A. ACCOUNTING CONCEPTS:
The financial statements have been prepared to comply in all material
aspects with the notified Accounting Standard by Companies Accounting
Standards Rules, 2006 and the relevant provisions of the Companies Act,
1956. The financial statements are prepared and presented on the basis
of generally accepted accounting principles and historical cost
convention on accrual basis. The accounting policies have been
consistently applied by the Company and are consistent with those used
in the previous year.
B. REVENUE RECOGNISTION:
Finance Income is recognized on mercantile basis, when the income is
accrued and due to the Company. Dividend income is recognized on
C. FIXED ASSETS:
The fixed assets are stated at cost, less accumulated depreciation and
impairment losses if any. Cost comprises the purchase price and any
attributable cost of bringing the asset to its working condition for
its intended use.
Depreciation is provided on the straight line method at the rates
prescribed in Schedule XIV of Companies Act, 1956 and Web site
(included in Computer Software) is amortized at the rate of 16.21% p.a.
under straight line value method
Investments are valued at cost.
F. RETIREMENT BENEFITS:
Gratuity to employees will be accounted for on cash basis.
In respect of provident fund and employees state insurance scheme
contribution is not applicable to the company.
Tax Expense comprises of current and deferred tax. Current tax is
determined as the amount of tax payable in respect of taxable income
for the financial year ended 31st March 2012. Deferred Tax is
recognized subject to consideration of prudence in respect of deferred
tax assets, on timing difference between taxable income and accounting
income that originate in one period and are capable of reversal in one
or more period.