Note :-l - STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES
a) Basis for preparation
i) Compliance with Ind AS
These financial statements have been prepared in accordance with the Indian Accounting Standard (hereinafter
referred to as the 'Ind AS') as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies
Act, 2013 ('Act') read with of the Companies (Indian Accounting Standard) Rules, 2015 as amended other relevant
provisions of the Act.
The accounting policies are applied consltently to all the periods presented In the financial statements.
ii) Historical Cost Convention
The financial statements have been prepared on a historical cost basis, except for the following
certain financial assets and liabilities that are measure at fair value;
iii) Current non-current classification
All assets and liabilities have been classified as current or non-current as per the Company's normal operating
cycle (twelve months) and other criteria set out in the schedule III to the Act.
b) Use of estimates and judgements
The estimates and judgments used in the preparation of the financial statements are continuously evaluated by the Company and
are based on historical experience and various other assumptions and factors (including expectations of future events) that the
Company believes to be reasonable under the existing circumstances. Differences between actual results and estimates are
recognised in the period in which the results are known/materialised.
The said estimates are based on the facts and events, that existed as at the reporting date, or that occurred after that
date but provide additional evidence about conditions existing as at the reporting date.
c) Property, plant and equipment
Freehold land is carried at cost. All other items of property, plant and equipment are stated at cost less depreciation
and impairment, if any. Historical cost includes expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as appropriate, only
when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the
item can be measured reliably. The carrying amount of any component accounted for as a separate asset is
derecognised when replaced. All other repairs and maintenance are charged to the Statement of Profit and Loss during
the reporting period in which they are incurred.
Depreciation methods, estimated useful lives and residual value
Depreciation on Factory Buildings, Plant and Equipment, and other assets related to Factory is provided on a Straight
Line Method and all assets related to Mumbai Office on Written Down Value Method, over the estimated useful lives
of assets.
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The Company depreciates Its property, plant and equipment over the useful life In the manner preserved in bcneouie »
to the Act, and management believe that useful life of assets are same as those prescribed In Schedule II to the Act,
d) Investment Properties
Property that Is held for long term rental yields and that Is not occupied by the company, Is classified as
investment property.lnvestment property Is measured at Its cost, Including related transaction costs and where
applicable borrowing costs less depreciation and Impairment If any.
e) Cash and Cash Equivalents
For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes cash on hand,
bank overdraft, balance in current account.
f) Borrowings
Borrowings are initially recognised at net of transaction costs incurred and measured at amortised cost. Any difference
between the proceeds (net of transaction costs) and the redemption amount is recognised in the Statement of
Profit and Loss over the period of the borrowings using the effective interest method.
g) Borrowing costs
Other interest and borrowing costs are charged to Statement of Profit and Loss.
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