Sueryaa Knitwear Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

K. Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when there is a present
obligation as a result so past event and it is probable that there will be outflow of resources. Contingent
liability, which are considered significant and material by the company, are disclosed in the Notes to Accounts.
Contingent Assets are neither recognised nor disclosed in financial statements.

L. Investments

1 Long term investments are considered "at Cost" on individual investment basis, unless there is a decline
other than temporary in value thereof, in which case adequate provision is made against such diminution in
the value of investments.

2 Current investments are valued at lower of cost or market value.

M. Borrowing Cost

Borrwoing cost that are directly attributable to acquisition or construction of qualifying assets or treated as part
of cost of capital assets. Other borrowing cost or treated as expenses for the period in which they are incurred.

N. Earning Per Share

Basic earning per share is calculated by dividing the net profit or loss for the period attributable to equity
shareholders by the weighted average number of equity shares outstanding during the period. Earning
considered in ascertaining the Company’s earnings per share is the net profit for the period after deducting
preferences dividends and any attributable tax thereto for the period.

O Cash and Cash Equivalent

In the cash flow statement, cash and cash equivalent includes cash in hand, demand deposits with banks,
other short-term highly liquid investments with original maturities of three or less.

P. Lease

Lease under which the company assumes substantially all the risks and rewards of ownership are classified
as finane lease. Such assets acquired are capitalized at fair value of the asset or present value of the minimum
lease payments at the inception of the lease, which is lower. Lease payment under operating leases are
recognised as an expense on a straight line basis in the statement of profit and loss account over the lease
term.

Q. Intangible Assets

Intangible assets are stated at acquisition cost, net accumulated amortization and accumulated impairment
losses, if any. Intangible assets are amortized on a straight line basis over their estimated useful lives. A
rebuttable presumption that the useful life of an intangible assets will not exceed ten years from the date when
the asset is available for use is considered by the management. The amortization period and the amortization
method are reviewed at least at each financial year end. If the expected useful life of the asset is significantly
different from previous estimates, the amortisation period is changed accordingly.

R. Use of Estimates

The preparation of financial statements requires the management to make estimates and assumptions that
affect the reported balances of assets and liabilities and disclosures relating to the contingent liabilities as at
the date of the financial statements and reported amounts of income and expenses during the year. Example
of such estimates include provision for doubtful debts, employee benefits, provision for income tax, the useful
lives of depreciable fixed assets and provision for impairment.

Inventories are valued at cost or realizable value whichever is less .The cost formula used in respect of various type
of inventories is as under:-

In respect of raw material and stores and spares have been valued at cost or market price which ever is lower on
FIFO basis.

In respect of work in process is valued at cost of raw material plus conversion cost.

Finished goods are valued on retail sale price less GP% method or market price which ever is lower

19 Contingent Liabilities Not provided For NIL

20 In the opinion of the Board of Directors, the current assets, loans and advances have a value on realisation in
the ordinary course of business at least equal to the amount“ at which they are stated except as expressly stated
otherwise.

21 Confirmation of balances, whether in debit or credit from parties are subject to confirmation as provided by
board of directors.However no proof regarding the same has been obtained at the year end. Company do have
a system of periodic balance confirmations from parties.

A. Key Management Personnel and relatives of Key Management Personnel:

1. Key Management Personnel: Parul Singh Additional Wholetime Director/CFO

Honey Aggarwal Company Secretary

2. Relatives of Key Management :

Personnel

B. Associates:

1. Associates Concern : Nil

26 Segment Reporting:

The company operates only in one business segment viz. knitted cloth and hence no separate information for
segment wise disclosure is required.

27 The Micro, Small and Medium Enterprises Development Act, 2006 has come into force with effect from October
2, 2006. As per the act, the company is required to identify the Micro and Small Vendors/Service providers and
pay interest to them on overdue beyond the specified period irrespective of the terms agree upon. The company
has not received any confirmations from its Vendors/Service Providers regarding their status of registration under
the said Act, which has been relied upon by the auditors, hence prescribed disclosures under Section 22 of the
said act has not been provided.

28 Additional Disclosures

i) The title deeds of the immovable properties (other than properties where the company is the lessee and the
lease agreements are duly executed in favour of the lessee) are not held in the name of the company.

ii) No Revaluation of assets has been carried out by the company.

iii) The Company has during the year, not made investments in, provided any guarantee or security or granted
any loans or advances in the nature of loans, secured or unsecured, to companies, firms, Limited Liability
Partnerships or any other parties.

iv) The Company does not have any intangible asset under development.

v) The Company does not have any benami property, where any proceedings has been initiated or pending
against the company for holding any benami property.

vi) The company has not taken any borrowings from bank. As such this clause is not applicable

vii) company is not declared wilful defaulter by any bank or financial institution or other lender

viii) The company does not have any transaction with companies struck off.

ix) The company does not have any charge or satisfaction which is yet to be registered with Registrar of Companies
beyond statutory period.

x) The company has complied with clause 87 of Section 2 of the Act read with Companies (Restriction on
number of Layers) Rule 2017.

xi) The company does not have any approved scheme of arrangements.

xii) The company has not traded or invested in Crypto Currency or virtual currency during the year ended
March 31,2025.

xiii) The company has not advanced or loaned or invested funds to any other person or entities including foreign
entities(intermediary) with the understanding that the intermediary shall:-

a) directly on indirectly lend or invest in other persons or entities identified in any manner whatsoever by or
on behlaf of the company.

b) Provide any gurantee, security or the like to or on behalf of the ultimate beneficiary.

xiv) The company has not received any funds to any other person or entities including foreign entities(Funding
Party) with the understanding(Whether recorded in writing or otherwise) that the company shall:-

a) directly on indirectly lend or invest in other persons or entities identified in any manner whatsoever by or
on Behalf of the funding party(Ultimate Beneficiary) or

b) Provide any gurantee, security or the like to or on behalf of the ultimate beneficiary.

xv) The company has no such transaction company has no transactions, not recorded in the books of account
have been surrendered or disclosed as income during the year in the tax assessments under the Income Tax
Act, 1961 (43 of 1961)

xvi) The company is not covered under CSR

Resons for Variance in Financial Ratios

There is variation of more than 25% in following Ratios, and the explanations for the same are as under:
i) Current Ratio improved due to reduction in current liabilities

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Mar 31, 2024

K. Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when there is a present
obligation as a result so past event and it is probable that there will be outflow of resources. Contingent
liability, which are considered significant and material by the company, are disclosed in the Notes to Accounts.
Contingent Assets are neither recognised nor disclosed in financial statements.

L. Investments

1 Long term investments are considered "at Cost" on individual investment basis, unless there is a decline
other than temporary in value thereof, in which case adequate provision is made against such diminution in
the value of investments.

2 Current investments are valued at lower of cost or market value.

M. Borrowing Cost

Borrwoing cost that are directly attributable to acquisition or construction of qualifying assets or treated as part
of cost of capital assets. Other borrowing cost or treated as expenses for the period in which they are incurred.

N. Earning Per Share

Basic earning per share is calculated by dividing the net profit or loss for the period attributable to equity
shareholders by the weighted average number of equity shares outstanding during the period. Earning
considered in ascertaining the Company’s earnings per share is the net profit for the period after deducting
preferences dividends and any attributable tax thereto for the period.

O Cash and Cash Equivalent

In the cash flow statement, cash and cash equivalent includes cash in hand, demand deposits with banks,
other short-term highly liquid investments with original maturities of three or less.

P. Lease

Lease under which the company assumes substantially all the risks and rewards of ownership are classified
as finane lease. Such assets acquired are capitalized at fair value of the asset or present value of the minimum
lease payments at the inception of the lease, which is lower. Lease payment under operating leases are
recognised as an expense on a straight line basis in the statement of profit and loss account over the lease
term.

Q. Intangible Assets

Intangible assets are stated at acquisition cost, net accumulated amortization and accumulated impairment
losses, if any. Intangible assets are amortized on a straight line basis over their estimated useful lives. A
rebuttable presumption that the useful life of an intangible assets will not exceed ten years from the date when
the asset is available for use is considered by the management. The amortization period and the amortization
method are reviewed at least at each financial year end. If the expected useful life of the asset is significantly
different from previous estimates, the amortisation period is changed accordingly.

R. Use of Estimates

The preparation of financial statements requires the managaement to make estimates and assumptions that
affect the reported balances of assets and liabilities and disclosures relating to the contingent liabilities as at
the date of the financial statements and reported amounts of income and expenses during the year. Example
of such estimates include provision for doubtful debts, employee benefits, provision for income tax, the useful
lives of depreciable fixed assets and provision for impairment.

19 Contingent Liabilities Not provided For NIL

20 "In the opinion of the Board of Directors, the current assets, loans and advances have a value on realisation in
the ordinary course of business at least equal to the amount“ at which they are stated except as expressly stated
otherwise."

21 "Confirmation of balances, whether in debit or credit from parties are subject to confirmation as provided by
board of directors.However no proof regarding “the same has been obtained at the year end. Company do have
a system of periodic balance confirmations from parties.."

26 Segment Reporting:

The company operates only in one business segment viz. knitted cloth and hence no separate information for
segment wise disclosure is required.

27 The Micro, Small and Medium Enterprises Development Act, 2006 has come into force with effect from October
2, 2006. As per the act, the company is required to identify the Micro and Small Vendors/Service providers and
pay interest to them on overdue beyond the specified period irrespective of the terms agree upon. The company
has not received any confirmations from its Vendors/Service Providers regarding their status of registration under
the said Act, which has been relied upon by the auditors, hence prescribed disclosures under Section 22 of the
said act has not been provided.

28 Additional Disclosures

i) The title deeds of the immovable properties (other than properties where the company is the lessee and the
lease agreements are duly executed in favour of the lessee) are not held in the name of the company.

ii) No Revlauation of assets has been carried out by the company.

iii) The Company has during the year, not made investments in, provided any guarantee or security or granted
any loans or advances in the nature of loans, secured or unsecured, to companies, firms, Limited Liability
Partnerships or any other parties.

iv) The Company does not have any intangible asset under development.

v) The Company does not have any benami property, where any proceedings has been initiated or pending
against the company for holding any benami property.

vi) The company has not taken any borrowings from bank. As such this clause is not applicable

vii) company is not declared wilful defaulter by any bank or financial institution or other lender

viii) The company does not have any transaction with companies struck off.

ix) The company does not have any charge or satisfaction which is yet to be registered with Registrar of Companies
beyond statutory period.

x) The company has complied with clause 87 of Section 2 of the Act read with Companies (Restriction on
number of Layers) Rule 2017.

xi) The company does not have any approved scheme of arrangements.

xii) The company has not traded or invested in Crypto Currency or virtual currency during the year ended March
31,2024.

xiii) The company has not advanced or loaned or invested funds to any other person or entities including foreign
entities(intermediary) with the understanding that the intermediary shall:-

a) directly on indirectly lend or invest in other persons or entities identified in any manner whatsoever by or
on behlaf of the company.

b) Provide any gurantee, security or the like to or on behalf of the ultimate beneficiary.