1) Basis of preparation: -
The financial statements of the Company have been prepared in accordance with generally accepted accounting
principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material
respects with the accounting standards specified under Section 133 of the Companies Act, 2013, read with rule
7 of the Companies (Accounts) Rules, 2014, and the relevant provisions of the Companies Act, 2013. The
accounting policies adopted in the preparation of financial statements are consistent with those of previous year.
2) Use of Estimates: -
The preparation of financial statements is in conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported value of assets and liabilities on the
date of the financial statements and reported amount of revenue and expenditure for the year. Actual results
could differ from these estimates. Any revision to accounting estimates is recognized prospectively in the current
and future periods
3) Tangible/Intangible Fixed Assets: -
Fixed assets are stated at cost, net of accumulated depreciation. The cost comprises purchase price, borrowing
cost if capitalization criteria are met and directly attributable to the cost of bringing the asset to its working
condition for the intended use. Any trade discounts and rebates are deducted in arriving at the purchase price.
Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future
benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on
existing fixed assets, including day-to-day repair and maintenance expenditure and cost of replacing parts, are
charged to the statement of profit and loss for the year during which such expenses are incurred.
Trademark is amortized at 10% per annum.
4) Depreciation: -
Depreciation on tangible fixed assets has been provided on the written down value basis as per the useful life
prescribed in Schedule II (Part 'C') to the Companies Act, 2013. The Carrying amount of assets as on the date of
Schedule II of Companies Act, 2013 comes into effect, are depreciated over the remaining useful life of the assets
& after retaining residual value, balance amounts of assets are recognized in the opening balance of retained
earning where the life of the assets are nil.
5) Amortization of Pre-Operative Expenses: -
Pre- operative expenses are the expenses incurred before starting the unit and are written off on the based on
the basis of the lease period of the respective unit.
6) Revenue Recognition: -
Sale of products is recognized when the goods are delivered to the customers.
7) Inventory: -
Inventories are valued at cost.
8) Retirement and Employee Benefits: -
The Employee benefits are recognized as & when they are paid. Retirement benefit in the form of provident Fund
is a defined contribution scheme and the contributions are charged to the statement of profit and loss of the
year when the contributions to the respective funds are due. There are no other obligations other than the
contribution payable to the fund.
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