The Financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and comply with the accounting standards issued by the Institute of Chartered Accountants of India and the relevant provisions of the Companies Act, 1956. The Company follows accrual basis of accounting. The accounting policies applied are consistent with those used in previous year.

1.2 USE OF ESTIMATES

The preparation of financial statements in conformity with generally accepted accounting policies requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements and the reported accounts of revenue and expenses for the years presented. Actual results could differ from these estimates.

1.3 REVENUE RECOGNITION

Revenue from operations is recognized on accrual basis.

1.4 FIXED ASSETS

Fixed assets are stated at cost of acquisitions or construction less accumulated depreciation and Impairment loss, if any. Cost includes purchase price and all other Attributable costs of bringing the assets to working condition for intended use. Financing costs relating to borrowed funds attributable to acquisition or construction of fixed assets, which takes substantial period of time to get ready for its intended use are also included, for the period till such asset is put to use.

1.5 DEPRECIATION

Depreciation on fixed assets is provided on written down value method at the rates specified in schedule XIV to the Companies Act, 1956. On additions and disposals depreciation is provided for from/upto the date of addition/disposal.

1.6 INVENTORIES

Stock in trade is valued at lower of the cost or net realizable value. Cost is determined on the basis of FIFO (first in first out) method and comprises of the purchase price including duties and taxes (other than those subsequently recoverable by the enterprise from the taxing authority).

1.7 PROVISION FOR RETIREMENT BENEFITS

The accounting standard 15 Employees benefit is applicable on the company but no provision is made for any benefits for employees because none of the employee completed service of 5 Years.

1.8 TAXES ON INCOME

Current Tax

Provision for current tax is made in accordance with the provision of Income Tax Act, 1961.

Deferred Tax

In accordance with the Accounting Standard -22 "Accounting for Taxes on income" Issued by the ICAI of India, Deferred Tax Liability/Asset arising from timing difference between book and income tax profit is accounted for at the current rate of tax to the extent these differences are expected to crystallize in the later years. However, in case of brought forward losses or unabsorbed depreciation Deferred Tax Assets are recognized only if there is virtual certainty supported by convincing evidence that such deferred tax assets can be realized against future taxable profits.

The carrying amount of deferred tax assets/liabilities are reviewed at each balance sheet date. The company writes down the carrying amount of deferred tax assets/liability to the extent that it is no longer reasonably certain, that sufficient future taxable profit will be available against which deferred tax assets can be realized.

1.09 EARNING PER SHARE

Basic earnings per share is calculated by dividing the net Profit & Loss for the period attributable to equity shareholders (after deducting preference dividend and attributable taxes) by the weighted average number of equity shares outstanding during the period. Partly paid equity shares are treated as a fraction of an equity share to the extent that they were entitled to participate in dividends relative to a fully paid equity share during the reporting period. The weighted average number of equity shares outstanding during the period are adjusted for events of bonus issue, bonus element in a rights issue to existing shareholders: Share split: and reverse share split (consolidation of shares).

1.10 IMPAIRMENT OF ASSETS

At each balance sheet date, the company reviews the carrying amount of its fixed assets to determine whether there is any indication that those assets suffered impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of impairment loss. Recoverable amount is the higher of an asset's net selling price and value in use. In assessing value in use, the estimated future cash flows expected from the continuing use of the asset and from its disposal are discounted to their present value using a pre-discount rate that reflect the current market assessment of the time value of money and the risks specific to the asset. The impairment loss as determined above is expensed off.

1.11 PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS

Provisions involving substantial degree of estimation in measurement are recognized when there is present obligation as a result of past events and it is probable that there will be an outflow of resources. There are no Contingent Liabilities during the F.Y. 2013-14. Contingent Assets are neither recognized nor disclosed in the financial statements.