2B. Summary of Significant Accounting Policies
211.3 Property. Plant and Equipment
I l.im and Equipment ore stnted ut coat, net nf uccumulutcd depreciation and
rtviunuil.utd uupnu tneni losses, if any. The cost comprises purchase price, borrowing costs, if
i.q unit, .uion v <it« tid arc met and directly attributable cost of bringing the asset to its working
'* nditn u h i tlu inn ndt d use. Any trade discounts and rebates are deducted in arriving at the
purchase price
Subsequent measurement (Depreciation)
Depreciation on Properly, Plant and Equipment is charged on WDV either on the basis of rates
atti\(d at with relercnce to the useful life of the assets evaluated approved by the management
ot tales arrived at based on useful life prescribed under Part C of Schedule II of the Companies
Act. .1013.
1 he residual values, useful lives and methods of Depreciation of Property, Plant and Equipment
arc reviewed at each financial year etui and adjusted prospectively, if appropriate.
2B.3 Financial Instruments
Financial Assets
Financial assets arc recognized when the Compuny becomes a party to the contractual provisions
of the Financial Instrument and arc measured initially at fair value adjusted for transaction cost.
Company has investment only in National Saving Certificate (NSC) which is recognized at cost.
Company does not have any other financial assets.
Financial liabilities
Financial liabilities arc classified, at initiul recognition, as financial liabilities at fair value through
statement of profit and loss, loans and borrowings, payables, or as derivatives designated as
hedging instruments in an effective hedge, as appropriate.
All financial liabilities arc recognized initially at lair value and, in the case of loans and
borrowings and payables, net of directly attributable transaction costs.
The Company’s financial liabilities include trade and other payables, loans and borrowings.
Company have unsecured loans and borrowings for which future repayment of interest and
principal tepavmcnt can’, be estimated reliably hence it is recognized at principal amount of loan
L any -payment made up to the btdance sheet together with any interest aeenred but no. patd.
2B.4 Borrowing Costs m.oiifvins assets arc
Borrowing costs that are attributable to the onc lhat takes necessarily
capitalized as par. of the cos. ndcd usc. AU 01hcr borrowing costs ore charged
substantial period of lime to
to revenue. I \
1 • f/ .. .nilR /
( 2B.S Impairment of »on flriancia] ^
The Company a: c;»eh ------ . .
f '• 'Ý•/* C. r«<d *0 C-Tm^j' / , * f- • ,
an asset mas be ?/ . ...... •* ^ vutr
pa,rod- M ar-y exiv* « whzr „ _
•*** » requard, the Company ... 7 ' ...... .....** «
. p £1CC . ...... aAV:'* recenrer*bSe arrzvunh *o soar. *gz*srs»~ •/
N .....“***• ;A during the per^ under a.dm
2B.6 Inventories
As per explanation jpvcn by the r-a-a__
»«hout ___ _____.. ’ *--------- ** ~r.ZT.-r.Tj Trt'Xh » mc^v.nrf H CVS*
w‘*“considering the dcvelopmcn- e^* ,k^____
„ ‘ .....v"ci" rca..zab.e va._e, "ah.jr.-j.zrzz a. h*.*.,
Cuompan\ is cr.r^pcd . .
s gee in production of feature films. As such feature Ossa are *i£j - ^
p.onuc.ion. ail the direct expenses incurred '—.•w_____ . .
. ‘ “ -----------g sorrowing coat d arpp.Aiabile as per ;jfL» AS
~ ~“”R tr‘C "nanciaI -vcar :s Cecily recognized as closing stock.
2B.7 Taxation
Current Income tax
......come .ax assets ar.c .labilities are measured at the amount errcected to le reowtrsd
..cm c. pa.c .o the taxation authorities. The tax rates and tax laws used to compute the amount
a.c .l.osc .hat are enacted or suDstantivc.v enacted a* the rec*0"*ti*"^ f*>*.
Current income tax relating to items recognized outside profit or loss is retvgruzed outside trout
or .oss. Current tax items are recognized in correlation to the underlying transaction either m OCJ
cr circctl> in equity. Management periodically evaluates positions taken in the tax returns whb
respect to situations in which applicable tax regulations are subject to interpretation and
establishes provisions where appropriate.
Deferred tax
Deferred lax is provided using the liability method on temporary differences between the tax
bases of assets and liabilities and their carrying amounts :or financial repertmg purposes =---
reporting date. Deferred tax liabilities arc recognized for all taxable temporary differences, except
when it is probable that the temporary differences will not reverse in the foreseeable future.
Deferred tax assets arc recognized for all deductible temporary differences, the carry’ toward of
unused tax credits and any unused tax losses. Deferred tax assets are recognized to the extent
that it is probable that taxable profit will be available against wmcr. the cecucuble tempera...
- • - . -ov rrrvii?^ a-fl llllUSCd 1SX lOSSCS C£J1 OC UllI2ZttL
diiTcror.ccs, and the carry forward o: unuseG -
• ___: r^-r’r •rvnrtrtine date and reauccc to me
Tr.c carrying amount of deferred tax assets is review a. each reporting c*......
Viahie sufficient taxable profit will be avauame .o 1
extent that it is no longer prooab.e u.a. s- .. - ^ .
I <wi iin-eroenized deferred tax assets are re-^ssessec
part of the deferred tax asset to oe uuuzed. g? future
- Ý patent that it has become prooab.e ma. n-ture
each reporting dale and arc recognizee L
taxable profits will allow the dcicrred tax asse. i0 be .ec „nsov land ar.d
J r . onri-o* and, since the company na\c m.so.u
Tr.c company incurred profit in r Y -uz - ... . _ri_inanv will have
^ir„rY> hence it is nrobablc that co-.?a~>
reduced operating and administration expenditure,
-h./flTT ÝH.vernrr applicable.
taxable profit in future hence DTA
f Deferred tax assets and liabilities arc
the year when the asset is rcalj7 d mcasurcd ul thc lHX rules that arc expected to apply in
that have been enacted or c,,i 1C is scUlcd, based on tnx rates (and lax laws)
Deferred ,ax retaU„g ......—Ý
loss (cither in other comprehensiv^"^11 °Ut5fKlC Pr0fl1 '’r ,OSB is 'ceoKnl/.ed outside profit or
correlation to the underlying in ° cciu'lv)- Deferred tax items are recognized in
Deferred tax assets and def CiUlCr in OC1 or dirct-’l|y equity.
set otT current lax ^ llUb‘l‘llCS Qrc °rfscl if u lcKl,»y enforceable right exists to
same taxable emit d H U8amSl CU,TCnl ^ UabiliUc8 und lhc d<*™d relate to the
same taxable entity and the same taxation authority.
GST. Sale./ value added taxes paid on nequisiu„„ „f „s„s or „„ incurrlng cxpcnsc8
Wh .tS T. aSStlb da rLC°Bnlzcd nct °r ,hc dmount or sales/ value added luxes paid, except:
incurred °n a PUIchasc of assets or services is not recoverable from the
authority, in which ease, thc tax paid is recognized ns part of the cost of acquisition
of the asset or as part of thc expense item, as applicable.
receivables and payables arc staled with the amount of tax included, the nct amount
of tax recoverable from, or payable to, thc taxution authority is included as purl of
receivables or payables in thc balance sheet.
Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future
economic benefits in thc form of adjustment to future income lux liability, is considered as un
asset if there is convincing evidence that the Compuny will puy normal income lax. In FY 2023-
24, Company do not have the liability for MAT.
2B.8 Employee benefit schemes
Short-term employee benefits are recognized as an expense at the undiscounted umount in the
Statement of profit and loss for the year in which the related service is rendered. Post
employment and other long term employee benefits arc recognized os an expense in thc profit
and loss account of the year in which thc employee has rendered services and treated us
defined benefit plans. Thc expense is recognized on the assumption that such benefits arc
payable at the end of thc year to all thc eligible employees.
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