Gandhidham Spg & Mfg Company Ltd. कंपली की लेखा नीति

Mar 31, 2015

(A) General:

The financial statements have been prepared to comply in all material respects with the notified accounting standards by companies (Accounting standards) Rules, 2006 (as amended) and the relevant provision of the Companies act, 1956. The financial statement has been prepared under the historical cost convention on an accrual basis. The accounts of the company have been prepared on a going concern basis, which is view of the losses incurred are dependent upon revival, future profitability and availability of continued finance.

The Accounting policies in all material respects have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue and Expenditure Recognition:

Revenue is recognized and expenditure is accounted for on accrual basis. Interest income on fixed deposit is booked on the basis of TDS received from bank.

(C) Fixed Assets:

Tangible assets are stated at cost less depreciation and impairment loss, if any. Cost comprises the purchase price and attributable cost of bringing the asset to its working condition for its intended use. Borrowing costs relating to acquisition of fixed assets which take substantial period of time to get ready for its intended use are also included to the extent they folate to the period till such assets are ready to be put to use.

There are no intangible assets as defined by AS-26 intangible assets.

(D) Depreciation:

Depreciation on fixed assets is provided to the extent of depreciable amount on straight line method (SLM) based on useful life of the assetsas prescribed in schedule II to the Companies Act, 2013 accordingly the unamortised carrying value is being depreciated / amortised over the revised / remaining useful lives. The written down value of fixed assets whose lives have expired as at 1st April 2014 have been adjusted in the opening balance of profit and Loss Account amounting to Rs 144368/-.

(E) Investments:

Investments that are readily realizable and intended to be held for not more than a year are classified as current investments. All other investments are classified as long term investments. Long term investments are valued at cost, Provision for diminution in the value of Long term investments is made only if such a decline in other then temporary.

Current investments are carried at lower of cost and quoted / fair / market value.

(F) Retirement Benefits:

Short-term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss account of the year in which the related service is rendered.

(G) Taxes on Income:

Provision for current tax is made after taking iri consideration benefits admissible under the provision of The Income Tax Act, 1961. No provision for deferred taxes is recognized since the management is of the opinion that the timing difference arising out of assets and liabilities is negligible.

(H) Impairment Losses:

An assets is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to profit and loss account in which an asset identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount. However no provision for impairment loss on plant and machinery and other assets is made as management is of the opinion that recoverable amount of such assets is more than its depreciated value.

(I) No confirmation of balance have been obtained from debtors, creditors, loans & advances given / Advance & Deposit taken or accepted as such these are subject to confirmation.

(J) Under the head 'Current Liabilities and Provision' no separate disclosure is made for outstanding amount due to small Scale industrial undertaking(s) SSI as the status of the creditors could not be ascertained. Accordingly name(s) of SSI to whom the company owes a sum exceeding Rs. 1 Lac outstanding for more than thirty days is not disclosed as also, amount overdue on accounts of principal and/or interest to such undertaking could not be ascertained.

(K) In the opinion of the board current assets, Loans & Advances are approximately of the value stated of realized in the ordinary course of business. The provision for depreciation and all known liabilities is adequate and is not in excess of the amount reasonably necessary.

(L) Comparative figures of previous year have been reclassified wherever necessary to confirm this year classification.

(M) The credit balance lying in Current account with Jai Hind Co-operative Bank Limited, Mumbai & Gandhidham Co-operative Bank, Adipur are not confirmed and thus they are subject to confirmation.

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Mar 31, 2013

(A) General:

The financial statements have been prepared to comply in all material respects with the notified accounting standards by companies (Accounting standards) Rules, 2006 (as amended) and the relevant provision of the Companies act, 1956. The financial statement has been prepared under the historical cost convention on an accrual basis. The accounts of the company have been prepared on a going concern basis, which is view of the losses incurred are dependent upon revival, future profitability and availability of continued finance.

The Accounting policies in all material respects have been consistently applied by the company and are consistent with those used in the previous year.

(B) Revenue and Expenditure Recognition:

Revenue is recognized and expenditure is accounted for on accrual basis. Interest income is recognized on time proportion basis taking into account the amount outstanding and the rate applicable.

(C) Fixed Assets:

Tangible assets are stated at cost less depreciation and impairment loss, if any. Cost comprises the purchase price and attributable cost of bringing the asset to its working condition for its intended use. Borrowing costs relating to acquisition of fixed assets which take substantial period of time to get ready for its intended use are also included to the extent they relate to the period till such assets are ready to be put to use.

There are no intangible assets as defined by AS-26 intangible assets

(D) Depreciation:

Depreciation on fixed assets is provided to the extent of depreciable amount on straight line method (SLM) at the manner prescribed in schedule XIV to The Companies act, 1956 over useful life.

(E) Investments:

Investments that are readily realizable and intended to be held for not more than a year classified as current investments. All other investments are classified as long term investments.

Long term investments are valued at cost, Provision for diminution in the value of long term investment is made only if such a decline in other then temporary.

Current investments are carried at lower of cost and quoted / fair / market value.

(F) Retirement Benefits:

Short-term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss account of the year in which the related service is rendered.

(G) Taxes on Income:

Provision for current tax is made after taking in consideration benefits admissible under the provision of The Income Tax Act, 1961. No provision for deferred taxes is recognized since the management is of the opinion that the timing difference arising out of assets and liabilities is negligible.

(H) Impairment Losses:

An assets is treated as impaired when the carrying cost of asset exceeds its recoverable value.

An impairment loss is charged to profit and loss account in which an asset identified as impaired.

The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount. However no provision for impairment loss on plant and machinery and other assets is made as management is of the opinion that recoverable amount of such assets is more than its depreciated value.

(I) No confirmation of balance have been obtained from debtors, creditors, loans & advances given / Advance & Deposit taken or accepted as such there are subject to confirmation.

(J) Under the head ''Current Liabilities and Provision'' no separate disclosure is made for outstanding amount due to small Scale industrial undertaking(s) SSI as the status of the creditors could not be ascertained. Accordingly name (s) of SSI to whom the company owes a sum exceeding Rs. 1 Lac outstanding for more than thirty days is not disclosed as also, amount overdue on accounts of principal and/or interest to such undertaking could not be ascertained.

(K) In the opinion of the board current assets, Loans & Advances are approximately of the value stated of realized in the ordinary course of business. The provision for depreciation and all known liabilities is adequate and is not in excess of the amount reasonably necessary.

(L) Comparative figures of previous year have been reclassified wherever necessary to confirm this year classification.

(M) The credit balance lying in Current account with Jai Hind Co-operative Bank Limited, Mumbai & Gandhidham Co-operative Bank, Adipur are not confirmed and thus they are subject to confirmation.

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Mar 31, 2011

A. The Accounts of the company have been prepared on a going concern basis, which in view of the losses incurred are dependent upon revival, future profitability and availability of continued finance.

B. The financial statements have been prepared on historical cost convention on an accrual basis and in accordance with the applicable accounting standards

C. Fixed Assets:

Fixed Assets are stated at historical cost less accumulated depreciation

D. Depreciation:

Depreciation has been provided as per straight-line method at the rates prescribed by schedule XIV of the Companies Acts, 1956.

E. Retired benefits:

Contributions to provident fund are charged as expenditure, Liability towards gratuity is determined as per the provision of Gratuity Act and payments are reduced from gratuity provision. We are told that at present there is no employee on the record and so no further provision is made.

F. Segment Reporting:

The Company is engaged only in business of manufacturing yarn and the manufacturing operations have been stopped with effect from 25th July 1986. There is only one segment of yarn manufacturing.

G. Taxes on Income:

Deferred tax Assets arising from timing difference are not recognized as there is uncertainly about their realisablity in future.

H. Impairment Losses

No provision for impairment Loss on building is made as management is of the opinion that Recoverable amount of such assets is more than its Depreciated value.

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Mar 31, 2010

General (Accounting Convention)

A. The Accounts of the company have been prepared on a going concern basis, which in view of the losses incurred are dependent upon revival, future profitability and availability of continued finance.

B. The financial statements have been prepared on historical cost convention on an accrual basis and in accordance with the applicable accounting standards

C. Fixed Assets:

Fixed Assets are stated at historical cost less accumulated depreciation

D. Depreciation:

Depreciation has been provided as per straight-line method at the rates prescribed by schedule XIV of the Companies Acts, 1956.

E. Retired benefits:

Contributions to provident fund are charged as expenditure, Liability towards gratuity is determined as per the provision of Gratuity Act and payments are reduced from gratuity provision. We are told that at present there is no employee on the record and so no further provision is made.

F. Segment Reporting:

The Company is engaged only in business of manufacturing yarn and the manufacturing operations have been stopped with effect from 25th July 1986. There is only one segment of yarn manufacturing.

G. Taxes on Income:

Deferred tax Assets arising from timing difference are not recognized as there is uncertainly about their realisablity in future.

H. Impairment Losses

No provision for impairment Loss on building is made as management is of the opinion that Recoverable amount of such assets is more than its Depreciated value.