The Company has follow mercantile system of accounting.
Income and Expenditure are recognised on accrual basis. The
Depreciation has been provided on written down value method in
accordance with the rates provided under schedule XIV (as per fixation
dated 16.12.93) of the Companies Act, 1956.
The closing stock has been valued at cost.
Investments are stated at cost.
Provision for the Gratuity has been made since the gratuity Act does
not applicable to the Company.
Expenditure incurred on employees who were in receipt of remuneration
aggregating to (I) Rs. 6,00,000/- for the year and (ii) Rs. 50,000/-
per month if employed for part of year: Nil (Nil).
5. MISCELLANEOUS EXPENDITURE
The Preliminary expenses has been written off over a period at ten
years. During the year of 1/10th has been written off.