A. BASIS OF COMPLIANCE
The financial statements comply, in all material aspects, with Indian Accounting Standards ('Ind AS') notified
under Section 133 of the Companies Act, 2013 ('the 2013 Act') read with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 and other relevant provisions of the Act.
B. BASIS OF PREPARATION:-
The financial statement has been prepared under the historical cost conventional accrual basis of
accounting. Historical cost is generally based on the fair value of the consideration given in exchange for
goods and services. Fair value is the price that would be received to sell an asset or paid to transfer a liability
in an orderly transaction between market participants at the measurement date.
These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS), the
provisions of the Companies Act, 2013 (“The Companies Act”), as applicable and guidelines issued by the
Securities and Exchange Board of India (“SEBI”). The Ind AS are prescribed under section 133 of the Act read
with rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting
Standards) Amendment Rules, 2016.
C. USE OF ESTIMATES
The preparation of financial statements are in conformity with the recognition and measurement principles
of Ind AS requires management to make estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent liabilities on the date of the financial statements and the
reported amounts of revenues and expenses during the reporting period. Actual results could differ from
those estimates. Any revision to accounting estimates is recognized prospectively in current and future
periods. Examples of such estimates include provisions for doubtful debts, provision for income taxes and
the useful lives of property, plant and equipment.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are recognized in the period in which the estimates are revised and future periods are affected.
Key source of estimation at the date of the financial statements, which may cause a material adjustment to
the carrying amounts of assets and liabilities, within the next financial year, is in respect of percentage of
completion of contracts and recognition of probable loss, useful lives of property, plant and equipment,
provision for income tax and valuation of deferred tax assets, and other provisions and contingent liabilities.
1. PROPERTY, PLANT AND EQUIPMENT:-
a) Property, plant and Equipment are stated at costs less accumulated depreciation and impairment loss, if
any.
b) Directly identified expenses are being capitalized. All other allocable expenses during the period of
construction for the project are being capitalized proportionately on the basis of the value of assets on
date of production
2. DEPRECIATION:-
(a) Depreciation on property, plant and equipment has been provided in the books of accounts, as per the
rates prescribed in schedule II of the companies Act, 2013 as per Written down Value Method.
(b) Depreciation on additions to and deductions from property, plant and equipment is being provided on
pro-rata basis from /to the date of acquisition/disposal.
3. RECOGNITION OF INCOME AND EXPENDITURE:-
i. Mercantile method of accounting is employed. However where the amount is immaterial / negligible
and / or establishment of accrual / Determination of amount is not possible, no entries are made for
the accruals.
ii. Interest on allotment/ call/refund money is accounted for on cash basis.
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