Mar 31, 2015
A) Accounting Convention
The financial statements, other than the Cash Flow Statement, are
prepared on accrual basis under the historical cost convention,
treating the entity as a going concern and in accordance with the
applicable accounting standards and relevant provisions of the
Companies Act, 2013.
b) Revenue Recognition
i) Revenue from domestic sale of goods is recognized at the point of
passing of title of goods to the customer which generally coincides
with delivery
ii) Sale value is inclusive of excise duty paid at the time of
clearance of goods but exclusive of sales tax
iii) Export sales are accounted for on the basis of the "Let Export"
date.
iv) Revenue in respect of export incentives is recognized when such
incentives accrue upon export of goods
c) Fixed Assets
Fixed Assets are stated at cost, net of taxes and duties subsequently
recoverable from government authorities less accumulated depreciation
and impairment loss, if any. Government grants relating to specific
fixed assets are treated as deferred income, which is recognized in the
Statement of Profit and Loss on a systematic basis over the useful life
of the asset.
All costs attributable to bringing the asset to its working condition
for its intended use, including financing costs till commencement of
commercial production and charges on foreign exchange contracts and
adjustments arising out of exchange rate variations attributable to the
fixed assets are capitalized.
d) Depreciation
Pursuant to the enactment of the Companies Act 2013, the Company has
applied the estimated useful lives as specified in schedule II.
Accordingly the unamortized carrying value is being depreciated over
the revised/remaining useful lives. The written down value of fixed
assets whose lives have expired as at 1st April, 2014 have been
adjusted net of taxes in the profit and loss by Rs 524.81 lacs.
e) Inventories
Inventories are valued at cost or net realizable value, whichever is
lower.
Raw Material and stores are valued at cost determined on a weighted
average basis.Work in process is valued at cost plus an appropriate
share of overheads depending upon the stage of completion.
Finished Goods are valued taking into account the raw material cost,
conversion cost and the overheads incurred to bring the goods to their
present location and condition plus excise duty wherever applicable.
f) Foreign Exchange Transactions
Foreign Currency transactions are accounted for at exchange rate
prevailing on the date of transaction. Premium on forward cover
contracts in respect of import of raw materials is charged to the
Statement of Profit and Loss over the period of contract. Amounts
payable and receivable in foreign currency at the Balance Sheet date,
not covered by forward contracts, are restated at the applicable
exchange rate prevailing on the date of the Balance Sheet. All exchange
differences, if any, arising on revenue transactions are
charged/credited to the Statement of Profit and Loss.
g) Taxation
Provision for current tax is made in accordance with the provisions of
the Income Tax law applicable for the relevant year. Deferred tax
asset/liability is created in accordance with the requirements of
Accounting Standard 22 "Accounting for taxes on Income" issued by the
Institute of Chartered Accountants of India. Deferred Tax Asset is
created only to the extent there is virtual certainty that future
taxable income will be available against which such deferred tax asset
can be realized.
In terms of the Guidance Note on "Accounting for Credit available in
respect of Minimum Alternate Tax (MAT) under the Income Tax Act, 1961"
issued by the Institute of Chartered Accountants of India, MAT credit
is recognized as an asset only to the extent there is a convincing
evidence that the company will be paying regular income tax during the
specified period.
h) Employee Benefits
i) Short-term Employee Benefits
Employee benefits payable wholly within twelve months of rendering
services are classified as short term employee benefits and are
recognized in the period in which the employee renders the related
services.
ii) Post-employment benefits Defined Benefit Plans
- Gratuity
The employee gratuity scheme is a defined benefit plan. Liability for
the gratuity fund is accounted for on the basis of an actuarial
valuation .The present value of defined benefit obligation as at the
end of the year is determined using the Projected Unit Credit method
i.e. each period of service rendered by the employee is considered to
give rise to an additional unit of benefit entitlement, gradually
building up the final obligation.
- Leave with Wages
The liability on account of compensated absences i.e. leave with wages
is accounted for on the basis of unutilized leave standing to the
credit of the employee at the close of the year.
Defined contribution Plans
Contributions to the employees' provident fund, which is a defined
contribution plan, are made in accordance with the provisions of the
Employees' Provident Fund and Miscellaneous Provisions Act, 1952. Such
contributions are recognized as expense in the statement of Profit &
Loss in the period in which the employee has rendered the services.
i) Provisions and Contingencies:
Provision is recognized in the balance sheet when, the company has a
present obligation as a result of past events and it is probable that
an outflow of economic resources will be required to settle the
obligations, and a reliable estimate of the amount of the obligation
can be made. A disclosure by way of contingent liability is made when
there is a possible obligation or a present obligation that may, but
probably will not, require an outflow of resources. Where there is a
possible obligation or a present obligation that the likelihood of
outflow of resources is remote, no provision or disclosure is made.
Contingent assets are neither recognized nor disclosed in the financial
statements.
j. Investments
Long term investments are carried at cost less provisions, if any, for
permanent diminution in value.
k. Cash Flow Statement
The company has prepared cash flow statement using the indirect method
in compliance of accounting standard- 3, 'Cash Flow Statement' issued
by the ICAI.
Mar 31, 2014
A) Accounting Convention
The financial statements, other than the Cash Flow Statement, are
prepared on accrual basis under the historical cost convention treating
the entity as a going concern and in accordance with the applicable
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
b) Use of Estimates
The preparation of financial statements is in conformity with the
generally accepted accounting principles. The preparation of financial
statements require estimates and assumptions to be made that affect the
reported amount of assets and liabilities on the date of financial
statements and the reported amount of revenues and expenses during the
reporting period. Difference between the actual results and estimates
are recognized in the period in which the results are known /
materialize.
c) Fixed Assets
Fixed Assets are stated at cost of acquisition or construction less
accumulated depreciation and impairment loss, if any. The cost
comprises purchase price/construction cost and any directly
attributable cost of bringing the asset to its working condition for
its intended use. The borrowing costs in respect of qualifying assets
incurred till the asset is ready for its intended use are capitalized.
d) Depreciation
Depreciation on Fixed Assets is charged on the Written Down Value
method at the rates and in the manner prescribed under Schedule XIV to
the Companies Act, 1956.
e) Impairment of Assets
At each Balance Sheet date, an assessment is made whether any
indication exists that an asset has been impaired in terms of
Accounting Standard 28 issued by the Institute of Chartered Accountants
of India (ICAI). If such an indication exists, an impairment loss i.e.
the amount by which the carrying amount of an asset exceeds its
recoverable amount is provided in the books of account and charged to
the Statement of Profit & Loss. The impairment loss recognized in prior
accounting periods is reversed if there is a change in the estimate of
recoverable amount of an asset.
f) Revenue Recognition
i) Revenue from sale of goods is recognized at the point of passing of
title of the goods to the customer which generally coincides with
delivery.
ii) Sale value is inclusive of excise duty paid at the time of
clearance of goods but exclusive of sales tax.
iii) Export sales are accounted for on the basis of the "Let Export"
date.
iv) Revenue in respect of export incentives is recognized when such
incentives accrue upon export of goods.
g) Inventories
Inventories are valued at cost or net realizable value, whichever is
lower after providing obsolescence, if any. The cost in respect of
various items of inventories is determined as under:
i) In case of Raw Materials, Stores and Spares, at weighted average
cost;
ii) In case of Work in Process, at the raw material cost plus
conversion cost depending upon the stage of completion of goods;
iii) In case of Finished Goods at the raw material cost, conversion
cost and other overheads incurred to bring the goods to their present
location and condition plus excise duty wherever applicable;
h) Investments
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in value.
i) Foreign Exchange Transactions
Transactions in foreign currency are recorded at the exchange rates
prevalent at the time of transaction. Foreign Currency assets and
liabilities are stated at the exchange rates prevailing at the date of
Balance Sheet or at forward contract rates, wherever so covered.
Realized gains or losses on foreign exchange transactions, other than
those relating to fixed assets, are recognized in the Statement of
Profit and Loss. The difference in foreign exchange rates in the case
of fixed assets is adjusted to the cost of fixed assets.
j) Accounting for Taxes on Income
Provision for current tax is made on the basis of aggregate amount of
income tax actually payable for the year on the estimated taxable
income computed in accordance with the provisions of the Income Tax
Act, 1961.
Deferred Tax resulting from the timing differences between Book Profit
and Tax Profit is accounted for at the enacted rate of tax to the
extent that the timing differences are expected to reverse in future.
Deferred Tax assets are recognized only to the extent there is
reasonable certainty that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
Deferred tax assets in respect of unabsorbed depreciation and carried
forward losses are recognized only to the extent there is a virtual
certainty that future taxable income will be available to realize these
assets.
k) Cash Flow Statement
The company has prepared the Cash Flow Statement using the Indirect
Method in compliance of Accounting Standard 3 "Cash Flow Statement"
issued by The Institute of Chartered Accountants of India.
l) Employee Benefits
i) Short-term Employee Benefits
Short-term employee benefits are recognized as an expense in the
Statement of Profit & Loss in the year in which the related services
are rendered by the employees.
ii) Retirement Benefits Defined Contribution Plans
Contributions to the employees'' provident fund are made in accordance
with the provisions of the Employees'' Provident Fund and Miscellaneous
Provisions Act, 1952. Such contributions are charged to the Statement
of Profit & Loss of the year in which the related services are rendered
by the employees.
Defined Benefit Plans
- Gratuity
Liability in respect of Gratuity is accounted for on the basis of an
actuarial valuation. The present value of defined benefit obligation as
at the end of the year is determined using the Projected Unit Credit
method i.e. each period of service rendered by the employee is
considered to give rise to an additional unit of benefit entitlement,
gradually building up the final obligation.
- Leave with Wages
Liability in respect of leave with wages is accounted for by making
provision on actual basis on the unutilized leaves standing credit to
the employee.
m) Contingent Liabilities
No provision is made for liabilities that are contingent in nature,
unless it is probable that future events will confirm that an asset has
been impaired or a liability incurred as at the Balance Sheet date and
a reasonable estimate of the resulting loss can be made. However, all
known, material contingent liabilities are disclosed by way of separate
notes.
Mar 31, 2013
A) Accounting Convention
The financial statements, other than the Cash Flow Statement, are
prepared on accrual basis under the historical cost convention treating
the entity as a going concern and in accordance with the applicable
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
b) Fixed Assets
Fixed Assets are stated at cost of acquisition or construction less
accumulated depreciation and impairment loss, if any. The cost
comprises purchase price/construction cost and any directly
attributable cost of bringing the asset to its working condition for
its intended use. The borrowing costs in respect of qualifying assets
incurred till the asset is ready for its intended use are capitalized.
c) Depreciation
Depreciation on Fixed Assets is charged on the Written Down Value
method at the rates and in the manner prescribed under Schedule XIV to
the Companies Act, 1956.
d) Impairment of Assets
At each Balance Sheet date, an assessment is made whether any
indication exists that an asset has been impaired in terms of
Accounting Standard 28 issued by the Institute of Chartered Accountants
of India (ICAI). If such an indication exists, an impairment loss i.e.
the amount by which the carrying amount of an asset exceeds its
recoverable amount is provided in the books of account and charged to
the Statement of Profit & Loss. The impairment loss recognized in prior
accounting periods is reversed if there is a change in the estimate of
recoverable amount of an asset.
e) Revenue Recognition
i) Revenue from sale of goods is recognized at the point of passing of
title of the goods to the customer which generally coincides with
delivery. ii) Sale value is inclusive of excise duty paid at the time
of clearance of goods but exclusive of sales tax. iii) Export sales
are accounted for on the basis of the "Let Export" date. iv) Revenue
in respect of export incentives is recognized when such incentives
accrue upon export of goods.
f) Inventories
Inventories are valued at cost or net realizable value, whichever is
lower after providing obsolescence, if any. The cost in respect of
various items of inventories is determined as under: i) In case of Raw
Materials, Stores and Spares, at weighted average cost;
ii) In case of Work in Process, at the raw material cost plus
conversion cost depending upon the stage of completion of goods; iii)
In case of Finished Goods at the raw material cost, conversion cost and
other overheads ncurred to bring the goods to their present location
and condition
g) Investments
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in value.
h) Foreign Exchange Transactions
Transactions in foreign currency are recorded at the exchange rates
prevalent at the time of transaction. Foreign Currency assets and
liabilities are stated at the exchange rates prevailing at the date of
Balance Sheet or at forward contract rates, wherever so covered.
Realized gains or losses on foreign exchange transactions, other than
those relating to fixed assets, are recognized in the Statement of
Profit and Loss. The difference in foreign exchange rates in the case
of fixed assets is adjusted to the cost of fixed assets.
i) Accounting for Taxes on Income
Provision for current tax is made on the basis of aggregate amount of
income tax actually payable for the year on the estimated taxable
income computed in accordance with the provisions of the Income Tax
Act, 1961.
Deferred Tax resulting from the timing differences between Book Profit
and Tax Profit is accounted for at the enacted rate of tax to the
extent that the timing differences are expected to reverse in future.
Deferred Tax assets are recognized only to the extent there is
reasonable certainty that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
Deferred tax assets in respect of unabsorbed depreciation and carried
forward losses are recognized only to the extent there is a virtual
certainty that future taxable income will be available to realize these
assets.
j) Employee Benefits
i) Short-term Employee Benefits
Short-term employee benefits are recognized as an expense in the
Statement of Profit & Loss in the year in which the related services
are rendered by the employees.
ii) Retirement Benefits
Defined Contribution Plans
Contributions to the employees'' provident fund are made in accordance
with the provisions of the Employees'' Provident Fund and Miscellaneous
Provisions Act, 1952. Such contributions are charged to the Statement
of Profit & Loss of the year in which the related services are rendered
by the employees.
Defined Benefit Plans
Liability in respect of Gratuity is accounted for on the basis of an
actuarial valuation. The present value of defined benefit obligation as
at the end of the year is determined using the Projected Unit Credit
method i.e. each period of service rendered by the employee is
considered to give rise to an additional unit of benefit entitlement,
gradually building up the final obligation.
k) Contingent Liabilities
No provision is made for liabilities that are contingent in nature,
unless it is probable that future events will confirm that an asset has
been impaired or a liability incurred as at the Balance Sheet date and
a reasonable estimate of the resulting loss can be made. However, all
known, material contingent liabilities are disclosed by way of separate
notes.
Mar 31, 2012
A) Accounting Convention
The financial statements, other than the Cash Flow Statement, are
prepared on accrual basis under the historical cost convention treating
the entity as a going concern and in accordance with the applicable
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
b) Fixed Assets
Fixed Assets are stated at cost of acquisition or construction less
accumulated depreciation and impairment loss, if any. The cost
comprises purchase price/construction cost and any directly
attributable cost of bringing the asset to its working condition for
its intended use. The borrowing costs in respect of qualifying assets
incurred till the asset is ready for its intended use are capitalized
c) Depreciation
Depreciation on Fixed Assets is charged on the Written Down Value
method at the rates and in the manner prescribed under Schedule XIV to
the Companies Act, 1956.
d) Impairment of Assets
At each Balance Sheet date, an assessment is made whether any
indication exists that an asset has been impaired in terms of
Accounting Standard 28 issued by Institute of Chartered Accountants of
India (ICAI). If such an indication exists, an impairment loss i.e. the
amount by which the carrying amount of an asset exceeds its recoverable
amount is provided in the books of account and charged to the Statement
of Profit & Loss. The impairment loss recognized in prior accounting
periods is reversed if there is a change in the estimate of recoverable
amount of an asset.
e) Revenue Recognition
a) Revenue from sale of goods is recognized at the point of passing of
title of the goods to the customer which generally coincides with
delivery.
b) Sale value is inclusive of excise duty paid at the time of clearance
of goods but exclusive of sales tax.
c) Export sales are accounted for on the basis of the ÃLet ExportÃ
date.
d) Revenue in respect of export incentives is recognized when such
incentives accrue upon export of goods.
f) Inventories
Inventories are valued at cost or net realizable value, whichever is
lower after providing obsolescence, if any. The cost in respect of
various items of inventory is determined as under:
a) In case of Raw Materials, stores and spares, at weighted average
cost;
b) In case of Work in Process, at the raw material cost plus conversion
cost depending upon the stage of completion of goods;
c) In case of Finished Goods at the raw material cost, conversion cost
and other overheads incurred to bring the goods to their present
location and condition
g) Investments
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in value.
h) Foreign Exchange Transactions
Transactions in foreign currency are recorded at the exchange rates
prevalent at the time of transaction. Foreign Currency assets and
liabilities are stated at the exchange rates prevailing at the date of
Balance Sheet or at forward contract rates, wherever so covered.
Realized gains or losses on foreign exchange transactions, other than
those relating to fixed assets, are recognized in the Statement of
Profit and Loss. The difference in foreign exchange rates in the case
of fixed assets is adjusted to the cost of fixed assets.
i) Accounting for Taxes on Income
Provision for current tax is made on the basis of aggregate amount of
income tax actually payable for the year on the estimated taxable
income computed in accordance with the provisions of the Income Tax
Act, 1961. Deferred Tax resulting from the timing differences between
Book Profit and Tax Profit is accounted for at the enacted rate of tax
to the extent that the timing differences are expected to reverse in
future. Deferred Tax assets are recognized only to the extent there is
reasonable certainty that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
Deferred tax assets in respect of unabsorbed depreciation and carried
forward losses are recognized only to the extent there is a virtual
certainty that future taxable income will be available to realize these
assets. j) Employee Benefits
1. Short-term employee benefits
Short-term employee benefits are recognized as an expense in the
Statement of Profit & Loss in the year in which the related services
are rendered by the employees.
2. Retirement benefits Defined contribution plans
Contributions to the employees' provident fund are made in accordance
with the provisions of the Employees' Provident Fund and Miscellaneous
Provisions Act, 1952. Such contributions are charged to the Statement
of Profit & Loss of the year in which the related services are rendered
by the employees. Defined benefit plans
Liability in respect of Gratuity is accounted for on the basis of an
actuarial valuation. The present value of defined benefit obligation as
at the end of the year is determined using the Projected Unit Credit
method i.e. each period of service rendered by the employee is
considered to give rise to an additional unit of benefit entitlement,
gradually building up the final obligation. k) Contingent Liabilities
No provision is made for liabilities that are contingent in nature,
unless it is probable that future events will confirm that an asset has
been impaired or a liability incurred as at the Balance Sheet date and
a reasonable estimate of the resulting loss can be made. However, all
known, material contingent liabilities are disclosed by way of separate
notes.
Mar 31, 2011
A) Accounting Convention
The financial statements, other than the cash flow statement, are
prepared on accrual basis under the historical cost convention treating
the entity as a going concern and in accordance with the applicable
Accounting Standards referred to in Section 211 (3C) of the Companies
Act, 1956.
b) Fixed Assets
Fixed assets are stated at cost of acquisition or construction less
accumulated depreciation and impairment loss, if any. The cost
comprises purchase price/construction cost and any directly
attributable cost of bringing the asset to its working condition for
its intended use. The borrowing costs in respect of qualifying assets
incurred till the asset is ready for its intended use are capitalized
c) Depreciation
Depreciation on fixed assets is charged on the written down value
method at the rates and in the manner prescribed under Schedule XIV to
the Companies Act, 1956.
d) Impairment of Assets
At each balance sheet date, an assessment is made whether any
indication exists that an asset has been impaired in terms of
Accounting Standard 28 issued by Institute of Chartered Accountants of
India (ICAI). If such an indication exists, an impairment loss i.e. the
amount by which the carrying amount of an asset exceeds its recoverable
amount is provided in the books of account and charged to the Profit &
Loss Account. The impairment loss recognized in prior accounting
periods is reversed if there is a change in the estimate of recoverable
amount of an asset.
e) Revenue Recognition
a) Revenue from sale of goods is recognized at the point of passing of
title of the goods to the customer which generally coincides with
delivery.
b) Sale value is inclusive of excise duty paid at the time of clearance
of goods but exclusive of sales tax.
c) Export sales are accounted for on the basis of the "Let Export"
date.
d) Revenue in respect of export incentives is recognized when such
incentives accrue upon export of goods.
f) Inventories
Inventories are valued at cost or net realizable value, whichever is
lower after providing obsolescence, if any. The cost in respect of
various items of inventory is determined as under:
a) In case of raw materials, stores and spares, at weighted average
cost;
b) In case of work in process, at the raw material cost plus conversion
cost depending upon the stage of completion of goods;
c) In case of finished goods at the raw material cost, conversion cost
and other overheads incurred to bring the goods to their present
location and condition
g) Investments
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in value. Current investments are carried at
lower of cost or fair value.
h) Foreign Exchange Transactions
Transactions in foreign currency are recorded at the exchange rates
prevalent at the time of transaction. Foreign Currency assets and
liabilities are stated at the exchange rates prevailing at the date of
Balance Sheet or at forward contract rates, wherever so covered.
Realized gains or losses on foreign exchange transactions, other than
those relating to fixed assets, are recognized in the Profit and Loss
Account. The difference in foreign exchange rates in the case of fixed
assets is adjusted to the cost of fixed assets.
i) Accounting for taxes on Income
Provision for current tax is made on the basis of aggregate amount of
income tax actually payable for the year on the estimated taxable
income computed in accordance with the provisions of the Income Tax
Act, 1961.
Deferred Tax resulting from the timing differences between book profit
and tax profit is accounted for at the enacted rate of tax to the
extent that the timing differences are expected to reverse in future.
Deferred Tax assets are recognized only to the extent there is
reasonable certainty that sufficient future taxable income will be
available against which such deferred tax assets can be realized.
Deferred tax assets in respect of unabsorbed depreciation and carried
forward losses are recognized only to the extent there is a virtual
certainty that future taxable income will be available to realize these
assets.
j) Employee benefits
1. Short-term employee benefits
Short-term employee benefits are recognized as an expense in the Profit
& Loss account in the year in which the related services are rendered
by the employees.
2. Retirement benefits Defined contribution plans
Contributions to the employees' provident fund are made in accordance
with the provisions of the Employees' Provident Fund and Miscellaneous
Provisions Act, 1952. Such contributions are charged to the Profit &
Loss account of the year in which the related services are rendered by
the employees.
Defined benefit plans Gratuity
Liability in respect of gratuity is accounted for on the basis of an
actuarial valuation. The present value of defined benefit obligation as
at the end of the year is determined using the Projected Unit Credit
method i.e. each period of service rendered by the employee is
considered to give rise to an additional unit of benefit entitlement,
gradually building up the final obligation.
k) Contingent Liabilities
No provision is made for liabilities that are contingent in nature,
unless it is probable that future events will confirm that an asset has
been impaired or a liability incurred as at the balance sheet date and
a reasonable estimate of the resulting loss can be made. However, all
known, material contingent liabilities are disclosed by way of separate
notes.
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