| 1. GENERAL:
The Company maintains its accounts on accrual basis under historical
cost convention on a going concern basis. The financial statements are
prepared in accordance with the Accounting Standards prescribed under
section 133 of the Companies Act, 2013, ("Act"); read with rule (7) of
Companies (Accounts) Rules, 2014 and other provisions of the Act (to
the extent notified). The financial statements have been prepared on an
accrual basis (unless otherwise stated) and under historical cost
convention. The accounting policies have been consistent with those
used in the previous year.
2. FIXED ASSETS:
Fixed Assets are stated at cost of acquisition or as revalued and
reduced by accumulated depreciation. The cost of an asset includes
direct/indirect and incidental costs incurred to bring such asset into
its present location and working condition for its intended use.
All costs, including financial costs till the commencement of
commercial production, and adjustments arising out of exchange rate
fluctuations relating to borrowings in foreign currency attributable to
the fixed assets are capitalized.
3. DEPRECIATION:
Depreciation is provided on Straight Line Method on pro-rata basis at
the rates & in the manner prescribed in prescribed by Schedule II of
the Act.
4. INVESTMENTS:
Investments that are readily realizable and intended to be held
generally for not more than a year are classified as Current
Investments. Long term investments are stated at cost. Provision for
diminution in value of Investments is made only if such a decline is
other than temporary in the opinion of the management.
5. INVENTORIES :
Raw materials, Stores, Spares and Packing materials are valued at cost
or net realizable value whichever is lower.
6. PRELIMINARY AND SHARE ISSUE EXPENSES:
Preliminary and Share issue expenses are amortized over a period of ten
years from the year in which such expenses are incurred.
7, CONTINGENT LIABILITIES & EVENTS OCCURING AFTER THE BALANCE SHEET
DATE :
* Contingencies that can be reasonably ascertained are provided for if,
in the opinion of the Company, there is a probability that the future
outcome may be materially detrimental to the Company.
* Where material, events after the date of Balance Sheet up to the date
of finalization of the accounts are considered.
8, FOREIGN EXCHANGE TRANSACTIONS :
Transactions in foreign currency are recorded as follows:
* A transaction in foreign currency is booked by applying the exchange
rate at the date of the transaction.
* Exchange differences arising on foreign currency transactions are
recognized as income or expense in the period in which they arise.
* Assets and Liabilities related to foreign currency transactions
remaining unsettled at the end of the year are translated either at
forward contracted rates when covered by forward contracts or at the
rates prevailing at the year end of such currency, as the case may be.
* In the case of Liabilities in respect of the foreign currency loans
obtained for acquisition of fixed assets, the variation in the
liability arising out of the exchange rates on repayment or at the year
end is adjusted to the cost of acquisition of such fixed assets.
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