(a) The accounts are maintained on Mercantile basis as per historical
 cost conventions in accordance with the generally accepted accounting
 principles.
 
 (b) All income and expenditure items having a material bearing on the
 financial statements are recognized on accrual basis.
 
 (c) Preliminary Expenses are amortized equally over a period of ten
 years.
 
 (e) Stock is valued at cost.