| (a) FIXED ASSETS AND DEPRECIATION :
Expenditure of capital nature are capitalised at cost which comprises
of purchase price and any cost directly attributable to bring the asset
to its working condition for the intended use.
Depreciation is provided from the date the assets have been put to use
and on straight line basis at the rates specified in accordance with
Schedule XIV of the Companies Act, 1956, including extra shift
allowance wherever applicable. The Value of Mother Plants for the
Floriculture Division, is charged off considering the estimated useful
life of the Plants.
(b) INVESTMENTS :
Long term investments are valued at cost. Provision if any, is made to
recognise a decline other than a temporary, in the value of long term
investments. Investments held as stock in trade are valued at lower of
cost or market value.
(c) REVENUE RECOGNITION :
Revenue is recognised on accrual basis.
(d) RETIREMENT BENEFITS :
Provident Fund is administered through Regional Provident Fund
Commissioner. The Company has taken a Group Gratuity Policy for the
employees with Life Insurance Corporation of India. The contributions
to Provident Fund and the premiums paid to Life Insurance Corporation
of India are charged against revenue. Encashment of leave is at the
discretion of the management and is charged to Revenue in the year of
payment.
(e) INVENTORY:
Raw Materials, Finished Goods, Stores and Spares and Packing Materials
are valued at lower of cost or market value. The cost formula used is
First In First Out Method
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