1. Basis of preparation
The financial statements are prepared under the historical cost
convention in accordance with Generally Accepted Accounting Principles
(GAAP), and the Provisions of the Companies Act, 1956 as constantly
adopted by the Company.
Accounting policies not specifically referred to otherwise are
consistently followed and are in consonance with Generally Accepted
All income and expenditures are accounted for on accrual basis unless
otherwise specifically stated.
2. Fixed Assets
Fixed Assets are stated at cost less depreciation. Fixed Assets
includes all related expenses upto acquisition and installations.
Depreciation on fixed assets have been provided on Written Down Value
Method at the rates specified in the schedule XIV of the Companies Act,
Investments are stated at cost.
Inventories are valued at Cost or net realizable value, whichever is
6. Retirement Benefits
Retirement benefits payable to the employees are accounted for on cash
basis as and when paid.
7. Revenue Recognition
Sales are recognized at the time of dispatch of the goods.