(i) Basis for preparation of accounts:
 
 The financial statements have been prepared under the historical cost
 convention in accordance with the accounting principles generally
 accepted in India and comply with the mandatory Accounting Standards
 notified by the Central Government of India under The Companies
 (Accounting Standards) Rules, 2006 and with the relevant provisions of
 the Companies Act, 1956.
 
 Use of estmates:
 
 The preparation of the financial statements, in conformity with the
 generally accepted accounting principles, requires estimates and
 assumptions to be made that affect the reported amounts of assets and
 liabilities on the date of financial statements and the reported
 amounts of revenues and expenses during the reported period.
 Differences between the actual results and estimates are recognised in
 the period in which the results are known/ materialised.
 
 (ii) Fixed assets:
 
 Fixed assets are stated at cost less depreciation. Cost comprises of
 purchase price and other directly attributable costs of bringing the
 asset to its working condition for its intended use and includes
 interest on moneys borrowed for construction/ acquisition of fixed
 assets up to the period the assets are ready for use. Depreciation is
 calculated on straight line method at the rates and in the manner
 prescribed in Schedule XIV of the Companies Act, 1956 except for the
 following:
 
 (a) Leasehold land and buildings are amortised over the period of
 lease.
 
 (b) Floating cottages grouped under building are depreciated over the
 useful life of 25 years.
 
 (c) Furniture and Fixtures in Club Mahindra Holiday World are
 amortised over a period of 36 months from the date of capitalisation.
 
 (d) Motor vehicles provided to employees are depreciated over a period
 of 48 months. Other assets provided to employees are depreciated over a
 period of 60 months.
 
 (e) Intangible assets representing vacation ownership is amortised
 over a period of ten years.
 
 (f) Expenditure incurred towards software is amortised over a period of
 36 months.
 
 (g) Expenditure on product design and development & web portal is
 amortised over the estimated useful life of the asset i.e.  3 / 4
 years.
 
 (h) Non- compete fee is amortised over a period of 5 years.
 
 (iii) Assets taken on Lease and Hire Purchase:
 
 Assets taken on Lease and Hire Purchase arrangements, wherein the
 Company has an option to acquire the assets at the end of the lease are
 accounted for as fixed assets in accordance with Accounting Standard 19
 on Leases.
 
 (iv) Expenditure during construction period:
 
 Revenue expenses incurred in connection with construction of resorts
 insofar as such expenses relate to the period prior to the date the
 resort is put to use are treated as part of project cost and
 capitalised.
 
 (v) Inventories:
 
 Inventories are stated at cost or net realisable value, whichever is
 lower. The cost is arrived at on first in first out method.
 
 (vi) Investments:
 
 Long term investments are stated at acquisition cost less provision, if
 any, for diminution in value other than temporary.
 
 Current investments are carried at lower of cost and fair value.
 
 (vii) Revenue recognition:
 
 (a) The companys business is to sell Vacation ownership and provide
 holiday facilities to members for a specified period each year, over a
 number of years, for which membership fee is collected either in full
 up front, or on a deferred payment basis. Admission fee, which is
 non-refundable, is recognized as income on admission of a member.
 Entitlement fee (disclosed under Advance towards Members facilities),
 which entitles the vacation ownership member for the vacation ownership
 facilities over the membership usage period, is recognized as income
 equally over the usage period. Requests for cancellation of membership
 is accounted for when it is accepted by the Company. In respect of
 instalments considered doubtful of recovery by the management, the same
 is treated as a cancellation and accounted for accordingly.
 
 (b) Annual subscription fee dues from members are recognised as income
 on an accrual basis.
 
 (c) Interest on instalment sales is recognised as income on an accrual
 basis.
 
 (d) Income from resorts includes income from room rentals, food and
 beverages, etc. and is recognised when services are rendered.
 
 (e) Securitised assets are derecognised as the contractual rights
 therein are transferred to the third party. On being derecognised, the
 difference between book value of the securitised asset and
 consideration received is recognised as gain or loss arising on
 securitisation.
 
 (f) Income from travel services includes commission on tickets/hotel
 booking, service charges from customers, etc. and is recognised when
 services are rendered.
 
 (g) Income from home stays is recognized when services are rendered.
 
 (viii) Foreign exchange transactions:
 
 Foreign exchange transactions are recorded at exchange rates prevailing
 on the date of the transactions. The exchange gain / loss arising on
 settlement of such transactions is adjusted to the profit and loss
 account.
 
 Monetary assets and liabilities denominated in foreign currency are
 translated at exchange rates prevailing at the Balance sheet date and
 gain or loss arising out of such translation is adjusted to the profit
 and loss account.
 
 (ix) Employee benefits:
 
 Short term employee benefit plans
 
 All short term employee benefit plans such as salaries, wages, bonus,
 special awards and, medical benefits which fall due within 12 months of
 the period in which the employee renders the related services which
 entitles him to avail such benefits are recognized on an undiscounted
 basis and charged to the profit and loss account.
 
 Defined Contribution Plan
 
 Contributions to the provident and pension funds are made monthly at a
 predetermined rate to the Regional Provident Fund Commissioner and
 debited to the profit and loss account on an accrual basis.
 Contributions to superannuation fund are accounted on the same basis
 and is made to the Life Insurance Corporation of India (LIC).
 
 Defined Benefit Plan
 
 The company has an arrangement with the Life Insurance Corporation of
 India (LIC) to administer its gratuity scheme. The contribution
 paid/payable is debited to the profit and loss account on an accrual
 basis. Liability towards gratuity is provided on the basis of an
 actuarial valuation as at balance sheet date using the Projected Unit
 Credit method and debited to the profit and loss account on an accrual
 basis. Actuarial gains and losses arising during the year are
 recognized in the profit and loss account. Long term compensated
 absences is similarly valued on an actuarial basis and is unfunded.
 
 (x) Taxes on income:
 
 Income taxes are accounted for in accordance with Accounting Standard
 22 on Accounting for Taxes on Income. Tax expense comprises both
 current and deferred tax. Current tax is determined as the amount of
 tax payable in respect of taxable income for the period using the
 applicable tax rates and tax laws. Deferred tax assets and liabilities
 are recognised, subject to consideration of prudence, 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 and are measured using tax rates enacted or
 substantively enacted as at the Balance Sheet date. The carrying amount
 of deferred tax assets and liabilities are reviewed at each Balance
 Sheet date.
 
 (xi) Share issue expenses:
 
 Expenses incurred in connection with issue of share capital are
 adjusted against securities premium account.
 
 (xii) Borrowing Cost:
 
 Borrowing cost that are attributable to the acquisition, construction
 or production of qualifying asset are capitalized as part of cost of
 such asset till such time as the asset is ready for its intended to use
 or sale. A qualifying asset is an asset that necessarily requires a
 substantial period of time to get ready for its intended use or sale.
 All other borrowing costs are recognized as expenses in the period in
 which they are incurred.
 
 (xiii) Impairment of assets
 
 Consideration is given at each balance sheet date to determine whether
 there is any indication of impairment of the carrying amount of the
 companys fixed assets. If any indication exists, an assets
 recoverable amount is estimated. An impairment loss is recognised
 whenever the carrying amount of an asset exceeds its recoverable
 amount. The recoverable amount is greater of the net selling price and
 value in use. In assessing the value in use, the estimated future cash
 flows are discounted to their present value based on an appropriate
 discount factor.
 
 (xiv) Provision & contingencies:
 
 A provision is recognised when the Company has a present obligation as
 a result of past events and it is probable that an outflow of resources
 will be required to settle the obligation in respect of which reliable
 estimate can be made. Provisions are not discounted to present value
 and are determined based on the best estimate required to settle the
 obligation at the Balance sheet date. These are reviewed at each
 Balance Sheet date and adjusted to reflect the current best estimates.
 Contingent Liabilities are not recognised but are disclosed in the
 notes. Contingent Assets are neither recognised nor disclosed in the
 financial statements.