TPI India Ltd. कंपली की लेखा नीति

Mar 31, 2025

III Material Accounting Policies

A Property Plant and Equipment

a) Initial Measurement & Recognition

Property, plant and equipment are carried at cost less accumulated depreciation and impairment losses,
if any. The cost of an item of Property, plant and equipment comprises its purchase price, including import
duties and other non-refundable taxes or levies and any directly attributable cost of bringing the assets to
its working condition for its intended use with any trade discountsor rebates being deducted in arriving at
purchase price. Cost of the assets also includes interest on borrowings attributable to acquisition, if any, of
qualifying fixed assets incurred up to the date the asset is ready for its intended use.

I f significant parts of an item of property, plantand equipment have different useful lives, then they are
accounted for as separate items (major components) of Property, plant and equipment.

Cost of Property, plant and equipment not ready for intended use as on the balance sheet date, is disclosed as
capital work in progress. Advances given towards acquisition of property, plant and equipment outstanding
at each balance sheet date are disclosed as Capital Advances under Other non-current Assets."

b) Subsequent expenditure

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as
appropriate, only when it is probable that future economic benefits associated with the item will flow to the
Company and the cost of the item can be measured reliably. All other repairs and maintenance are charged
to the Statement of Profit and Loss during the period in which they are incurred.

c) Depreciation and Amortisation

The Company depreciates its fixed assets on straight line method over the useful life in the manner
prescribed in Schedule II of the Companies Act 2013. Depreciation on assets added/disposed off during the
year is provided on pro-rata basis from the date of addition or up to the date of disposal, as applicable.
The estimated useful lives, residual values and depreciation method are reviewed at the end of each
reporting period.

d) Derecognisation

The fixed assets are derecognised on disposal or when no future economic benefits are expected. The
difference between carrying amount and net disposable proceeds is recognised in the Statement of Profit
& Loss.

B Inventories

Inventories are stated at lower of cost and net realisable value. Cost of inventories comprise of all cost of purchase,
cost of conversion and other cost incurred in bringing the inventory to their present location and condition. The
net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of
completion and estimated costs necessary to make the sale. Finance cost generally are not part of the cost
of inventories.

C Financial Instruments
a Financial Assets

i. Classification

The Company classifies financial assets as subsequently measured at amortised cost, fair value through
other comprehensive income or fair value through profit or loss on the basis of its business model for
managing the financial assets and the contractual cash flow characteristics of the financial asset.

ii. Initial Recognition and Measurement

All financial assets (not measured subsequently at fair value through profit or loss) are recognised
initially at fair value plus transaction costs that are attributable to the acquisition of the financial asset.
Purchases or sales of financial assets that require delivery of assets within a time frame established by
regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e.,
the date that the Company commits to purchase or sell the asset.

iii. Subsequent Measurement

For purposes of subsequent measurement financial assets are classified into two broad categories:

a. Financial asset at fair value

b. Financial asset at amortised cost

Where assets are measured at fair value, gains and losses are either recognised entirely in the statement
of profit or loss (i.e. fair value through profit or loss), or recognised in other comprehensive income (i.e.
fair value through other comprehensive income).

iv. Equity Investments

All investments in equity instruments classified under financial assetsare subsequently measured
at fair value. Equity instruments whichare held for trading are measured at FVTPL. For all other equity
instruments, the Company may, on initial recognition, irrevocably elect to measure the same either at
FVOCI or FVTPL. The Company makes such election on an instrument-by-instrument basis. Fair value
changes on an equity instrument shall be recognised as ''other income'' in the Statement of Profit and Loss
unless the Company has elected to measure such instrument at FVOCI. Fair value changes excluding
dividends, on an equity instrument measured at FVOCI are recognised in OCI. Amounts recognised
in OCI are not subsequently reclassified to the Statement of Profit and Loss. Dividend income on the
investments in equity instruments are recognised as ''other income'' in the Statement of Profit and Loss.

v. Derecognition

The Company derecognises a financial asset when the contractual rightsto the cash flows from the
financial asset expire, or it transfers thecontractual rights to receive the cash flows from the asset.

b Financial Liability

i. Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost or at fair
value through Profit and Loss.

ii. Initial Recognition and Measurement

Financial liabilities are recognised when the Company becomes a party to the contractual provisions
of the instrument. Financial liabilities are initially measured at the amortised cost unless at initial
recognition, they are classified as fair value through profit and loss. In case of trade payables, they are
initially recognised at fair value and subsequently, these liabilities are held at amortised cost, using the
effective interest method.

iii. Subsequent Measurement

After initial recognition, interest bearing loans and borrowings are subsequently measured at amortised
cost using the Effective Interest Rate (EIR) method. Gains and losses are recognised in the Statement of
Profit and Loss when the liabilities are derecognised. Amortised cost is calculated by taking into account
any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR
amortisation is included as finance costs in the Statement of Profit and Loss. This category generally
applies to interest amortised bearing loans and borrowings.

iv. De-recognisation of financial liabilities

Financial liabilities are de-recognised when the obligation specified in the contract is discharged,
canceled or expired. When the financial liability is exchanged or modified, the difference in carrying
amount is recognised in the Statement of Profit and Loss account.

c An equity instrument is any contract that evidences a residual interest in the assets of the
Company after deducting all of its liabilities.

D Revenue Recognition

Domestic sale of goods is recognised when all the significant risks and rewards of ownership in the goods are
transferred to the buyer as per the terms of the contract, there is no continuing managerial involvement with
the goods and the amount of revenue can be measured reliably. Revenue is measured at the fair value of the
consideration received or receivable, after the deduction of any trade discounts, volume rebates and any taxes
or duties collected on behalfof the government which are levied on sales such as goods and servise tax, etc.
Discounts given include rebates, price reductions andother incentives given to customers.

E Other Income

I nterest income is recognised/accounted on accrual basis determined by the amount outstanding and the
rate applicable.

Dividend income is recognised when the right to receive the payment is established.

F Employee benefits/ Retirement Benefits

Employee benefits include provident fund, superannuation fund, gratuity fund, compensated absences, long
service awards and post-employment medical benefits.

i. Short-Term Obligation

Short-term employee benefits like salaries, wages, bonus and welfare expenses payable wholly within twelve
months of rendering the services are accrued in the year in which the associated services are rendered by
the employees and are measured at the amounts expected to be paid when the liabilities are settled.

ii. Long-Term Obligation

Compensated absences which are not expected to occur within twelve months after the end of the period
in which the employee renders the related service are recognised as a liability at the present value of the
defined benefit obligation as at the Balance Sheet date less the fair value of the plan assets out of which the
obligations are expected to be settled. Long Service Awards are recognised as a liability at the present value
of the defined benefit obligation as at the Balance Sheet date.

iii. Defined Contribution Plans

Contributions to defined contribution schemes such as employees''state insurance, labour welfare fund,
superannuation scheme,employee pension scheme etc. are charged as an expense based on theamount
of contribution required to be made as and when services arerendered by the employees. Company''s
provident fund contribution, inrespect of certain employees, is made to a government administeredfund
and charged as an expense to the Statement of Profit and Loss. The above benefits are classified as Defined
Contribution Schemes asthe Company has no further defined obligations beyond the monthly contributions.

G Taxation

I ncome tax expense for the year comprises of current tax and deferred tax. It is recognised in the Statement of
Profit and Loss except to the extent it relates to a business combination or to an item which is recognised directly
in equity or in other comprehensive income.

a) Current Tax

Current tax is the expected tax payable/receivable on the taxable income/ loss for the year using
applicable tax rates at the Balance Sheet date, and any adjustment to taxes in respect of previous years.
Interest income/ expenses and penalties, if any, related to income tax are included in current tax expense.
No Provision for Income Tax is made since there will be no taxable income for the current year. No Provision
is made for tax based on MAT as the provision of MAT is not applicable to sick industrial company in term of
section 115JB read with explanation (l) (vii)."

b) Deferred Tax

Deferred tax is recognised in respect of temporary differences between the carrying amount of assets and
liabilities for financial reporting purposes and the corresponding amounts used for taxation purposes. Deferred
tax is recognized using the tax rates enacted, or substantively enacted, by the end of the reporting period.
Deferred tax assets are recognised only to the extent that it is probable that future taxable profits will be

available against which the asset can be utilised. Deferred tax assets are reviewed at each reporting date
and reduced to the extent that it is no longer probable that the related tax benefit will be realised."

Current tax assets and current tax liabilities are offset when there is a legally enforceable right to set off the
recognised amounts and there is an intention to settle the asset and the liability on a net basis. Deferred
tax assets and deferred tax liabilities are offset when there is a legally enforceable right to set off current
tax assets against current tax liabilities; and the deferred tax assets and the deferred tax liabilities relate to
income taxes levied by the same taxation authority.

c) Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent
there is convincing evidences that Company will pay normal income tax during specified
period.

H Foreign Currency Transactions

The functional currency of the company is Indian national rupee (INR) which is also the presentation currency. All
other currencies are accounted for as foreign currency.

During the year there have been no revenue booked in foreign currency.

I Borrowing Cost

Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part
of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready
for its intended use. All other borrowing costs are charged to Profit and Loss account.

J Impairment of Assets

An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment
loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The
impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of
recoverable amount.

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Mar 31, 2024

III Material Accounting Policies A Property Plant and Equipment

a) Initial Measurement & Recognition

" Property, plant and equipment are carried at cost less accumulated depreciation and impairment losses, if any. The cost of an item of Property, plant and equipment comprises its purchase price, including import duties and other non-refundable taxes or levies and any directly attributable cost of bringing the assets to its working condition for its intended use with any trade discountsor rebates being deducted in arriving at purchase price. Cost of the assets also includes interest on borrowings attributable to acquisition, if any, of qualifying fixed assets incurred up to the date the asset is ready for its intended use.

If significant parts of an item of property, plantand equipment have different useful lives, then they are accounted for as separate items (major components) of Property, plant and equipment.

Cost of Property, plant and equipment not ready for intended use as on the balance sheet date, is disclosed as capital work in progress. Advances given towards acquisition of property, plant and equipment outstanding at each balance sheet date are disclosed as Capital Advances under Other non-current Assets."

b) Subsequent expenditure

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the Statement of Profit and Loss during the period in which they are incurred.

c) Depreciation and Amortisation

"The Company depreciates its fixed assets on straight line method over the useful life in the manner prescribed in Schedule II of the Companies Act 2013. Depreciation on assets added/disposed off during the year is provided on pro-rata basis from the date of addition or up to the date of disposal, as applicable. The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period."

d) Derecognisation

The fixed assets are derecognised on disposal or when no future economic benefits are expected. The difference between carrying amount and net disposable proceeds is recognised in the Statement of Profit & Loss.

B Inventories

I nventories are stated at lower of cost and net realisable value. Cost of inventories comprise of all cost of purchase, cost of conversion and other cost incurred in bringing the inventory to their present location and condition. The net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and estimated costs necessary to make the sale. Finance cost generally are not part of the cost of inventories.

C Financial Instruments a Financial Assets

i. Classification

The Company classifies financial assets as subsequently measured at amortised cost, fair value through other comprehensive income or fair value through profit or loss on the basis of its business model for managing the financial assets and the contractual cash flow characteristics of the financial asset.

ii. Initial Recognition and Measurement

All financial assets (not measured subsequently at fair value through profit or loss) are recognised initially at fair value plus transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

iii. Subsequent Measurement

For purposes of subsequent measurement financial assets are classified into two broad categories:

a. Financial asset at fair value

b. Financial asset at amortised cost

Where assets are measured at fair value, gains and losses are either recognised entirely in the statement of profit or loss (i.e. fair value through profit or loss), or recognised in other comprehensive income (i.e. fair value through other comprehensive income).

iv. Equity Investments

All investments in equity instruments classified under financial assetsare subsequently measured at fair value. Equity instruments whichare held for trading are measured at FVTPL. For all other equity instruments, the Company may, on initial recognition, irrevocably elect to measure the same either at FVOCI or FVTPL. The Company makes such election on an instrument-by-instrument basis. Fair value changes on an equity instrument shall be recognised as ''other income'' in the Statement of Profit and Loss unless the Company has elected to measure such instrument at FVOCI. Fair value changes excluding dividends, on an equity instrument measured at FVOCI are recognised in OCI. Amounts recognised in OCI are not subsequently reclassified to the Statement of Profit and Loss. Dividend income on the investments in equity instruments are recognised as ''other income'' in the Statement of Profit and Loss.

v. Derecognition

The Company derecognises a financial asset when the contractual rightsto the cash flows from the financial asset expire, or it transfers thecontractual rights to receive the cash flows from the asset.

b Financial Liability

i. Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost or at fair value through Profit and Loss.

ii. Initial Recognition and Measurement

Financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument. Financial liabilities are initially measured at the amortised cost unless at initial recognition, they are classified as fair value through profit and loss. In case of trade payables, they are initially recognised at fair value and subsequently, these liabilities are held at amortised cost, using the effective interest method.

iii. Subsequent Measurement

After initial recognition, interest bearing loans and borrowings are subsequently measured at amortised cost using the Effective Interest Rate (EIR) method. Gains and losses are recognised in the Statement of Profit and Loss when the liabilities are derecognised. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss. This category generally applies to interest amortised bearing loans and borrowings.

iv. De-recognisation of financial liabilities

Financial liabilities are de-recognised when the obligation specified in the contract is discharged, canceled or expired. When the financial liability is exchanged or modified, the difference in carrying amount is recognised in the Statement of Profit and Loss account.

c An equity instrument is any contract that evidences a residual interest in the assets of the Company

after deducting all of its liabilities.

D Revenue Recognition

Domestic sale of goods is recognised when all the significant risks and rewards of ownership in the goods are transferred to the buyer as per the terms of the contract, there is no continuing managerial involvement with the goods and the amount of revenue can be measured reliably. Revenue is measured at the fair value of the consideration received or receivable, after the deduction of any trade discounts, volume rebates and any taxes or duties collected on behalfof the government which are levied on sales such as goods and servise tax, etc. Discounts given include rebates, price reductions andother incentives given to customers.

E Other Income

I nterest income is recognised/accounted on accrual basis determined by the amount outstanding and the rate applicable.

Dividend income is recognised when the right to receive the payment is established.

F Employee benefits/ Retirement Benefits

Employee benefits include provident fund, superannuation fund, gratuity fund, compensated absences, long service awards and post-employment medical benefits.

i. Short-Term Obligation

Short-term employee benefits like salaries, wages, bonus and welfare expenses payable wholly within twelve months of rendering the services are accrued in the year in which the associated services are rendered by the employees and are measured at the amounts expected to be paid when the liabilities are settled.

ii. Long-Term Obligation

Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised as a liability at the present value of the defined benefit obligation as at the Balance Sheet date less the fair value of the plan assets out of which the obligations are expected to be settled. Long Service Awards are recognised as a liability at the present value of the defined benefit obligation as at the Balance Sheet date.

iii. Defined Contribution Plans

Contributions to defined contribution schemes such as employees''state insurance, labour welfare fund, superannuation scheme,employee pension scheme etc. are charged as an expense based on theamount of contribution required to be made as and when services arerendered by the employees. Company''s provident fund contribution, inrespect of certain employees, is made to a government administeredfund and charged as an expense to the Statement of Profit and Loss. The above benefits are classified as Defined Contribution Schemes asthe Company has no further defined obligations beyond the monthly contributions.

G Taxation

I ncome tax expense for the year comprises of current tax and deferred tax. It is recognised in the Statement of Profit and Loss except to the extent it relates to a business combination or to an item which is recognised directly in equity or in other comprehensive income.

a) Current Tax

"Current tax is the expected tax payable/receivable on the taxable income/ loss for the year using applicable tax rates at the Balance Sheet date, and any adjustment to taxes in respect of previous years. Interest income/ expenses and penalties, if any, related to income tax are included in current tax expense. No Provision for Income Tax is made since there will be no taxable income for the current year. No Provision is made for tax based on MAT as the provision of MAT is not applicable to sick industrial company in term of section 115JB read with explanation (1) (vii)."

b) Deferred Tax

" Deferred tax is recognised in respect of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the corresponding amounts used for taxation purposes. Deferred tax is recognized using the tax rates enacted, or substantively enacted, by the end of the reporting period. Deferred tax assets are recognised only to the extent that it is probable that future taxable profits will be available against which the asset can be utilised. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is no longer probable that the related tax benefit will be realised."

Current tax assets and current tax liabilities are offset when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle the asset and the liability on a net basis. Deferred tax assets and deferred tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities; and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority.

c) Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent there is convincing evidences that Company will pay normal income tax during specified period.

H Foreign Currency Transactions

The functional currency of the company is Indian national rupee (INR) which is also the presentation currency. All other currencies are accounted for as foreign currency.

During the year there have been no revenue booked in foreign currency.

I Borrowing Cost

Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to Profit and Loss account.

J Impairment of Assets

An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

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Mar 31, 2023

Ill Significant Accounting Policies A Property Plant and Equipment

a) Initial Measurement & Recognition

"Property, plant and equipment are carried at cost less accumulated depreciation and impairment losses, if any. The cost of an item of Property, plant and equipment comprises its purchase price, including import duties and other non-refundable taxes or levies and any directly attributable cost of bringing the assets to its working condition for its intended use with any trade discountsor rebates being deducted in arriving at purchase price. Cost of the assets also includes interest on borrowings attributable to acquisition, if any, of qualifying fixed assets incurred up to the date the asset is ready for its intended use.

If significant parts of an item of property, plantand equipment have different useful lives, then they are accounted for as separate items (major components) of Property, plant and equipment.

Cost of Property, plant and equipment not ready for intended use as on the balance sheet date, is disclosed as capital work in progress. Advances given towards acquisition of property, plant and equipment outstanding at each balance sheet date are disclosed as Capital Advances under Other non-current Assets."

b) Subsequent expenditure

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance are charged to the Statement of Profit and Loss during the period in which they are incurred.

c) Depreciation and Amortisation

"The Company depreciates its fixed assets on straight line method over the useful life in the manner prescribed in Schedule II of the Companies Act 2013. Depreciation on assets added/disposed off during the year is provided on pro-rata basis from the date of addition or up to the date of disposal, as applicable.

The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period."

d) Derecognisation

The fixed assets are derecognised on disposal or when no future economic benefits are expected. The difference between carrying amount and net disposable proceeds is recognised in the Statement of Profit & Loss.

B Inventories

Inventories are stated at lower of cost and net realisable value. Cost of inventories comprise of all cost of purchase, cost of conversion and other cost incurred in bringing the inventory to their present location and condition. The net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and estimated costs necessary to make the sale. Finance cost generally are not part of the cost of inventories.

C Financial Instruments a Financial Assets

I. The Company classifies financial assets as subsequently measured at amortised cost, fair value through other comprehensive income or fair value through profit or loss on the basis of its business model for managing the financial assets and the contractual cash flow characteristics of the financial asset.

ii. Initial Recognition and Measurement

All financial assets (not measured subsequently at fair value through profit or loss) are recognised initially at fair value plus transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

iii. Subsequent Measurement

For purposes of subsequent measurement financial assets are classified into two broad categories:

a. Financial asset at fair value

b. Financial asset at amortised cost

Where assets are measured at fair value, gains and losses are either recognised entirely in the statement of profit or loss (i.e. fair value through profit or loss), or recognised in other comprehensive income (i.e. fair value through other comprehensive income).

iv. Equity Investments

All investments in equity instruments classified under financial assetsare subsequently measured at fair value. Equity instruments whichare held for trading are measured at FVTPL. For all other equity instruments, the Company may, on initial recognition, irrevocably elect to measure the same either at FVOCI or FVTPL. The Company makes such election on an instrument-by-instrument basis. Fair value changes on an equity instrument shall be recognised as ''other income'' in the Statement of Profit and Loss unless the Company has elected to measure such instrument at FVOCI. Fair value changes excluding dividends, on an equity instrument measured at FVOCI are recognised in OCI. Amounts recognised in OCI are not subsequently reclassified to the Statement of Profit and Loss. Dividend income on the investments in equity instruments are recognised as ''other income'' in the Statement of Profit and Loss.

v. Derecognition

The Company derecognises a financial asset when the contractual rightsto the cash flows from the financial asset expire, or it transfers thecontractual rights to receive the cash flows from the asset.

b Financial Liability

I. Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost or at fair value through Profit and Loss.

ii. Initial Recognition and Measurement

Financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument. Financial liabilities are initially measured at the amortised cost unless at initial recognition, they are classified as fair value through profit and loss. In case of trade payables, they are initially recognised at fair value and subsequently, these liabilities are held at amortised cost, using the effective interest method.

iii. Subsequent Measurement

After initial recognition, interest bearing loans and borrowings are subsequently measured at amortised cost using the Effective Interest Rate (EIR) method. Gains and losses are recognised in the Statement of Profit and Loss when the liabilities are derecognised. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss. This category generally applies to interest amortised bearing loans and borrowings.

iv. De-recognisation of financial liabilities

Financial liabilities are de-recognised when the obligation specified in the contract is discharged, canceled orexpired. When the financial liability is exchanged or modified, the difference in carrying amount is recognised in the Statement of Profit and Loss account.

c An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liailities.

D Revenue Recognition

Domestic sale of goods is recognised when all the significant risks and rewards of ownership in the goods are transferred to the buyer as per the terms of the contract, there is no continuing managerial

involvement with the goods and the amount of revenue can be measured reliably. Revenue is measured at the fair value of the consideration received or receivable, after the deduction of any trade discounts, volume rebates and any taxes or duties collected on behalfof the government which are levied on sales such as goods and servise tax, etc. Discounts given include rebates, price reductions andother incentives given to customers.

E Other Income

Interest income is recognised/accounted on accrual basis determined by the amount outstanding and the rate applicable.

Dividend income is recognised when the right to receive the payment is established.

F Employee benefits/ Retirement Benefits

Employee benefits include provident fund, superannuation fund, gratuity fund, compensated absences, long service awards and post-employment medical benefits.

i. Short-Term Obligation

Short-term employee benefits like salaries, wages, bonus and welfare expenses payable wholly within twelve months of rendering the services are accrued in the year in which the associated services are rendered by the employees and are measured at the amounts expected to be paid when the liabilities are settled.

ii. Long-Term Obligation

Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised as a liability at the present value of the defined benefit obligation as at the Balance Sheet date less the fair value of the plan assets out of which the obligations are expected to be settled. Long Service Awards are recognised as a liability at the present value of the defined benefit obligation as at the Balance Sheet date.

iii. Defined Contribution Plans

Contributions to defined contribution schemes such as employees'' state insurance, labour welfare fund, superannuation scheme, employee pension scheme etc. are charged as an expense based on the amount of contribution required to be made as and when services are rendered by the employees. Company''s provident fund contribution, in respect of certain employees, is made to a government administered fund and charged as an expense to the Statement of Profit and Loss. The above benefits are classified as Defined Contribution Schemes as the Company has no further defined obligations beyond the monthly contributions.

G Taxation

Income tax expense for the year comprises of current tax and deferred tax. It is recognised in the Statement of Profit and Loss except to the extent it relates to a business combination or to an item which is recognised directly in equity or in other comprehensive income..

a) Current Tax

Current tax is the expected tax payable/receivable on the taxable income/ loss for the year using applicable tax rates at the Balance Sheet date, and any adjustment to taxes in respect of previous years. Interest income/ expenses and penalties, if any, related to income tax are included in current tax expense.

No Provision for Income Tax is made since there will be no taxable income for the current year. No Provision is made for tax based on MAT as the provision of MAT is not applicable to sick industrial company in term of section 11 5JB read with explanation (1) (vii).

b) Deferred Tax

Deferred tax is recognised in respect of temporary differences between the carrying amount of assets and liabilities for financial reporting purposes and the corresponding amounts used for taxation purposes. Deferred tax is recognized using the tax rates enacted, or substantively enacted, by the end of the reporting period. Deferred tax assets are recognised only to the extent that it is probable that future taxable profits will be available against which the asset can be utilised. Deferred tax assets are reviewed at each reporting date and reduced to the extent that it is no longer probable that the related tax benefit will be realised.

Current tax assets and current tax liabilities are offset when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle the asset and the liability on a net basis. Deferred tax assets and deferred tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities; and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority.

c) Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent there is convincing evidences that Company will pay normal income tax during specified period.

H Foreign Currency Transactions

The functional currency of the company is Indian national rupee (INR) which is also the presentation currency. All other currencies are accounted for as foreign currency.

During the year there have been no revenue booked in foreign currency.

I Borrowing Cost

Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to Profit and Loss account.

J Impairment of Assets

An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

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Mar 31, 2014

(a] The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards.

(b) (I) Fixed assets are stated at cost, net of Cenvat, less accumulated depreciation. All cost including financing costs till commencement of commercial production, net charges on foreign exchange contracts and adjustment arising from exchange rate variations relating to borrowing attributable to the fixed assets are capitalised, ii) Depreciation is charged in accordance with schedule xiv of the companies act, 1956 on straight line method.

[c] Investment are stated at cost.

(d) Inventories

1 Raw material are stated at lower of cost or realizable value.

2 Work in progress is valued at material cost and conversion cost appropriate to their localion.

3 Finished goods are stated at cost or realisable value whichever is lower, cost includes material cost, conversion and other cost incurred in bringing the inventory at their present location and condition.

4 Stores & spares are stated at cost or realizable value whichever is less.

5 Scraps are stated at estimated realizable value.

[e] Liabilities/assets in foreign currencies are recorded in the accounts as per the following governing principles;

(i) All foreign currency transactions are recorded at rates prevailing on the date of the transaction

(ii) All exchange differences arising out of actual purchase/sale of foreign currencies and those arising out of restatement mentioned in (b) above are:

(1) Adjusted to the cost of fixed assets, if the foreign currency liability concerned is contracted for acquisition of fixed assets, and

(2) Recognised as income/expense for the period, in all other cases.

(iii) Exchange differences arising on booking of forward contracts are recognised as income or expense over the life of the contract, except in respect of liabilities incurred for acquiring fixed assets, in which case such differences are adjusted to the cost of the fixed assets.

[f] Revenue expenditure on research and development are charged as an expense in the year in which they are incurred, capital expenditure on research and development are shown as an addition to fixed assets.

[g] The provision for tax is based on the assessable profits of the company computed in accordance with the income tax act, 1961.

[h] Pre-operative expenditure is carried forward to be capitalised and apportioned to various assets on commissioning the project.

[I] Leave encashment is accounted for the employees payable upto March, 2008 & No provision has been made thereafter in view of the Company''s policy of compulsory availment of earned leave.

[j] Sales are exclusive of excise duty and Vat/sales tax. Sales is accounted on the removal of Finished goods from Factory.

[k] Gratuity is provided on the basis of working done as per thePayment of Gratuity Act

[l] Capital issue and preliminary expenses are amortised as per section 35D of the Income Tax Act, 1961.

[m] Compensation to employees who have opted for retirement under voluntary retirement scheme and heavy revenue expenditure on account of foreign traveling, advertisement incurred are debited to deferred revenue expenditure and the said expenditure is being written off over a period of five years.

[n] Capital subsidy received from Maharashtra Government is credited to capital reserve account.

[o] Deferred tax is recognised subject to the consideration of prudence , on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods, deferred tax assets are not recognised on unabsorbed depreciation and carryforward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

[p] An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting periods is reversed if there has been a change in the estimate of recoverable amount

[q] (i) Provisions are recongnised for liabilities that can be measured only by using a substantial degree of estimation, if

a) the company has a present obligation as a result of a past event,

b) a probable outflow of resources is expected to settle the obligations and ci the amount of the obligation can be reliably estimated.

(ii) Contingent Liabilities is disclosed in the case of

a) a present obligation arising from past event, when it is not probable that an outflow of resources will be required to settle the obligation

b) a possible obligation, unless the probabil ity of outflow of resources is remote

(iii) Contingent Assets are neither recognised, nor disclosed. Provision, Contingent Liabilities and Contingent Assets are reviewed at each Balance Sheets Date.

---

Mar 31, 2013

(i) The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards, .

(ii) Fixed assets are stated at cost, net of Convert, less accumulated depreciation. All cost including financing costs till commencement of commercial production, net charges on foreign exchange contracts and adjustment arising from exchange rile variations relating to borrowing attributable to the to the fixed assets are capital se

(iii) Depreciation is charged in accordance with schedule xiv of the companies act, 1956 on straight line method,

[a] Investment are stated at cost.

(iv) Inventories

1 Raw material are slaved lower of cost or realizable value.

2 Work in progress is valued at material cost and conversion cost appropriate to their fixation.

3 Finished goods are stalled at cost or realizable value whichever is lower, cost includes material cost, conversion and other cost incurred i n bringing the inventory at their present location and condition.

4 5tores & spa res are stated at cost or realizable value whichever is less,

5 Scraps are slated at estimated realizable value.

[b] Liabilities/assets in foreign currencies are recorded in the accounts as per the following governing principles;

(i) All foreign currency transactions are recorded at roles prevailing on the date of the transaction

(ii) All exchange differences arising out of actual purchase/sale of foreign currencies and those arising out of restatement mentioned in (b) above are:

(1) Adjusted to the cost of fixed assets, if the foreign currency liability concerned is contracted for acquisition of fixed assets, and

(2) Recognized as income/expense for the period, in all other cases.

(iii) Exchange differences arising on booking of forward contracts arc recognized as income or expense over the life of the contract, except in respect of liabilities incurred for acquiring fixed assets, in which Clio such differences arc adjusted to the cast of the fixed assets.

in Revenue expenditure on research and development are charted as an expense in the year in which .they are incurred capital expenditure on research and development are shown as an add .nor to fixed assets.

provision based on the assessable profits of the company computed ,n accordance with the is carried forward to be capitalized and apportioned to various assets on for the employee payable unto March, 2008* No provision has been made thereafter in view of the Company''s policy of company a ailment of earned leave. are exclusive of excise duty and Vat/sales tax. Sales is accounted on the removal of Finished goods from is provided on the basis of waking done as per the Payment of expenditure and the said expenditure is being written off over a period of five years, fall Capital subsidy received from Maharashtra Government is credited to capital reserve account.

(v) Deferred tax is recognized subject to the consideration of prudence . on timing deference''s toeing the sufficient future taxable income will be available loss is charged to the Profit and Loss Account in the year in which an asset its citified as impairment loss recognized in prior accounting periods is reversed if tenure has been a change ,n the estimate

---

Mar 31, 2012

[a] The financial statements are prepared under the historical cost convention, in accordance with applicable accounting standards.

[b] (I) Fixed assets are stated at cost, net of Convert, less accumulated depreciation. All cost including financing costs till commencement of commercial production, net charges on foreign exchange contracts and adjustment arising from exchange rate variations relating to borrowing attributable to the to the fixed assets are capitalised.

ii) Depreciation is charged in accordance with schedule xiv of the companies act, 1956 on straight line method.

[c] Investment are stated at cost.

[d] Inventories

1 Raw material are stated at lower of cost or realisable value.

2 Work in progress is valued at material cost and converts ion cost appropriate to their location.

3 Finished goods are stated at cost or realisable value whichever is lower, cost includes material cost, conversion and other cost incurred in bringing the inventory at their present location and condition.

4 Stores & spares are stated at cost or realisable value whichever is less.

5 Scraps are stated at estimated realisable value.

[el Liabilities/assets in foreign currencies are recordedin the accounts as per the following governing principles;

(i) All foreign currency transactions are recorded at rates prevailing on the date of the transaction

(ii)AII exchange differences arising out of actual purchase/sale of foreign currencies and those arising out of restatement mentioned in (b) above are:

(1) Adjusted to the cost of fixed assets, if the foreign currency liability concerned is contracted for acquisition of fixed assets, and

(2) Recognised as income/expense for the period, in all other cases.

(iii) Exchange differences arising on booking of forward contracts are recognised as income or expense over the life of the contract, except in respect of liabilities incurred for acquiring fixed assets, in which case such differences are adjusted to the cost of the fixed assets.

[f] Revenue expenditure on research and development are charged as an expense in the year in which they are incurred, capital expenditure on research and development are shown as an addition to fixed assets.

[g] The provision for tax is based on the assessable profits of the company computed in accordance with the income tax act, 1961.

[h] Pre-operative expenditure is carried forward to be capitalist and apportioned to various assets on commissioning the project.

[I] Leave encashment is accounted for the employees payable i pto March, 2008 & No provision has been made thereafter in view of the Company''s policy of compulsory a ailment of earned leave.

[j] Sales are exclusive of excise duty and Vat/sales tax. Sales is ciccounted on the removal of Finished goods from Factory.

[k] Gratuity is provided on the basis of working done as per the Payment Of Gratuity Act

[I] Capital issue and preliminary expenses are amortised as per section 35D of the Income Tax Act, 1961.

[m] Compensation to employees who have opted for retirement under voluntary retirement scheme and heavy revenue expenditure on account of foreign traveling, advertisement incurred are debited to deferred revenue expenditure and the said expenditure is being written off over a period of five years.

[n] Capita I subsidy received from Maharashtra Government is credited to capita I reserve account.

[o] Deferred tax is recognised subject to the consideration of prudence, on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods, deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

[p] An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting periods is reversed if there has been a change in the estimate of recoverable amount

[q] (i) Provisions are recongnised for liabilities that can be measured only by using a substantial degree of estimation, if

a) the company has a present obligation as a result of a past event,

b) a probable outflow of resources is expected to settle the obligations and

c) the amount of the obligation can be reliably estimated.

(ii) Contingent Liabilities is disclosed in the case of

a) a present obligation arising from past event, when it is not probable that an outflow of resources will be required to settle the obligation

b) a possible obligation, unless the probability of outflow of resources is remote

(iii) Contingent Assets are neither recognised, nor disclosed. Provision, Contingent Liabilities and Contingent Assets are reviewed at each Balance Sheets Date.

---

Mar 31, 2011

A) The Financial Statements are prepared under the Historical Cost Convention, in accordance with applicable accounting standards.

b) (I) Fixed Assets are stated at cost, Net of Cenvat, Less accumulated depreciation. All Cost including Financing Cost till commencement of Commercial Production, Net Charges on Foreign Exchange Contracts and Adjustment arising from Exchange rate variations relating to borrowing attributable to the Fixed Assets are capitalised.

(II) Depreciation is charged in accordance with schedule XIV of the Companies Act, 1956 on straight line method.

C) Investment are stated at cost:

D) Inventories:

1. Raw Material are stated at lower of cost or realisable value.

2. Work-in-progress is valued at material cost and conversion cost appropriate to their location.

3. Finished goods are started at cost or realisable value whichever is lower. Cost includes Material Cost, Conversion and other cost incurred in bringing the Inventory at their present location and condition.

4. Stores & Spares are stated at cost or realisable value whichever is less.

5. Scrapes are stated at estimated realisable value.

E) Liabilities/Assets in Foreign Currencies are recorded in the accounts as per the following governing principles:

i) All Foreign Currency transactions are recorded at rates prevailing on the date of the transaction.

ii) All exchange differences arising out of actual Purchase/Sale of Foreign Currencies and those arising out of restatement mentioned in (B) above are:

1) Adjusted to the cost of Fixed Assets, if the Foreign Currency Liability concerned is contracted for acquisition of Fixed Assets, and

2) Recognised as Income/Expense for the period, in all other cases.

iii) Exchange differences arising on booking of forward contracts are recognised as income or expense over the life of the contract, except in respect of liabilities incurred for acquiring fixed assets, in which case such differences are adjusted to the cost of the fixed assets.

F) Revenue expenditure on research and development are charged as an expense in the year in which they are incurred. Capital expenditure on research and development are shown as an addition to fixed assets.

G) The provision for tax is based on the assessable profits of the company computed in accordance with the Income Tax Act, 1961.

H) Pre-Operative expenditure is carried forward to be capitalised and apportioned to various assets on commissioning the project.

I) Leave encashment is accounted for the Employees payable upto March 2008 & No provision has been made thereafter in view of the Company's policy of compulsory availment of earned leave.

J) Sales are exclusive of Excise Duty and VAT / sales Tax. Sales is accounted on the removal of Finished goods from Factory.

K) Gratuity is provided on the basis of working done as per the payment of Gratuity Act.

L) Capital issue and preliminary expenses are amortised as per section 35 D of the Income Tax Act, 1961.

M) Compensation to employees who have opted for retirement under voluntary retirement scheme and heavy revenue expenditure on account of foreign travelling, advertisement incurred are debited to deferred revenue expenditure and the said expenditure is being written off over a period of five years.

N) Capital subsidy received from Maharashtra Government is credited to Capital Reserve Account.

O) Deferred tax is recognised subject to the consideration of prudence, on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

P) An assets is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

Q) (i) Provisions are recognised for liabilities that can be measured only by using a substantial degree of estimation, if a) the company has a present obligation as a result of a past event, b) a probable outflow of resources is expected to settle the obligations and c) the amount of the obligation can be reliably estimated. (ii) Contingent liabilities is disclosed in the case of a) a present obligation arising from past event, when it is not probable that an outflow of resources will be required to settle the obligation b) a possible obligation, unless the probability of outflow of resources is remote (iii) Contingent Assets are neither recognised, nor disclosed. Provision, Contingent Liability and Contingent Assets are reviewed at each Balance Sheets date.

---

Mar 31, 2010

A) The Financial Statements are prepared under the Historical Cost Convention, in accordance with applicable accounting standards.

b) (I) Fixed Assets are stated at cost, Net of Cenvat, Less accumulated depreciation. All Cost including Financing Cost till commencement of Commercial Production, Net Charges on Foreign Exchange Contracts and Adjustment arising from Exchange rate variations relating to borrowing attributable to the Fixed Assets are capitalised.

(II) Depreciation is charged in accordance with schedule XIV of the Companies Act, 1956 on straight line method.

C) Investment are stated at cost:

D) Inventories:

Raw Material are stated at lower of cost or realisable value. Work-in-progress is valued at material cost and conversion cost appropriate to their location Finished goods are started at cost or realisable value whichever is lower. Cost includes Material Cost, Conversion and other cost incurred in bringing the Inventory at their present location and condition. Stores & Spares are stated at cost or realisable value whichever is less. Scrapes are stated at realisable value.

E) Liabilities/Assets in Foreign Currencies are recorded in the accounts as per the following governing principles:

i) All Foreign Currency transactions are recorded at rates prevailing on the date of the transaction.

ii) All exchange differences arising out of actual Purchase/Sale of Foreign Currencies and those arising out of restatement mentioned in (B) above are :

1) Adjusted to the cost of Fixed Assets, if the Foreign Currency Liability concerned is contracted for acquisition of Fixed Assets, and

2) Recognisedaslncome/Expensefortheperiod,inallothercases.

iii) Exchange differences arising on booking of forward contracts are recognised as income or expense over the life of the contract, except in respect of liabilities incurred for acquiring fixed assets, in which case such differences are adjusted to the cost of the fixed assets.

F) Revenue expenditure on research and development are charged as an expense in the year in which they are incurred. Capital expenditure on research and development are shown as an addition to fixed assets.

G) The provision for tax is based on the assessable profits of the company computed in accordance with the Income Tax Act, 1961.

H) Pre-Operative expenditure is carried forward to be capitalised and apportioned to various assets on commissioning the project.

I) Leave encashment is accounted for the Employees payable upto March 2008 & No provision has been made thereafter in view of the Company's policy of compulsory availment of earned leave.

J) Sales are exclusive of Excise Duty and VAT/ sales Tax. Sales is accounted on the removal of Finished goods from Factory.

K) Gratuity is provided on the basis of working done as per the payment of Gratuity Act.

L) Capital issue and preliminary expenses are amortised as per section 3 5 D of the Income Tax Act, 1961.

M) Compensation to employees who have opted for retirement under voluntary retirement scheme and heavy revenue expenditure on account of foreign travelling, advertisement incurred are debited to deferred revenue expenditure and the said expenditure is being written off over a period of five years.

N) Capital subsidy received from Maharashtra Government is credited to Capital Reserve Account.

O) Deferred tax is recognised subject to the consideration of prudence, on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax assets are not recognised on unabsorbed depreciation and carry forward of losses unless there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

P) An assets is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Profit and Loss Account in the year in which an asset is identified as impaired. The impairment loss recognised in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

Q) (i) Provisions are recognised for liabilities that can be measured only by using a substantial degree of estimation, if a) the company has a present obligation as a result of a past event, b) a probable outflow of resources is expected to settle the obligations and c) the amount of the obligation can be reliably estimated. (ii) Contingent liabilities is disclosed in the case of a) a present obligation arising from past event, when it is not probable that an outflow of resources will be required to settle the obligation b) a possible obligation, unless the probability of outflow of resources is remote (iii) Contingent Assets are neither recognised, nor disclosed. Provision, Contingent Liability and Contingent Assets are reviewed at each Balance Sheets date.