1. SIGNIFICANT ACCOUNTING POLICIES:
(i) Fixed Assets are capitalised at cost including all direct costs and
other expenses incurred In connection with acquisition of fixed assets
(ii) Depreciation is provided on Written Down Value Method at the rates
prescribed in schedule XIV to the Companies Act, 1956 on prorata basis
with reference to the actual date of purchase/use.
(iii) BASIS OF ACCOUNTING
The Accounts of the Company are prepared under the historical Cost
Convention and in accordance with applicable accounting standard except
otherwise stated. Mercantile System of Accounting is followed.
(iv) REVENUE RECOGNITION
Revenues from the Sales is recognised at the point of despatch of goods
from works since Company is 100% E.O.U.
(v) FOREIGN CURRENCY TRANSACTIONS
Transactions in foreign currency are accounted for at the exchange rate
prevailing on the date of transactions. The exchange differences
arising on their settlement are dealt with in the Profit and Loss
(Vi) GOVERNMENT SUBSIDY
Investment subsidy is treated as Capital Reserve.