Khatau Makanji Spinning & Weaving Company Ltd. कंपली की लेखा नीति

Mar 31, 2014

1. The financial statements are prepared and presented under the historical cost convention on accrual basis of accounting in accordance with the Generally Accepted Accounting Principles GAAP) in India. These financial statements comply in all material aspects with the Accounting Standards (AS) notified under the Companies (Accounting Standards) Rules, 2006 (as amended), to the extent applicable, other pronouncements of the Institute of Chartered Accountants of India (ICAI), with the relevant provisions of the Companies Act, 1956 and applicable guidelines issued by the Securities and Exchange Board of India (SEBI).

2. FIXED ASSETS:

Fixed Assets are stated at cost of acquisition or construction.

3. DEPRECIATION:

Depreciation was provided for in the accounts on the following basis:

(a) On written down value method at the rates prescribed in Schedule XIV of the Companies Act, 1956 except for furniture and office equipment which have been provided at rates higher than those prescribed under Scheme XIV at 40%.

(b) Cost of leasehold land at Mahad is amortized over the period of lease.

4. INVESTMENTS:

Investments are valued at cost of acquisition after making adequate provision for diminution in the value thereof, wherever necessary.

5. INVENTORIES :

Inventories are valued as under:

Stock - in - Trade at cost or realizable value whichever is lower.

6. TRADE RECEIVABLES / LOANS AND ADVANCES :

Trade Receivables and Loans and Advances are stated after making provision for doubtful debts / loans and advances, wherever necessary.

7. IMPAIRMENT OF ASSETS :

An asset is considered as impaired in accordance with Accounting Standard 28 on Impairment of Assets when at the balance sheet date there are indications of impairment and the carrying amount of the assets, or where applicable the cash generating unit to which the asset belongs, exceeds its recoverable amount (i.e. the higher of the asset''s net selling price and value in use). The carrying amount is reduced to the recoverable amount and the reduction is recognized as an impairment loss in the statement of profit and loss.

8. EARNING PER SHARE :

The Company reports basic and diluted earning per share (EPS) in accordance with Accounting Standard 20 Earnings per share.

9. CONTINGENT LIABILITIES:

Provision is made for all known liabilities. Contingent liabilities if any are disclosed in the accounts by way of a note.

b. The Equity Shares of the Company have voting rights and are subject to the restrictions as prescribed under the Company''s Act, 1956.

The Company''s Preference Shares amounting to Rs.29,92,500 have not been redeemed by 22.2.2012 as per the Company''s Sanctioned Scheme under BIFR, vide its order dated 22.2.2007.

c. The Company has no holding Company or subsidiaries or associates of holding company.

During the last 5 years, the Company has neither issued any bonus shares, nor alioted any shares for Consideration other than Cash, nor bought back any shares.

e. Unpaid Calls

As per records of the Company, no calls remain unpaid by the directors and officers of the company as on 31st March, 2014.

f. As per records of the Company, no shares have been forfeited by the Company during the year.

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Mar 31, 2013

1) The financial statements are prepared and presented under the historical cost convention on accrual basis of accounting in accordance with the Generally Accepted Accounting Principles (GAAP) in India. These financial statements comply in all material aspects with the Accounting Standards (AS) notified under the Companies (Accounting Standards) Rules, 2006 (as amended), to the extent applicable, other pronouncements of the Institute of Chartered Accountants of India (ICAI), with the relevant provisions of the Companies Act, 1956 and applicable guidelines issued by the Securities and Exchange Board of India (SEBI).

2) FIXED ASSETS:

Fixed Assets are stated at cost of acquisition or construction.

3) DEPRECIATION:

Depreciation was provided for in the accounts on the following basis :

(a) On written down value method at the rates prescribed in Schedule XIV of the Companies Act, 1956 except for furniture and office equipment which have been provided at rates higher than those prescribed under Scheme XIV at 40%.

(b) Cost of leasehold land at Mahad is amortized over the period of lease.

4) INVESTMENTS :

Investments are valued at cost of acquisition after making adequate provision for diminution in the value thereof, wherever necessary.

5) INVENTORIES:

Inventories are valued as under:

Stock - in - Trade at cost or realizable value whichever is lower.

6) SUNDRY DEBTORS / LOANS AND ADVANCES :

Sundry Debtors and Loans and Advances are stated after making provision for doubtful debts / loans and advances wherever necessary.

7) IMPAIRMENT OF ASSETS :

An asset is considered as impaired in accordance with Accounting Standard 28 on Impairment of Assets when at the balance sheet date there are indications of impairment and the carrying amount of the assets, or where applicable the cash generating unit to which the asset belongs, exceeds its recoverable amount (i.e. the higher of the asset''s net selling price and value in use). The carrying amount is reduced to the recoverable amount and the reduction is recognized as an impairment loss in the statement of profit and loss.

8) EARNING PER SHARE :

The Company reports basic and diluted earning per share (EPS) in accordance with Accounting Standard 20 Earnings per share.

9) CONTINGENT LIABILITIES :

Provision is made for all known liabilities. Contingent liabilities if any are disclosed in the accounts by way of a note.

b. The Equity Shares of the Company have voting rights and are subject to the restrictions as prescribed Under the Company''s Act, 1956.

The Company''s Preference Shares amounting to Rs.29,92,500 have not been redeemed by 22.2.2012 as per the Company''s Sanctioned Scheme under BIFR, vide its order dated 22.2.2007.

c. The Company has no holding Company or subsidiaries or associates of holding company.

During the last 5 years, the Company has neither issued any bonus shares, nor alloted any shares for Consideration other than Cash, nor bought back any shares.

e. Unpaid Calls

As per records of the Company, no calls remain unpaid by the directors and officers of the company as on 31 st March, 2013.

f. As per records of the Company, no shares have been forfeited by the Company during the year.

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Mar 31, 2012

1) The financial statements are prepared and presented under the historical cost convention on accrual basis of accounting in accordance with the Generally Accepted Accounting Principles (GAAP) in India. These financial statements comply in all material aspects with the Accounting Standards (AS) notified under the Companies (Accounting Standards) Rules, 2006 (as amended), to the extent applicable, other pronouncements of the Institute of Chartered Accountants of India (ICAI), with the relevant provisions of the Companies Act, 1956 and applicable guidelines issued by the Securities and Exchange Board of India (SEBI).

2) FIXED ASSETS :

Fixed Assets are stated at cost of acquisition or construction.

3) DEPRECIATION :

Depreciation was provided for in the accounts on the following basis :

(a) On written down value method at the rates prescribed in Schedule XIV of the Companies Act, 1956 except for furniture and office equipment which have been provided at rates higher than those prescribed under Scheme XIV at 40%.

(b) Cost of leasehold land at Mahad is amortized over the period of lease.

4) INVESTMENTS:

Investments are valued at cost of acquisition after making adequate provision for diminution in the value thereof.

5) INVENTORIES:

Inventories are valued as under:

Stock - jn - Trade nt cost or realizable value whichever is lower.

6) SUNDRY DEBTORS I LOANS AND ADVANCES :

Sundry Debtors and Loans and Advances are stated after making provision for doubtful debts / loans and advances wherever necessary.

7) IMPAIRMENT OF ASSETS :

An asset is considered as impaired in accordance with Accounting Standard 28 on Impairment of Assets when at the balance sheet date there are indications of impairment and the carrying amount of the assets, or where applicable the cash generating unit to which the asset belongs, exceeds its recoverable amount (i.e. the higher of the asset's net selling price and value in use). The carrying amount is reduced to the recoverable amount and the reduction is recognized as an impairment loss in the statement of profit and loss.

8) EARNING PER SHARE :

The Company reports basic and diluted earning per share (EPS) in accordance with Accounting Standard 20 Earnings per share.

9) CONTINGENT LIABILITIES : -

Provision is made for all known liabilities. Contingent liabilities if any are disclosed in the accounts by way of a note.

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Mar 31, 2010

1) The Company follows Mercantile System of Accounting.

2) FIXED ASSETS:

Fixed Assets are slated at cost of acquisition or construction.

3) DEPRECIATION:

Depreciation was provided for in the accounts on the following basis : -

(a) On written down value method at tho rates prescribed in Schedule XIV of the Companies Act, 1956.

(b) Cost of leasehold land at Mahad is amortized over the period of lease.

4) INVESTMENTS:

Investments are valued at cost of acquisition after making adequate provision for diminution in the value thereof.

5) INVENTORIES:

Inventories are valued as under- Finished goods at cost or realizable value whichever is lower.

6) SUNDRY DEBTORS/LOANS AND ADVANCES:

Sundry Debtors and Loans and Advances are stated after making provision for doubtful debts/ loans and advances wherever necessary.