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. Use of Estimates: -
The preparation of financial statements in conformity with Indian GAAP requires the
management to make judgments, estimates and assumptions that affect the reported
amounts of revenues, expenses, assets and liabilities and the disclosure of contingent
liabilities, at the end of the reporting period. Although these estimates are based on the
management's best knowledge of current events and actions, uncertainty about these
assumptions and estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets or liabilities in future periods.
3. Revenue Recognition: -
Expenses and Income considered payable and receivable respectively are accounted for
on accrual basis. Revenue is recognized to the extent that it is probable that the economic
benefits will flow to the Company and the revenue can be reliably measured.
4. Property, Plant & Equipment: -
Company does not have any property, plant & equipment including intangible assets.
5. Investments: -
Company does not have any non-current or current investments.
6. Inventories: -
Company does not have any amount of inventories.
7. Foreign Currency Transactions: -
Transactions in foreign currencies are accounted at the rate prevalent at the time of
transaction. Foreign currency monetary items of the Company, outstanding at the balance
sheet date are restated at the year-end rates. Non-monetary items of the Company are
carried at historical cost. Exchange differences arising on settlement/restatement of short¬
term foreign currency monetary assets and liabilities of the Company are recognized as
income or expense in the Statement of Profit and Loss.
The exchange differences arising on settlement/restatement of long-term foreign currency
monetary items are capitalized as part of the depreciable fixed assets to which the
monetary item relates and depreciated over the remaining useful life of such assets.
8. Borrowing cost: -
Borrowing costs that are attributable to the acquisition or construction of the qualifying
assets are capitalized as part of the cost of such assets. A qualifying asset is one that
necessarily takes a substantial period of time to get ready for its intended uses or sale. All
other borrowing costs are charged to revenue in the year of incurrence.
9. 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. Deferred
tax assets arising from timing differences are recognized to the extent there is virtual
certainty with convincing evidence that these would be realized in future. At each Balance
Sheet date, the carrying amount of deferred tax is reviewed to reassure realization.
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