(1) Revenue recognition :
(a) All incomes and expenditures are accounted for on accrual basis.
(b) Dividends on Shares are accounted for in the year of receipt.
(2) Fixed Assets & Depreciation
All fixed assets are stated at historical cost less depreciation.
Depreciation is provided on written down value method at rates and
manner specified in schedule XIV to the Companies Act, I956.
Inventories are valued at lower of cost or market value.
Investments are classified as long term or short term depending upon
the intention to hold the same. Generally investments which are
readily realisable and are intended to be held for not more than one
year from the date of investment are treated as short term investments.
In terms of prudential norms of Reserve Bank of India long term
investments are valued at cost. However when there is a decline, other
than temporary, in value of long term investment, the carrying amount
is reduced to recognise the decline. Short term investments are valued
at lower of cost or market value.
(5) Miscellaneous Expenditure
Preliminary Expenses and Share issue Expenses are amortised over a
period of ten years.
6. Disclosure of Transactions with Related Parties (Figures in Rupees)
Related Parties Transactions have been disclosed in accordance with
Accounting Standard 18 issued by the Institute of Chartered Accountants