A. Basis of Preparation of Financial Statements
The financial statements are prepared under the historical cost contention and on accrual basis.
B. Fixed Assets:
i) Fixtd assets are stated at cast, alongwtlfr costs dlrectfy attriburab'c to bring the asset to their working condition. The MODVAT credit available on fixed assets in respect oF Kraft upgradafion Plant was deducted from cost of the respective asset. Fixed Assets acquired for Power Project and for upgrariation of existing plant, arc srated at cost inclusive af excise duty. The company has disposecf off a substantial part of its fixed Assets as these were obsolete. This has rmpaefed Its production capacity,
(ii) Depreciation has been provided in the manner and at the rates calculated as per remaining useful life of tangible assets, is stipulated in the Schedule II of the Companies Act, 2013, on straight line method.
C. inventories:
i) Inventories comprising of raw materials, chemicals, parking materials, goods in process and finished products have been valLed et lower of cost or net readable value The consumables have been valued at cost
ii) Inventories comprising of wodc ,p progress for land development project, is valued at cost
D. Deferred tax Liability:
No Provision has been made in respect of Deferred Tax Asset calculated as per land AS 22. of about Rs.391289 hundreds [Last year (319157) hundreds), arising due to timing differences in the depreciation charged under the income-tax Act, 1961 and that charged under the Companies Act 1956, and unabsorbed loss nrought forward, in view of the profitability trends. the amount of Unabsorbed Depreciation availablcand the liability of the company for payment of income tax in near future.
E. Revenue Recognition;
Revenue is recognized only wnen It can be reliably measured and it is reasonable to expect ultimate collectron.
F Segment Reporting;
The company has commenced business of Real Estate Development along with manufacture of papers. Segment wise separate reporting is done
G. The company has obtained permission from concerned Authorities for change of use of its factory land for Residential purpose with a plan for layout of plots and paid not necessary development fees and has also obtained registration with Maharashtra Real land are shown as work-in-progress
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