2 SIGNIFICANT ACCOUNTING POLICIES
a Basis of Preparation
These financial statements have been prepared in accordance with the Generally Accepted Accounting Principles in India
('Indian GAAP') to comply with the Accounting Standards specified under Section 133 of the Companies Act, 2013, as applicable.
The financial statements have been prepared under the historical cost convention on accrual basis, except for certain financial
instruments which are measured at fair value.
b Use of Estimates
The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments,
estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of
contingent liabilities, at the end of the reporting period. Although these estimates are based on the management's best
knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes
requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.
c Reenue Recognition
Expenses and Income considered payable and receivable respectively are accounted for on accrual basis.
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.
d Property, Plant and Equipment
Property, Plant and Equipment are stated at cost, less accumulated depreciation / amortisation. Costs include all expenses
incurred to bring the asset to its present location and condition.
e Depreciation and amortization
Depreciation on Fixed Assets is provided to the extent of depreciable amount on the Written down Value (WDV) Method/SLM
method. Depreciation is provided based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013.
f Impairment of assets
At each balance sheet date, the management reviews the carrying amounts of its assets included in each cash generating unit to
g Investment
Long-term investments and current maturities of long-term investments are stated at cost, less provision for other than
i Borrowing Cost
Borrowing costs that are attributable to the acquisition or construction of the qualifying assets are capitalized as part of the cost
of such assets. A qualifying assets is one that necessarily takes a substantial period of time to get ready for its intended uses or
sale. All other borrowing costs are charged to revenue in the year of incurrence
j Cash and cash equivalents
The Company considers all highly liquid financial instruments, which are readily convertible into known amount of cash that are
subject to an insignificant risk of change in value and having original maturities of three months or less from the date of
purchase, to be cash equivalents.
k Employee Benefits
Post-employment benefit plans
Contributions to defined contribution retirement benefit schemes are recognised as expense when employees have rendered
The retirement benefits are accounted for as and when liability becomes due for payment.
Other employee benefits
The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by
Compensated absences which are not expected to occur within twelve months after the end of the period in which the
l Foreign currency transactions
Income and expense in foreign currencies are converted at exchange rates prevailing on the date of the transaction. Foreign
m Taxation
Current income tax expense comprises taxes on income from operations in India and in foreign jurisdictions. Income taxpayable
Minimum Alternative Tax (MAT) paid in accordance with the tax laws in India, which gives rise to future economic benefits in
Deferred tax expense or benefit is recognised on timing differences being the difference between taxable income and
Advance taxes and provisions for current income taxes are presented in the balance sheet after off-setting advance tax paid and
income tax provision arising in the same tax jurisdiction for relevant tax paying units and where the Company is able to and
intends to settle the asset and liability on a net basis.
The Company offsets deferred tax assets and deferred tax liabilities if it has a legally enforceable right and these relate to taxes
n Earnings Per Shares
Basic earning per share is computed by dividing the net profit or loss for the period attributable to equity shareholders by the
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