Accounting Policies of Yash Innoventures Ltd. Company

Mar 31, 2025

1 Corporate Information

Yash Innoventures Limited(Formerly known as Redex Protech Limited) is a public limited company incorporated in India with its
registered office at 1st Floor, Corporate House No 3, Parshwanath Business Park, Bh. Prahaladnagar Garden, S.G. Highway,
Ahmedabad Gujarat- 380014 under the provisions of the Companies Act, 1956. Its shares are listed on recognised stock
exchange in India. The company is operating in only one segment i.e. Construction & Infrastructure

1.1 Basis of preparation

(a) Statement of compliance with Ind AS

These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS) as per the Companies
(Indian Accounting Standards) Rules 2015 and Companies (Indian Accounting Standards) (Amendment) Rules, 2016
notified under Section 133 of Companies Act, 2013 (the ''Act'') and other relevant provisions of the Act.

Details of the Company''s accounting policies are included in note 2 of the Financial statements.

(b) Functional and presentation currency

These financial statements are presented in Indian Rupees (INR), which is also the functional currency. All the amounts
have been rounded off to the nearest digits.

(c) Basis of Measurement

The financial statements have been prepared on the historical cost basis.

(d) Presentation of financial statements

The Balance Sheet, Statement of Profit and Loss and Statement of Changes in Equity are prepared and presented in the
format prescribed in the Schedule III to the Companies Act, 2013 ("the Act"). The Statement of Cash Flows has been
prepared and presented as per the requirements of Ind AS 7 "Statement of Cash Flows”. The disclosure requirements with
respect to items in the Balance Sheet and Statement of Profit and Loss, as prescribed in the Schedule III to the Act, are
presented by way of notes forming part of the financial statements along with the other notes required to be disclosed
under the notified Accounting Standards and the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
as amended.

(e) Going Concern

The board of directors have considered the financial position of the Company as at March 31. 2025.The board of directors
have taken actions to ensure that appropriate long-term cash resources are in place at the date of signing the accounts to
fund the Company''s operations.

(f) Use of Estimates and Judgments

In preparing these financial statements, management has made judgments, estimates, and assumptions that affect the
application of accounting policies and the reported amounts of assets, liabilities, incomes and expenses. Actual results
may differ from these estimates.

Estimates

Estimates and underlying assumptions are reviewed on an ongoing basis. They are based on historical experience and

other factors including expectations of future events that may have a financial impact on the Company and that are

believed to be reasonable under the circumstances. Revisions to the accounting estimates are recognised prospectively.
Judgments

Information about judgments made in applying accounting policies that have the most significant effects on the amounts
recognized in the financial statements is included in the respective note.

Assumptions and Estimation Uncertainties:

information about assumptions and estimation uncertainties that have a significant risk of resulting in a material
adjustment within the next financial year are included in the respective note.

a Financial Instruments

1 Financial Assets

i Classification

The Company classifies its financial assets in the following measurement categories:

? Those measured at amortized cost and Those to be measured subsequently at fair value (either through other
comprehensive income or through profit or loss)

The classification depends on the Company''s business model for managing the financial assets and the
contractual terms of the cash flows.

? A financial asset is measured at amortized cost if it meets both of the following conditions and is not
designated as at Fair Value through Profit and Loss Account (FVTPL):

- the asset is held within a business model whose objective is to hold assets to collect contractual cash flows:
and

- the contractual terms of a financial asset give rise on specified dates to cash flows that are solely payments
of principal and interest on the principal amount outstanding.

- the asset is held within a business model whose objective Is achieved by both collecting contractual cash
flows and selling financial assets, and

the contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

? Financial assets are not reclassified subsequent to their initial recognition except if and in the period the
Company changes its business model for managing financial assets.

li Measurement

At initial recognition, the Company measures a financial asset when it becomes a party to the contractual
provisions of the instruments and measures at its fair value except trade receivables which are initially measured
at transaction price. Transaction costs are incremental costs that are directly attributable to the acquisition of the
financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed In
profit or loss. A regular way purchase and sale of financial assets are accounted for at trade date.

iii Subsequent Measurement and Gains and Losses__

Financial assets at These assets are subsequently measured at fair value. Net gains including any interest or
FVTPL dividend income, are recognized in profit or loss.___

iv Derecognition

The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset
expire, or it transfers the rights to receive the contractual cash flows In a transaction in which substantially all of
the risks and rewards of ownership of the financial asset are transferred or in which the Company neither
transfers nor retains substantially all of the risks and rewards of ownership and does not retain control of the
financial asset.

If the Company enters into transactions whereby it transfers assets recognised on its balance sheet, but retains
either all or substantially all of the risks and rewards of the transferred assets, the transferred assets are not
derecognised.

2 Financial Liabilities

i Classification, Subsequent Measurement and Gains and Losses •

Financial liabilities are classified and measured at amortized cost or FVTPL. A financial liability is classified as at
FVTPL if it is classified as held- for- trading, or it is a derivative or it is designated as such on initial recognition.
Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense,
are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using the
effective interest method. Interest expense and foreign exchange gains and losses are recognized in profit or loss.
Any gain or loss on derecognition is also recognized in profit or loss.

ii Derecognition

The Company derecognizes a financial liability when its contractual obligations are discharged or cancelled, or

expire.

The Company also derecognises a financial liability when its terms are modified and the cash flows under the
modified terms are substantially different. In this case, a new financial liability based on the modified terms is
recognised at fair value. The difference between the carrying amount of the financial liability extinguished and the
new financial liability with modified terms is recognised in the profit or loss

iii Offsetting

Financial assets and financial liabilities are off set and the net amount presented in the Balance Sheet when, and
only when, the Company currently has a legally enforceable right to set off the amounts and it intends either to
settle them on a net basis or to realise the asset and settle the liability simultaneously.

b Property, Plant and Equipment

i Recognition and Measurement

Items of property, plant and equipment are measured at cost, which includes capitalised borrowing costs, less
Cost of an item of property, plant and equipment comprises its purchase price, Including import duties and
nonrefundable purchase taxes, after deducting trade discounts and rebates, any directly attributable cost of bringing
the item to its working condition for its intended use and estimated costs of dismantling and removing the item and
restoring the site on which it is located.

The cost of a self-constructed item of property, plant and equipment composes the cost of materials and direct labor,
any other costs directly attributable to bringing the item to working condition for its intended use, and estimated costs
of dismantling and removing the item and restoring the site on which it is located.

If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for
as separate items (major components) of property, plant and equipment.

Useful lives have been determined in accordance with Schedule II to the Companies Act, 2013. The residual values are
not more than 5% of the original cost of the asset.

Capital Work-in-progress includes cost of assets at sites and constructions expenditure.

Any gain or loss on disposal of an item of property, plant and equipment is recognised in profit or loss.

ii Capital work in progress and Capital advances:

Cost of assets not ready for intended use, as on the balance sheet date, is shown as capital work in progress.

Advances given towards acquisition of fixed assets outstanding at each balance sheet date are disclosed as Other Non-
Current Assets

iii Subsequent Expenditure

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the
expenditure will flow to the Company.

iv Depreciation/Amortisation

Depreciation is calculated on cost of items of property, plant and equipment (other than freehold land and properties
under construction) less their estimated residual values over their estimated useful lives using the straight-line method
and is generally recognised in the statement of profit and loss. Amortization on leasehold land is provided over the
period of lease.

Depreciation method, useful lives and residual values are reviewed at each financial year-end and adjusted if
appropriate. Based on technical evaluation and consequent advice, the management believes that Its estimates of
useful lives best represent the period over which management expects to use these assets.

Depreciation on additions (disposals) is provided on a pro-rata basis i.e. from (up to) the date on which asset is ready
for use (disposed of).

v Derecognition

An item of Property, Plant and Equipment is derecognised upon disposal.

c. Investment Property

Investment Properties are measured initially at cost, including transaction costs. Subsequent to initial recognition,
investment properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any.

The cost includes cost of replacing parts and borrowing costs for long-term construction projects if the recognition criteria
are met When significant parts of the investment property are required to be replaced at intervals, the company
depreciates them separately based on their specific useful lives. All other repair and maintenance costs are recognised in
profit and loss as incurred.

The group depreciates building component of investment property over 60 years from the date of original purchase.
Investment properties are derecognised either when they have been disposed of or when they are permanently
withdrawn from use and no future economic benefit is expected from their disposal. The difference between the net
disposal proceeds and the carrying amount of the asset is recognised in profit or loss in the period of derecognition.

d. Impairment

i Impairment of Financial Assets

The Company recognizes loss allowances for financial assets measured at amortized cost using expected credit loss
model.

At each reporting date, the Company assesses whether financial assets carried at amortized cost are credit impaired. A
financial asset is ''credit- impaired'' when one or more events that have a detrimental impact on the estimated future
cash flows of the financial asset have occurred

For trade receivables, the Company always measures the loss allowance at an amount equal to lifetime expected
credit losses.

For all other financial assets, the Company measures loss allowances at an amount equal to twelve months expected
credit losses unless there has been a significant increase in credit risk from initial recognition in which those are
measured at lifetime expected credit risk.

Lifetime expected credit losses are the expected credit losses that result from all possible default events over the
expected life of a financial asset. Twelve months expected credit losses are the portion of lifetime expected credit
losses that represent the expected credit losses that result from default events on a financial instrument that are
possible within the twelve months after the reporting date (or a shorter period if the expected life of the instrument is
less than twelve months).

When determining whether the credit risk of a financial asset has increased significantly since initial recognition and
when estimating expected credit losses, the Company considers reasonable and supportable information that is
relevant and available without undue cost or effort. This includes both quantitative and qualitative information and
analysis, based on the Company''s historical experience and informed credit assessment and including forward-looking
information.

The Company assumes that the credit risk on a financial asset has increased significantly if it is more than 360 days
past due. The Company considers a financial asset to be in default when the borrower is unlikely to pay its credit
obligations to the Company in full.

Measurement of Expected Credit Losses Expected credit losses are a probability-weighted estimate of credit losses.
Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to
the Company in accordance with the contract and the cash flows that the Company expects to receive).

Presentation of Allowance for Expected Credit Losses in the Balance Sheet

Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the

assets. ''

Write-off

The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no
realistic prospect of recovery. This is generally the case when the Company determines (on the basis of availability of
the information) that the debtor does not have assets or sources of income that could generate sufficient cash flows
to repay the amounts subject to the write- off. However, financial assets that are written off could still be subject to
enforcement activities in order to comply with the Company''s procedures for recovery of amounts due.

ii Impairment of Non-Financial Assets (if any such non-financial assets exists)

The Company''s non-financial assets are reviewed at each reporting date to determine whether there is any indication
of impairment. If any such indication exists, then the asset''s recoverable amount is estimated.

An impairment loss is recognised if the carrying amount of an asset exceeds its estimated recoverable amount.
Impairment losses are recognised in the Statement of Profit and Loss.

In respect of assets for which impairment loss has been recognised in prior periods, the Company reviews at each
reporting date whether there is any indication that the loss has decreased or no longer exists. An impairment loss is
reversed if there has been a change in the estimates used to determine the recoverable amount. Such a reversal is
made only to the extent that the asset''s carrying amount does not exceed the carrying amount that would have been
determined, net of depreciation or amortisation, if no impairment loss had been recognised.

e. Employee Benefits

i. Short Term Employee Benefits

Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related
service is provided.

II Long term Employee Benefits:

Provident Fund and Superannuation Contribution are accrued each year in terms of contracts with the employees.
Provision for Gratuity is determined and accrued on the basis of actuarial valuation by Life Insurance Corporation of
India. Leave encashment benefit to employees has been provided on an estimated basis.

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Mar 31, 2024

2 Significant Accounting Policies
a Financial Instruments

1 Financial Assets

i Classification

The Company classifies its financial assets in the following measurement categories:

? Those measured at amortized cost and Those to be measured subsequently at fair value (either through
_other comprehensive income or through profit or loss)_

The classification depends on the Company''s business model for managing the financial assets and the
contractual terms of the cash flows.

? A financial asset is measured at amortized cost if it meets both of the following conditions and is not
designated as at Fair Value through Profit and Loss Account (FVTPL):

- the asset is held within a business model whose objective is to hold assets to collect contractual cash
flows; and

- the contractual terms of a financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

- the asset is held within a business model whose objective is achieved by both collecting contractual cash
flows and selling financial assets; and

- the contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

? Financial assets are not reclassified subsequent to their initial recognition except if and in the period the
Company changes its business model for managing financial assets.

ii Measurement

At initial recognition, the Company measures a financial asset when it becomes a party to the contractual
provisions of the instruments and measures at its fair value except trade receivables which are initially
measured at transaction price. Transaction costs are incremental costs that are directly attributable to the
acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss
are expensed in profit or loss. A regular way purchase and sale of financial assets are accounted for at trade
date.

iv Derecognition

The Company derecognises a financial asset when the contractual rights to the cash flows from the financial
asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which
substantially all of the risks and rewards of ownership of the financial asset are transferred or in which the
Company neither transfers nor retains substantially all of the risks and rewards of ownership and does not
retain control of the financial asset.

If the Company enters into transactions whereby it transfers assets recognised on its balance sheet, but retains
either all or substantially all of the risks and rewards of the transferred assets, the transferred assets are not
derecognised.

2 Financial Liabilities

i Classification, Subsequent Measurement and Gains and Losses

Financial liabilities are classified and measured at amortized cost or FVTPL. A financial liability is classified as at
FVTPL if it is classified as held- for- trading, or it is a derivative or it is designated as such on initial recognition.
Financial liabilities at FVTPL are measured at fair value and net gains and losses, including any interest expense,
are recognized in profit or loss. Other financial liabilities are subsequently measured at amortized cost using
the effective interest method. Interest expense and foreign exchange gains and losses are recognized in profit
or loss. Any gain or loss on derecognition is also recognized in profit or loss.

ii Derecognition

The Company derecognizes a financial liability when its contractual obligations are discharged or cancelled, or
expire.

The Company also derecognises a financial liability when its terms are modified and the cash flows under the
modified terms are substantially different. In this case, a new financial liability based on the modified terms is
recognised at fair value. The difference between the carrying amount of the financial liability extinguished and
the new financial liability with modified terms is recognised in the profit or loss.

iii Offsetting

Financial assets and financial liabilities are off set and the net amount presented in the Balance Sheet when,
and only when, the Company currently has a legally enforceable right to set off the amounts and it intends
either to settle them on a net basis or to realise the asset and settle the liability simultaneously.

b Property, Plant and Equipment

i Recognition and Measurement

Items of property, plant and equipment are measured at cost, which includes capitalised borrowing costs, less
Cost of an item of property, plant and equipment comprises its purchase price, including import duties and nonrefundable
purchase taxes, after deducting trade discounts and rebates, any directly attributable cost of bringing the item to its
working condition for its intended use and estimated costs of dismantling and removing the item and restoring the site on
which it is located.

The cost of a self-constructed item of property, plant and equipment comprises the cost of materials and direct labor, any
other costs directly attributable to bringing the item to working condition for its intended use, and estimated costs of
dismantling and removing the item and restoring the site on which it is located.

If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as
separate items (major components) of property, plant and equipment.

Useful lives have been determined in accordance with Schedule II to the Companies Act, 2013. The residual values are not
more than 5% of the original cost of the asset.

Capital Work-in-progress includes cost of assets at sites and constructions expenditure.

Any gain or loss on disposal of an item of property, plant and equipment is recognised in profit or loss.

ii Capital work in progress and Capital advances:

Cost of assets not ready for intended use, as on the balance sheet date, is shown as capital work in progress. Advances
given towards acquisition of fixed assets outstanding at each balance sheet date are disclosed as Other Non-Current Assets

iii Subsequent Expenditure

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the
expenditure will flow to the Company.

iv Depreciation/Amortisation

Depreciation is calculated on cost of items of property, plant and equipment (other than freehold land and properties
under construction) less their estimated residual values over their estimated useful lives using the straight-line method
and is generally recognised in the statement of profit and loss. Amortization on leasehold land is provided over the period
of lease.

Depreciation method, useful lives and residual values are reviewed at each financial year-end and adjusted if appropriate.
Based on technical evaluation and consequent advice, the management believes that its estimates of useful lives best
represent the period over which management expects to use these assets.

Depreciation on additions (disposals) is provided on a pro-rata basis i.e. from (up to) the date on which asset is ready for
use (disposed of).

v Derecognition

An item of Property, Plant and Equipment is derecognised upon disposal.

c. Investment Property

Investment Properties are measured intially at cost, including transaction costs. Subsequent to intial recognition, investment
properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any.

The cost includes cost of replacing parts and borrowing costs for long-term construction projects if the recognition criteria are met.
When significant parts of the investment property are required to be replaced at intervals, the company depreciates them seperately
based on their specific useful lives. All other repair and maintenance costs are recognised in profit and loss as incurred.

The group depreciates building component of investment property over 60 years from the date of orignal purchase.

Investment properties are derecognised either when they have been disposed of or when they are permanently withdrawn from use
and no future economic benefit is expected from their disposal. The difference between the net disposal proceeds and the carrying
amount of the asset is recognised in profit or loss in the period of derecognition.

d. Impairment

i Impairment of Financial Assets

The Company recognizes loss allowances for financial assets measured at amortized cost using expected credit loss model.

At each reporting date, the Company assesses whether financial assets carried at amortized cost are credit impaired. A
financial asset is ''credit- impaired'' when one or more events that have a detrimental impact on the estimated future cash
flows of the financial asset have occurred.

For trade receivables, the Company always measures the loss allowance at an amount equal to lifetime expected credit
losses.

For all other financial assets, the Company measures loss allowances at an amount equal to twelve months expected
credit losses unless there has been a significant increase in credit risk from initial recognition in which those are measured
at lifetime expected credit risk.

Lifetime expected credit losses are the expected credit losses that result from all possible default events over the expected
life of a financial asset. Twelve months expected credit losses are the portion of lifetime expected credit losses that
represent the expected credit losses that result from default events on a financial instrument that are possible within the
twelve months after the reporting date (or a shorter period if the expected life of the instrument is less than twelve
months).

When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when
estimating expected credit losses, the Company considers reasonable and supportable information that is relevant and
available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on
the Company''s historical experience and informed credit assessment and including forward-looking information.

The Company assumes that the credit risk on a financial asset has increased significantly if it is more than 360 days past
due. The Company considers a financial asset to be in default when the borrower is unlikely to pay its credit obligations to
the Company in full.

Measurement of Expected Credit Losses Expected credit losses are a probability-weighted estimate of credit losses. Credit
losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the
Company in accordance with the contract and the cash flows that the Company expects to receive).

Presentation of Allowance for Expected Credit Losses in the Balance Sheet

Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the
assets.

Write-off

The gross carrying amount of a financial asset is written off (either partially or in full) to the extent that there is no realistic
prospect of recovery. This is generally the case when the Company determines (on the basis of availability of the
information) that the debtor does not have assets or sources of income that could generate sufficient cash flows to repay
the amounts subject to the write- off. However, financial assets that are written off could still be subject to enforcement
activities in order to comply with the Company''s procedures for recovery of amounts due.

ii Impairment of Non-Financial Assets (if any such non-financial assets exists)

The Company''s non-financial assets are reviewed at each reporting date to determine whether there is any indication of
impairment. If any such indication exists, then the asset''s recoverable amount is estimated.

An impairment loss is recognised if the carrying amount of an asset exceeds its estimated recoverable amount.
Impairment losses are recognised in the Statement of Profit and Loss.

In respect of assets for which impairment loss has been recognised in prior periods, the Company reviews at each
reporting date whether there is any indication that the loss has decreased or no longer exists. An impairment loss is
reversed if there has been a change in the estimates used to determine the recoverable amount. Such a reversal is made
only to the extent that the asset''s carrying amount does not exceed the carrying amount that would have been
determined, net of depreciation or amortisation, if no impairment loss had been recognised.

e. Employee Benefits

_i._Short Term Employee Benefits_

Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service
is provided.

ii Long term Employee Benefits:

Provident Fund and Superannuation Contribution are accrued each year in terms of contracts with the employees.
Provision for Gratuity is determined and accrued on the basis of actuarial valuation by Life Insurance Corporation of India.
Leave encashment benefit to employees has been provided on an estimated basis.

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Mar 31, 2015

A) Basis of preparation of Financial statements

The financial statement of the company have been prepared in accordance with generally accepted accounting principle of India The company has prepared these financial statements to comply in all material respects with the accounting standard under section 133 of the companies Act,2013 read with rule 7 (1) & (2) of companies (Account) Rules 2014 the relevant provisions of the company's Act,1956 (the Act) The financial statement have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year.

The financial statements are presented in Indian rupees and rounded off to retest Rupee unless otherwise stated.

b) Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires managements to make estimates and assumptions that affect the reported amount of assets liabilities revenues and expense and disclosure of contingent liabilities on the date of the financial statements the estimates and assumptions used and circumstances as of the date of financial statements which in managements opinion are prudent and reasonable Actual results may differ the estimates used in preparing the accompanying financial statement Any revision to accounting estimates is recognition prospectively in current and future periods.

c) Fixed Assets/Intangible Assets.

Fixed Assets are stated on cost less accumulated depreciation depreciation the total cost of assets companies its purchase price freight duties taxes and any other incident expenses directly attributable to bringing the assets to the working condition for its intended.

- Assets costing less than or equal to Rs, 5,000 are depreciated fully in the year of purchase.

- Additionally assets whose useful life as per schedule II is lapsed are fully depreciated during the current financial year.

Impairment of Assets

The Company assesses at each Balance Sheet date whether there is any indication that on exists group of assets cash genera rig unit may be impaired. It any .such indication exists, the Company estimates the recoverable amount of the asset or a group of assets The recoverable amount of the asset or where applicable, that of the cash generating unit to which the asset belong) is estimated as the higher of its net selling pace and its net selling price and its value in use. If such recoverable amount of the asset one the recoverable amount of the cash generating to which the belong is less than its carrying amount the earning amount is reduced to its recoverable amount. The reduction is treated an impairment Loss and is recognized in the Statement of Profit and Loss. Alter impairment, diffraction is provided on the revised carrying amount of the assert over its remaining useful life.

Value in use is the present value of estimated, future cash flow expected to arise from the continuing use of the assets and from its disposal at the end of its useful. Life.

If At the Balance Sheet date there is an indication that a previously Unsaved Impairment loss- no longer execs, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

e) Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue Can be reliably measured.

- Service Income

Service income is recognized as per the terms of the contract when the related services are rendered. It is stated net of service tax.

- Interest Income

Interest income is recognized on time proportion basis.

- Other Income

Income from investment and other service income are accounted on accrual basis,

f) Taxation

Income-tax expense comprises current tax, deferred tax charge or credit, minimum alternative tax (MAT).

Current tax

Provision for current tax is made for the tax liability payable on taxable income after considering tax allowances. deductions and exemptions determined in accordance with the prevailing tax laws.

Deferred tax

Deferred tax liability or asset is recognized for timing differences between the profits/ losses offered for income tax and profits/losses as per date finance statements Deferred are assets and Liabilities are measured using the tax rates and tax laws that have been enacted at the Balance Sheet date

Deferred tax asset is recognized only to the extent there is reasonable certainty that. the assets can be realized in future; however, where there Is unabsortect depreciation or carried forward loss under taxation Laws, deferred tax assets is recognized only if there is a vital certainty of realization of such asset Deferred tax asset is reviewed is at each Balance Sheet date and written down or written up to reflect the amount that is reasonably/virtually certain to be realized,

Minimum alternative tax.

Minimum alternative tax (MAT) obligation in accordance with the tax laws, which give rise to future economic benefits in the form of adjustment of future income tax liability, is considered as an asset if if there is convincing evidence that the Company will pay normal tax during the specified period, Accordingly it is recognized as on asset in the Balance Sheet when it is probable that The future economic benefit associated Will it will flow to the Company and the asset can be measured reliably.

g) Bottoming cost

Borrowing Costs to the extent related/attributable to The acquisition/construction of assets that takes substantial period of time to get ready for their intended use are capitalized along with the respective fixed asset up to the date such asset is ready for use. Other borrowing costs are charged to the Statement of Profit and loss.

h) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss For the period attributable to equity shareholders by the weighted average number no enquiry shares outstanding during the period,

Diluted earrings per share are calculated after adjusting effects of potential equity shares (PES) PES are those shares which will convert in to equity shares at a later stage. Profit / loss if adjusted by the expenses incurred on such PES. Adjusted profit/loss is divided by the weighted average number of ordinary plus potential equity shires.

i) Provisions and Contingencies

A provision is recognized when an enterprise has a present obligation as a result of past event and it is probable that in outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be Trade, Provisions are cost discounted to their present values and are determined based on management estimate required to settle the obligation at the Balance sheet date These are reviewed at each Balance Sheet date and adjusted or reflect the current management estimates.

Contingent liabilities are disclosed in respect of possible obligations that have arisen from past event. and the existence of which will tax' confirmed only by the occurrence or non-occurrence of future events not wholly within the control of the Company.

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Mar 31, 2014

A) Basis of Preparation of Financial Statements

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles of India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956 (''the Act"). The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting polices adopted in the preparation of financial statements are consistent with those of previous year.

The financial statements are presented in Indian rupees and rounded off to nearest Rupee unless otherwise stated.

b) Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent liabilities on the date of the financial statements. The estimates and assumptions used in the accompanying financial statements are based upon management''s evaluation of the relevant facts and circumstances as of the date of financial statements which in management''s Opinion are prudent and reasonable. Actual results may differ from the estimates used in preparing the accompanying financial statements. Any revision to accounting estimates is recognised prospectively in current and future periods.

c) Fixed Assets / Intangible Assets

Fixed Assets are stated on cost less accumulated depredation. The total cost of assets comprises its purchase price, freight, duties, taxes and any other incidental expenses directly attributable to bringing the asset to the working condition for its intended use.

d) Depreciation

* Depreciation on other fixed assets is provided on Straight Line Method on a pro rata basis over its economic useful lives, estimated by the management or at the rates prescribed under Schedule XIV of the Act whichever is higher.

Fixed Assets Rates adoptcd(SLM) Schedule XIV Rates (SLM)

Office Building 1.63% 1.63%

Factory Building 3.34% 3.34%

.Air Condirioner 4.75% 4.75%

Electric Installation 4.75% 4.759/o

Furniture & Fixture 6.33% 6.33% * Assets costing less than or equal to Rs. 5,000 are depreciated fully in the year of purchase.

Impairment of Assets

The Company assesses at each Balance Sheet date whether there is any indication that an asset or a group of assets (cash generating unit) may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset or a group of assets. The recoverable amount of the asset (or where applicable, that of the cash generating unit to which the asset belongs) is estimated as the higher of its net selling price and its value in use. If such recoverable amount of the asset or the recoverable amount of the cash-generating unit to which the asset belongs is less than its earning amount, the earning amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognized in the Statement of Profit and Loss. After impairment, depreciation is provided on the revised carrying amount of the asset over its remaining useful life.

Value in use is the present value of estimated future cash flow expected to arise from the continuing use of the assets and from is disposal at the end of its useful life.

If at the Balance Sheet date there is an indicanon that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

e) Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured.

* Sanicr Intome

Service income is recognised as per the terms of the contract when the related services are rendered. It is slated net of service tax.

* Interest income

Interest income is recognized on time proportion basis.

* Other Income

Income from investment and other service income arc accounted on accrual basis.

f) Taxation

Income-tax expense comprises current tax, deferred tax charge or credit, minimum alternative tax (MAT).

Current tax

Provision for current tax is made for the tax liability payable on taxable income after considering tax allowances, deductions and exemptions determined in accordance with the prevailing tax laws.

Deferred tax

Deferred tax liability or asset is recognized for timing differences between the profits/losses offered for income tax and profits/losses as per the financial statements. Deferred tax assets and liabilities arc measured using the tax rates and tax laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax asset is recognized only to the extent there is reasonable certainty that the assets can be realized in future; however, where there is unabsorbed depreciation or carried forward loss under taxation laws, deferred tax asset is recognized only if there is a virtual certainty of realization of such asset. Deferred tax asset is reviewed as at each Balance Sheet date and written down or written up to reflect the amount that is reasonably/virtuallv certain to be realized.

Minimam alternation tax

Minimum alternative tax (MAT) obligation in accordance with the tax law''s, which give rise to future economic benefits in the form of adjustment of future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal tax during the specified period. Accordingly, it is recognized as an asset in the Balance Sheet when it is probable that the future economic benefit associated with it will flow to the Company and the asset can be measured reliably.

g) Borrowing Cost

Borrowing costs to the extent related/attributable to the acquisition/construction of assets that takes substantial period of from to get ready for their intended use are capitalized along with the respective fixed asset up to the date such asset is ready for use. Other borrowing costs are charged to the Statement of Profit and Loss.

h) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period.

Diluted earnings per share are calculated after adjusting effects of potential equity shares (PES).PES are those shares which will convert into equity shares at a later stage. Profit / loss is adjusted by the expenses incurred on such PES. Adjusted profit/loss is divided by the weighted average number of ordinary plus potential equity shares.

i) Provisions and Contingencies

A provision is recognised when an enterprise has 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 not discounted to their present values and arc determined based on management estimate required to settle the obligation at the Balance Sheet date. These arc reviewed at each Balance Sheet date and adjusted to reflect the current management estimates.

Contingent liabilities are disclosed in respect of possible obligations that have arisen from past events and the existence of which will be confirmed only by the occurrence or non-occurrence of future events not wholly within the control of the Company.

When there is an obligation in respect of which the likelihood of outflow- of resources is remote, no provision or disclosure is made.

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Mar 31, 2013

A) Basis of Preparation of Financial Statements

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles of India (Indian GAAP), The Company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956 (''the. Act''). The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year.

The financial statements are presented in Indian rupees and rounded off to nearest Rupee unless otherwise stated.

b) Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires management to make estimates and assumptions that affect the reported amount of assets, liabilities, revenues and expenses and disclosure of contingent liabilities on the date of the financial statements. The estimates: and assumptions vised in the accompanying financial statements are based upon management''s evaluation of the relevant facts and circumstances as of the date of financial statements which in management''s opinion are prudent and reasonable. Actual results may differ from the estimates used in preparing the accompanying financial statements. Any revision to accounting estimates is recognised prospectively in current and future periods.

c) Fixed Assets / Intangible Assets

Fixed Assets are stated on cost less accumulated depreciation. The total cost of assets comprises its purchase price, freight, duties, taxes and any other incidental expenses directly attributable to bringing the asset to the working condition for its intended use.

d) Depreciation

- Depreciation on other fixed assets is provided on Straight Line Method on a pro rata basis over its economic useful lives, estimated by the management or at the rates prescribed under Schedule XIV of the Act whichever is higher.

- Assets costing less than or equal to Rs. 5,000 are depreciated fully in the year of purchase.

e) Impairment of Assets

The Company assesses at each Balance Sheet date whether there is any indication that an asset or a group of assets (cash generating unit) may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset or a group of assets. The recoverable amount of the asset (or where applicable, that of the cash generating unit to which the asset belongs) is estimated asj the higher of its net selling price and its value in use. If such recoverable amount of the asset or the recoverable amount of the cash-generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment Joss and is recognized in the Statement of Profit and Loss. After impairment, depreciation is'' provided on the revised carrying amount of the asset over its remaining useful life.

Value in use is the present value of estimated future cash flow expected to arise from the continuing use of the assets and from its disposal at the end of its uselul life.

If at the Balance Sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depreciable historical cost.

f) Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured.

- Smke Income

Service income is recognised as per the terms of the contract when the related services are rendered-. It is stated net of service tax.

- Interest income

Interest income is recognized on time proportion basis.

- Other Income

Income from investment and other service income are accounted on accrual basis.

g) Taxation

Income-tax expense comprises current tax, deferred tax charge or credit, minimum alternative tax

(MAI).

«

Current tax

Provision for current tax is made for the tax liability payable on taxable income after considering tax allowances, deductions and exemptions determined in accordance with the prevailing tax laws.

Deferred tax

Deferred tax liability or asset is recognized for timing differences between the profits/losses offered for income tax and profits/losses as per the financial statements. Deferred tax assets and liabilities ave measured using the tax rates and tax laws that have been enacted or substantively enacted at the Balance Sheet date.

Deferred tax asset is recognized only to the extent there is reasonable certainty that the assets can be realized in future; however, where there is unabsorbed depreciation or carried forward loss under taxation laws, deferred tax asset is recognized only if there is a virtual certainty of realization of such asset. Deferred tax asset is reviewed as at each Balance Sheet date and written down or written up to ''reflect the amount that is reasonably/virtually certain to be realized.

Mimrntmaltemxtke tax

Minimum alternative tax (MAT) obligation in accordance with the tax laws, which give rise to future economic benefits in the form of adjustment of future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal tax during the specified period. Accordingly, it is recognized as an asset in the Balance Sheet when it is probable that the future economic benefit associated with it will flow to the Company and the asset can be measured reliably.

h) Borrowing Cost

Borrowing costs to the extent related/attributable to the acquisition/construction of assets that takes substantial period of time to get ready for their intended use are capitalized along with the respective fixed asset up to the date such asset is ready for use. Other borrowing costs are charged to the Statement of Profit and Loss.

i) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period.

Diluted earnings per share are calculated after adjusting effects of potential equity shares (PES).PES are those shares which will convert into equity shares at a later stage. Profit / loss is adjusted by the expenses incurred on such PES. Adjusted profit/loss is divided by the weighted average number of ordinary plus potential equity shares.

j) Provisions and Contingencies

A provision is recognised when an enterprise has 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 not discounted to their present values and are determined based on management estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimates.

Contingent liabilities are disclosed in respect of possible obligations that have arisen from past events and the existence of which will be confirmed only by the occurrence or non-occurrence of future events not wholly within the control of .the Company.

When there is an obligation in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made.

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Mar 31, 2009

A. ACCOUNTING CONVENTION :

The financial statements are prepared on accrual basis, under the historical cost convention, in accordance with the generally accepted accounting principles in India, the Accounting Standards issued by the Institute of Chartered Accountants of India and the requirements of the Companies Act, 1956.

B. FIXED ASSETS :

Fixed Assets are stated at cost less depreciation.

C. DEPRECIATION :

Depreciation is provided on Straight Line. Method at the rate and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation on assets added/disposed off during the year is provided on pro rata basis with reference to the date of addition / disposal.

D. FOREIGN CURRENCY :

There are no transactions involving foreign currency.

E. TAXATION :

Income tax comprises the current tax provisions and the net change in the deferred tax asset or liability in the year. The deferred, tax assets and liabilities are calculated on the accumulated timing difference at the end of an accounting period based on prevailing enacted tax rates. Deferred tax assets are riot recognised on unabsorbed depreciation and carry forward of losses unless there is virtual certainly that sufficient future taxable income will be available against which such deferred tax assets can be realised.

F. The company has to pay an outstanding due of over Rs. 2.34 crores to Charotar nagarik sahakari bank ltd. However, the company has stopped providing for the interest on the outstanding loan amount. Despite this fact, and accumulated losses, the company is carrying its activities and expects to recoup these losses during subsequent years. Accordingly, the accounts of the company have beenprepared on a going concern basis.