Mar 31, 2015
1. Basis of preparation of financial statements
The accompanying financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under the
historical cost convention, on the basis of a going concern basis,
while revenue, expenses, assets and Liabilities accounted/recognized on
accrual basis. GAAP comprises mandatory accounting standards issued by
the Institute of Chartered Accountants of India (ICAI), the provisions
of the Companies Act, 1956.Accounting policies are consistently applied
except where a newly issued accounting standard is initially adopted or
a revision to an existing accounting standard requires a change in the
accounting policy hitherto in use.
Management evaluates all recently issued or revised accounting
standards on an ongoing basis. The financial statements are prepared
under the historical cost convention. Recognition of income and
expenses, accrual basis of accounting is followed.
2. Use of Estimates
The preparation of financial statements in conformity with GAAP
requires Management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent assets and liabilities as at the date of the financial
statements and reported amounts of income and expenses during the
period. Examples of such estimates include provisions for doubtful
debts, future obligations under retirement benefit plans, income taxes,
post-sales customer support and the useful lives of fixed assets and
intangible assets.
Management periodically assessed using external and internal sources
whether there is an indication that an asset may be impaired
Contingencies are recorded when it is probable that a liability will be
incurred, and the amount can be reasonably estimated. Actual results
could differ from those estimates.
3. Revenue Recognition
During the year the company has generated Revenue from operating
activities of selling and trading of cotton threads and cotton
materials. Revenue from sale of goods is recognized when the
significant risks and rewards of ownership of the goods are transferred
to the customer and is stated net of trade discounts, excise duty,sales
returns and sales tax. Where there is no uncertainty as to measurement
of collect ability has been recognized.
4. Expenditure
Expenses are accounted on accrual basis and provisions are made for all
known losses and liabilities.
5. Depreciation and amortization
Depreciation on fixed assets is applied on written down value method,
pro-rata for the period of usage, in accordance with the rates
prescribed under schedule XIV of the Companies Act, 1956.
6. Income tax
Income taxes are computed using the tax effect accounting method, in
accordance with the Accounting Standard (AS 22) "Accounting for Taxes
on Income" which includes current taxes and deferred taxes. Deferred
income taxes reflect the impact if current year timing differences
between taxable income and accounting income for the year and the
relevant of timing difference of earlier years. Deferred tax asset and
liabilities are measured at the tax rates that are expected to apply to
the period when the asset / liability is realized, based on tax rates
(and tax laws) that have been enacted or substantively enacted at the
balance sheet date. Deferred Tax assets are recognized and carried
forward only to the extent that there is a reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.
7. Earnings per Share
In determining earnings per share, the company considers the net profit
after tax expense. The number of shares used in computing basic
earnings per share is the weighted average shares outstanding during
the period.
8. Cash flow statement
Cash flows are reported using the indirect method, whereby net profit
before tax is adjusted for the effects of transactions of a non-cash
nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from regular revenue generating, investing and
financing activities of the company are segregated.
Mar 31, 2014
1. Basis of preparation of financial statements
The accompanying financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under the
historical cost convention, on the basis of a going concern basis,
while revenue, expenses, assets and L i a b i l i t i e s
accounted/recognized on accrual basis. GAAP comprises mandatory
accounting standards issued by the Institute of Chartered Accountants
of India (ICAI), the provisions of the Companies Act, 1956. Accounting
policies are consistently applied except where a newly issued
accounting standard is initially adopted or a revision to an existing
accounting standard requires a change in the accounting policy hitherto
in use.
Management evaluates all recently issued or revised accounting
standards on an ongoing basis. The financial statements are prepared
under the historical cost convention. Recognition of income and
expenses, accrual basis of accounting Is followed.
2. Use of Estimates
The preparation of financial statements in conformity with GAAP
requires Management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent assets and liabilities as at the date of the financial
statements and reported amounts of income and expenses during the
period. Examples of such estimates include provisions for doubtful
debts, future obligations under retirement benefit plans, income taxes,
post-sales customer support and the useful lives of fixed assets and
intangible assets.
Management periodically assessed using external and internal sources
whether there is an indication that an asset may be impaired.
Contingencies are recorded when it is probable that a liability will be
incurred, and the amount can be reasonably estimated. Actual results
could differ from those estimates.
3. Revenue Recognition
During the year the company has generated Revenue from operating
activities of selling and trading of cotton threads and cotton
materials. Revenue from sale of goods is recognized when the
significant risks and rewards of ownership of the goods are transferred
to the customer and is stated net of trade discounts, excise duty,
sales returns and sales tax. Where there is no uncertainty as to
measurement of collect ability has been recognized.
4. Expenditure
Expenses are accounted on accrual basis and provisions are made for all
known losses and liabilities.
5. Depreciation and amortization
Depreciation on fixed assets is applied on written down value method,
pro-rata for the period of usage, in accordance with the rates
prescribed under schedule XIV of the Companies Act, 1956.
6. Income tax
Income taxes are computed using the tax effect accounting method, in
accordance with the Accounting Standard (AS 22) "Accounting for Taxes
on Income" which includes current taxes and deferred taxes. Deferred
income taxes reflect the impact if current year timing differences
between taxable income and accounting income for the year and the
relevant of timing difference of earlier years. Deferred tax asset and
liabilities are measured at the tax rates that are expected to apply to
the period when the asset / liability is realized, based on tax rates
(and tax laws) that have been enacted or substantively enacted at the
balance sheet date. Deferred Tax assets are recognized and carried
forward only to the extent that there is a reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.
7. Earnings per Share
In determining earnings per share, the company considers the net profit
after tax expense. The number of shares used in computing basic
earnings per share is the weighted average shares outstanding during
the period.
8. Cash flow statement
Cash flows are reported using the indirect method, whereby net profit
before tax is adjusted for the effects of transactions of a non-cash
nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from regular revenue generating, investing and
financing activities of the company are segregated.
Mar 31, 2013
1. Basis of preparation of financial statements
The accompanying financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under the
historical cost convention, on the basis of a going concern basis,
while revenue, expenses, assets and Liabilities accounted/recognized on
accrual basis. GAAP comprises mandatory accounting standards issued by
the Institute of Chartered Accountants of India (ICAI), the provisions
of the Companies Act, 1956. Accounting policies are consistently
applied except where a newly issued accounting standard is initially
adopted or a revision to an existing accounting standard requires a
change in the accounting policy hitherto in use.
Management evaluates all recently issued or revised accounting
standards on an ongoing basis. The financial statements are prepared
under the historical cost convention. Recognition of income and
expenses, accrual basis of accounting is followed.
2. Use of Estimates
The preparation of financial statements in conformity with GAAP
requires Management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent assets and liabilities as at the date of the financial
statements and reported amounts of income and expenses during the
period. Examples of such estimates include provisions for doubtful
debts, future obligations under retirement benefit plans, income taxes,
post-sales customer support and the useful lives of fixed assets and
intangible assets.
Management periodically assessed using external and internal sources
whether there is an indication that an asset may be impaired.
Contingencies are recorded when it is probable that a liability will be
incurred, and the amount can be reasonably estimated. Actual results
could differ from those estimates.
3. Revenue Recognition
During the year the company has generated Revenue from operating
activities of selling and trading of cotton threads and cotton
materials. Revenue from sale of goods is recognized when the
significant risks and rewards of ownership of the goods are transferred
to the customer and is stated net of trade discounts, excise duty,
sales returns and sales tax. Where there is no uncertainty as to
measurement of collect ability has been recognized.
4. Expenditure
Expenses are accounted on accrual basis and provisions are made for all
known losses and liabilities.
5. Depreciation and amortization
Depreciation on fixed assets is applied on written down value method,
pro-rata for the period of usage, in accordance with the rates
prescribed under schedule XIV of the Companies Act, 1956.
6. Income tax
Income taxes are computed using the tax effect accounting method, in
accordance with the Accounting Standard (AS 22) ''Accounting for Taxes
on Income" which includes current taxes and deferred taxes. Deferred
income taxes reflect the impact if current year timing differences
between taxable income and accounting income for the year and the
relevant of timing difference of earlier years. Deferred tax asset and
liabilities are measured at the tax rates that are expected to apply to
the period when the asset / liability is realized, based on tax rates
(and tax laws) that have been enacted or substantively enacted at the
balance sheet date. Deferred Tax assets are recognized and carried
forward only to the extent that there is a reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.
7. Earnings per Share
In determining earnings per share, the company considers the net profit
after tax expense. The number of shares used in computing basic
earnings per share is the weighted average shares outstanding during
the period.
8. Cash flow statement
Cash flows are reported using the indirect method, whereby net profit
before tax is adjusted for the effects of transactions of a non-cash
nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from regular revenue generating, investing and
financing activities of the company are segregated.
Mar 31, 2011
1. Basis of preparation of Financial Statements
The accompanying financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under the
historical cost convention, on the basis of a going concern basis,
white revenue, expenses, assets and Liabilities accounted/recognized on
accrual basis, GAAP comprises mandatory accounting standards issued by
The Institute of Chartered Accountants of India (ICAI}, the provisions
of the Companies Act 1956, Accounting policies are consistently applied
except where a newly issued accounting standard is initially adopted or
a revision to an existing accounting standard requires a change in the
accounting policy hitherto in use. Management evaluates all recently
issued or revised accounting standards on an ongoing basis. The
financial statements are prepared under the historical cost convention.
Recognition of income and expenses, accrual basis of accounting is
followed.
2. Use Of Estimates
The preparation of financial statements in conformity with GAAP
requires Management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent assets and liabilities as at the dale of the financial
statements and reported amounts of income and expenses during the
period. Examples of such estimates include provisions for doubtful
debts, future obligations under retirement benefit plans, income taxes,
post-sales customer support and the useful lives of fixed assets and
intangible assets- Management periodically assessed using external and
internal sources whether there is an indication that an asset may be
impaired* Contingencies are recorded when it is probable that a
liability will be incurred, and the amount can be reasonably estimated.
Actual results could differ from those estimates.
3. Revenue Recognition
During the year the company has generated Revenue from operating
activities of selling and trading of cotton threads and cotton
materials, Revenue from sale of goods is recognized when the
significant risks and rewards of ownership of the goods are transferred
to the customer and is stated net of trade discounts, excise duty,
sales returns and sates tax. Where there is no uncertainty as to
measurement of collect ability has been recognized.
4. Expenditure
Expenses are accounted on accrual basis and provisions are made for all
known losses and liabilities.
5. Depreciation and amortization
Depreciation on fixed assets is applied on written down value method,
pro-rata for the period of usage, in accordance with the rates
prescribed under schedule XIV of the Companies Act 1956.
6.Income tax
Income taxes are computed using the tax effect accounting method, in
accordance with the Accounting Standard [AS 22) "Accounting for Taxes
on income" which includes current taxes and deferred taxes. Deferred
Income taxes reflect the impact if current year timing differences
between taxable income and accounting Income for the year and the
relevant of timing difference of earlier years. Deferred tax asset and
liabilities are measured at the tax rates that are expected to apply to
the period when the asset / liability is realized, based on tax rates
(and tax laws) that have been enacted or substantively enacted at the
balance sheet date. Deferred Tax assets are recognized and carried
forward only to the extent that there is a reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.
7.Earnings per Share
In determining earnings per share, the company considers the net profit
after tax expense. The number of shares used in computing basic
earnings per share is the weighted average shares outstanding during
the period,
8. Cash flow statement
Cash flows are reported using the indirect method, whereby net profit
before tax is adjusted for the effects of transactions of a non-cash
nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from regular revenue generating, investing and
financing activities of the company are segregated.
Mar 31, 2010
1. Basis of Preparation of financial statements
The accompanying financial statements are prepared in accordance with
Indian Generally Accepted Accounting Principles (GAAP) under the
historical cost convention, on the basis of a going concern basis,
while revenue, expenses, assets and Liabilities accounted/recognized on
accrual basis. GAAP comprises mandatory accounting standards issued by
the Instituate of Charterd Accountants of India (ICAI), the provisions
of the Companies Act, 1956. Accounting policies are consistently
applied except where a newly issued accounting standard is initially
adopted or a revision to an existing accounting standard required a
change in the accounting policy hitherto in use.
Management evaluates all recently issued or revised accounting
standards on an ongoing basis. The financial statements are prepared
under the historical cost conventin. Recognition of income and
expenses, accrual basis of accounting is followed.
2. Use of Estimates
The preparation of financial statements, in conformity with GAAP
requires Management to make estimates and assumptions that affect the
reported balances of assets and liabilities and disclosures relating to
contingent assets and liabilities as at the date of the financial
statements and reported amounts of income and expenses during the
period. Examples of such estimates include provisions for doubtful
debts, future obligations under retirement benefit plans, income taxes,
post-sales customer support and the useful lives of fixed assets and
intangible assets.
Management periodically assessed using external and internal sources
whether there is an indication that an asset may be impaired.
Contingencies are recorded when it is probable that a liability will be
incurred, and the amount can be reasonably estimated. Actual results
could differ from those estimates.
3. Revenue recognition
During the year the company has generated Revenue from opoerating
activities of selling and trading of cotton threads and cotton
materials.
Revenue from sale of goods is recognized when the significant risks and
rewards of ownership of the goods are transferred to the customer and
is stated net of trade
discounts, excise duty, sales returns and sales tax, Where there is no
uncertainty as to measurement of collect ability has been recognized.
4. Expenditure
Expenses are accounted on accrual basis and provisions are made for all
known loses and liabilities.
5. Depreciation and amortization
Depreciation on fixed assets is applied on straight-line method,
Pro-rata for the period of usage, in accordance with the rates
prescribed under schedule XIV of the Companies Act, 1956.
6. Income tax
Income taxes are computed using the tax effect accounting method, in
accordance with the Accounting Standard (AS 22) "Accounting for Taxes
on Income" which included current taxes and deferred taxes. Deferred
income taxes reflect the impact if current year timing differences
between taxable income and accounting income for the year and the
relevant of timing difference of earlier years. Deferred tax asset and
liabilities are measured at the tax rates that are expected to apply to
the period when the asset / liability is realized, based on tax rates
(and tax laws) that have been enacted or substantively enacted at the
balance sheet date. Deferred Tax assets are recognized and carried
forward only to the extent that there is a reasonable certainty that
sufficient future taxable income will be available against which such
deferred tax assets can be realized.
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