of Assets
An asset is treated as impaired when the carrying cost of 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 recognised in prior accounting period is reversed
if there has been a change in the estimate of recoverable amount.
e) Foreign Currency Transactions
Transaction in foreign currency is recorded at the exchange rates
prevailing at the time of the transaction. Transaction gains or losses
realized upon settlement of foreign currency transactions are included
in the determining net profit for the period in which the transaction
is settled. Monetary items denominated in the foreign currencies at the
year end are restated at year end rates.
f) Investments
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
g) Inventories
Inventories are valued at lower of cost or net realisable value after
providing for obsolescence, if any.
h) Revenue recognition
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly, wherever there are uncertainties in the
ascertainment /realisation of income, the same is not accounted for.
Income is accounted for on accrual basis.
i) Employee Benefits
i. The company''s contribution to provident fund in accordance with the
Employee''s Provident and Misc.
Provision Act 1952 is not applicable.
ii. The liability for gratuity to be provided in according to the
provisions of the Payment of Gratuity Act 1972
is not applicable.
j) Provision for Current and Deferred Tax
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961.
Deferred tax resulting from timing difference between book and taxable
profit for the year is accounted for using the tax rates and laws that
have been enacted or substantially enacted as on the balance sheet
date. The deferred tax asset is recognised and carried forward only to
the extent there is a reasonable certainty that the deferred tax assets
will be adjusted in future.
k) Provisions and Contingencies
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities, if any are not recognised and are
disclosed in the Notes on Accounts.
l) Segment Reporting
As per Accounting Standard (AS) 17 on "Segment Reporting", segment
information has been provided under the Notes to Financial Statements.
Mar 31, 2013
A) Basis of preparation of financial statements
The accompanying financial statements are prepared and presented under
the historical cost convention on the accrual basis of accounting, and
comply with the Accounting Standards prescribed by the Companies
(Accounting Standards) Rules 2006 {''the Rules'') and the requirements of
the Companies Act, 1956 (''the Act''), to the extent applicable to the
Company. The financial statements are presented in Indian Rupees.
b) Use of Estimate
The preparation of the financial statements in conformity with
generally accepted accounting principles requires the management to
make estimates and assumptions that affect the reported amount of
assets, liabilities, revenues and expenses and the disclosure of
contingent liabilities on the date of the financial statement. Actual
results could differ from the estimates. Any revision to accounting
estimates is recognized prospectively in current and future periods.
c) Depreciation
Depreciation on fixed assets has been provided on WDV method at the
rates prescribed in schedule XIV of the Companies Act, 1956 on a pro
rata basis from the date the asset is ready to use till the date of
sale.
d) Impairment of Assets
An asset is treated as impaired when the carrying cost of 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 recognised in prior accounting period is reversed
if there has been a change in the estimate of recoverable amount.
e) Foreign Currency Transactions
Transaction in foreign currency is recorded at the exchange rates
prevailing at the time of the transaction. Transaction gains or losses
realized upon settlement of foreign currency transactions are included
in the determining net profit for the period in which the transaction
is settled. Monetary items denominated in the foreign currencies
attheyearend are restated atyearend rates.
f) Investments
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
g) Inventories
Inventories are valued at lower of cost or net realisable value after
providing for obsolescence, if any.
As at the end of reported year company did not hold any inventory and
hence valuation process has not been carried out.
h) Revenue recognition
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly wherever there are uncertainties in the
ascertainment/realisation of income, the same is not accounted for
Income is accounted foron accrual basis.
i) Employee Benefits
i. The company''s contribution to provident fund in accordance with the
Employee''s Provident and Misc. Provision Act 1952 is not applicable.
ii. The liability for gratuity to be provided in according to the
provisions ofthe Payment of GratuityAct 1972is not applicable.
j) Provision for Current and Deferred Tax
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961.
Deferred tax resulting from timing difference between book and taxable
profit for the year is accounted for using the tax rates and laws that
have been enacted or substantially enacted as on the balance sheet
date. The deferred tax asset is recognised and carried forward only to
the extent there is a reasonable certainty that the deferred tax assets
will be adjusted in future.
k) Provisions and Contingencies
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities, if any are not recognised and are
disclosed in the Notes on Accounts.
I) Segment Reporting
As per Accounting Standard (AS) 17 on "Segment Reporting", segment
information has been provided under the Notes to Financial Statements.
Mar 31, 2012
A) Basis of preparation of financial statements
The accompanying financial statements are prepared and presented under
the historical cost convention on the accrual basis of accounting, and
comply with the Accounting Standards prescribed by the Companies
(Accounting Standards) Rules, 2006 ('the Rules') and the requirements
of the Companies Act, 1956 ('the Act'), to the extent applicable to the
Company. The financial statements are presented in Indian Rupees.
b) Use of Estimate
The preparation of the financial statements in conformity with
generally accepted accounting principles requires the management to
make estimates and assumptions that affect the reported amount of
assets, liabilities, revenues and expenses and the disclosure of
contingent liabilities on the date of the financial statement. Actual
results could differ from the estimates. Any revision to accounting
estimates is recognized prospectively in current and future periods.
c) Depreciation
Depreciation on fixed assets has been provided on WDV method at the
rates prescribed in schedule XIV of the Companies Act, 1956 on a pro
rata basis from the date the asset is ready to use till the date of
sale.
d) Impairment of Assets
An asset is treated as impaired when the carrying cost of 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 recognised in prior accounting period is reversed
if there has been a change in the estimate of recoverable amount.
e) Foreign Currency Transactions
Transaction in foreign currency is recorded at the exchange rates
prevailing at the time of the transaction. Transaction gains or losses
realized upon settlement of foreign currency transactions are included
in the determining net profit for the period in which the transaction
is settled. Monetary items denominated in the foreign currencies at the
year end are restated at year end rates.
f) Investments
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
g) Inventories
Inventories are valued at lower of cost or net realisable value after
providing for obsolescence, if any.
As at the end of reported year company did not hold any inventory and
hence valuation process has not been carried out.
h) Revenue recognition
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly wherever there are uncertainties in the
ascertainment/realisation of income, the same is not accounted for.
Income is accounted for on accrual basis.
i) Employee Benefits
i. The company's contribution to provident fund in accordance with the
Employee's Provident and Misc.
Provision Act 1952 is not applicable.
ii. The liability for gratuity to be provided in according to the
provisions of the Payment of Gratuity Act 1972 is not applicable.
j) Provision for Current and Deferred Tax
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961.
Deferred tax resulting from timing difference between book and taxable
profit for the year is accounted for using the tax rates and laws that
have been enacted or substantially enacted as on the balance sheet
date. The deferred tax asset is recognised and carried forward only to
the extent there is a reasonable certainty that the deferred tax assets
will be adjusted in future.
k) Provisions and Contingencies
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities, if any are not recognised and are
disclosed in the Notes on Accounts.
I) Segment Reporting
As per Accounting Standard (AS) 17 on "Segment Reporting", segment
information has been provided under the Notes to Consolidated Financial
Statements,
Mar 31, 2011
A) ACCOUNTING CONVENTIONS
The financial statements are prepared on accrual basis under historical
cost convention on the basis of going concern and materially comply
with the accounting standards referred to in sub-section (3C) of
section 211 of the Companies Act 1956.
b) DEPRECIATION
Depreciation on fixed assets has been provided on WDV method at the
rates prescribed in schedule XIV of the Companies Act, 1956 and on
additions/deletions during the year is on prorata basis with reference
to the month of additions/deletions thereof.
c) INVESTMENTS
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
d) VALUATION OF INVENTORIES
As a policy Valuation of Inventory considered on following basis:
i. Raw Materials, Packing Materials, Finished Goods and Trading Goods -
At Cost or Net Realizable Value whichever is lower.
ii. Work-In-Progress - At direct Cost plus related overheads up to the
stage of completion
As at the end of reported year company did not hold any inventory and
hence valuation process has not been carried out.
e) CURRENT ASSETS
Debtors and Loan & advances are valued on net realisation basis.
f) RETIREMENT BENEFITS
i. The company's contribution to provident fund in accordance with the
Employee's Provident & Misc. Provision Act 1952 is not applicable.
ii. The liability for gratuity to be provided in according to the
provisions of the Payment of Gratuity Act 1972 is not applicable.
g) FOREIGN EXCHANGE TRANSACTION
Transaction (if any) in foreign currency is recorded at the exchange
rates prevailing at the time of the transaction. No Foreign currency
transaction has been entered into by the company during the current
financial year.
h) PROVISION FOR CURRENT AND DEFERRED TAX
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961. Deferred tax resulting from timing
difference between book and taxable profit for the year is accounted
for using the tax rates and laws that have been enacted or
substantially enacted as on the balance sheet date. The deferred tax
asset is recognised and carried forward only to the extent there is a
reasonable certainty that the deferred tax assets will be adjusted in
future.
i) REVENUE RECOGNITION
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly wherever there are uncertainties in the
ascertainment /realisation of income, the same is not accounted for.
Expenditure and other income are accounted for on accrual basis. Other
Income shown in Profit & Loss A/c is net of brokerage, STT and other
charges on shares.
j) PROVISIONS/ CONTINGENCIES
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities (If any) are not recognised and are
disclosed in the Notes on Accounts.
k) SEGMENT REPORTING
The Company operates in a single business segment viz. "Yarn" in
Maharashtra. Hence, Segment Reporting is not applicable as per
Accounting Standard on Segment Reporting (AS-17).
Mar 31, 2010
A) ACCOUNTING CONVENTIONS
The financial statements are prepared on accrual basis under historical
cost convention on the basis of going concern and materially comply
with the accounting standards referred to in sub-section (3C) of
section 211 of the Companies Act 1956.
b) DEPRECIATION
Depreciation on fixed assets has been provided on WDV method at the
rates prescribed in schedule XIV of the Companies Act, 1956 and on
additions/deletions during the year is on prorata basis with reference
to the month of additions/deletions thereof.
Depreciation method has been changed during the year from SLM to WDV.
There are no retrospective effects in the books of accounts of the
change in method of Depreciation because all assets, on which
depreciation had been provided as per SLM method, were sold before 1st
April, 2009.
c) INVESTMENTS
All the Investments have been valued at cost less any provisions for
permanent diminution in value.
d) VALUATION OF INVENTORIES
As a policy Valuation of Inventory considered on following basis: i.
Raw Materials, Packing Materials, Finished Goods and Trading Goods - At
Cost or Net
Realizable Value whichever is lower. ii. Work-in-Progress - At direct
Cost plus related overheads up to the stage of completion
As at the end of reported year company did not hold any inventory and
hence valuation process has not been carried out.
e) CURRENT ASSETS
Debtors and Loan & advances are valued on net realisation basis.
f) RETIREMENT BENEFITS
i. The companys contribution to provident fund in accordance with the
Employees
Provident & Misc. Provision Act 1952 is not applicable. ii. The
liability for gratuity to be provided in according to the provisions of
the Payment of Gratuity Act 1972 is not applicable.
g) FOREIGN EXCHANGE TRANSACTION
Transaction (if any) in foreign currency is recorded at the exchange
rates prevailing at the time of the transaction. No Foreign currency
transaction has been entered into by the company during the current
financial year.
h) PROVISION FOR CURRENT AND DEFERRED TAX
Provision for current tax is made on the basis of estimated taxable
income for the current accounting period in accordance with the
provisions of Income tax Act, 1961. Deferred tax resulting from timing
difference between book and taxable profit for the year is accounted
for using the tax rates and laws that have been enacted or
substantially enacted as on the balance sheet date. The deferred tax
asset is recognised and carried forward only to the extent there is a
reasonable certainty that the deferred tax assets will be adjusted in
future.
i) REVENUE RECOGNITION
Items of revenue have been recognised in accordance with the Accounting
Standard (AS-9). Accordingly wherever there are uncertainties in the
ascertainment /realisation of income, the same is not accounted for.
Expenditure and other income are accounted for on accrual basis.
J) PROVISIONS/ CONTINGENCIES
A provision is recognised 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. Provisions are determined based on best
estimate of the amount required to settle the obligation at the Balance
Sheet date. Contingent liabilities (If any) are not recognised and are
disclosed in the Notes on Accounts.
k) SEGMENT REPORTING
The Company operates in a single business segment viz. "Yarn" in
Maharashtra. Hence, Segment Reporting is not applicable as per
Accounting Standard on Segment Reporting (AS-17).