| (a) Accounting Convention:
The financial statements are prepared on historical cost convention and
going concern basis.
(b) Fixed Assets:
Fixed assets are stated at cost of acquisition or construction less
accumulated depreciation/ amortization and accumulated impairment
losses, if any.
(c) Depreciation:
Depreciation is not provided for the year due to the fact that the
assets were not utilized because there was no manufacturing activities
carried out.
(d) Impairment of Assets:
An asset is treated as impaired when the carrying cost of an asset
exceeds its recoverable value. An impairment loss is charged to Profit
& Loss account in the year in which an asset is identified as impaired.
The impairment loss recognized in prior accounting period is reversed
if there has been a change in the estimate of recoverable amount.
(e) Investments:
There are no investments with the company.
(f) Inventories:
There are no inventories with the company.
(g) Revenue Recognition:
i) All Income and expenses are accounted on accrual basis.
ii) Scrap where not significant is accounted for when sold.
(h) Retirement benefits:
During the year there were no employees with the company.
(i) Foreign Currency Transaction:
There was no foreign currency transactions during the year.
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