| Basis of accounting
The financial statements have-been prepared under the-historical cost
of convention on an accrual basis.
Fixed Assets
Fixed assets are recorded at the cart of acquisition or construction.
They a restated at historical cost less accumulated depreciation,
Expenditure During Construction period
Expend during const ration period Including pre operative expenses, all
direct and indirect expenses and trial expanses are capitalized.
Deprecation
Depreciation on fixed assets is provided on the straight line lasts at
the rates and in the manner specified in schedule XV of the Companies
Act 155 G- Co-51 of lease hold land amortized there the period of lease.
Investments
Current investment are carried at lower of due Long-term we stamens and
carried at cost. However, prevision for domination in the value is made
to recognize a demine other than temporary in the carving amount of
investments.
inventories
Items of Inventories are valued at cost or net realizable value,
whichever is determined as follows.
a. Raw Materials - on FIFO (First Out )basis
b. Work-in-prognoses and finished goods on absorption costing method.
Doubtful Debts/Advances
Provision has heed made m the accounts for debts/ adv antes, which In
The polonium of the managements are considered doubtful of rescuer.
Retirement And Other Employee Benefits
1. Provident fund contributions are charged to the profit and loss
account of the year when the contribution to the fund 5 due,
2.Gratuity -Liability is determined on the basis of actuary al valuation
made at the year/period end.
Revenue Recognition
Revenue (Income) is recognized when no significant uncertainty as to date
termination or reaction exits;
Borrowing Costs
Borrowing costs, which are attributable to the acquisition,
construction or production of qualifying assets, are capitalized as
part of cost of such assets. Where, a qualifying asset is one that
necessarily takes a substantial period of time to get ready for Its
intended use. All other borrowing cost is caged to profit and loss
account.
Tax on Income
Tan expense to patsies current tax and deferred lax, aid the applicable
e matted/substantially en® ted rates. Current income tax report under
amount of come tax payable/severable in respect of the taxable into
me/lost for the reporting period Deferred income tax represents the
effect of timing difference between taxable income and accounting
income for the reporting period that originate in one period and are
capable of reversal in one or more subs equerry periods.
contingent Liabilities and provision
Contingent Liabilities. if any, are disclosed in the note s on act
county Provision is made in the accounts in respell of those
contingences which are likely to materials into liabilities after the
year-end lilt the adaption of accounts by the Board of Directors and
which have maternal effect on the position state din the balance Sheet
and it's probable that an outflow of resource; will be require to
settle the obligation, in respect of which a reliable estimate cart be
made.
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