The material Accounting Policies applied by the company in the preparation of its financial
statements are listed below. Such Accounting Policies have been applied consistently to all the
periods presented in these financial statements unless otherwise indicated.

(a) Statement of Compliance

The financial statements have been prepared in accordance with the Indian Accounting
Standards (‘Ind AS’) notified under Companies (Indian Accounting Standards) Rules, 2015,
as amended by Companies (Indian Accounting Standards) Rules, 2017 and the other
relevant provisions of the Companies Act, 2013. The accounting policies are applied
consistently to all the periods presented in the financial statements.

(b) Historical Cost Convention

The financial statements have been prepared on a historical cost basis, except, certain
financial assets and liabilities, measured at fair value

(c) Functional and presentation currency

Items included in the financial statements of Company are measured using the currency of
the primary economic environment in which the Company operates (“the functional
currency”). Indian rupee is the functional currency of the Company.

The financial statements are presented in Indian Rupees which is the Company’s
presentation in Indian Rupees has been rounded up to the nearest lakhs except where
otherwise indicated.

(d) Use of Estimates

The preparation of financial statements in conformity with Ind AS requires management to
make judgments, estimates and assumptions that affect the application of the accounting
policies and the reported amounts of assets and liabilities, the disclosure of contingent assets
and liabilities as at the date of the financial statements, and the reported amounts of
revenues and expenses during the year. Actual results could differ from those estimates. The
estimates and underlying assumptions are reviewed on an ongoing basis.

(e) Current versus non-current classification

The Company presents assets and liabilities in the balance sheet based on current/non-
current classification.

An asset is treated as current when it is:

•Expected to be realised or intended to be sold or consumed in normal operating cycle of the
Company

• Held primarily for the purposes of trading

• Expected to be realized within twelve months after the reporting period, or

• 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 treated as current when it is:

• Expected to be settled in normal operating cycle of the Company

• It is held primarily for the purposes of trading

• It is due to be settled within twelve months from the reporting period, or

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

The Company classifies all other liabilities as non-current.

Note No. 3: Recent Pronouncement

No new Amendment to Ind As has been notified by the Ministry of Corporate Affairs (“MCA”)
during the current financial year.

Note No. 4: Material Accounting Policies

The financial Statement have been prepared inconformity with generally accepted accounting
principle to comply in all material respect with the notified accounting standards as prescribed
u/s 133 of the Companies Act, 2013 (‘the Act’) read with relevant rules issued there under.

4.1 Operating Cycle

All assets and liabilities have been classified as Current or Non-Current as per the Company’s
normal operating cycle and other criteria set out in the Schedule III to the Companies Act, 2013
and Ind AS 1 - Presentation of Financial Statements based on the nature of products and 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.

4.2 Property, Plant and Equipment - Tangible Assets

Property, plant and equipment are stated at cost less accumulated depreciation and impairment,
if any. Costs directly attributable to acquisition are capitalized until the property, plant and
equipment are ready for use, as intended by the management. The company depreciates

property; plant and equipment over their estimated useful lives using the written down value
method and the estimated useful lives of assets are as follows:

Management believes that the useful lives as given above best represent the period over which
the assets are expected to be used. Subsequent expenditures relating to property, plant and
equipment are capitalized only when it is probable that future economic benefits associated with
these will flow to the company and the cost of the item can be measured reliably. The cost and
related accumulated depreciation are eliminated from the financial statements upon sale or
retirement of the asset and the resultant gains or losses are recognized in the Statement of Profit
and Loss.

4.3 Impairment of Assets

Property, plant and equipment are evaluated for recover ability whenever events or changes in
circumstances indicate that their carrying amounts may not beer coverable. For the purpose of
impairment testing, there cover able amount (i.e. the higher of the fair value less cost to sell and
the value in use) is determined on an individual asset base is unless the asset does not generate
cash flows that are largely independent of those from other assets. In such cases, the recoverable
amount is determined for the CGU (Cash Generating Unit) to which the asset belongs.

4.4 Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of qualifying
assets, which are assets that necessarily take a substantial period of time to get ready for their
intended use or sale, are added to the cost of those assets, until such time as the assets are
substantially ready for their intended use or sale. Interest income earned on the temporary
investment of specific borrowings pending their expenditure on qualifying assets is deducted
from the borrowing costs eligible for capitalization. All other borrowing costs are recognized in
profit or loss in the period in which they are incurred.

4.5 Leases

Leases are classified as finance leases whenever the terms of the lease, transfers substantially all
the risks and rewards of the ownership to the lessee. All other leases are classified as operating
leases.

Company as a lessee

Operating lease payments are recognized as an expense in the statement of profit or loss account
on straight line basis over the lease term.

Company as a lessor

Rental income from operating lease is recognized on straight line basis over the term of the
relevant lease. Initial direct costs having substantial amount incurred in negotiating and
arranging an operating lease are added to the carrying amount of the leased asset and recognized
over the lease term on the same basis as rental income. Contingent rents are recognized as
revenue in the period in which they are earned.

Since company has not entered into any financial lease during the periods mentioned in
financial statement, therefore no related policy provided here.

4.6 Accounting of Inventories

Inventories are stated at cost. The cost is calculated on FIFO weighted average method. Cost
comprises expenditure incurred in the normal course of business in bringing such inventories to
its present location and condition and includes, where applicable, appropriate overheads based
on normal level of activity. Obsolete, slow moving and defective inventories are identified from
time to time and, where necessary; a provision is made for such inventories.

There is no closing stock of inventories on 31.03.2025.

4.7 Investment in Properties

Property that is held for long- term rental yields or for capital appreciation or both, and that is
not occupied by the Company, is classified as investment property. Investment properties are
measured initially at cost, including transaction costs. Subsequent to initial recognition,
investment property is measured at cost and accumulated impairment losses, if any. Subsequent
costs are added to the carrying amount only when it is probable that it will increase its useful
life. All other repairs and maintenance are charged to the Statement of Profit and Loss during
the period in which they are incurred.

4.8 Investment in Subsidiaries and Associates

Investment in subsidiaries, associates and joint ventures are carried at cost less accumulated
impairment, if any. In case of any LLP Associate/ Subsidiaries - Accumulated profit also
included in investment and fund received from LLP Associate/ Subsidiaries has deducted.

I

4.9 Financial instruments, financial assets, financial liabilities and Equity Instruments

Financial assets and financial liabilities are recognized when the Company becomes a party to
the contractual provisions of the relevant instrument and are initially measured at fair value.
Transaction costs that are directly attributable to the acquisition or issue of financial assets and
financial liabilities (other than financial assets and financial liabilities measured at fair value
through profit or loss) are added to or deducted from the fair value on initial recognition of
financial assets or financial liabilities. Purchase or sale of financial assets that require delivery
of assets within a time frame established by regulation or convention in the market place
(regular way trades) are recognized on the trade date, i.e., the date when the Company commits
to purchase or sell the asset.

4.9.1 Financial Assets
Recognition:

Financial assets include Investments, Trade Receivables, Advances, Security Deposits, Cash
and Cash equivalents. Such assets are initially recognized at transaction price when the
Company becomes party to contractual obligations. The transaction price includes transaction
costs unless the asset is being fair valued through the Statement of Profit and Loss.

Classification:

Management determines the classification of an asset at initial recognition depending on the
purpose for which the assets were acquired. The subsequent measurement of financial assets
depends on such classification.

Financial assets are classified as those measured at:

(a) Amortized cost, where the financial assets are held solely for collection of cash flows
arising from payments of principal and/ or interest.

(b) Fair value through other comprehensive income (FVTOCI), where the financial assets
are held not only for collection of cash flows arising from payments of principal and interest but
also from the sale of such assets. Such assets are subsequently measured at fair value, with
Unrealized gains and losses arising from changes in the fair value being recognized in other
comprehensive income.

(c) Fair value through profit or loss (FVTPL), where the assets are managed in accordance
with an approved investment strategy that triggers purchase and sale decisions based on the fair
value of such assets. Such assets are subsequently measured at fair value, with unrealized gains
and losses arising from changes in the fair value being recognized in the Statement of Profit and
Loss in the period in which they arise.

Trade Receivables, Advances, Security Deposits, Cash and Cash equivalents etc. are classified
for measurement at amortized cost while investments may fall under any of the aforesaid
classes. However, in respect of particular investments in equity instruments that would
otherwise be measured at fair value through profit or loss, an irrevocable election at initial
recognition may be made to present subsequent changes in fair value through other
comprehensive income.

4.9.2 Debt Instruments:

a) Measured at amortized cost: Financial assets that are held within a business model
whose objective is to hold financial assets in order to collect contractual cash flows
that are solely payments of principal and interest, are subsequently measured at
amortized cost using the effective interest rate (‘EIR’) method less impairment, if
any. The amortization of EIR and loss arising from impairment, if any is recognized
in the Statement of Profit and Loss.

b) Measured at fair value through other comprehensive income: Financial assets
that are held within a business model whose objective is achieved by both, selling
financial assets and collecting contractual cash flows that are solely payments of
principal and interest, are subsequently measured at fair value through other
comprehensive income. Fair value movements are recognized in the other
comprehensive income (OCI). Interest income measured using the EIR method and
impairment losses, if any are recognized in the Statement of Profit and Loss. On
derecognition, cumulative gain or loss previously recognized in OCI is reclassified
from the equity to ‘other income’ in the Statement of Profit and Loss.

c) Measured at fair value through profit or loss: A financial asset not classified as
either amortized cost or FVOCI, is classified as FVTPL. Such financial assets are

measured at fair value with all changes in fair value, including interest income and
dividend income if any, recognized as ‘other income’ in the Statement of Profit and
Loss.

4.9.3 Equity Instruments:

All investments in equity instruments classified under financial assets are initially measured at
fair value; the Company may, on initial recognition, irrevocably elect to measure the same
either at FVOCI or FVTPL.

The Company makes such election on an instrument-by-instrument basis. Fair value changes on
an equity instrument are recognized as other income in the Statement of Profit and Loss unless
the Company has elected to measure such instrument at FVOCI. Fair value changes excluding
dividends, on an equity instrument measured at FVOCI are recognized in OCI. Amounts
recognized in OCI are not subsequently reclassified to the Statement of Profit and Loss.
Dividend income on the investments in equity instruments are recognized as ‘other income’ in
the Statement of Profit and Loss.

De-recognition:

Financial assets are de-recognized when the right to receive cash flows from the assets
has expired, or has been transferred, and the Company has transferred substantially all of
the risks and rewards of ownership. if the asset is one that is measured at:

(a) amortized cost, the gain or loss is recognized in the Statement of Profit and Loss;

(b) fair value through other comprehensive income, the cumulative fair value
adjustments previously taken to reserves are reclassified to the Statement of Profit
and Loss unless the asset represents an equity investment in which case the
cumulative fair value adjustments previously taken to reserves is reclassified within
equity.

4.10Fair Value Measurement

The company measures financial instruments (investment in mutual funds and listed shares) at fair value
at each balance sheet date.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date. The fair value
measurement is based on the presumption that the transaction to sell the asset or transfer the
liability takes place either:

(i) In the principal market for asset or liability, or

(ii) In the absence of a principal market, in the most advantageous market for the asset or
liability.

The principal or the most advantageous market must be accessible by the company.

The company uses valuation techniques that are appropriate in the circumstances and for which
sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and
minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are
categorized within the fair value hierarchy, described as follows, based on the lowest level input that is
significant to the fair value measurement as a whole:

Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value
measurement is directly or indirectly observable

Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value
measurement is unobservable.

4.11Cash and Cash Equivalents

Cash and cash equivalents comprise cash on hand and demand deposits with banks which are
Short-Term, highly liquid investments that are readily convertible into cash and which are
subject to an insignificant risk of changes in value.

Statement of Cash Flows and Cash and Cash Equivalents

Statement of cash flows is prepared in accordance with the indirect method prescribed in the
relevant Ind AS. For the purpose of presentation in the Statement of cash flows, Cash and cash
equivalents comprise cash at bank and in hand and short-term deposits with an original maturity
of three months or less.

In the balance sheet, bank overdrafts are shown within borrowings in current liabilities (if any).

4.12Revenue Recognition

a) Interest Income

In respect of loan, the income is accrued by applying the interest rate in the transaction
on declining balance on the amount financed for the period of the agreement i.e. interest
income recognized on day basis.

b) Dividend income on investments is a counted for as and when the dividend is received.

c) Revenue is measured at the fair value of the consideration received or receivable for
goods supplied and services rendered, net of returns and discounts to customers.
Revenue from the sale of goods is recognized when significant risks and rewards of
ownership have been transferred to the customer, which is mainly upon delivery, the
amount of revenue can be measured reliably and recovery of the consideration is
probable.

d) Profit/Loss on sale of mutual fund and Listed shares are accounted for in profit and loss
account when the company redeem/sale the mutual fund and shares respectively.
Notional profit on investment in mutual fund is shown through OCI.

4.13 Employee Benefits

The company has liability only on account of short-term employee benefits to employees like
Salary, wages which is accounted as expenses in the year of payment. As per Management,
there is no liability of the company on account of Gratuity.