1.  Accounting Convention
 
 The accounts have been prepared on historical cost basis.
 
 2.  Sales
 
 Sales are exclusive of sales tax.
 
 3.  Revenue Recognition
 
 The Company follows the mercantile system of accounting and recognizes
 income and expenditure on accrual basis.
 
 4.  Valuation of Inventories
 
 Traded Goods : At cost or market value whichever ts less.
 
 5.  Depreciation :
 
 Depreciation on Fixed Assets is provided under the WDV Method at the
 rates provided by schedule XIV to the Companies Act, 1956. Depreciation
 on additions during the year to being calculated on pro rata basis.
 
 6.  Taxation :
 
 The current year charge for income tax is calculated in accordance
 with the relevant tax regulations applicable to the Company. Deferred
 tax assets/ liabilities are recognized for future tax attributable to
 the timing differences that result between the profit offered for
 income tax and the profit as per the financial statements.
 
 7.  INVESTMENTS:
 
 Investments are valued at cost. In case of Investments in Unquoted
 shares, market value is not applicable.
 
 8.  Fixed Assets :
 
 Fixed Assets are stated at cost less accumulated depreciation, cost
 comprises, purchase price, duties, levies and other cost relating to
 the acquisition and installation of the Asset.