Mar 31, 2014
Not Available.
Mar 31, 2013
1.1 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, 1956. The financial
statements have been prepared on accrual basis under the historical
cost convention. The accounting policies adopted in the preparation of
the financial statements are consistent with those followed in the
previous year.
1.2 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 recognized in the periods in which
the results are known / materialize.
1.3 Inventories
Inventories are valued at the lower of cost (on FIFO basis) and the net
realizable value after providing for obsolescence and other losses,
where considered necessary. Cost includes all charges in bringing the
goods to the point of sale, including control and other levies, transit
insurance and receiving charges. Work-in-progress and finished goods
include appropriate proportion of overheads and, where applicable,
excise duty.
1.4 Cash and cash equivalents (for purposes of Cash Flow Statement)
Cash comprises cash on hand and demand deposits with banks. Cash
equivalents are short-term balances (with an original maturity of three
months or less from the date of acquisition), highly liquid investments
that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.
1.5 Cash flow statement
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payment; The cash flows from operating,
investing and financing activities of the Company are segregated based
on the available information.
1.6 Depreciation and amortization
Depreciation has been provided on the straight-line method as per the
rates prescribed in Schedule XIV to the Companies Act, 1956.
1.7 Revenue recognition
Sale of goods
Sales are recognized, net of returns and trade discounts, on transfer
of significant risks and rewards of ownership to the buyer, which
generally coincides with the delivery of goods to customers. Sales
include excise duty but exclude sales tax and value added tax.
1.8 Other income ,
Interest income is accounted on accrual basis. Dividend income is
accounted for when the right to receive it is established.
1.9 Tangible fixed assets .
Fixed assets, are carried at cost less accumulated depreciation and
impairment losses, if any. The cost of fixed assets includes major
modifications / betterments / interest / financial charges and other
expenditure incidental to such acquisition.
1.10 Investments
Long-term investments (excluding investment properties), are carried
individually at cost less provision for diminution, other than
temporary, in the value of such investments. Current investments are
carried individually, at the lower of cost and fair value. Cost of
investments include acquisition charges such as brokerage, fees and
duties.
1.11 Employee benefits
As there are no Employees with employment benefits payable the actual
valuation or disclosures as required under the Accounting Standard -15
are not applicable.
1.12 Borrowing costs
Borrowing costs include interest, amortization of ancillary costs
incurred and exchange differences arising from foreign currency
borrowings to the extent they are regarded as an adjustment to the
interest cost. Costs in connection with the borrowing of funds to the
extent not directly related to the acquisition of qualifying assets are
charged to the Statement of Profit and Loss over the tenure of the
loan. Borrowing costs, allocated to and utilized for qualifying assets,
pertaining to the period from commencement of activities relating to
construction / development of the qualifying asset up to the date of
capitalization of such asset is added to the cost of the assets.
Capitalization of borrowing costs is suspended and charged to the
Statement of Profit and Loss during extended periods when active
development activity on the qualifying assets is interrupted.
1.17 Segment reporting
Since the company is dealing in a single product the disclosure
requirements as per Accounting Standard -17 on Segment Reporting is not
applicable.
1.18 Leases
As there are no Lease arrangements in the company recognition,
valuation and disclosure requirements -s required under the Accounting
Standard -19 for leases are not applicable.
1.19 Earnings per share
Basic earnings per share is computed by dividing the profit / (loss)
after tax (including the post-tax effect of extraordinary items, if
any) by the weighted average number of equity shares outstanding during
the year. Diluted earnings per share is computed by dividing the profit
/ (loss) after tax (including the post-tax effect of extraordinary
items, if any) as adjusted for dividend, interest and other charges to
expense or income relating to the dilutive potential equity shares, by
the weighted average number of equity shares considered for deriving
basic earnings per share and the weighted average number of equity
shares which could have been issued on the conversion of all dilutive
potential equity shares. Potential equity shares are deemed to be
dilutive only if their conversion to equity shares would decrease the
net profit per share from continuing ordinary operations. Potential
dilutive equity shares are deemed to be converted as at the beginning
of the period, unless they have been issued at a later date. The
dilutive potential equity shares are adjusted for the proceeds
receivable had the shares been actually issued at fair value (i.e.
average market value of the outstanding shares). Dilutive potential
equity shares are determined independently for each period presented.
The number of equity shares and potentially dilutive equity shares are
adjusted for share splits / reverse share splits and bonus shares, as
appropriate.
1.20 Taxes on income
Accounting for Taxes on Income like recognition, measurement and
disclosure of deferred taxes is not made as there is no reasonable
certainty of future taxable profits against which such deferred tax
profits / losses could be set-off / adjusted.
1.23 Impairment of assets
The entire plant is considered as a cash generating unit. As the
recoverable amount of the cash generating unit, is expected to be in
excess of its carrying amount there is no impairment loss in terms of
Accounting Standard - 28 on Impairment of Assets.
1.24 Provisions and contingencies
A provision is recognized when the Company has a present obligation as
a result of past events and it is probable that an outflow of resources
will be required to settle the obligation in respect of which a
reliable estimate can be made. Provisions (excluding retirement
benefits) are not discounted to their present value and are determined
based on the best estimate required to settle the obligation at the
Balance Sheet date. These are reviewed at each Balance Sheet date and
adjusted to reflect the current best estimates. Contingent liabilities
are disclosed in the Notes.
Mar 31, 2012
1.1 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, 1956. The financial
statements have been prepared on accrual basis under the historical
cost convention. The accounting policies adopted in the preparation of
the financial statements are consistent with those followed in the
previous year.
1.2 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.
1.3 Inventories
Inventories are valued at the lower of cost (on FIFO basis) and the net
realisable value after providing for obsolescence and other losses,
where considered necessary. Cost includes all charges in bringing the
goods to the point of sale, including octroi and other levies, transit
insurance and receiving charges. Work-in-progress and finished goods
include appropriate proportion of overheads and, where applicable,
excise duty.
1.4 Cash and cash equivalents (for purposes of Cash Flow Statement)
Cash comprises cash on hand and demand deposits with banks. Cash
equivalents are short-term balances (with an original maturity of three
months or less from the date of acquisition), highly liquid investments
that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.
1.5 Cash flow statement
Cash flows are reported using the indirect method, whereby profit I
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are
segregated based on the available information.
1.6 Depreciation and amortisation
Depreciation has been provided on the straight-fine method as per the
rates prescribed in Schedule XIV to the Companies Act, 1956,
1.7 Revenue recognition
Sale of goods
Sales are recognised, net of returns and trade discounts, on transfer
of significant risks and rewards of ownership tc the buyer, which
generally coincides with the delivery of goods to customers. Sales
include excise duty but exclude sales tax and value added tax.
1.8 Other income
Interest income is accounted on accrual basis. Dividend income is
accounted for when the right to receive it is established.
1.9 Tangible fixed assets
Fixed assets, are carried at cost less accumulated depreciation and
impairment losses, if any. The cost of fixer assets includes major
modifications I betterments I interest I financial charges and other
expenditure incidental to such acquisition.
1.10 Investments
Long-term investments (excluding investment properties), are carried
individually at cost less provision for diminution, other than
temporary, in the value of such investments. Current investments are
carried individually, at the lower of cost and fair value. Cost of
investments include acquisition charges such as brokerage, fees and
duties.
1.11 Employee benefits
As there are no Employees with employment benefits payable the actual
valuation or disclosures as required under the Accounting Standard -15
are not applicable.
1.12 Borrowing costs
Borrowing costs include interest, amortisation of ancillary costs
incurred and exchange differences arising from foreign currency
borrowings to the extent they are regarded as an adjustment to the
interest cost. Costs In connection with the borrowing of funds to the
extent not directly related to the acquisition of qualifying assets are
charged to the Statement of Profit and Loss over the tenure of the
loan. Sorrowing costs, allocated to and utilised for qualifying assets,
pertaining to the period from commencement of activities relating to
construction / development of the qualifying asset upto the date of
capitalisation of such asset is added to the cost of the assets.
Capitalisation of borrowing costs is suspended and charged to the
Statement of Profit and Loss during extended periods when active
development activity on the qualifying assets is interrupted.
1.13 Segment reporting
Since the company is dealing in a single product the disclosure
requirements as per Accounting Standard -17 on Segment Reporting is not
applicable.
1.14 Leases
As there are no Lease arrangements in the company recognition,
valuation and disclosure requirements as required under the Accounting
Standard -19 for leases are not applicable.
1.15 Earnings per share
Basic earnings per share is computed by dividing the profit / (loss)
after tax (including the post-tax effect of extraordinary items, if
any) by the weighted average number of equity shares outstanding during
the year. Diluted earnings per share is computed by dividing the profit
/ (loss) after tax (including the post-tax effect of extraordinary
items, if any) as adjusted for dividend, interest and other charges to
expense or income relating to the dilutive potential equity shares, by
the weighted average number of equity shares considered for deriving
basic earnings per share and the weighted average number of equity
shares which could have been issued on the conversion of all dilutive
potential equity shares. Potential equity shares are deemed to be
dilutive only if their conversion to equity shares would decrease the
net profit per share from continuing ordinary operations. Potential
dilutive equity shares are deemed to be converted as at the beginning
of the period, unless they have been issued at a later date. The
dilutive potential equity shares are adjusted for the proceeds
receivable had the shares been actually issued at fair value (i.e.
average market value of the outstanding shares). Dilutive potential
equity shares are determined independently for each period presented.
The number of equity shares and potentially dilutive equity shares are
adjusted for share splits I reverse share splits and bonus shares, as
appropriate.
1.16 Taxes on income
Accounting for Taxes on Income and ascertainment of deferred taxes is
not possible as there is no possibility of profits in the near future.
1.17 impairment of assets .
The entire plant is considered as a cash generating unit. As the
recoverable amount of the cash generating unit, is expected to be in
excess of its carrying amount there is no impairment loss in terms of
Accounting Standard - 28 on Impairment of Assets.
1.18 Provisions and contingencies
A provision is recognised when the Company has a present obligation as
a result of past events and it is probable that an outflow of resources
will be required to settle the obligation in respect of which a
reliable estimate can be made. Provisions (excluding retirement
benefits) are not discounted to their present value and are determined
based on the best estimate required to settle the obligation at the
Balance Sheet date. These are reviewed at each Balance Sheet date and
adjusted to reflect the current best estimates. Contingent liabilities
are disclosed in the Notes,
Mar 31, 2010
A) ACCOUNTING CONVENTION
Financial statements are prepared under the historical cost basis_
B) BASIS OF ACCOUNTING Books of accounts are maintained on an accrual
basis.
C) REVENUE RECOGNITION
Sales are recorded at excluding value added tax (VAT) Purchases figures
are exclusive of VAT but inclusive of Central Sales Tax
D) FIXED ASSETS
Fixes Assets are recorded at historical costs of acquisition (which
includes major modification/betterment/interest/financial charges and
Other expenditure incidental to such acquisition).
E) DEPRECIATION
Depreciation on Fixed Assets has been provided on Straight Line Method
(SLM) and in the manner provided in schedule XIV of the Companies Act
1956
F) IMPAIRMENT OF ASSETS
The entire plant is considered as a cash generating unit. As the
recoverable amount of the cash generating unit, being its value in use
is expected to be in excess of its carrying value there is no
impairment loss in terms of Accounting Standard - 28 on Impairment of
Assets.:
G) INVENTORIES
Inventories are valued at cost or net realizable value whichever is
lower. Costs in respect of inventories are ascertained on First in
First out (FIFO) Method.
H) INVESTMENTS
Investments are classified as Current or Long Term Investment on the
basis of nature and intention to held the investment.
Long Term investments are valued at cost after appropriate adjustment, if
necessary, for permanent diminution in their value.
Current Investments are stated at lower of cost or fair value.
I) SEGMENTAL REPORTING
Since the company is dealing in a single product the disclosure
requirements as per Accounting Standard - 17 on Segment Reporting is
not applicable.
J) BORROWING COST.
Borrowing cost on working capital is charged against the profit &
loss account in which it is incurred.
Borrowing costs that are attributable to the acquisition or construction
or manufacture of qualifying assets are capitalized as a part of the cost
of such assets till the date of acquisition or completion of such
assets. In respect of suspended project for extended period, borrowing
costs are not capitalized for such period.
PRIOR PERIOD ITEMS
Significant items J Income or Expenditure, which relates to the prior
accounting periods are accounted in the Profit and Loss Account under
the head poor year Adjustments" other than those occasioned by the
events occurring during or after the close of the year and which are
treated as relatable to the current year.
TAYK ON INCOME
Accounting for Taxes on Income and ascertainment of deferred taxes
is not possible as there is no possibility of profits in the near
future.
K) RETIREMENT Benefits
As there are no employees with employment benefits payable the
actuarial valuation or disclosures as required under the Accounting
Standard - 15 on retirement benefits are not applicable.
L)Contingent liabilities
contingent liabilities are disclosed by way of notes to accounts.
provision is made if it becomes prosaic that. an out flow of future
economic benefit will be required for an item previously dealt with as
contingent liability,
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