Mar 31, 2014
1.1 BASIS OF PREPARATION OF FINANCIAL STATEMENT
The Financial statements have been prepared under the historical cost
convention in accordance with the generally accepted accounting
principles in India and comply with the accounting standards issued by
the Institute of Chartered Accountants of India and the relevant
provisions of the Companies Act, 1956. The Company follows accrual
basis of accounting. The accounting policies applied are consistent
with those used in previous year.
1.2 USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting policies requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities
and disclosure of contingent liabilities at the date of the financial
statements and the reported accounts of revenue and expenses for the
years presented. Actual results could differ from these estimates.
1.3 REVENUE RECOGNITION
Revenue from operations is recognized on accrual basis.
1.4 FIXED ASSETS
Fixed assets are stated at cost of acquisitions or construction less
accumulated depreciation and Impairment loss, if any. Cost includes
purchase price and all other Attributable costs of bringing the assets
to working condition for intended use. Financing costs relating to
borrowed funds attributable to acquisition or construction of fixed
assets, which takes substantial period of time to get ready for its
intended use are also included, for the period till such asset is put
to use.
1.5 DEPRECIATION
Depreciation on fixed assets is provided on written down value method
at the rates specified in schedule XIV to the Companies Act, 1956. On
additions and disposals depreciation is provided for from/upto the date
of addition/disposal.
1.6 INVENTORIES
Stock in trade is valued at lower of the cost or net realizable value.
Cost is determined on the basis of FIFO (first in first out) method and
comprises of the purchase price including duties and taxes (other than
those subsequently recoverable by the enterprise from the taxing
authority).
1.7 PROVISION FOR RETIREMENT BENEFITS
The accounting standard 15 Employees benefit is applicable on the
company but no provision is made for any benefits for employees because
none of the employee completed service of 5 Years.
1.8 TAXES ON INCOME
Current Tax
Provision for current tax is made in accordance with the provision of
Income Tax Act, 1961.
Deferred Tax
In accordance with the Accounting Standard -22 "Accounting for Taxes on
income" Issued by the ICAI of India, Deferred Tax Liability/Asset
arising from timing difference between book and income tax profit is
accounted for at the current rate of tax to the extent these
differences are expected to crystallize in the later years. However, in
case of brought forward losses or unabsorbed depreciation Deferred Tax
Assets are recognized only if there is virtual certainty supported by
convincing evidence that such deferred tax assets can be realized
against future taxable profits.
The carrying amount of deferred tax assets/liabilities are reviewed at
each balance sheet date. The company writes down the carrying amount of
deferred tax assets/liability to the extent that it is no longer
reasonably certain, that sufficient future taxable profit will be
available against which deferred tax assets can be realized.
1.09 EARNING PER SHARE
Basic earnings per share is calculated by dividing the net Profit &
Loss for the period attributable to equity shareholders (after
deducting preference dividend and attributable taxes) by the weighted
average number of equity shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they were entitled to participate in dividends relative to
a fully paid equity share during the reporting period. The weighted
average number of equity shares outstanding during the period are
adjusted for events of bonus issue, bonus element in a rights issue to
existing shareholders: Share split: and reverse share split
(consolidation of shares).
1.10 IMPAIRMENT OF ASSETS
At each balance sheet date, the company reviews the carrying amount of
its fixed assets to determine whether there is any indication that
those assets suffered impairment loss. If any such indication exists,
the recoverable amount of the asset is estimated in order to determine
the extent of impairment loss. Recoverable amount is the higher of an
asset''s net selling price and value in use. In assessing value in use,
the estimated future cash flows expected from the continuing use of the
asset and from its disposal are discounted to their present value using
a pre-discount rate that reflect the current market assessment of the
time value of money and the risks specific to the asset. The impairment
loss as determined above is expensed off.
1.11 PROVISION, CONTINGENT LIABILITIES AND CONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is present obligation as a result of past
events and it is probable that there will be an outflow of resources.
There are no Contingent Liabilities during the F.Y. 2013-14. Contingent
Assets are neither recognized nor disclosed in the financial
statements.
Mar 31, 2013
1.1 BASIS OF PREPARATION OF FINANCIAL STATEMENT
The Financial statements have been prepared under the historical cost
contention in accordance with the generally accepted accounting
principles in India and comply with the accounting standards issued by
the Institute of Chartered Accountants of India and trie relevant
provisions of the Companies Act, 1956. The Company follows accrual
basis of accounting. The accounting policies applied are consistent
with those used in previous year.
1.2 USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting policies requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities
and disclosure or contingent liabilities at the date of the financial
statements and the reported accounts of revenue and expenses for the
years presented. Actual results could differ from these estimates.
1.3 REVENUE RECOGNITION
The company recognizes revenue on accrual basis in accordance with
Accounting Standards 9 issued by the Institute of chartered Accountant
of India, The revenue from sale of goods is recognized on transfer of
property in goods which generally coincides with dispatch/delivery to
the customer.
1.4 FIXED ASSETS
Fixed assets are stated at costoF acquisitions or construction less
accumulated depreciation and impairment loss, if any, Cost includes
purchase price and aliotherAttributable costs of bringing the assets to
working condition for intended use. Financing costs relating to
borrowed funds attributable to acquisition or construction of fixed
assets, which takes substantial period of time to get ready for its
intended use are also included, for the period till such asset is put
to use.
1.5 DEPRECIATION
Depreciation on fixed assets is provided on written down value method
at the rales specified in schedule X! V to the Companies Act, 1956. On
additions and disposals depreciation is provided for from/upto the date
of addition/disposal.
1.6 INVENTORIES
Stock in trade is valued at lower of the cost or net realizable value.
Cost is determined on the basis of FIFO (first in first out) method and
comprises of the purchase price including duties and taxes (other than
those subsequently recoverable by the enterprise from the taxing
authority). However, there is no inventory at the beginning of the year
and at the end of the /ear.
1.7 EMPLOYEE BENEFITS
All employee benefits payable wholly within twelve months of rendering
the services are classified as short term benefits . Benefits such as
salaries, bonus etc.are recognized in the profit & loss account in the
period in which the employee renders the related servi ces. The com pan
y is not covered by the pa ynne nt of Gratuity Act, 19 72,
1.8 TAXES ON INCOME Current Tax
Provision for current tax is made in accordance With the provision of
Income Tax Act, 1961.
Deferred Tax
In accordance with the Accounting Standard -22 "Accounting for Taxes on
income" Issued by the ICAI of India, Deferred Tax Liability/Asset
arising from timing difference between book and income tax profit is
accounted for at the current rate of tax to the extent these
differences are expected to crystallize in the later years. However,
in case of brought forward losses or unabsorbed depreciation Deferred
Tax Assets are recognized only if there is virtual certainty supported
by convincing evidence that such deferred tax assets can be realized
against future taxable profits.
The carrying a mount of deferred tax assets/liabilities are reviewed at
each balance sheet date. The company writes down the carrying amount of
deferred tax assets/liability to the extent that it is no longer
reasonably certain, that sufficient future taxable profit will be
availab!e against which deferred tax assets can be realized.
1.9 TRANSACTION IN FOREIGN CURRENCY
i. Transactions denominated in foreign currencies are normally
recorded at the exchange rate prevailing at the lime of transaction.
ii. Monetary items denominated in foreign currencies at the period end
are restated at period end rates.
iii. Non monetary foreign currency items are carried at cost.
IV, Any income or expenses on account of exchange difference either on
settlement or on transaction is recognized in the profit and loss
account.
However there is no foreign currency transaction made by the company
during the year,
1.10 EARNING PER SHARE
Basic earnings per share is calculated by dividing the net Profit &
Loss for the period attributable to equity shareholders (after
deducting preference dividend and attributable taxes) by the weighted
average number Of equity Shares outstanding during the period. Partly
paid equity shares are treated as a fraction of an equity share to the
extent that they were entitled to participate in dividends relative to
a fully paid equity share during the reporting period- The weighted
average number of equity shares outstanding during the period are
adjusted for events of bonus issue, bonus element in a rights issue to
existing shareholders: Share split: and reverse share split
(consolidation of shares).
1.11 IMPAIRMENT OF ASSETS
At each balance sheet date, the company reviews the carrying a mount of
its fixed assets to determine whether the re is any indication that
those assets duffered impairment loss, If any such indication exists,
the recoverable amount of the asset is estimated in order to determine
the extent of impairment loss. Recoverable amount is the higher of an
asset''s net selling price and value in use. In assessing value in use,
the estimated future cash flows expected from the continuing use of the
asset and from its disposal are discounted to their present value using
a pre discount rate that reflect the current market assessment of the
time value of money and the risks specific to the asset, The impairment
loss as determined above is expensed off.
1.12 PROVISION, CONTINGENT LIABILITIES ANDCONTINGENT ASSETS
Provisions involving substantial degree of estimation in measurement
are recognized when there is present obligation as a result of past
events and it is probable that there will be an outflow of resources.
Contingent Liabilities are not recognized but are disclosed in the
notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.
Mar 31, 2011
1. Accounting Convention:
The Company prepares its account on accrual basis, except otherwise
stated in accordance with the normally accepted accounting principles.
2. Revenue Recognition:
Income and expenses are accounted for on accrual basis.
3. Inventories:
Inventory has been valued at cost or market price which ever is less.
4. Fixed Assets / Depreciation:
Fixed assets are accounted for at WDV i.e. Historical cost less
depreciation. Including the cost of freight and other direct expenses
incurred for acquisition of the assets.
5. NSDL & CDSL:
As mentioned in the previous years, the company's securities are still
pending for admission with NSDL & CDSL for dematerialization.
6. Stock Exchange- Mumbai (BSE):
The Stock Exchange, Mumbai (BSE) had suspended the trading of Equity
shares of the company as the' company failed to comply with the Listing
Agreement. Now as the company has paid all its listing dues and has
complied with all the clauses of listing agreement, the BSE is in
process of revoking the suspension in trading of equity shares of the
company subject to certain formalities to be complied by the Company.
Mar 31, 2010
1. Accounting Convention:
The Company prepares its account on accrual basis, except otherwise
stated in accordance with the normally accepted accounting principles.
2. Revenue Recognition:
Income and expenses are accounted for on accrual basis.
3. Inventories:
Inventory has been valued at cost or market price which ever is less.
4. Fixed Assets / Depreciation:
Fixed assets are accounted for at cost. Including the cost of freight
and other direct expenses incurred for acquisition of the assets.
5. Accounting policies not specifically referred to are consistent
with generally accepted accounting principles.
6. NSDL & CDSL:
As mentioned in the previous years, the companys securities are still
pending for admission with NSDL & CDSL for dematerialization.
7. Stock Exchange - Mumbai (BSE):
The Stock Exchange, Mumbai (BSE) had suspended the trading of Equity
shares of the company as the company failed to comply with the Listing
Agreement. Now as the company has paid all its listing dues and has
complied with all the clauses of listing agreement, the BSE is in
process of revoking the suspension in trading of equity shares of the
company subject to certain formalities to be complied by the Company.
8. Directors Remuneration:
Amount paid by the company to Directors as remuneration for services
rendered.
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