a) Corporate Information
Ace Edutrend Limited was incorporated on 04 October, 1993
registered under the Companies Act, 1956. The registered office of the
company is situated at A-7/6, Jhilmil Industrial Area Shahdara New
Delhi, 110095. The principal place of business is in India.
b) Basis Of Preparation
The financial statements of the Company have been prepared on an
accrual basis and under the historical cost convention except for certain
financial instruments (including derivative instruments) and defined
benefit plans which have been measured at fair value. The accounting
policies are consistently applied by the Company to all the period
mentioned in the financial statements.
The financial statements (“Financial Statements”) of the Company have
been prepared in accordance with Indian Accounting Standards (“Ind
AS”) notified under the Companies’ (Indian Accounting Standard)
Rules, 2015, as amended from time to time.
c) Use of Estimates and judgments
The preparation of the financial statements requires that the Management
to make estimates and assumptions that affect the reported amounts of
assets and liabilities, disclosure of contingent liabilities as at the date of
the financial statements and the reported amounts of revenue and
expenses during the reporting period. The recognition, measurement,
classification or disclosure of an item or information in the financial
statements is made relying on these estimates.
The estimates and judgments used in the preparation of the financial
statements are continuously evaluated by the Company and are based on
historical experience and various other assumptions and factors that the
Company believes to be reasonable under the existing circumstances.
Actual results could differ from those estimates
d) Revenue Recognition
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. 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.
The following specific recognition criteria must also be met before revenue is
recognized.
i) Training Income-Income is recognized on Accrual Basis.
ii) Other Income-Other Income is accounted for on accrual basis.
e) Depreciation and Amortization
Depreciation is recognized so as to write off the cost of assets (other than
freehold land and properties under construction) less their residual values
over their useful lives, using the Written down Value method. Life of the
asset is decided by the management at year end for all assets.
Amortization is recognized on a Written down Value basis over their
estimated useful lives.
The estimated useful life and amortization method are reviewed at the
end of each reporting period, with the effect of any changes in estimate
being accounted for on a prospective basis.
Depreciation on tangible assets is provided as per the provisions of Part
B of Schedule II of the Companies Act, 2013 based on useful life and
residual value notified for accounting purposes by Electricity Regulatory
Authorities.
he estimated useful life, residual values and depreciation method are
reviewed at the end of each reporting period, with the effect of any
changes in estimate accounted for on a prospective basis.
f) Cash and Cash Equivalents
Cash and Cash Equivalents in Balance Sheet comprises of cash at bank
and hand and short term deposits with original maturity of three months
or less, which are subject to insignificant risk of change in value.
g) Taxation
Income tax comprises current and deferred tax. Income tax expense is
recognized in the statement of profit and loss except to the extent it
relates to items directly recognized in equity or in other comprehensive
income.
Current tax is the amount of tax payable based on the taxable profit for
the year. Taxable profit differs from‘profit before tax’as reported in the
statement of profit and loss because of items of income or expense that
are taxable or deductible in other years and items that are never taxable
or deductible. The Company’s current tax is calculated using tax rates
that have been enacted or substantively enacted by the end of the
reporting period.
Deferred tax is recognized on temporary differences between the
carrying amounts of assets and liabilities in the financial statements and
the corresponding tax bases used in the computation of taxable profit.
Deferred tax liabilities are generally recognized for all taxable temporary
differences. Deferred tax liabilities and assets are measured using the tax
rate enacted or substantively enacted as on the Balance Sheet date.
h) Cash Flow Statement
Cash flows are reported using the indirect method, as per Ind AS-7,
issued by the ICAI whereby profit for the period is adjusted for the
effects of transactions of a non-cash nature, any deferrals and accruals of
past or future operating cash receipts and payments and item of income
and expenses associated with investing or financing cash flows. The cash
flows from operating, investing and financing activities of the company
are segregated.
i) Fixed Assets
Fixed Assets are stated at cost less accumulated depreciation and
impairment losses, if any. The cost of fixed assets includes interest on
borrowings attributable to acquisition of qualifying assets up to the date
the asset is ready for its intended use and other incidental expenses
incurred up to that date. Subsequent expenditure relating to fixed assets
is capitalized only if such expenditure results in an increase in the future
benefits from such asset beyond its previously assessed standard of
performance. All repair and maintenance are charged to statement of
profit and loss during the reporting period in which they are incurred.
Depreciation on fixed assets have been provided on the basis of Written
Down Value over the useful lives of assets as per useful life prescribed
under Schedule II of Companies Act, 2013.
When significant parts of fixed assets are required to be replaced at
intervals, the Company depreciates them separately based on their
specific useful lives.
The residual values, useful lives and methods of depreciation of fixed
assets are reviewed at each financial year end and adjusted prospectively,
if appropriate.
Gains or losses arising from de-recognition of an tangible asset are
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.
j) Investments
Investments that are readily realizable and intended to be held for not
more than a year are classified as current investments. All other
investments are classified as long-term investments. Current investments
are carried at lower of cost and fair value determined on an individual
investment basis. Long-term investments are carried at cost. However,
provision for diminution in value is made to recognize a decline other
than temporary in the value of the investments.
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