Trishakti Industries Ltd. कंपली की लेखा नीति

Mar 31, 2024

Material Accounting Policies * Revenue Recognition

Revenue is recognized at an amount that reflects the consideration to which the Company expects to be entitled in exchange for transferring the promised goods or services to a customer i.e. on transfer of control of the goods or service to the customer. Revenue from sales of goods or rendering of services is net of Indirect taxes, returns and variable consideration offered by the company as part of the contract.

Contract Balances

a) Contract Assets

A contract asset is the right to consideration in exchange for goods or services transferred to the customer. When the Company transfers goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognized for the earned consideration that is conditional.

b) Contract Liabilities

A contract liability is the obligation to transfer services to a customer for which the Company has received consideration from the customer. When a customer pays consideration before the Company transfers goods or services to the customer, a contract liability is recognized when the payment is made. Contract liabilities are recognized as revenue when the Company performs under the contract.

Employee Benefits

Employee benefits are expensed as the related services are provided. A liability is recognized for the

amount expected to be paid if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

Property, Plant and Equipment

Property, plant and equipment are stated at cost, less accumulated depreciation (other than freehold land) and accumulated impairment losses. If any.

Subsequent expenditure relating to property, plant and equipment is capitalized only when it is probable that future economic benefits associated with these will flow to the Company and the cost of the item can be measured reliably.

An asset''s carrying amount is written down immediately to its recoverable amount if the asset''s carrying amount is greater than its estimated recoverable amount.

Depreciation is charged to the Statement of Profit and loss so as to expense the cost of assets (other than freehold land and properties under construction) less their residual values over their useful lives, using the straight-line method, as per the useful life prescribed in part "C" of Schedule II to the Companies Act, 2013

An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognized in the Statement of Profit and Loss. Proportionate depredation is charged for the addition and disposal of an Item of property, plant and equipment made during the year.

Capital work in progress represents projects under which the property, plant and equipment are not yet ready for their intended use and are carried at cost determined as aforesaid.

For transition to IND AS, the company has elected to continue with the carrying value of all of its property, plant and equipment recognized as of April 1, 2018 (transition date) measured as per the previous GAAP and use that carrying value as its deemed cost as of the Capital work in progress represents projects under which the property, plant and equipment are not yet ready for their intended use and are carried at cost determined as aforesaid.

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(c) Intangible Assets

Intangible assets Include cost of acquired software and designs and are initially measured at acquisition cost including any directly attributable costs of preparing the asset for its intended use and are carried at cost less accumulated amortization and accumulated impairment losses.

Expenditure on projects which are not yet ready for intended use are carried as intangible assets under development.

Intangible assets with finite live are amortized over their estimated useful life and assessed for impairment whenever there is an indication that the intangible asset maybe impaired. Intangible assets with indefinite useful lives are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired. An intangible asset is de-recognized on disposal, or when no future economic benefits are expected to arise from the continued use of the asset. Gains or losses arising from de-recognition of an intangible asset, measured as the difference between the net disposal proceeds and the carrying amount of the asset, and are recognized in the Statement of Profit and Loss when the asset is derecognized.

(d) Leases

On inception of a contract, the Company assesses whether it contains a lease. A contract contains a lease when it conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The right to use the asset and the obligation under the lease to make payments are recognized in the Company''s statement of financial position as a right-of-use asset and a lease liability.

After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for lease payments made* In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term, a change in the In-substance fixed'' lease

payments or as a result of a rent review or change in the relevant index or rate.

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Short-term Leases and Leases of Low-Value Assets

The Company has opted not to apply the lease accounting model to intangible assets, leases of low-value assets or leases which have a lease term of 12 months or less and don''t contain purchase option. Costs associated with such leases are recognized as an expense on a straight-line basis over the lease term.

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(e) Impairment of Assets

Assets that are subject to amortization are reviewed for impairment periodically including whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the asset''s carrying amount exceeds its recoverable amount.

If the recoverable amount of an asset (or cash- generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash- generating unit) is reduced to its recoverable amount An impairment loss is recognized immediately in the Statement of Profit and Loss. When an impairment loss subsequently reverses, the carrying amount of the asset (or a cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognized immediately in the Statement of Profit and Loss to the extent that it eliminates the impairment loss which has been recognized for the asset in prior years.

(f) Foreign Currency Translation

The functional currency and presentation currency of the Company is Indian Rupee.

Initial Recognition

On initial recognition, all foreign currency transactions are recorded by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency at the date of the transaction.

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Subsequent Recognition

As at the reporting date, non-monetary items which are carried at historical cost and denominated in a foreign currency are reported using the exchange rate at the date of the transaction. All non-monetary items which are carried at fair value denominated in a foreign currency are retranslated at the rates prevailing at the date when the fair value was determined.

Income and expenses in foreign currencies are recorded at exchange rates prevailing on the date of the transaction. Foreign currency denominated monetary assets and liabilities are translated at the exchange rate prevailing on the Balance Sheet date and exchange gains and losses arising on settlement and restatement are recognized In the Statement of Profit and Loss.

(g) Inventories

Inventories are carried at cost. Cost includes the fair value of consideration paid including duties and taxes (other than those refundable), inward freight, and other expenditure directly attributable to the purchase. Trade discounts and rebates are deducted in determining the cost of purchase.

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(h) Income Taxes

Income tax expense comprises current tax expense and the net change in the deferred tax asset or liability during the year. Current and deferred tax are recognized in the Statement of Profit and Loss, except when they relate to items that are recognized in Other Comprehensive Income or directly in equity, in which case, the current and deferred tax are also recognized in Other Comprehensive Income or directly in equity, respectively.

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Mar 31, 2023

Ill SUMMARY OF SIGNIFICANT ACCOUNTING POUGES

(1) Property, Plant and Equipment

Property, Plant and Equipment are stated at cost less accumulated depreciation , it any. Cost includes expenses directly attributable to bringing the Asset to their location and conditions necessary for it to be capable of operating in the manner intended by the t." management.

Subsequent cost are included in the asset''s carrying amount or recognized as separate asset, as appropriate, only when it is orobable that is future economic benefits associated with the item will flow to the Company and the cost of the Item can be measured reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All other repairs and maintenance are charged to profit or loss during the reporting period in which they are incurred.

Assets In the course of construction are capitalized in capital work in progress account. At the point when an asset is capable of operating In the manner Intended by the management, the cost of erection/ construction is transferred to the appropriate category of property, . plant and equipment cost (net of income and Including pre-operative cost / expenses) associated with the commissioning of an asset are

capitalized until the period of commissioning has been completed and the asset is ready of its Intended use, Property, Plant and Equipment are eliminated from financial statement, either on disposal or when retired from active use. Losses arising in the case of retirement of Property, plant and equipment and gains or Josses arising from disposal of property, plant and equipment are recognized in Statement of Profit and Loss in the year of occurrence.

Depreciation methods, estimated useful lives and residual value,

Deprecation is calculated using the Written Down Method [WDVjto allocate their cost, net of their residual values, over their estimated useful lives as specified in Schedule li to Companies Act, 2013.

The assets residual values, useful fives and methods of depredation are reviewed at each financial year end and adjusted prospectively, if appropriate. Gains and Josses on disposals are deter mined by comparing proceeds with carrying amount. These are included in the statement of profit and loss within other gains / (losses).

Depreciation on impaired assets is provided on the basis of their reskJuaf useful life.

(2) Investment Properties,

Property that is held for long-term rentals yields ar for capital appreciation or both, aref that is not occupied by the Company, Is classified as investment property. Investment property Is measured initially at its cost, including related transaction costs and where applicable borrowing costs. Subsequent expenditure is capitalized to the asset''s carrying amount only when it is probable that future economic benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repairs and maintenance costs are expensed when Incurred. When part of an investment property is replaced, the carrying amount cf the ; replaced part is derecognized. Investment properties are depreciated using the Straight Line Method (SLM) over their estimated useful lives. The useful live has been determined based on technical evaluation performed by the management''s expert. The Residual Life,

_; useful lives and depreciation method of investment properties are reviewed, and adjusted on Prospective basis as appropriate, at each financial year end. The effects of any revision are included in the Statement of Profit and Loss when the changes arise.

(3} intangible Assets

| Intangible assets acquired separately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less accumulated amortisation and accumulated impairment loss, if any.

li) Intangible assets with finite lives are amortised over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortisation period and the method for an intangible asset with ? finite useful life are reviewed at ieast at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates, '' he amortisation expense on intangible assets with finite lives is recognised in the statement of profit and Joss unless such expenditure forms part of carrying value of another asset. .

iii) Gains or losses arising from derecognition of an intangible asset measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised In the statement of profit or loss when the asset is derecognised.

(4) Inventories,

Inventories are carried in the balance sheer as follows:

a) Raw materials, packing materials, and stores and spares: at lower of cost, on FIFO basis or nei realizable value.

b) Work-in Progress : Manufacturing At lower of cost of material, plus appropriate production overheads and net realizable vaiue.

c) Finished goods : Manufacturing At iower of cost of materials plus appropriate production overheads, excluding GS1 paid / payable on such goods and net realizable value,

The cost of Inventories have been computed to include all cost of purchases, cost of conversion and other related costs incurred in bringing the inventories to their present location and condition. Slow and non-moving material, obsolesces, defective inventories are duly provided for and valued at net realizable value. Goods and materials in transit are valued at actual cost incurred upto the date of Balance Sheet (5) leases

Determining whether an arrangement contains a lease At inception of an arrangement, it is determined whether the arrangement is or contains a lease.

The arrangement is, or contains, a _;eas£ if fulfillment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement At inception or on reassessment of the arrangement that contains a lease, the payments and other consideration required by such an arrangement are separated into those for the lease and those for other elements on the basis of their relative fair values, if it is concluded for a finance lease that it is impracticable to separate the payments reliably, then an asset and a liability are recognised at an amount equal to the fair value of the underlying asset. The liability is reduced as payments are made and an imputed finance cost on the irafcility is recognised using the incremental borrowing rate.

Assets held under leases

Leases of propety, plant and equipment that transfer to the Company substantially all the risks and rewards of ownership are classified as finance leases. The leased assets are measured initially at an amount equal to the lower of their fair value and the present value of the minimum lease payments. Subsequent to initial recognition, the assets are accounted for in accordance with the accounting policy applicable to similar owned assets. Assets held under leases that do not transfer to the Company substantially all the risks and rewards of ownership (i.e. operating leases] are not recognised in the Company''s Balance Sheet. Payments made under operai ng leases are recognised in the Statement of Profit or Loss on a straight-line basis over the term of the lease unless the payments to the lessor are structuredto increase in line with general Inflation,

Lease payments

Payments made under operating leases are generally recognised in Statement of Profit and Loss on a straight-line basis over the term of the lease unless such payments are structured to increase In line with expected general inflation to compensate for the lessor''s expected inflationary cost increases. Lease incentives received are recognised as an integral part of the total lease expense over the term of the lease,

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Minimum lease payments made under finance leases are apportioned between the finance charge and the reduction of the outstanding liability. The finance charge is allocated to each period during the lease Lerm so as to produce a constant periodic rate of interest on the remaining balance of the liability

46) Cash and cash equivalents

Cash and cash equivalents for the purpose of cash flow statement/ balance sheet comprise of cash in hand , deposits held at call with banks or financial institution, other short term, highly liquid investments which are subject to an insignificant risk of changes in value-

17) ¦ I impairment of financial assets

The carrying amounts of Property, Plant & Equipment, Intangible Assets and Investment Properties are reviewed at each Balance Sheet date to assess impairment, if any, based on internal 1 external factors. An impairment loss Is recognised, as an expense in the Statement of Profit Sf Loss, wherever the carrying amount of the Asset or Cash Generation Unit (CGU) exceeds its recoverable amount. The impairment Joss recognised In prior accounting period is reversed, if there has been an improvement in recoverable amount in : subsequent years. Recoverable amount is determined :-

* tn the case of an Individual Asset, at the higher of the Fair Value less cost to seii and the value in use; and

* In the case of cash generating unit (a group of assets that generates identified, independent cash flows) at the higher cf cash generating unit''s fair value less cost to sell and the value in use.

(3) Financial Instruments.

A Financial instalment is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

1. Financial Assets*

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LI Definition :

Financial Assets include Cash and Cash Equivalents, Trade and Other Receivables, investments in Securities and ether eligible Current and Non-Current Assets, At initial recognition, al¹ financial assets are measured at lair value. The classification is reviewed at the end of each reporting oeriod

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(i) Financial Assets at Amortised Cast:

At the dale of initial recognition, are held to collect contractual cash flows of principal and interest on principal amount outstanding on specified dates. These financial assets are intended to be held until maturity. Therefore, they are subsequently measured at amortized cost by applying the Effective interest Rate fElR) method to the grass carrying amount of the financial asset The FIR amortization is included as interest income in the statement of profit and loss. The losses arising from impairment are recognized in the statement of Profit and Loss. '' • '' •

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(ii) Financial Assets at Fair value through Other Comprehensive income :

At the date of Initial recognition, are held tp collect contractual cash flows of principal and interest on principal amount outstanding on specified dates, as well as held for selling Therefore, they are subsequently measured at each reporting date at fair value, with all fair value movements recognized in Other Comprehensive Income {OG). Interest Income calculated using the effective interest rote (EIR) method, Impairment gain or loss and foreign exchange gain or loss are recognized in the Statement of Profit and Loss, On derecognition of the asset, cumulative gain or loss previously recognized in Other Comprehensive Income is reclassified from the OC1 to Ihe Statement of Profit and Loss,

fill] Financial Assets at Fair value through Profit or Loss (FVTPL):

At the date of initial recognition, Financial assets are held for trading, or which are measured neither at Amortized Cost nor at Fair Value through OCI, Therefore, they are subsequent^ measured at each reporting date at fair value, with; all fair value movements recognized in . the Statement of Profit and Loss.

1.2 Trade Receivables.

A Receivable is classified as a ''trade receivable'' if it Is in respect to the amount due from customers on account of goods sold or services rendered in the ordinary course of business. Trade receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less provision for impairment. For some trade receivables the Company may obtain security in the form of guarantee, security depositor letter of credit which can be called upon if the counterparty is In default under the terms of the agreement,

1.3 Investment in Equity Shares,

Investment in Equity Securities are initially measured at cost. Any subsequent fair value gain or loss is recognized through Profit or Loss if such investments in Equity Securities are held for trading purposes. The fair value gains or losses of a!! other Equity Securities are recognized In Other Comprehensive Income.

1.4 Investment In Associates, Joint Ventures and Subsidiaries.

The Comnanv has account for its investment in subsidiaries and associates ioint venture, if anv. at cost.

1.5 Derecognition of Financial Assets.

A Financial Asset is primarily derecognized when:

* The right to receive cash flows from asset has expired, or

* The Company has transferred its right to receive cash flows from the asset or has assumed an obligation to pay the received cash fiows In full without material delay to a third party under a "pass-through" arrangement and either:

a) The Company has transferred substantially all the risks and rewards of the asset, or

b) The Company has neither transferred nor retained substantially ail the risks and rewards of the asset, but has transferred control of the asset.

When the Company has transferred its right to receive cash flows from an asset or has entered into s pass through arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognize the transferred asset to the extent of the Company''s continuing involvement. In that case, the Company also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained. Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Company could be required to : repay. . ^^ ¦ ^{1 L} ,

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2.1 Deflation : Financial liabilities include Long-term and Short-term Loons and Borrowings, Trade and Other payables and Other eligible Current and Non-current Liabilities.

The measurement of financial liabilities depends on their classification, as described below :

i) Financial Liabilities at Fair Value through Profit and Loss.

Financial liabilities at fair value through profit and loss include financial liab: ties held for trading. Financial liabilities at fair value through profit and Joss are at each reporting date at fair value with all the changes recognised in the Statement of Profit and Loss.

ii) Financial Liabilities measured at Amortized Cost,

Interest bearing loans and borrowings are measured at amortized cost using the effective interest rate method (EIR) except for those designated in an effective hedging relationship. The carrying value of borrowings that are designated as hedged items in fair value hedges that would otherwise be carried at amortized cost are adjusted to record changes in fair values attributable to the risks that are hedged in effective hedging rehationship.

Amortized cost is calculated by taking into account any discount or premium on acquisition and fee or costs that are an integral part of the EUR. The EIR amortization Is Included in finance costs in the Statement of Profit and Loss

2.2 Loans and Borrowings.

Interest-bearing borrowings are measured at amortized cost using the effective interest rate method. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognized in the statement of profit and less over the period of the borrowings using the effective interest method. Fees paid on the establishment of lean facilities are recognized as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down.

Borrowings are classified as current liabilities unless the Company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting period.

2.3 financial Guarantee Contracts, .

Financial guarantee contracts issued by the Company are those contracts that require a payment to be made to reimburse the holder for a loss it incurs because the specified debtor fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee contracts are recognized initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the guarantee. Subsequently, the liability is measured at the higher of the amount of ioss allowance determined as per moainment requirements of tnd AS 109 and the amount initially recognized less cumulative amortization.

2.4 Trade and Other Payables.

A payable is classified as trade payable if it is in respect of the amount due on account of goods purchased or services received in the normal course of business. These amounts represent liabilities for goods and services provided to the Company prior to the end of financial year which are unpaid. Trade and other payables are presented as current liabilities unless payment is not due within 12 months after the reporting period. They are recognized initially at their fair value and subsequently measured at amortized cost using the effectiveinterest method-

2.5 De-recognltfon of Rnandai Uabiifty.

A Financial Lability is derecognized when the obligation under the liability is discharged or cancelled or expires. The difference between the carrying amount of a financia liability that has been extinguished or transferred to another party and the consideration paid,

; including any non-cash assets transferred or (labilities assumed, (s recognized in profit and loss as other income or finance costs.

3. Offsetting of Financial Insfrunents. ,

Financial Assets and Financial Liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable _; legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously.

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The Company uses derivative financial instruments, such as forward currency contracts and interest rate swaps to hedge its foreign currency risks and interest rate risks. Derivative financial instruments are initially recognf7ed at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value at the end of each period. The method of recognizing the resulting ga n or loss depends on whether the derivative is designated as a hedging instrument, and if so, on the nature of the Item being hedged. Any gains or Josses arising from changes in the fair value of derivatives are taken directly to profit and loss.

(9) Equity Share Capital.

Ordinary shares are classified as equity, incremental costs net of taxes directly attributable to the issue of new equity shares are reduced from retained earnings, net of taxes

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Mar 31, 2014

I) Basis of Preparation

Pursuant to circular 15/2013 dated 13.09.2013 read with circular 08/2014 dated 04.04.2014, till the standards of Accounting or any addendum there to are prescribed by the central government in consultation with and upon recommendation from the national Financial Reporting Authority, the existing Accounting Standards notified under the companies Act, 1956 shall continue to apply. Consequently, these financial statements have been prepared to comply in all material aspects with the accounting standards notified under section 211(3C) [Companies (Accounting Standards) Rules, 2006, as amended] and other relevant provisions of the Companies Act, 1956.

All the assets and liabilities have been classified as current or non current as per the company''s normal operating cycle and other criteria set out in schedule VI of the Companies Act, 1956 ("The Act"). Based on the nature of products and the time between the acquisition of assets for processing and their realisation in cash and cash equivalents, the company has ascertained its operating cycle as 12 months for the purpose of current-non current classification of assets and liabilities.

iii) Fixed Assets :

Fixed Assets are stated at original cost which includes expenditure incurred in acquisition and installation and other related expenses.

iii) Depreciation :

Depreciation on Assets has been provided on written down value method as prescribed in the schedule XIV of the companies Act, 1956.

iv) Investments

Long-term investments and current maturities of long-term investments are stated at cost less provision for other than temporary diminution in value. Current investments, except for current maturities of long term investments, are stated at the lower of cost and fair value, determined on a portfolio basis.

v) Inventories

Stores & spares parts has been valued at cost on FIFO basis. Inventories are taken, valued & certified by the management.

vi) Employees Benefits :

Employees benefit of short term nature are recognised as expense as and when it accrues.

Employees benefit of long term nature are recognised as expense based on actuarial valuation.

Company''s contribution in respect of Employees'' Provident Fund is made to Government Provident Fund and is charged to Profit & Loss Account.

Accrued leave for the year is paid to the employees during the year itself.

Other retirement benefits to the employees of the Company are not applicable during the year under review. The same will be provided as and when became due.

vii) Revenue Recognition

The Company maintains its accounts on accrual basis, except otherwise stated.

viii) Expenses :

Material known liabilities are provided on the basis of available information /estimates.

ix) Claims :

Claims have been accounted for on receipt/payment basis.

x) Foreign Exchange Transaction :

Transaction in foreign currency relating to (a) imports are recorded at the exchange rate prevailing at the time of such transaction, (b) Exports are recorded at the realised value as certified by the banks, however exports for which exchange sale forward contracts have been entered into with the banks are recorded at the respective forward contract value. Realised gains/losses on foreign exchange transaction are recognised in the Statement of Profit and Loss at the time of actual realisation of gains/losses.

Unrealised exports are recorded at the exchange rate prevailing at the close of the year. However, unrealised exports for which exchange sale forward contract have been entered into with the banks are recorded at the respective forward contract value.

xi) Income Tax

Provision is made for income tax liability estimated to arise on the results for the year at the current rate of tax in accordance with the Income Tax Act, 1961.

Deferred Income Tax is provided, using the liability method, on all temporary differences at the Balance Sheet date between the tax basis of assets and liabilities and their carrying amounts for financial reporting purpose.

Deferred tax assets are recognised only to the extent that there is a reasonable certainty that sufficient future taxable profits will be available against which such deferred tax assets can be realised.

Deferred Tax Assets and Liabilities are measured using the tax rates and the tax laws that have been enacted or subsequently enacted at the Balance Sheet date.

xii) Impairment:

Impairment of cash generating units/assets is ascertained and considered where exceeds the recoverable amount being the higher of net realisable amount and value in use.

xiii) Contingent Liabilities :

Contingent liabilities are disclosed by way of notes on accounts.

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Mar 31, 2013

I) Basis of Preparation

These financial statements have been prepared in accordance with the generally accepted accounting principles in India under the historical cost convention on accrual basis. These financial statements have been prepared to comply in all material aspects with the accounting standards notified under section 211(3C) [Companies (Accounting Standards) Rules, 2006, as amended] and other relevant provisions of the Companies Act, 1956. All the assets and liabilities have been classified as current or non current as per the company''s normal operating cycle and other criteria set out in schedule VI of the Companies Act, 1956. Based on the nature of products and the time between the acquisition of assets for processing and their realisation in cash and cash equivalents, the company has ascertained its operating cycle to be less than 12 months

iii) Fixed Assets :

Fixed Assets are stated at original cost which includes expenditure incurred in acquisition and installation and other related expenses.

iii) Depreciation:

Depreciation on Assets has been provided on written down value method as prescribed in the schedule XIV of the companies Act, 1956.

iv) Investments

Long-term investments and current maturities of long-term investments are stated at cost less provision for other than temporary diminution in value. Current investments, except for current maturities of long term investments, are stated at the lower of cost and fair value, determined on a portfolio basis.

v) Inventories

Stores & spares parts has been valued at cost on FIFO basis. Inventories are taken, valued & certified by the mandgement.

vi) Employees Benefits :

Employees benefit of short term nature are recognised as expense as and when it accrues. Employees benefit of long term nature are recognised as expense based on actuarial valuation. Company''s contribution in respect of Employees'' Provident Fund is made to Government Provident Fund and is charged to Profit & Loss Account.

Accrued leave for the year is paid to the employees during the year itself. Other retirement benefits to the employees of the Company are not applicable during the year under review. The same will be provided as and when became due.

vii) Revenue Recognition The Company maintains its accounts on accrual basis, except otherwise stated.

viii) Expenses: Material known liabilities are provided on the basis of available information /estimates.

ix) Claims: Claims have been accounted for on receipt/payment basis.

x) Foreign Exchange Transaction : Transaction in foreign currency relating to (a) imports are recorded at the exchange rate prevailing at the time of such transaction, (b) Exports are recorded at the realised value as certified by the banks, however exports for which exchange sale forward contracts have been entered into with the banks are recorded at the respective forward contract value.

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Mar 31, 2012

I) Basis of Preparation

These financial statements have been prepared in accordance with the generally accepted accounting principles in India under historical cost convention on accrual basis. These financial statements have been prepared to comply in all material aspects with the accounting standards notified under section 211(3C) [Companies (Accounting Standards) Rules, 2066, as amended] and other relevant provisions of the Companies Act. 1956. All the assets and liabilities have been classified as current or non current as per the company's normal operating cycle and other criteria set out in schedule VI of the Companies Act, 1956. Based on the nature of products and the time between the acquisition of assets for processing and their realisation in cash and cash equivalents, the company has ascertained its operating cycle to be less than 12 months.

ii) Fixed Assets :

Fixed Assets are stated at original cost which includes expenditure incurred in acquisition and installation and other related expenses.

iii) Depreciation :

Depreciation on Assets has been provided on written down value method as prescribed in the schedule XIV of the companies Act, 1956.

iv) Investments _

Long-term investments and current maturities of long-term investments are stated at cost less provision for other than temporary diminution in value. Current investments, except for current maturities of long term investments, are stated at the lower of cost and fair value, determined on a portfolio basis.

v) Inventories

Stores & spares parts has been valued at cost on FIFO basis. Inventories are taken, valued & certified by the management.

vi) Employees Benefits :

Employees benefit of short term nature are recognised as expense as and when it accrues.

Employees benefit of long term nature are recognised as expense based on actuarial valuation.

Company's contribution in respect of Employees' Provident Fund is made to Government Provident Fund and is charged to Profit & Loss Account.

Accrued leave for the year is paid to the employees during the year itself.

Other same will be provided as and when became due.

vii) Revenue Recognition . stated.

viii) Expenses :

Material known liabilities are provided on the basis of available information / estimates.

ix) Claims : ,

Claims have been accounted for on receipt/payment basis.

<) Foreign Exchange Transaction : '

Transaction in foreign currency relating to (a) imports are recorded at the exchange rate prevailing at the time of such transaction, (b) Exports are recorded at the realised value as certified by the banks, however exports for which exchange sale forward contracts have been entered into with the banks are recorded at the respective forward contracts have been entered into with the banks are recorded at the respective forward contract value. ,

Realised gains/losses on foreign exchange transaction are recognised in the Statement of Profit and Loss at the time of actual realisation of gains/losses.

Unrealised exports are recorded at the exchange rate prevailing at the close of the year. However, unrealised exports for which exchange sale forward contract have been entered into with the banks are recorded at the respective forward contract value.

xi) Income Tax

Provision is made for income tax liability estimated to arise on the results for the year at the current rate of tax in accordance with the Income Tax Act, 1961.

Deferred Income Tax is provided, using the liability method, on all temporary differences at the Balance Sheet date between the tax basis of assets and liabilities and their carrying amounts for financial reporting purpose.

Deferred tax assets are recognised only to the extent that there is a reasonable certainty that sufficient future taxable profits will be available against which such deferred tax assets can be realised.

Deferred Tax Assets and Liabilities are measured using the tax rates and the tax laws that have been enacted or subsequently enacted at the Balance Sheet date.

xii) Contingent Liabilities :

Contingent liabilities are disclosed by way of notes on accounts.

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Mar 31, 2010

I) Fixed Assets :

Fixed Assets are stated at original cost which include expenditure incurred in acquisition and installation and other related expenses.

ii) Depreciation :

Depreciation on Fixed Assets has been provided on written down value method as prescribed in the schedule XIV of the Companies Act, 1956.

iii) Investments :

Investment are valued at cost.

iv) Inventories :

Stores & spares parts has been valued at cost on FIFO basis.Quoted Shares are valued at Cost or Market value whichever is lower. Unquoted shares are valued at cost. Cost is generally determined on average cost basis. Market value is based on the available market price. Inventories are taken, valued & certified by the management. v) Employees Benefits :

a) Employees benefit of short term nature are recognised as expense as and when it accrues.

b) Employees benefit of long term nature are recognised as expense based on actuarial valuation.

c) Companys contribution in respect of Employees Provident Fund is made to Government Provident Fund and is charged to Profit & Loss Account.

d) Accrued leave for the year is paid to the employees during the year itself.

e) Other retirement benefits to the employees of the Company are not applicable during the year under review. The same will be provided as and when became due.

vi) Expenses :

Material known liabilities are provided on the basis of available information /estimates. vii) Claims :

Claims have been accounted for on receipt/payment basis. viif Foreign Exchange Transaction :

Transaction in foreign currency relating to (a) imports are recorded at the exchange rate prevailing at the time of such transaction, (b) Exports are recorded at the realised value as certified by the banks, however exports for which exchange sale forward contracts have been entered into with the banks are recorded at the respective forward contract value.

Realised gains/losses on foreign exchange transaction are recognised in the Profit and Loss Account at the time of actual realisation of gains/losses.

Unrealised exports are recorded at the exchange rate prevailing at the close of the year. However, unrealised exports for which exchange sale forward contract have been entered into with the banks are recorded at the respective forward contract value.

ix) Contingent Liabilities :

Contingent liabilities are disclosed by way of notes on the Balance Sheet.

x) Recognition of Income & Expenditure:

All Income and Expenditure are accounted for on accrual basis except otherwise stated.

xiii Taxation :

Provision is made for income tax liability estimated to arise on the results for the year at the current rate of tax in accordance with the Income Tax Act, 1961.

Deferred Income Tax is provided, using the liability method, on all temporary differences at the Balance Sheet date between the tax basis of assets and liabilities and their carrying amounts for financial reporting purpose.

Deferred tax assets are recognised only to the extent that there is a reasonable certainty that sufficient future taxable profits will be available against which such deferred tax assets can be realised.

Deferred Tax Assets and Liabilities are measured using the tax rates and the tax laws that have been enacted or subsequently enacted at the Balance Sheet date.

Fringe Benefit Tax are accounted for on estimated value of Fringe Benefit for the period as per provisions of the Income Tax Act.