p. Provisions and Contingent Liabilities_

Provisions are recognised when the company has a present legal or constructive obligation as a result of past events, it is
probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated.
Provisions are not recognised for future operating losses.

Provisions are measured at the present value of management’s best estimate of the expenditure required to settle the present
obligation at the end of the reporting period. The discount rate used to determine the present value is a pre-tax rate that reflects
current market assessments of the time value of money and the risks specific to the liability. The increase in the provision due
to the passage of time is recognised as interest expense.

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be
confirmed only by the occurrence or non occurrence of one or more uncertain future events not wholly within the control of
the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources
will be required to settle or a reliable estimate of the amount cannot be made.

q. Earnings per share_

Basic earnings per share are calculated by dividing the net profit or loss (excluding other comprehensive income) for the year
attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. The weighted
average number of equity shares outstanding during the year is adjusted for events such as bonus issue, bonus element in a
right issue, shares split and reserve share splits (consolidation of shares) that have changed the number of equity shares
outstanding, without a corresponding change in resources. For the purpose of calculating diluted earnings per share, the net
profit or loss (excluding other comprehensive income) for the year attributable to equity share holders and the weighted
average number of shares outstanding during the year are adjusted for the effects of all dilutive potential equity shares.

r. Post-sale-client support and warranties_

The Company provides its clients with a fixed-period warranty for corrections of errors and support on all its fixed-price, fixed¬
time frame contracts. Costs associated with such support services are accrued at the time when related revenues are recorded
and included in the Statement of Profit and Loss.

s. Cash flow statement

For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes cash on hand, deposits held
at call with financial institutions, other short-term, highly liquid investments with original maturities of three months or less
that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value, and
bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities in the balance sheet.

Cash flows are reported using indirect method, whereby profit before tax is adjusted for the effects of transactions of non-cash
nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses
associated with investing or financing cash flows. Cash flows are reported using indirect method, whereby profit before tax is
adjusted for the effects of transactions of non-cash nature, any deferrals or accruals of past or future operating cash receipts or
payments and item of income or expenses associated with investing or financing cash flows.

t. Critical estimates and judgements_

The preparation of Financial Statements in conformity with Ind AS which requires management to make estimates,
assumptions and exercise judgement in applying the accounting policies that affect the reported amount of assets, liabilities
and disclosure of contingent liabilities at the date of financial statements and the reported amounts of income and expenses
during the year.

The Management believes that these estimates are prudent and reasonable and are based upon the Management’s best
knowledge of current events and actions. Actual results could differ from these estimates and differences between actual
results and estimates are recognised in the periods in which the results are known or materialised.

This note provides an overview of the areas that involved a higher degree of judgement or complexity, and of items which are
more likely to be materially adjusted due to estimates and assumptions turning out to be different than those originally
Defined benefit obligation

The cost of post-employment benefits is determined using actuarial valuations. The actuarial valuation involves making
assumptions about discount rates, expected rate of return on assets, future salary increases and mortality rates. Due to the long
term nature of these plans such estimates are subject to significant uncertainty._

I. Fair value hierarchy

The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date.

This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured
at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the
reliability of the inputs used in determining fair value, the group has classified its financial instruments into the three levels prescribed under the
accounting standard. An explanation of each level follows underneath the table.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. For example, listed equity instruments that have quoted market
price.

Level 2: The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the- counter derivatives) is
determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all
significant inputs required to fair value an instrument are observable, the instrument is included in level 2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for
unlisted equity securities, contingent consideration and indemnification asset included in level 3.

Note:

During the periods mentioned above, there have been no transfers amongst the levels of hierarchy.

The carrying amounts of trade receivables, cash and bank balances, other bank balances, non-current loans, current loans, trade payables and other
current financial liabilities are considered to be approximately equal to the fair value.

3.22 Financial risk management

The Company’s principal financial liabilities comprise deposits, trade and other payables. The main purpose of these financial liabilities is to finance
the Company’s operations. The Company’s principal financial assets include current loans, trade and other receivables, and cash and cash equivalents
that derive directly from its operations. The Company also holds FVTPL investments in mutual funds.

The Company is exposed to credit risk, market risk and liquidity risk. The Company’s senior management oversees the management of these risks.

A Credit risk

The company is exposed to credit risk from its operating activities (primarily for trade receivables) and from its financing activities (deposits with banks
and other financial instruments).

Credit risk management

To manage credit risk, the Company follows a policy of providing 30-180 days credit to the domestic customers basis the nature of customers. The
credit limit policy is established considering the current economic trends of the industry in which the company is operating.

However, the trade receivables are monitored on a periodic basis for assessing any significant risk of non-recoverability of dues and provision is created
accordingly.

Bank balances are held with only high rated banks and majority of other security deposits are placed majorly with government agencies/public sector
undertakings.

B Liquidity risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. For the Company,
liquidity risk arises from obligations on account of financial liabilities - trade payables and other financial liabilities.

Liquidity risk management

The Company’s management is responsible for liquidity and funding as well as settlement management. In addition, processes and policies related to
such risks are overseen by senior management. Management monitors the Company’s net liquidity position through rolling forecasts on the basis of

(i) Foreign currency risk

The Company is not exposed to foreign exchange risk as there is no receivable and payables in foreign currency.

(ii) Price Risk

The company is exposed to price risk from its investment in mutual fund classified in the balance sheet at fair value of profit and loss

To manage its price risk arising from the investment, the Company has invested in the mutual fund after considering the risk and
return profile of the mutual funds i.e. the debt profile of the mutual fund indicates that the debt has been given to creditworthy
banks and other institutional parties and equity investment is made after considering the performance of the stock.. However, the
entity being risk averse has opted to invest its substantial funds in debt oriented mutual funds.

3.23 Capital Management
Risk management

The company’s objectives when managing capital are to

• safeguard their ability to continue as a going concern, so that they can continue to provide returns for shareholders and
benefits for other stakeholders, and

• maintain an optimal capital structure to reduce the cost of capital.

3 30 Contractual liabilities

All contractual liabilities connected with business operations of the Company have been appropriately provided for.

3.31 Realisations_

In the opinion of the Board and to the best of its knowledge and belief, the value on realisation of current assets, loans and
advances, will in the ordinary course of business be not less than the amounts at which they are stated in the Balance Sheet.

3.32 Transfer pricing_

The Management is of the opinion that its transactions are at arm’s length so that the aforesaid legislation will not have any
impact on the financial statements, particularly on the amount of tax expense and that of provision for tax.

3.33 Segment Reporting

As per para 12 of Ind AS 108,two or more operating segments may be aggregated into a single operating system if
aggregation is consistent with the core principle of this Ind AS, the segments have similar economic characteristics, and the
segments are similar in each of the following respects:

a) the nature of the products and services

b) the nature of the production process

c) the type or class of customersfor their products and services

d) the methods used to distribute their products or provide their services

e) if applicable,the nature of their regulatory environment

The company has only one reporting segment, hence Segment reporting is not applicable.

3.34 The management carried out its own assessment towards future business plan, interest, ability and liquidity to run the
busienss activities and management is confident that the going concern of the business activity has not impacted.

³.³⁵ The company has not advanced or loaned or invested any funds (either from borrowed funds or share premium or any other
sources or kind of funds) to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”), with the
understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in
other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or
provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

3.36 The Company does not have a working capital limit in excess of Rs 5 crore sanctioned by banks based on the security of
current assets. The quarterly returns/statements, in respect of the working capital limits have been filed by the Company with
such banks and such returns/statements are in agreement with the books of account of the Company for the respective periods
which were subject to audit/review.

3.37 Amounts in the financial statements are rounded off to meet thousands._

3.38

Previous year figures have been regrouped and restated to conform to the classification of current year to the extent necessary