Bells Controls Ltd. कंपली की लेखा नीति

Sep 30, 2010

I) Accounting Convention

The Accounts are prepared on the historical cost basis and on the accounting principles of a going concern. All expenses and income unless stated otherwise have been accounted for on accrual basis.

ii) Revenue Recognition

a)- Sales are inclusive of excise duty and net of sales tax, discount returns, credit notes etc.

b) Revenue on long term contracts is recognised based on the stage of completion of the contract.

iii)Fixed Assets and Depreciation

a)Fixed Assets are stated at cost of acquisition inclusive of freight, duties and taxes and incidental expenses and adjusted by revaluation in certain assets. Original cost of fixed assets acquired through foreign currency loans is adjusted by foreign currency fluctuation. Depreciation is provided on straight line method at the rates specified in Schedule XIV to the Companies Act, 1956. In respect of revalued assets depreciation on amount added on revaluation is adjusted from Capital Reserve.

b)The amounts at which fixed assets are carried in the Company's books are reviewed at the Balance Sheet date for any indication of impairment. In case of impairment, an impairment loss is recognised when the carrying amount of assets exceeds the recoverable amount of the assets i.e. the higher of assets' net selling price or its value in use.

Subsequent reversal of such impairment loss if any is recognised as and when such event occurs.

iv)Valuation of Inventory

Stocks including finished goods are stated at or below cost after considering obsolescence and net realisable value. Cost in case of jobs in progress and finished goods represent materials, direct labour, appropriate portion of overheads and excise duty on finished goods.

v)Research and Development

Research and Development expenditure having enduring benefit is amortised over a specified period of years. Capital expenditure on research and development is shown in the same way as expenditure on Fixed Assets. All other expenditures are charged to Profit and Loss Account in the year in which they are incurred.

vi)Retirement Benefit

The liability in respect of gratuity and leave encashment benefit Is ascertained every year by an independent actuary and provided for

vii)Foreign Currency Transactions

Purchase and sale transactions are recorded in the books by translating the foreign currency at an average rate. The exchange difference arising thereon based on the actual receipt/payment is debited/credited to sales and purchases account and taken to the Profit and Loss Account. All foreign currency liabilities and assets are restated at the rates ruling at the year end and net exchange difference arising on such transactions is debited / credited to Prof it and Loss account

viii) Long term Investments

Long term investments are stated at cost, less any diminution in value other than temporary in nature,

ix) Warranties and Claims

Expenses on account of services during warranty period and other claims are accounted for as and when incurred/ascertained

x) Ongoing contracts

Foreseeable loss, if any, of on going contracts are ascertained site wise and are estimated and recognisecf by the Company.

xi) Share Issue Expenses:

Expenses incurred in connection with issue of share are amortised over a period of four years.

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Sep 30, 2009

I) Accounting Convention ;

The Accounts are prepared on the historical cost basis and on the accounting principles of a going concern. Al I expenses and income un less stated otherwise have been accounted for on , accrual basis.

ii) Revenue Recognition

a) Sales are inclusive of excise duty and net of sales tax, discount, returns, credit notes etc.

b) Revenue on long term contracts is recognised based on the stage of completion of the contract.

iii) Fixed Assets and Depreciation

a) Fixed Assets are stated at cost of acquisition inclusive of freight, duties and taxes and incidental expenses and adjusted by revaluation in certain assets. Original cost of fixed assets acquired through foreign currency loans is adjusted by foreign currency fluctuation. Depreciation is provided on straight line method at the rates specified in Schedule XIV to the Companies Act, 1956 In respect of revalued assets depreciation on amount added on revaluation is adjusted from Capital Reserve.

b) The amounts at which fixed assets are carried in the Company's books are reviewed at the Balance Sheet date for any indication of impairment. In case of impairment, an impairment loss is recognised when the carrying amount of assets exceeds the recoverable amount of the assets i.e. the higher of assets' net selling price or its value in use.

Subsequent reversal of such impairment loss if any is recognised as and when such event occurs.

iv) Valuation of Inventory

Stocks including finished goods are stated at or below cost after considering obsolescence and net realisable value. Cost in case of jobs in progress and finished goods represent materials, direct labour, appropriate portion of overheads and excise duty on finished goods.

v) Research and Development

Research and Development expenditure having enduring benefit is amortized over a specified period of years. Capital expenditure on research and development is shown in the same way as expenditure on Fixed Assets. All other expenditures are charged to Profit and Loss Account in the year in which they are incurred,

vi) Retirement Benefit

The liability in respect of gratuity and leave encashment benefit is ascertained every year by an independent actuary and provided for,

vii) Foreign Currency Transactions

Purchase and sale transactions are recorded in the books by translating the foreign currency at an average rate. The exchange difference arising thereon based on the actual receipt/payment is debited/credited to sales and purchases account and taken to the Profit and Loss Account. All foreign currency liabilities and assets are restated at the rates ruling at the year end and net exchange difference arising on such transactions is debited / credited to Profit and Loss account.

viii) Long term Investments

Long term- Investments are stated at cost, less any diminution in value other than temporary in nature.

ix) Warranties and Claims

Expense son account of services during warranty period and other claims are accounted for as and when incurred/ascertained

x) Ongoing contracts

Foreseeable loss, if any, of on going contracts are ascertained site wise and are estimated and recognized by the Company,

xi) Share Issue Expenses:

Expenses incurred in connection with issue of share are amortised over a period of four years.

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Sep 30, 2008

I) Accounting Convention

The Accounts are prepared on the historical cost basis and on the accounting principles of a going concern, All expenses and income unless stated otherwise have been accounted for on accrual basis.

ii) Revenue Recognition

a) Sales are inclusive of excise duty and net of sales tax, discount, returns, credit notes etc.

b) Revenue on long term contracts is recognised based on the stage of completion of the contract

iii) Fixed Assets and Depreciation

a) Fixed Assets are stated at cost of acquisition inclusive of freight, duties and taxes and incidental expenses and adjusted by revaluation in certain assets. Original cost of fixed assets acquired through foreign currency loans is adjusted by foreign currency fluctuation. Depreciation is provided on straight line method at the rates specified in Schedule XIV to the Companies Act, 1956, In respect of revalued assets depreciation on amount added on revaluation is adjusted from Capital Reserve.

b) The amounts at which fixed assets are carried in the Company's books are reviewed at the Balance Sheet date for any indication of impairment. In case of impairment, an impairment loss is recognised when the carrying amount of assets exceeds the recoverable amount of the assets i.e. the higher of assets' net selling price or its value in use.

Subsequent reversal of such impairment loss if any is recognised as and when such event occurs,

iv) Valuation of Inventory

Stocks including finished goods are stated at or below cost after considering obsolescence and net realisable value. Cost in case of jobs in progress and finished goods represent materials, direct labor, appropriate portion of overheads and excise duty on finished goods.

v) Research and Development

Research and Development expenditure having enduring benefit is amortised over a specified period of years. Capital expenditure on research and development is shown in the same way as expenditure on Fixed Assets. All other expenditures are charged to Profit and Loss Account in the year in which they are incurred.

vi) Retirement Benefit

The liability in respect of gratuity and leave encashment benefit is ascertained every year by an independent actuary and provided for.

vii) Foreign Currency Transactions

Purchase and sale transactions are recorded in the books by translating the foreign currency at an average rate. The exchange difference arising thereon based on the actual receipt/payment is debited/credited to sales and purchases account and taken to the Profit and Loss Account. All foreign currency liabilities and assets are restated at the rates ruling at the year end and net exchange difference arising on such transactions is debited / credited to Profit and Loss account.

viii) Long term investments

Long term Investments are stated at cost, Jess any diminution in value other than temporary in nature.

ix) Warranties and Claims

Expenses on account of services during warranty period and other claims are accounted for as and when incurred/ascertained

x) On going contracts

Foreseeable loss, if any, of on going contracts are ascertained site wise and are estimated and recognised by the Company.

xi) Share Issue Expenses ;

Expenses incurred in connection with issue of share are amortised over a period of four years.

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Sep 30, 2006

I) Accounting Convention:

The Accounts are prepared on the historical cost basis and on the accounting principles of a going concern. Alt expenses and income unless stated otherwise have been accounted for on accrual basis.

ii) Revenue Recognition:

a) Sales are inclusive of excise duty and net of sales tax, discount, returns, credit notes etc.

b) Revenue on long term contracts is recognised asked on the stage of completion of the contract.

iii) Fixed Assets and Depreciation

a) Fixed Assets are stated at cost of acquisition inclusive of freight, duties and taxes and incidental expenses and adjusted by revaluation in certain assets. Original cost of fixed assets acquired through foreign currency loans is adjusted by foreign currency fluctuation. Depreciation is provided on straight line method at the rates specified in Schedule XIV to the Companies Act, 1956. In respect of revalued assets depreciation on amount added on revaluation is adjusted from Capital Reserve.

b) The amounts at which fixed assets are carried in tire Company's books are reviewed at the Balance Sheet date for any indication of impairment. In case of impairment, an impairment loss is recognised when the carrying amount of assets exceeds the recoverable amount of the assets i.e. the higher of assets net selling price or its value in use. Subsequent reversal of such impairment loss if any, is recognised as and when such event occurs.

iv) Valuation of Inventory;

Stocks including finished goods are stated at or below cost after considering obsolescence and net realisable value. Cost in case of jobs in progress and finished goods represent materials, direct labour, appropriate ' portion of overheads and excise duty on finished goods.

v) Research and Development:

Research and Development expenditure having enduring benefit is amortised over a specified period of years. Capital expenditure on research and development is shown in the same way as expenditure on Fixed Assets. All other expenditures are charged to Profit and Loss Account in the year in which they are incurred.

vi) Retirement Benefit:

The liability in respect of gratuity and leave encashment benefit is ascertained every year by an independent actuary and provided for.

vii) Foreign Currency Transactions :

Purchase and sale transactions are recorded in the books by translating the foreign currency at an average rate. The exchange difference arising thereon based on the actual receipt/payment is debited/credited to sales and purchases account and taken to the Profit and Loss Account. All foreign currency liabilities and assets are restated at the rates ruling at the year end and net exchange difference arising on such transactions is debited / credited to Profit and Loss account.

viii) Long term Investments :

Long term Investments are stated at cost, less any diminution in value other than temporary in nature.

ix) Warranties and Claims:

Expenses on account of services during warranty period and other claims are accounted for as and when incurred/ascertained

x) On going contracts

Foreseeable loss if any of going contracts are ascertained site wise and are estimated and recognised by the Company.

xi) Share Issue Expenses :

Expenses incurred in connection with issue of share are amortised over a period of four years.