ಕಂಪನಿಯ ಅಕೌಂಟಿಗ್ ಪಾಲಿಸಿ Pasupati Fincap Ltd.

Mar 31, 2025

2 SIGNIFICANT ACCOUNTING POLICIES

This note provides a list of the significant accounting polices adopted in the preparation of the standalone
financial statement. These polices have been consistently applied to all the years presented unless otherswise
stated.

2.01 Basis of preparation of financial statements

The financial statements have been prepared on historical cost basis, except for certain financial
instruments that are measured at fair values at the end of each reporting period, as explained in
accounting policies subsequently.

The financial statements of the Company have been prepared in accordance with Indian Accounting
Standards (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015.

The ministry of Corporate affairs amended the Schedule III to the Companies Act, 2013 on 24 March
2021 to increase the transparency and provide additional disclosures to users of financial statements.
These amendments are effective from 1 April 2021.

The preparation of the financial statements in conformity with recognition and measurement principles of
Ind AS requires the Management to make estimates and assumptions that affect the reported balance of
assets and liabilities, disclosure relating to contingent liabilities as at the date of the financial statements
and the reported amount of income and expense for the period. Estimates and underlying assumptions
are reviewed on ongoing basis. Revision of accounting estimates are recognised in the period in which
the estimates are revised and future period affected.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognized in the period in which the estimates are revised and future periods are affected.

2.02 Current versus non-current classification

The Company presents assets and liabilities in the financial statement with current / non-current
classification.

An asset is treated as current when it is:

(a) expected to be realized or intended to be sold or consumed in normal operating cycle

(b) held primarily for purpose of trading

(c) expected to be realized within twelve months after the reporting period, or

(d) cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least
twelve months after the reporting period

All other assets are classified as non-current.

A liability is current when:

(a) It is expected to be settled in normal operating cycle

(b) It is held primarily for purpose of trading

(c) It is due to be settled within twelve months after the reporting period, or

(d) There is no unconditional right to defer the settlement of the liability for at least twelve months after
the reporting period .

All other liabilities are classified as non current.

The operating cycle is the time between the acquisition of assets for processing and their realization in
cash and cash equivalents. The Company has identified twelve months as its operating cycle.

2.03 Financial Instruments

A financial instrument is any contract that gives rise to a financial assets of one entity and a financial
liability or equity instrument of another entity.
i) Financial Assets

The Company classifies its financial assets in the following measurement categories:

(a) Those to be measured subsequently at fair value (either through other comprehensive income,
or through profit & loss).

(b) Those measured at amortised cost.

Initial recognition and measurement

Financial assets are recognised initially at fair value plus, in the case of financial assets not recorded
at fair value through profit and loss, transaction costs that are directly attributable to the acquisition
of financial assets. Purchase or sale of financial asset that require delivery of assets within a time
frame established by regulation or conversion in the market place (regular way trades) are recognised
on the trade date, i.e., the date that the Company commits to purchase and sell the assets.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified in following categories:

(a) Debt instruments at amortized cost

(b) Debt instruments at fair value through other comprehensive income (FVTOCI)

(c) Debt instruments at fair value through profit and loss (FVTPL)

(d) Equity instruments measured at fair value through other comprehensive income (FVTOCI)

(e) Equity instruments measured at fair value through profit and loss (FVTPL)

Where assets are measured at fair value, gains and losses are either recognized entirely in the
statement of profit and loss (i.e. fair value through profit or loss), or recognized in other
comprehensive income (i.e. fair value through other comprehensive income). For investment in debt
instruments, this will depend on the business model in which the investment is held. For investment
in equity instruments, this will depend on whether the Company has made an irrevocable election at
the time of initial recognition to account for equity instruments at FVTOCI.

A Debt instrument is measured at amortized cost if both the following conditions are met:

(i) Business Model Test: The asset is held within a business model whose objective is to hold
assets for collecting contractual cash flows, and

(ii) Cashflow Characterstics Test: Contractual terms of asset give rise on specified dates to cash
flows that are solely payments of principal and interest (SPPI) on principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortized cost using
the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any
discount or premium on acquisition and fees or costs that are an integral part of EIR. The EIR
amortization is included in finance income in statement of profit or loss. The losses arising from
impairment are recognized in the statement of profit or loss. This category generally applies to trade,
other receivables, loans and other financial assets.

Debt instruments at fair value through OCI

A ''debt instrument'' is classified as at the FVTOCI if both of the following criteria are met:

(i) Business Model Test: The objective of the business model is achieved by both collecting
contractual cash flows and selling financial assets, and

(ii) Cashflow Characterstics Test: The asset''s contarctual cash flows represent SPPI.

Debt instrument included within the FVTOCI category are measured initially as well as at each
reporting date at fair value. Fair value movements are recognized in the other comprehensive income
(OCI). However, the Company recognises interest income, impairment losses and reversals and
foreign exchange gain or loss in the statement of profit and loss. On dereognition of the asset,
cumulative gain or loss previously recognized in OCI is reclassified from the equity to statement of
profit & loss. Interest earned whilst holding FVTOCI debt instrument is reported as interest income
using the EIR method..

Debt instruments at FVTPL

FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet the
criteria for categorization as at amortized cost or as FVTOCI, is classified as at FVTPL.

In adition, the Company may elect to designate a debt instrument, which otherwise meets amortised
cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if doing so reduces or
eliminates a measurement or recognition inconsistency (referred to as ''accounting mismatch''). The
Company has not designated any debt instrument as at FVTPL.

All equity investments in scope of IND AS 109 are measured at fair value. Equity instruments which
are held for trading are classified as at FVTPL. For all other equity instruments, the Company may
make an irrevocable election to present in other comprehensive income all subsequent changes in the
fair value. The Company makes such election on an instrument-by-instrument basis. The
classification is made on initial recognition and is irrevocable.

In case of equity instruments classified as FVTOCI, then all fair value changes on the instrument,
excluding dividends, are recognized in the OCI. There is no recycling of the amounts from OCI to
statement of profit and loss, even on sale of investment. However, the Company may transfer the
cumulative gain or loss within equity.

Equity instruments included within the FVTPL category are measured at fair value with all changes
recognized in the Statement of Profit and loss.

Derecognition

A financial asset (or ,where applicable, a part of a financial asset or part of group of similar financial
assets) is primarily derecognised when:

(a) The right to receive cash flows from the assets have expired, or

(b) The Company has transferred its rights to receive cash flows from the asset or has assumed an
obligation to pay the received cash flows in full without material delay to a third party under a
"pass through" arrangement and either:

(i) the Company has transferred substantially all the risks and rewards of the asset, or

(ii) the Company has neither transferred nor retained substantially all the risks and rewards of
the asset, but has transferred control of the asset.

Where the Company has transferred its rights to receive cash flows from an asset or has entered into
a passthrough arrangement, it evaluates if and to what extent it has retained the risks and rewards of
ownership. Where it has nither transferred not retained substantially all of the risks and rewards of
the assets, nor transferred control of the assets, the Company continues to recognise the transferred
assets to the extent of the Company''s continuing involvement. In that case, the Company also
recognises 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.

Impairment of financial assets

The Company assess at each balance sheet date whether there is any indication that an asset may be
impaired. If any such indiaction exist, the Company estimates recoverable amount of the asset. If
such recoverable amount of the aset or he recoverable amount of the acsh generating unit to which
the aseets belong is less than its carrying amount, the carrying amount is reduced to its recoverable
amount. Th ereduction is treated as an impairment loss and is recognised in the statement of profit
and loss. If at the balance sheet date there is any indication that if a previously assessed impairment
loss no longer exist, the recoverable amount is reassessed and the asset is reflected at the recoverable
amount subject to a maximum of depriciated historical cost.

No impairment loss has been provided on non finanacial assets considering that no indications
internal/ external exists those suggests that recoverable amount of asset is less than its carrying

ii) Financial liabilities:

Initial recognition and measurement

Financial liabilities are classified at initial recognition as financial liabilities at fair value through
profit or loss, loans and borrowings, and payables, net of directly attributable transaction costs.

All financial liabilities are recognised intially at fair value and in case of loans, borrowings and
payables, net of directly attributable transaction costs.

The Company''s financial liabilities include trade and other payables.

Subsequent measurement

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

Trade Payables

These amounts represents liabilities for goods and services provided to the Company prior to the end
of financial year which are unpaid. The amounts are unsecured and are usually paid within 120 days
of recognition. 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 fair value and
subsequently measured at amortized cost using EIR method.

Loans and borrowings

This is the category most relevant to the Company. After initial recognition, interest-bearing loans
and borrowings are subsequently measured at amortized cost using the EIR method. Gains and
losses are recognized in statement of profit or loss when the liabilities are derecognised as well as
through the EIR amortization process.

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 amortization is included as finance costs in the
statement of profit and loss.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled
or expires. When an existing financial liability is replaced by another from the same lender on
substantially different terms, or the terms of an existing liability are substantially modified, such an
exchange or medication is treated as the derecognition of the original liability and the recognition of
a new liability. The difference in the respective carrying amounts is recognized in the Statement of
Profit and Loss.

The Company determines classification of financial assets and liabilities on initial recognition. After
initial recognition, no reclassification is made for financial assets which are equity instruments and
financial liabilities. For financial assets which are debt instruments, a reclassification is made only if
there is a change in the business model for managing those assets. Changes to the business model are
expected to be infrequent. The Company’s senior management determines change in the business
model as a result of external or internal changes which are significant to the Company’s operations.
Such changes are evident to external parties. A change in the business model occurs when the
Company either begins or ceases to perform an activity that is significant to its operations. If the
Company reclassifies financial assets, it applies the reclassification prospectively from the
reclassification date which is the first day of the immediately next reporting period following the
change in business model. The Company does not restate any previously recognised gains, losses
(including impairment gains or losses) or interest.

2.04 Revenue Recognition

Revenue is measured at the fair value of the consideration received or receivable, taking into account
contractually defined terms of payment and excluding taxes or duties collected on behalf of the
government. Revenue is recognized to the extent that it is probable that the economic benefits will flow
to the Company and the revenue can be reliably measured, regardless of when the payment is being made.
Amounts disclosed are inclusive of Goods and service tax and net of returns, trade discounts, rebates and
amount collected on behalf of third parties. (w.e.f. 1st July, 2017 GST has been implemented. All the
taxes like Excise Duty, Value Added Tax, etc. are subsummed in Goods and Service Tax.)

The Company assesses its revenue arrangements against specific criteria in order to determine if it is
acting as principal or agent. The Company has concluded that it is acting as a principal in all of its
revenue arrangements since it is the primary obligor in all the revenue arrangements as it has pricing
latitude and is also exposed to inventory and credit risks. The specific recognition criteria described
below must also be met before revenue is recognized:

a) Sale of services

Revenue from contracts with customers is recognised when control of the goods or services are
transferred to the customer at an amount that reflects the consideration to which the Company
expects to be entitled in exchange for those goods or services. The Company has generally
concluded that it is the principal in its revenue arrangements.

i) Variable Consideration:

If the consideration in a contract includes a variable amount, the Company estimates the amount of
consideration to which it will be entitled in exchange for transferring the goods to the customer. The
variable consideration is estimated at contract inception and constrained until it is highly probable
that a significant revenue reversal in the amount of cumulative revenue recognised will not occur
when the associated uncertainty with the variable consideration is subsequently resolved. Some
contracts for the sale of electronics equipment provide customers with a right of return and volume

ii) Contract Assets:

A contract asset is the right to consideration in exchange for goods or services transferred to the
customer. If the Company performs by transferring goods or services to a customer before the
customer pays consideration or before payment is due, a contract asset is recognised for the earned
consideration that is conditional.

A receivable represents the Company’s right to an amount of consideration that is unconditional
(i.e., only the passage of time is required before payment of the consideration is due).

b) Interest

Interest income is recognised on a time proportion basis taking into account the amount outstanding
and the applicable interest rates.

2.05 Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to
equity shareholders by the weighted average number of equity shares outstanding during the period.

Diluted EPS amounts are calculated by dividing the profit attributable to equity holders of the Company
after adjusting impact of dilution shares by the weighted average number of equity shares outstanding
during the year plus the weighted average number of equity shares that would be issued on conversion of
all the dilutive potential equity shares into equity shares.

2.06 Borrowing Costs

Borrowing costs, if any, directly attributable to the acquisition, construction or production of an asset that
necessarily takes a substantial period of time to get ready for its intended use or sale are capitalized as
part of the cost of the respective asset. All other borrowing costs are recognized as expense in the period
in which they occur.

Borrowing cost includes interest and other costs incurred in connection with the borrowing of funds and
charged to Statement of Profit & Loss on the basis of effective interest rate (EIR) method. Borrowing cost
also includes exchange differences to the extent regarded as an adjustment to the borrowing cost.

2.07 Impairment of non- financial Assets

The Company assesses, at each reporting date, whether there is an indication that an asset may be
impaired. If any indication exists, or when annual impairment testing for an asset is required, the
Company estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an
asset’s or cash-generating unit’s (CGU) fair value less costs of disposal and its value in use. Recoverable
amount is determined for an individual asset, unless the asset does not generate cash inflows that are
largely independent of those from other assets or Company''s of assets. Where the carrying amount of an
asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its
recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre¬
tax discount rate that reflects current market assessments of the time value of money and the risks
specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken
into account, if available. If no such transactions can be identified, an appropriate valuation model is
used. These calculations are corroborated by valuation multiples , quoted share prices for publicaly traded
companies or other available fair value indicators.

Impairment losses including impairment on inventories, are recognized in the statement of profit and loss.
After impairment, depreciation is provided on the revised carrying amount of the asset over its remaining
useful life.

Non-financial assets other than goodwill that suffered an impairment are reviewed for possible reversal of
the impairment at the end of each reporting period.

An assessment is made at each reporting date to determine whether there is an indication that previously
recognised impairment losses no longer exist or have decreased. If such indication exists, the Company
estimates the asset’s or CGU’s recoverable amount. A previously recognised impairment loss is reversed
only if there has been a change in the assumptions used to determine the asset’s recoverable amount since
the last impairment loss was recognised. The reversal is limited so that the carrying amount of the asset
does not exceed its recoverable amount, nor exceed the carrying amount that would have been
determined, net of depreciation, had no impairment loss been recognised for the asset in prior years. Such
reversal is recoenised in the statement of profit and loss.

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Mar 31, 2024

1 Basis of accounting and preparation of financial statements

The financial statements of the Company have been prepared in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP)
to comply with the Accounting Standards notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions
of the Companies Act, 2013. The financial statements have been prepared on accrual basis under the historical cost convention except for categories of
fixed assets acquired before 1 April, 2010, that are carried at revalued amounts. The accounting policies adopted in the preparation of the financial
statements are consistent with those followed in the previous year.

2 Use of estimates

The preparation of the financial statements in conformity with Indian GAAP requires the Management to make estimates and assumptions considered
in the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during the year. The
Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ due to
these estimates and the differences between the actual results and the estimates are recognised in the periods in which the results are known /
materialise.

3

Revenue Recognition

Revenue and expenses are recognised on their accrual including provisions and/or adjustments for committed obligations and amounts determined as
payable and receivables during the period.

⁴ Foreign Currency Transaction

_Foreign Currency Transaction are accounted for at the prevailing foreign exchange rates at the time the transaction took place._

5 Depreciation

Depreciation is calculated on Property, Plant & Equipments on Straight Line Method in accordance with Schedule II of the Companies Act, 2013.

6 Investments

The Unquoted Investments are stated at the purchase price plus expenses i.e.brokerage,fees and duties etc.related with the purchases.

7 Impairment of Assets

If the carrying amount of fixed assets exceeds the recoverable amount on the reporting date, the carrying amount is reduced to the recoverable amount.
The recoverable amount is measured as the higher of the selling price and the value determined by the present value of estimated future cash flows.

8 Property, Plant & Equipments

Property, Plant & Equipments are stated at cost of acquisition inclusive of inward freight, duties & taxes and incidental expenses relating to acquisition.
In respect of major projects, related pre-operational expenses form part of the value of assets capitalized

9 Inventory

Company is not carrying any inventory

10 Disclosure under AS-15 (Revised) — Employee Benefits

There are no long Term Employees Benefits which require assessment of future liability of the company as per AS-15 issued under the companies
(Accounting Standards) Rules, 2006

11 Sundry Debtors, Loans and Advances and Sundry Creditors_

In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realised in the course of
business. The provisions for all known liabilities are adequate and not in excess of the amount reasonable required.

Balance of Sundry Creditors, Sundry Debtors and Loans & Advances are subject to confirmation and reconciliation.

FOR SANTOSH SUSHAMA KESHRI & CO.

CHARTERED ACCOUNTANTS For and on behalf of the Board

FRN021629N FOR PASUPATI FINCAP LTD

(SANTOSH KUMAR)

Proprietor Vidit Jain Vrinda Jain

M.No. 509170 (Director) (Director)

PLACE : NEW DELHI DIN: 01347588 DIN: 06641054

Date: 22/05/2024

Aditi Pardal E Mohandas Mukesh Kakkar

Company Secretary CEO CFO

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Mar 31, 2012

1 Basis of accounting and preparation of financial statements

The financial statements of the Company have been prepared in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP) comply with the Accounting Standards notified under the Companies (Accounting Standards} Rules, 2006 (as amended) and the relevant provisions of tl Companies Act, 1956. The financial statements have been prepared on accrual basis under the historical cost convention except for categories of fixed assets acquired before 1 April. 2010, that are carried at revalued amounts. The accounting policies adopted in the preparation of the financial statements a consistent with those followed in the previous year.

2 Use of estimates

The preparation of the financial statements in conformity with Indian GAAP requires the Management to "make estimates and assumptions considered the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during the year. The Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ due to these estimate and the differences between the actual results and the estimates are recognized in the periods in which the results are known / materialize. _

Revenue Recognition

Revenue and expenses are recognized on their accrual including provisions and/or adjustments for committed obligations and amounts determined as payable and receivables during the period.

4 Foreign Currency Transaction

Foreign Currency Transaction are accounted for at the prevailing foreign exchange rates at the time the transaction took place.

5 Depreciation

The company is not having any Fixed Assets.

6 Investments

The Unquoted Investments are stated at the purchase price plus expenses i.e. brokerage. fees and duties etc. related with the purchases.

7 Impairment of Assets '

If the carrying amount of fixed assets exceeds the recoverable amount on the reporting date, the carrying amount is reduced to the recoverable amount. The recoverable amount is measured as the higher of the selling price and the value determined by the present value of estimated future cash flows.

8 Fixed Assets

No Fixed Assets have been held by company.

9 Inventory

Company Is not carrying any inventory

10 Disclosure under AS-15 (Revised) - Employee Benefits

There are no long Term Employees Benefits which require assessment of future liability of the company as per AS-15 issued under the company (Accounting Standards) Rules, 2006

11 Sundry Debtors, Loans and Advances and Sundry Creditors

In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realized in the course of business The provisions for all known liabilities are adequate and not in excess of the amount reasonable required.

Balance of Sundry Creditors, Sundry Debtors and Loans & Advances are subject to confirmation and reconciliation.

12 Earnings Per Share

The Company report Basic and Diluted earnings per share (EPS) in accordance with Accounting Standard - 20 issued by the Institute of Chartered Accountants of India. The Basic EPS has been computed by dividing the "income available to equity shareholders by the weighted average number of equity shares outstanding during the accounting year The Diluted EPS have been computed using the weighted average number of equity shares and Diluted potential equity shares outstanding at the end of the year.

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Mar 31, 2010

1. Accounting policies not specifically referred to otherwise are consistent and in consonance with generally accepted accounting principles. ;

2. Recognition of Income & Expenditure

All income and expenditures are accounted for on accrual basis.

3. Inventories

Stock in trade is valued at cost or market price whichever is lower. Unquoted shares and debenture held as stock in trade are valued at net asset value and in the case the net worth is fully eroded or the audited Balance sheet is not available , the value is taken at Rs 1/-.

4. Investments

a. Long term quoted Investments are valued at cost unless the diminution in the value is not temporary, which is being provided for unquoted investments are valued at net asset value and in the case the net worth is fully eroded or the audited Balance sheet is not available. the value is taken at Rs 1/-.

b. Profit on sale of Investments is calculated by considering the cost of the specific investments sold.

5. Fixed Assets

Fixed Assets are taken at cost of acquisition and installation less sales & depreciation.

6. Depreciation

a. The Company follows written down method of depreciation.

b. Depreciation of Fixed Assets has been charged at rates specified in Schedule XIV of Companies Act, 1956.

7. Retirement Benefits

The provisions of Provident Fund Act are not applicable to the Company. Leave encashment is not provided for in the service rules of the company.

8. Deferred Tax:

Deferred Tax being the effect of timing differences between taxable income and accounting income that originate in one period and are capable of reversal in one or subsequent periods. Jj

9. Related Party Disclosure

The company is not following AS-18 relating to Related Party Disclosures.