A. Significant Accounting Policies
1. Basis of accounting:-
These financial statements have been prepared in accordance with the Generally Accepted
Accounting Principles in India (Indian GAAP) including the Accounting Standards notified 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 financial statements have been prepared under the historical cost convention on accrual
basis.
2. Revenue Recognition :-
Expenses and Income considered payable and receivable respectively are accounted for on accrual
basis
3. Property, Plant and Equipment :-
Fixed assets are stated at their original cost of acquisition including taxes, freight and other
incidental expenses related to acquisition and installation of the concerned assets.
4. Depreciation :-
Depreciation on Fixed Assets is provided to the extent of depreciable amount on the Written down
Value (WDV) Method. Depreciation is provided based on useful life of the assets as prescribed in
Schedule II to the Companies Act, 2013.
5. Miscellaneous Expenditure:-
Miscellaneous Expenditure comprises of Preliminary expenses that are amortized over a period of
five years.
6. Taxes on Income:-
Provision for current tax is made on the basis of estimated taxable income for the current
accounting year in accordance with the Income Tax Act, 1961. The deferred tax for timing
differences between the book and tax profits for the year is accounted for, using the tax rates and
laws that have been substantively enacted by the balance sheet date.
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