(i) Basis of Preparation of Financial Statements.
 
 The financial statements have been prepared on the historical cost
 convention, on an accrual basis and comply in all material respect with
 the Accounting Standards notified by Companies (Accounting Standard)
 Rules, 2006 and the relevant provisions of the Companies Act, 1956.
 
 (ii) The preparation of the financial statements requires the
 management to make estimates and assumptions considered in the reported
 amounts of assets and liabilities (including the contingent
 liabilities) and the reported income and expenses during the reporting
 period. The management believes that the estimates used in the
 preparation of the financial statements are prudent and reasonable. The
 differences between the actual results and the estimates are recognised
 in the periods in which the results are known / materialise.
 
 (iv) Income from Dividend is accounted as and when such dividend has
 been declared and the Companys right to receive payment is
 established.
 
 Interest income is recognised on a time proportion basis, taking into
 account the amount outstanding and the rate applicable.
 
 (v) a) Short-term employee benefits are recognised as an expense at the
 undiscounted amount in the profit and loss account of the period in
 which the related service is rendered.
 
 b) Contributions under Defined Contribution Plans are recognised in the
 Profit and Loss Account in the period in which the employee has
 rendered the service.
 
 c) Companys liability towards Defined Benefit Plans / Long term
 compensated absences is determined by an inde- pendent actuary using
 the projected unit credit method. Past services are recognised on a
 straight line basis over the average period until the benefits become
 vested. Actuarial gains and losses are recognised immediately in the
 statement of Profit and Loss Account as income or expense. Obligation
 is measured at the present value of estimated future cash flows using a
 discounted rate that is determined by reference to the market yields at
 the Balance Sheet date on Government Bonds where the currency and terms
 of the Government Bonds are consistent with the currency and estimated
 terms of the defined benefit obligation.
 
 (vi) a) Long Term investments are stated at average cost except where
 there is a diminution other than temporary, for which provision is
 made.
 
 b) Current investments are stated at the lower of cost and fair value,
 considered category wise.
 
 (vii) Income tax expense comprises current tax and deferred tax charge
 or credit. The current tax is determined as the amount of tax payable
 in respect of the estimated taxable income for the period. The deferred
 tax charge or credit is recognised using prevailing enacted or
 substantively enacted tax rates. Where there is unabsorbed depreciation
 or carry forward losses, deferred tax assets are recognised only if
 there is virtual certainty of realisation of such assets.  Other
 deferred tax assets are recognised only to the extent there is a
 reasonable certainty of realisation in future.  Deferred tax
 assets/liabilities are reviewed at each balance sheet date based on
 developments during the year and available case laws to reassess
 realisation/liabilities.