I. Basis of preparation of financial statements:
The financial statements have been prepared under the historical cost
convention in accordance with the generally accepted accounting
policies, and the provisions of the Companies Act, 1956 as adopted
consistently by the Company.
Accounting policies not specifically referred otherwise are consistent
and in consistence with generally accepted accounting principles
followed by the Company.
II. Basis of Accounting:
All Income and Expenditure items having a material bearing on the
financial statements are recognized on accrual system.
III. Fixed Assets:
Company does not have any Fixed Assets.
Company does not have any Fixed Assets. Therefore, no depreciation is
Income Tax expense comprises current tax deferred tax charge or credit.
The deferred charge or credit is recognized using current tax rates.
Where there is unabsorbed or carry forward depreciation, deferred tax
assets are recognized only if there is virtual certainty of realisation
of such assets. Other deferred tax assets are recognised only to the
extent there is reasonable certainty of realisation in future. Deferred
tax assets/ liabilities are reviewed as at each Balance Sheet date
based on developments during the year and available case laws to
Stocks of shares, securities and Commodities have been valued at cost
or market value whichever is lower.
Interest on Inter Corporate Deposits, Loan and other financial services
are accounted for on accrual basis.
VIII. Recognition of Expenditure.
Revenue expenditure is accounted for on accrual basis.
IX. Miscellaneous Expenditure:
The Company amortizes Miscellaneous Expenditure over a period of ten