a) Basis of Accounting:
 
 The financial statements have been prepared on accrual basis under the
 historical cost convention, in conformity in all material aspects with
 the generally accepted accounting principles in India, the Accounting
 Standards as prescribed by the Companies (Accounting Standards) Rules,
 2006.
 
 b) Use of Estimates:
 
 The preparation of financial statements in conformity with generally
 accepted accounting principles requires management to make estimates
 and assumptions that affect the reported amounts of assets and
 liabilities on the date of the financial statements and the reported
 amounts of revenues and expenses during the reporting period.  Actual
 results could differ from those estimates.  Differences between the
 actual results and estimates are recognised in the period in which the
 results are known/materialised.
 
 c) Fixed Assets and Depreciation:
 
 Fixed Assets are stated at cost less accumulated depreciation. Cost
 includes all expenses related to acquisition and installation of the
 concerned assets and any attributable cost of bringing the asset to the
 condition of its intended use.
 
 Direct financing cost incurred during the construction period on major
 projects is also capitalised.
 
 Depreciation is provided under the straight line method, based on
 useful lives of assets as estimated by the Management or at the rates
 prescribed in Schedule VI to the Companies Act, 1956, whichever is
 higher. Depreciation is charged on a monthly pro-rata basis for assets
 purchased/ sold during the year. Individual assets acquired for less
 than Rs. 5,000/- are entirely depreciated in the year of acquisition.
 Leasehold assets are amortised over the period of the lease. The
 Management''s estimate of useful lives for various fixed assets is as
 under:
 
 d) Leases:
 
 Lease arrangements where the risks and rewards incident to ownership of
 an asset substantially vest with the lessor, are recognised as
 operating leases.  Lease rentals under operating leases are recognised
 in the profit and loss account on straight line basis.
 
 e) Asset Impairment:
 
 Management periodically assesses using, external and internal sources,
 whether there is an indication that an asset may be impaired. An
 impairment occurs where the carrying value exceeds the present value of
 future cash flows expected to arise from the continuing use of the
 asset and its eventual disposal. The impairment loss to be expensed is
 determined as the excess of the carrying amount over the higher of the
 asset''s net sales price or present value as determined above.
 
 f) Investments:
 
 Long-term investments are carried at cost.  Provision for diminution,
 if any, in the value of each long term investment is made to recognise
 a decline, other than that of a temporary nature.
 
 Current investments intended to be held for less than one year are
 stated at the lower of cost and market value.
 
 g) Foreign Exchange Transactions:
 
 Transactions in foreign currency are recorded at the exchange rates
 prevailing on the date of the transaction. Monetary assets and
 liabilities related to foreign currency transactions, remaining
 unsettled at the year end, are stated at the contracted rates when
 covered under forward foreign exchange contracts and at year end rates
 in other cases. Non-Monetary foreign currency items like investments in
 foreign subsidiaries are carried
 at cost and expressed in Indian currency at the rate of exchange
 prevailing at the time of making the original investment.
 
 h) Derivative Instruments and Hedge Accounting:
 
 The Company uses foreign currency forward contracts to hedge its risk
 associated with foreign currency fluctuations relating to certain firm
 commitments and highly probable forecast transactions. The Company
 designates these as Cash Flow Hedges.
 
 The use of foreign currency forward contracts is governed by the
 Company''s policies approved by the Board of Directors, which provide
 written principles on the use of such forward contracts consistent with
 the Company''s risk management strategy. The Company does not use
 derivative financial instruments for speculation purpose.
 
 Foreign currency forward contracts are initially measured at fair value
 and are remeasured at subsequent reporting dates. Changes in the fair
 value of these derivatives that are designated and effective as hedges
 of the future cash flows are recognized directly under Shareholder''s
 Funds in the Cash Flow Hedging Reserve and the ineffective portion is
 recognised immediately in the Profit and Loss Account.
 
 Changes in the fair value of derivative financial instruments that do
 not qualify for hedge accounting are recognised in the profit and loss
 account as they arise.
 
 Hedge accounting is discontinued when the hedging instrument expires or
 is sold, terminated, exercised, or no longer qualifies for hedge
 accounting. At that time for forecasted transactions, any cumulative
 gain or loss on the hedging instruments recognized in the Cash Flow
 Hedging Reserve is retained there until the forecasted transaction
 occurs. If a hedge transaction is no longer expected to occur, the net
 cumulative gain or loss recognized in the Cash Flow Hedging Reserve is
 transferred to profit and loss account for the year.
 
 i) Revenue Recognition:
 
 Revenue is recognised to the extent that it is probable that the
 economic benefits will flow to the Company and the revenue can be
 reliably measured.
 
 Services:
 
 Revenue from time and material contracts for software development is
 recognised on a per hour basis as per the terms and conditions agreed
 with the customers or on completion of contracts or when the
 deliverables are dispatched to customers. In case of fixed price
 contracts, which are generally time bound, revenue is recognised over
 the life of the contract using proportionate completion method, on the
 basis of work completed. Foreseeable losses on such contracts are
 recognised when probable.
 
 Unbilled Revenues included in loans and advances represents costs in
 excess of billings as at the balance sheet dates. Advance Billing and
 Deferred Revenue included in current liabilities represents billing in
 excess of revenue recognised.
 
 Products:
 
 Revenue from sale of traded software products is recognised when the
 software has been delivered, in accordance with sales contract. Revenue
 from software upgradation fees on software developed by the Company is
 recognised over the period for which it is received.
 
 Others:
 
 Interest income is recognised on time proportion basis. Dividend income
 is recognised when the right to receive the payment is established.
 
 j) Borrowing Costs:
 
 Borrowing costs that are directly attributable to the acquisition of an
 asset that necessarily takes a substantial period of time to get ready
 for its intended use are capitalised as part of the cost of that asset
 till the date it is put to use. Other borrowing costs are recognised as
 an expense in the period in which they are incurred.
 
 k) Research and Development Expenditure:
 
 Expenditure on in-house development of software is charged to the
 profit and loss account in the year in which it is incurred.
 
 I) Software Expenditure:
 
 (i) Software purchased is capitalised and written off over its useful
 life, which is normally three years, provided the software is regularly
 updated through a maintenance contract, failing which, the unamortised
 balance is charged to revenue. If the usage of software is
 discontinued, its unamortised cost is also charged to revenue.
 
 (ii) The cost of software purchased for specific software development
 contracts is charged over the period of such contracts, or three years,
 whichever is less.
 
 (iii) Small-value software purchases costing between Rs. 5,000 and Rs.
 50,000, other than software categorised as ''Standard Software
 Development Tools'', is written off as and when incurred. Software
 categorised as ''Standard Software Development Tools'' is capitalised and
 depreciated over a period of three years.
 
 (iv) Software costing below Rs. 5,000 is written off as and when the
 cost is incurred.
 
 m) Employee Stock Option Schemes:
 
 Stock Options granted to employees are in accordance with the SEBI
 (Employee Stock Option Scheme and Employee Stock Purchase Scheme)
 Guidelines, 1999 and are at market price calculated under the said
 Guidelines. The intrinsic value, being the difference, if any, between
 market price and exercise price is treated as Personnel Expenses and
 charged to Profit and Loss Account. The value of the options is treated
 as a part of employee compensation in the financial statements and is
 amortised over the vesting period.
 
 n) Warranty Obligations:
 
 In respect of products sold by the Company, which carry a specified
 warranty, future costs that will be incurred by the Company in carrying
 out its obligations are estimated and accounted for on accrual basis.
 
 o) Income tax:
 
 Current income tax expense comprises taxes on income from operations in
 India and in foreign jurisdictions. Income tax payable in India is
 determined in accordance with the provisions of the Income Tax Act,
 1961. Tax expense relating to foreign operations is determined in
 accordance with tax laws applicable in countries where such operations
 are domiciled.
 
 Minimum alternative tax (MAT) paid in accordance to the tax laws, which
 gives rise to future economic benefits in the form of adjustment of
 future income tax liability, is considered as an asset if there is
 convincing evidence that the Company will pay normal income tax after
 the tax holiday period.  Accordingly, MAT is recognised as an asset in
 the balance sheet when it is probable that the future economic benefit
 associated with it will flow to the Company and the asset can be
 measured reliably.
 
 Deferred tax expense or benefit is recognised on timing differences
 being the difference between taxable income and accounting income that
 originate in one period and are capable of reversal in one or more
 subsequent periods. Deferred tax assets and liabilities are measured
 using the tax rates and tax laws that have been enacted or
 substantively enacted by the balance sheet date.
 
 In the event of unabsorbed depreciation and carry forward of losses,
 deferred tax assets are recognised only to the extent that there is
 virtual certainty that sufficient future taxable income will be
 available to realise such assets. In other situations, deferred tax
 assets are recognised only to the extent that there is reasonable
 certainty that sufficient future taxable income will be available to
 realise these assets.
 
 Advance taxes and provisions for current income taxes are presented in
 the balance sheet after off-setting advance taxes paid and income tax
 provisions arising in the same tax jurisdiction and the Company intends
 to settle the asset and liability on a net basis.
 
 The Company offsets deferred tax assets and deferred tax liabilities if
 it has a legally enforceable right and these relate to taxes on income
 levied by the same governing taxation laws.
 
 p) Segment Reporting:
 
 As per AS-17 Segment Reporting if a single financial report contains
 both consolidated financial statements and the separate financial
 statement of the parent, segment information need be presented only on
 the basis of the consolidated financial statements. Accordingly
 information required to be presented under AS-17 Segment Reporting has
 been given in the consolidated financial statements.
 
 q) Employee Benefits:
 
 i.  Short-term Employee benefits:
 
 All employee benefits payable wholly within twelve months of rendering
 the service are classified as short-term employee benefits.  Benefits
 such as salaries, performance incentives, leave encashment etc., are
 recognised as an expense at the undiscounted amount in the Profit and
 Loss Account of the year in which the employee renders the related
 service.
 
 ii.  Post Employment benefits:
 
 a) Defined Contribution Plans:
 
 Payments made to defined contribution plans such as Provident Fund and
 Superannuation are charged as an expense in the Profit and Loss Account
 as they fall due.
 
 b) Defined Benefit Plans:
 
 The Company has maintained a Group Gratuity Cum Life Assurance Scheme
 through a Master Policy with the Life Insurance Corporation of India
 towards which annual premiums as determined by actuarial valuation are
 paid and charged against revenue. Under the Gratuity plan, every
 employee is entitled to the benefit equivalent to fifteen days final
 salary last drawn for each completed year of service depending on the
 date of joining. The same is payable on termination of services or
 retirement whichever is earlier. The benefit vests after five years of
 continuous services.
 
 r) Provision, Contingent Liabilities and Contingent Assets:
 
 A provision is recognised when the Company has a present obligation as
 a result of past event and it is probable that an outflow of resources
 embodying economic benefits will be required to settle the obligation
 in respect of which a reliable estimate of the amount of the obligation
 can be made.
 
 Provisions are not discounted to its present value and are determined
 based on current best estimate. Contingent liabilities are not
 recognised in the financial statements.
 
 Contingent Assets are not recognised nor disclosed in the financial
 statements.