| a) Basis of Accounting
The accounts of the Company are prepared under the historical cost
convention and are in accordance with the applicable accounting
standards and accordingly accrual basis of accounting is followed for
recognition of income and expenses except where otherwise stated and
where the exact quantum is not ascertainable. Expenditure on issue of
share capital, if any, is accounted when actually incurred.
b) 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. The following specific recognition criteria are met
before revenue is recognized:
(i) Sales are recognised on dispatch to the customers and recorded net
of trade discounts, rebates, etc.
(ii) Interest income is recognised on a time proportion basis taking
in to account the amount outstanding and the applicable interest rate
(iii) Dividend income is recognised when the company's right to
receive dividend is established on the reporting date.
(iv) Other Income account on accrual basis
c) Fixed Assets
Fixed assets are stated at total capitalized costs relating and
attributable directly or indirectly to acquisition and installation
thereof as reduced by the accumulated depreciation thereon.
d) Depreciation/Amortization
Depreciation is provided on pro-rata basis on Straight Line Method at
the rate prescribed under schedule II to the Companies Act, 2013 with
the exception of the following:
(i) Assets costing Rs. 5000/- or less are fully depreciated in the year
of purchased
e) Inventories
Inventories are valued as follows:
(i) Raw Materials, Stores and Spares: at cost
(ii) Work in Progress: at lower of estimated cost or net realizable
value
(iii) Waste Materials, Damaged goods, Scrap: if any at net estimated
realizable value (iii) Finished Goods: at lower of cost or market
value.
f) Investments
Investments that are intended to be held for more than a year, from
the date of acquisition are classified as long term investment are
carried at cost less any provision for permanent diminution in value.
Investments other than long term investments are being current
investments are valued at cost or fair market value whichever is
lower.
g) Assets & Liabilities
The Assets and Liabilities are taken at the book value certified by
the Management
h) Foreign Currency Transactions
Foreign Currency Transactions are normally recorded at the exchange
rate, prevailing on the date of transaction or conversion, as the case
may be.
i) Taxes on Income
(i) Current Tax: Provision for Income Tax is determined in accordance
with the provisions of Income Tax Act, 1961.
(ii) Deferred Tax Provision: Deferred Tax is recognized on timing
differences between the accounting income and the taxable income for
the year, and quantified using the tax rates and laws enacted or
substantively enacted on the Balance Sheet date.
Deferred Tax Assets are recognized and carried forward to the extent
that there is a reasonable certainty that sufficient future taxable
income will be available against which such Deferred Tax Assets can
realized.
j) Miscellaneous Expenditure
Preliminary expenses / shares issue expenses etc. are not amortise
during the year.
k) Use of Estimates
The Preparation of the Financial statements in conformity with the
generally accepted accounting principles require the Management to
make estimates and assumptions that affect the reported amount of
assets, liabilities, revenue and expenses and disclosure of contingent
liabilities on the date of the financial statements. Actual results
could differ from the estimates. Any revision to accounting estimates
is recognised prospectively in current and future periods.
l) Previous year's figures
The Previous year's figures have been recast/restated, wherever
necessary to confirm to current year classification.
m) Loans & advances
Advances recoverable in cash, kind or value to be received are
primarily towards prepayments for value to be received and same has
been confirmed by the management.
Sundry Debtors, Creditors, Loans & Advances and bank balances are
stated as appear in the books of accounts in the ordinary course of
business. The balances are un-confirmed and are subject to
confirmation from the party/Bank.
Micro, Small and Medium Enterprises:-
There are no Micro, Small & Medium Enterprises in respect of whom the
company's dues are outstanding for more than 45 days as at the balance
sheet date
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