Corporate Information
M's B.C. Power Controls Limited ("the Company") is a public limited Company listed on BSE Ltd and "Permitted to trade in National Stock Exchange of India Ltd upto 02/05/2023". The company is engaged trading business in Ferrous/Non-Ferrous Metals mainly: Copper, Aluminium, Zinc, Lead, etc. The company caters to domestic market and is having it’s registered office at 7A/39 W E A CHANNA MARKET, KAROL BAGH, NEW DELHI-110005.
NOTE ’2’
2.1 Accounting Standards
The Company has complied with all the Indian Accounting Standard (Ind AS) as applicable to the company under Companies under
Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014, and made necessary disclosures wherever applicable.
2.2 Basis of Accounting and Preparation of Financial Statements
The financial statements have been prepared on the historical cost basis except for following assets and liabilities which have been measured at fair value amount:
(i) Certain financial assets and liabilities.
(ii) Defined benefit plans - plan assets.
The financial statements of the Company have been prepared to comply with the Indian Accounting standards (‘Ind AS’), including the rules notified under the relevant provisions of the Companies Act, 2013.
Company’s financial statements are presented in Indian Lakh (’), which is also its functional currency
2.3 Use of Estimates
The preparation of the financial statements 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.
2.4 Inventories
Raw Materials, Trading Goods is determined on First in First Out (FIFO) Basis.
2.5 Depreciation and amortisation
Pursuant to Companies Act, 2013, the company depreciates its assets by the estimated useful life of the fixed assets on written down value as prescribed under Schedule II of the Companies Act, 2013.
2.6 Revenue Recognition
Revenue is recognised on accrued basis. Revenue from sale of goods is recognised on transfer of all significant risk and rewards of ownership to the buyer. GST is accounted on exclusive method. Interest income is recognised on accural basis. Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection All expenses and income to the extent considered payable and receivable respectively unless specifically stated otherwise are accounted for on mercantile basis.
2.7 Property, Plant and Equipment
Property, Plant and Equipment are stated at cost net of recoverable taxes and includes amounts added on revaluation, less accumulated depreciation and impairment loss, if any. The cost of Tangible Assets comprises its purchase price and any cost directly attributable to bringing the asset to its working condition for its intended use.
All costs, attributable to the fixed assets are capitalized. Subsequent expenditures related to an item of Tangible Asset are added to its book value only if they increase the future benefits from the existing asset beyond its previously assessed standard of performance.
2.8 Employee Benefits
The Company's contributions to Employees State Insurance Fund and Provident Fund is considered a defined contribution plan and is charge as an expenses as it fall due based on the amount of contribution required to be made. Eligible employees receive benefits from a provident fund, which is a defined benefit plan. Both the eligible employee and the Company make monthly contributions to the provident fund plan equal to a specified percentage of the covered employee’s salary. The Company contributes a portion to the Employees Provident Fund Account. The Company has not made any provision for gratuity, bonus, leave encashment and travel allowance etc. during the year. The company pays gratuity to the employees as and when payable as required by the law
2.9 Foreign Currency Transactions and Translations
All transaction in Foreign currency, are recorded at the rates of exchange prevailing on the dates when the relevant transactions take place. Foreign-currency denominated monetary assets and liabilities are translated at exchange rates in effect at the Balance Sheet date. The gains or losses resulting from such translations are included in the Statement of profit and loss. Nonmonetary assets and non¬ monetary liabilities denominated in a foreign currency and measured at fair value are translated at the exchange rate prevalent at the date when the fair value was determined. Revenue, expense and cash-flow items denominated in foreign currencies are translated using the exchange rate in effect on the date of the transaction. Transaction gains or losses realized upon settlement of foreign currency transactions are included in determining net profit for the period in which the transaction is settled.
2.10 Investment
Investment include Long Term Investment only and are stated at cost.
2.11 Earning 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 number of equity shares outstanding during the year.
2.12 Impairment of assets
The carrying value of assets/cash generating units at each Balance Sheet date are reviewed for impairment. If any indication of impairment exists, the recoverable amount of such assets is estimated and impairment is recognised, if the carrying amount of these assets exceeds their recoverable amount. The recoverable amount is the greater of the net selling price and their value in use.
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