Accounting Policies of Aditya Spinners Ltd. Company

Mar 31, 2025

b) Summary of Material Accounting Policies

i. Statement of compliance

The financial statements have been prepared in accordance with Indian Accounting Standards
prescribed under section 133 of the Companies Act, 2013(“the Act”) read with the Companies
(Indian Accounting Standards) Rules, 2015 as amended and other accounting principles generally
accepted in India and guidelines issued by the Securities and Exchange Board of India (SEBI).
The Company has consistently applied accounting policies to all periods.

ii. Basis of preparation and presentation

The financial statements have been prepared on historical cost basis except for certain financial
instruments measured at fair value at the end of each reporting period as explained in the
accounting policies below.

Historical cost is generally based on the fair value of the consideration given in exchange for
goods and services at the time of their acquisition.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date, regardless of whether
that price is directly observable or estimated using another valuation technique. In estimating the
fair value of an asset or a liability, the Company takes into account the characteristics of the asset
or liability if market participants would take those characteristics into account when pricing the
asset or liability at the measurement date.

iii. Basis of preparation and presentation

These financial statements are presented in Indian Rupees ('') which is the functional currency of
the Company and the currency of the primary economic environment in which the Company
operates.

Rounding of amounts All amounts disclosed in the financial statements which also include the
accompanying notes have been rounded off to the nearest lakhs as per the requirement of
Schedule III to the Companies Act 2013, unless otherwise stated.

iv. Use of estimates

The preparation of financial statements in conformity with Ind AS requires management to make
judgments, estimates and assumptions, that affect the application of accounting policies and the
reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the
date of these financial statements and the reported amounts of revenues and expenses for the
years presented. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed at each balance sheet date. Revisions to
accounting estimates are recognised in the period in which the estimate is revised and future
periods affected.

In particular information about material areas of estimation uncertainty and critical judgements in
applying accounting policies that have the most significant effect on the amounts recognized in the
financial statements are included in following notes:

• Useful lives of property, plant and equipment and intangible assets

• Assets and obligations relating to employee benefits

• Evaluation of recoverability of deferred tax assets

• Financial instruments

• Measurement of recoverable amounts of cash generating units

• Provisions and contingencies

• Expected credit losses

v. Revenue recognition

The Company derives revenue from sale of yarn and recognized when it transfers control over the
goods to the customers. Revenue towards satisfaction of a performance obligation is measured at
the amount of transaction price (net of variable consideration) allocated to that performance
obligation. The transaction price of goods sold is net of variable consideration on account of
various discounts and schemes offered by the Company as part of the contract.

Interest income

Interest income from a financial asset is recognized when it is probable that the economic benefits
will flow to the company and the amount of income can be measured reliably. Interest income is
accrued on a time basis, by reference to the principal outstanding and at the effective interest rate
applicable.

vi. Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of qualifying
assets, which are assets that necessarily take a substantial period of time to get ready for their
intended use or sale, are added to the cost of those assets, until such time as the assets are
substantially ready for their intended use or sale.

Interest income earned on the temporary investment of specific borrowings pending their
expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization.
All other borrowing costs are recognised in profit or loss in the period in which they are incurred.

vii. Employee benefits

Employee benefits include provident fund, gratuity fund and compensated absences.

Defined Contribution Plans

The company’s contributions to provident fund are considered as defined contribution plans and
are charged as an expense based on the amount of contribution required to be made and when
services are rendered by the employees.

Defined Benefit Plans

For defined benefit retirement benefit plans, the cost of providing benefits is determined using the
projected unit credit method, with actuarial valuations being carried out at the end of each annual
reporting period. Re-measurement, comprising actuarial gains and losses, the effect of the
changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is
reflected immediately in the balance sheet with a charge or credit recognized in other
comprehensive income in the period in which they occur. Re-measurement recognised in other
comprehensive income is reflected immediately in retained earnings and is not reclassified to profit
or loss. Past service cost is recognised in profit or loss in the period of a plan amendment. Net
interest is calculated by applying the discount rate at the beginning of the period to the net defined
benefit liability or asset. Defined benefit costs are categorised as follows:

• service cost (including current service cost, past service cost, as well as gains and losses
on curtailments and settlements);

• net interest expense or income; and

• re-measurement

Short-term employee benefits

I he undiscounted amount of short-term employee benefits expected to be paid in exchange for the
services rendered by employees are recognized during the year when the employees render the
service. These benefits include compensated absences which are expected to occur within twelve
months after the end of the period in which the employee renders the related service.

viii. Taxation

Income tax expense comprises current and deferred taxes. Income tax expense is recognized in
the Statement of Profit and Loss except when they relate to items that are recognized outside
profit or loss (whether in other comprehensive income or directly in equity), in which case tax is
also recognized outside profit or loss

Current tax

Current income taxes are determined based on respective taxable income of each taxable entity.
Deferred tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and
liabilities in the financial statements and the corresponding tax bases used in the computation of
taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences.
Deferred tax assets are generally recognized for all deductible temporary differences to the extent
that it is probable that taxable profits will be available against which those deductible temporary
differences can be utilized.

ix. Property, plant and equipment

Property, plant and equipment are carried at cost less accumulated depreciation and impairment
losses, if any. The cost of property, plant and equipment comprises its purchase price net of any
trade discounts and rebates, any import duties and other taxes (other than those subsequently
recoverable from the tax authorities), any directly attributable expenditure on making the asset
ready for its intended use, other incidental expenses and borrowings costs attributable to
acquisition of qualifying fixed assets up to the date the asset is ready for its intended use. Freehold
land is not depreciated.

Capital work-in-progress in the course of construction for production, supply or administrative
purposes are carried at cost, less any recognised impairment loss. Cost includes professional fees
and, for qualifying assets, borrowing costs capitalised in accordance with the Company’s
accounting policy. Such Capital works in progress are classified to the appropriate categories of
property, plant and equipment when completed and ready for intended use. Depreciation of these
assets, on the same basis as other property assets, commences when the assets are ready for
their intended use.

An item of property, plant and equipment is derecognised upon disposal or when no future
economic benefits are expected to arise from the continued use of the asset. Any gain or loss
arising on the disposal or retirement of an item of property, plant and equipment is determined as
the difference between the sales proceeds and the carrying amount of the asset and is recognised
in profit or loss.

Depreciation is recognised so as to write off the cost of assets (other than freehold land and
properties under construction) less their residual values over their useful lives.

Depreciation on property, plant and equipment is provided on the straight line method based on
the useful life, in accordance with Schedule II of the Companies Act, 2013.

Depreciation on the revalued assets is adjusted against revaluation reserve without debiting to
Statement Profit & Loss. Depreciation on the revalued assets in accordance with INDAS is
adjusted against Other Comprehensive Income without debiting to Statement Profit & Loss.

x. Inventories ^

Inventories are valued at the lower of cost and net realizable value after providing for
obsolescence and other losses, where considered necessary. Costs of inventories are ascertained
on a weighted average basis. Cost of work in progress and finished goods include appropriate
allocation of overheads cost. Net realizable value is the estimated selling price in the ordinary
course of business less estimated cost of completion and selling expenses.

xi. A Cash and cash equivalents (for purposes of Cash Flow Statement)

Cash comprises cash on hand, in bank and demand deposits with banks. Cash equivalents are
short-term balances (with an original maturity of three months or less from the date of acquisition),
highly liquid investments that are readily convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.

Cash flows are reported using indirect method whereby profit/ (loss) after tax is adjusted for the
effects of transaction of non-cash nature and any deferrals or accruals of past or future cash
receipts and payments.

The cash flows from operating, investing and financing activities of the company are segregated
based on the available information.

xii. Financial Instruments

(A) Initial recognition

Financial assets and financial liabilities are recognized when a Company becomes a party to the
contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that
are directly attributable to the acquisition or issue of financial assets and financial liabilities (other
than financial assets and financial liabilities at fair value through profit or loss) are added to or
deducted from the fair value of the financial asset or financial liabilities, as appropriate, on initial
recognition. Transaction costs directly attributable to the acquisition of financial assets or
liabilities at fair value through profit or loss are recognized immediately in profit or loss.

(B) Subsequent measurement

a. Financial assets carried at amortised cost:

A financial asset is subsequently measured at amortised cost if it is held within a business
model whose objective is to hold the asset in order to collect contractual cash flows and
the contractual terms of the financial asset give rise on specified dates to cash flows that
are solely payments of principal and interest on the principal amount outstanding.

b. Financial assets at fair value through other comprehensive income:

A financial asset is subsequently measured at fair value through other comprehensive
income if it is held within a business model whose objective is achieved by both collecting
contractual cash flows and selling financial assets and the contractual terms of the
financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.

c. Financial assets at fair value through profit or loss:

A financial asset which is not classified in any of the above categories are subsequently
fair valued through profit or loss.

d. Financial liabilities:

Financial liabilities are subsequently carried at amortised cost using the effective interest
method, except for contingent consideration recognized in a business combination which is
subsequently measured at fair value through profit and loss. For trade and other payables

maturing within one year from the Balance Sheet date, the carrying amounts approximate fair
value due to the short maturity of these instruments.

(C) De-recognition of financial assets and liabilities

a. Financial assets:

The Company derecognizes a financial asset when the contractual rights to the cash flows
from the asset expire, or when it transfers the financial asset and substantially all the risks and
rewards of ownership of the asset to another party. If the Company retains substantially all the
risks and rewards of ownership of a transferred financial asset, the Company continues to
recognize the financial asset and also recognizes a collateralized borrowing for the proceeds
received.

On de-recognition of a financial asset in its entirety, the difference between the asset’s
carrying amount and the sum of the consideration received and receivable and the cumulative
gain or loss that had been recognized in other comprehensive income and accumulated in
equity is recognized in profit or loss if such gain or loss would have otherwise been recognized
in profit or loss on disposal of that financial asset.

b. Financial liabilities:

The Company derecognizes financial liabilities when, and only when, the Company’s
obligations are discharged, cancelled or have expired. The difference between the carrying
amount of the financial liability derecognized and the consideration paid and payable is
recognized in profit or loss.

xiii. Impairment of assets

a. Financial assets:

The Company recognizes loss allowances using the expected credit loss (ECL) model for the
financial assets which are not fair valued through profit or loss. Loss allowance for trade
receivables with no significant financing component is measured at an amount equal to lifetime
ECL. For all other financial assets, expected credit losses are measured at an amount equal to the
12-month ECL, unless there has been a significant increase in credit risk from initial recognition in
which case those are measured at lifetime ECL. The amount of expected credit losses (or
reversal) that is required to adjust the loss allowance at the reporting date to the amount that is
required to be recognized is recognized as an impairment gain or loss in profit or loss.

For trade receivables only, the Company applies the simplified approach permitted by Ind AS 109
Financial Instruments, which requires expected lifetime losses to be recognized from initial
recognition of the receivables. As a practical expedient, the company uses a provision matrix to
determine impairment loss of its trade receivables. The provision matrix is based on its historically
observed default rates over the expected life of the trade receivable and is adjusted for forward
looking estimates. The ECL loss allowance (or reversal) during the year is recognized in the
statement of profit and loss.
b. Non-financial assets:

Intangible assets and property, plant and equipment

Intangible assets and property, plant and equipment are evaluated for recoverability whenever
events or changes in circumstances indicate that their carrying amounts may not be recoverable.
For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair value less
cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does
not generate cash flows that are largely independent of those from other assets. In such cases,
the recoverable amount is determined for the CGU to which the asset belongs.

If such assets are considered to be impaired, the impairment to be recognized in the Statement of
Profit and Loss is measured by the amount by which the carrying value of the assets exceeds the
estimated recoverable amount of the asset. An impairment loss is reversed in the statement of
profit and loss if there has been a change in the estimates used to determine the recoverable
amount. The carrying amount of the asset is increased to its revised recoverable amount, provided
that this amount does not exceed the carrying amount that would have been determined (net of
any accumulated amortisation or depreciation) had no impairment loss been recognized for the
asset in prior years.

xiv. Earnings per share

Basic earnings per share is computed by dividing the net profit / (loss) attributable to the equity
holders of the company by the weighted average number of equity shares outstanding during the
year.

Diluted earnings per share is computed by dividing the profit / (loss) attributable to the equity
holders of the company as adjusted for dividend, interest and other charges to expense or income
(net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted
average number of equity shares considered for deriving basic earnings per share and the
weighted average number of equity shares which could have been issued on the conversion of all
dilutive potential equity shares

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Mar 31, 2024

1. a) Corporate Information

Aditya Spinners Limited (“The Company”) was incorporated on 14th February 1991 as a public limited company. Its shares are listed on Bombay Stock Exchange. The Company is engaged in the business of manufacture and sale of yarn.

b) Summary of Material Accounting Policiesi. Statement of compliance

The financial statements have been prepared in accordance with Indian Accounting Standards prescribed under section 133 of the Companies Act, 2013(“the Act”) read with the Companies (Indian Accounting Standards) Rules, 2015 as amended and other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India (SEBI). The Company has consistently applied accounting policies to all periods.

ii. Basis of preparation and presentation

The financial statements have been prepared on historical cost basis except for certain financial instruments measured at fair value at the end of each reporting period as explained in the accounting policies below.

Historical cost is generally based on the fair value of the consideration given in exchange for goods and services at the time of their acquisition.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date.

iii. Basis of preparation and presentation

These financial statements are presented in Indian Rupees ('') which is the functional currency of the Company and the currency of the primary economic environment in which the Company operates.

Rounding of amounts All amounts disclosed in the financial statements which also include the accompanying notes have been rounded off to the nearest lakhs as per the requirement of Schedule III to the Companies Act 2013, unless otherwise stated.

iv. Use of estimates

The preparation of financial statements in conformity with Ind AS requires management to make judgments, estimates and assumptions, that affect the application of accounting policies and the reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the date of these financial statements and the reported amounts of revenues and expenses for the years presented. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed at each balance sheet date. Revisions to accounting estimates are recognised in the period in which the estimate is revised and future periods affected.

In particular information about material areas of estimation uncertainty and critical judgements in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements are included in following notes:

• Useful lives of property, plant and equipment and intangible assets

• Assets and obligations relating to employee benefits k

• Evaluation of recoverability of deferred tax assets

• Financial instruments

• Measurement of recoverable amounts of cash generating units

• Provisions and contingencies

• Expected credit losses

v. Revenue recognition

The Company derives revenue from sale of yarn and recognized when it transfers control over the goods to the customers. Revenue towards satisfaction of a performance obligation is measured at the amount of transaction price (net of variable consideration) allocated to that performance obligation. The transaction price of goods sold is net of variable consideration on account of various discounts and schemes offered by the Company as part of the contract.

Interest income

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the company and the amount of income can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable.

vi. Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale.

Interest income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization.

All other borrowing costs are recognised in profit or loss in the period in which they are incurred.

vii. Employee benefits

Employee benefits include provident fund, gratuity fund and compensated absences.

Defined Contribution Plans

The company’s contributions to provident fund are considered as defined contribution plans and are charged as an expense based on the amount of contribution required to be made and when services are rendered by the employees.

Defined Benefit Plans

For defined benefit retirement benefit plans, the cost of providing benefits is determined using the projected unit credit method, with actuarial valuations being carried out at the end of each annual reporting period. Re-measurement, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected immediately in the balance sheet with a charge or credit recognized in other comprehensive income in the period in which they occur. Re-measurement recognised in other comprehensive income is reflected immediately in retained earnings and is not reclassified to profit or loss. Past service cost is recognised in profit or loss in the period of a plan amendment. Net interest is calculated by applying the discount rate at the beginning of the period to the net defined benefit liability or asset. Defined benefit costs are categorised as follows:

• service cost (including current service cost, past service cost, as well as gains and losses on curtailments and settlements);

• net interest expense or income; and

• re-measurement Short-term employee benefits

The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognized during the year when the employees render the service. These benefits include compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the related service.

viii. Taxation

Income tax expense comprises current and deferred taxes. Income tax expense is recognized in the Statement of Profit and Loss except when they relate to items that are recognized outside profit or loss (whether in other comprehensive income or directly in equity), in which case tax is also recognized outside profit or loss

Current tax

Current income taxes are determined based on respective taxable income of each taxable entity.

Deferred tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilized.

ix. Property, plant and equipment

Property, plant and equipment are carried at cost less accumulated depreciation and impairment losses, if any. The cost of property, plant and equipment comprises its purchase price net of any trade discounts and rebates, any import duties and other taxes (other than those subsequently recoverable from the tax authorities), any directly attributable expenditure on making the asset ready for its intended use, other incidental expenses and borrowings costs attributable to acquisition of qualifying fixed assets up to the date the asset is ready for its intended use. Freehold land is not depreciated.

Capital work-in-progress in the course of construction for production, supply or administrative purposes are carried at cost, less any recognised impairment loss. Cost includes professional fees and, for qualifying assets, borrowing costs capitalised in accordance with the Company’s accounting policy. Such Capital works in progress are classified to the appropriate categories of property, plant and equipment when completed and ready for intended use. Depreciation of these assets, on the same basis as other property assets, commences when the assets are ready for their intended use.

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in profit or loss.

Depreciation is recognised so as to write off the cost of assets (other than freehold land and properties under construction) less their residual values over their useful lives.

Depreciation on property, plant and equipment is provided on the straight line method based on the useful life, in accordance with Schedule II of the Companies Act, 2013.

Depreciation on the revalued assets is adjusted against revaluation reserve without debiting to Statement Profit & Loss. Depreciation on the revalued assets in accordance with INDAS is adjusted against Other Comprehensive Income without debiting to Statement Profit & Loss.

x. Inventories

Inventories are valued at the lower of cost and net realizable value after providing for obsolescence and other losses, where considered necessary. Costs of inventories are ascertained on a weighted average basis. Cost of work in progress and finished goods include appropriate allocation of overheads cost. Net realizable value is the estimated selling price in the ordinary course of business less estimated cost of completion and selling expenses.

xi. A Cash and cash equivalents (for purposes of Cash Flow Statement)

Cash comprises cash on hand, in bank and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

Cash flows are reported using indirect method whereby profit/ (loss) after tax is adjusted for the effects of transaction of non-cash nature and any deferrals or accruals of past or future cash receipts and payments.

The cash flows from operating, investing and financing activities of the company are segregated based on the available information.

xii. Financial Instruments(A) Initial recognition

Financial assets and financial liabilities are recognized when a Company becomes a party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial asset or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or liabilities at fair value through profit or loss are recognized immediately in profit or loss.

(B) Subsequent measurementa. Financial assets carried at amortised cost:

A financial asset is subsequently measured at amortised cost if it is held within a business model whose objective is to hold the asset in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

b. Financial assets at fair value through other comprehensive income:

A financial asset is subsequently measured at fair value through other comprehensive income if it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

c. Financial assets at fair value through profit or loss:

A financial asset which is not classified in any of the above categories are subsequently fair valued through profit or loss.

d. Financial liabilities:

Financial liabilities are subsequently carried at amortised cost using the effective interest method, except for contingent consideration recognized in a business combination which is subsequently measured at fair value through profit and loss. For trade and other payables maturing within one year from the Balance Sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments.

(C) De-recognition of financial assets and liabilitiesa. Financial assets:

The Company derecognizes a financial asset when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party. If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognize the financial asset and also recognizes a collateralized borrowing for the proceeds received.

On de-recognition of a financial asset in its entirety, the difference between the asset’s carrying amount and the sum of the consideration received and receivable and the cumulative gain or loss that had been recognized in other comprehensive income and accumulated in equity is recognized in profit or loss if such gain or loss would have otherwise been recognized in profit or loss on disposal of that financial asset.

b. Financial liabilities:

The Company derecognizes financial liabilities when, and only when, the Company’s obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is recognized in profit or loss.

xiii. Impairment of assets

a. Financial assets:

The Company recognizes loss allowances using the expected credit loss (ECL) model for the financial assets which are not fair valued through profit or loss. Loss allowance for trade receivables with no significant financing component is measured at an amount equal to lifetime ECL. For all other financial assets, expected credit losses are measured at an amount equal to the 12-month ECL, unless there has been a significant increase in credit risk from initial recognition in which case those are measured at lifetime ECL. The amount of expected credit losses (or reversal) that is required to adjust the loss allowance at the reporting date to the amount that is required to be recognized is recognized as an impairment gain or loss in profit or loss.

For trade receivables only, the Company applies the simplified approach permitted by Ind AS 109 Financial Instruments, which requires expected lifetime losses to be recognized from initial recognition of the receivables. As a practical expedient, the company uses a provision matrix to determine impairment loss of its trade receivables. The provision matrix is based on its historically observed default rates over the expected life of the trade receivable and is adjusted for forward looking estimates. The ECL loss allowance (or reversal) during the year is recognized in the statement of profit and loss.

b. Non-financial assets:Intangible assets and property, plant and equipment

Intangible assets and property, plant and equipment are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for the CGU to which the asset belongs.

If such assets are considered to be impaired, the impairment to be recognized in the Statement of Profit and Loss is measured by the amount by which the carrying value of the assets exceeds the estimated recoverable amount of the asset. An impairment loss is reversed in the statement of profit and loss if there has been a change in the estimates used to determine the recoverable amount. The carrying amount of the asset is increased to its revised recoverable amount, provided that this amount does not exceed the carrying amount that would have been determined (net of any accumulated amortisation or depreciation) had no impairment loss been recognized for the asset in prior years.

xiv. Earnings per share

Basic earnings per share is computed by dividing the net profit / (loss) attributable to the equity holders of the company by the weighted average number of equity shares outstanding during the year.

Diluted earnings per share is computed by dividing the profit / (loss) attributable to the equity holders of the company as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares

xv. Provisions, contingent liabilities and contingent assets

Provisions are recognised when the company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. When a provision is measured using the cash flows estimated to settle the present obligation, it carrying amount is the present value of those cash flows (when the effect of the time value of money is material).

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Mar 31, 2015

A. Corporate information:

Adilya Spinners Limited fLThe Company*) was incorporated on i4ih February 1991 as a public limited company, its shares are Irsted on Bombay Stock Exchange. The Company is engager in manufacturing and selling of yam

b. Basis of Preparation

The financial statements have oeen prepared and presented in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the histoncal cost convention or the accrual basis. GAAP comprises accounting standards notified by the Central Government of Fndea under Section 133 of the Companies Act, 2013, other pronouncements of Institute of Chartered Accountants of India, the provisions of Companies Act, 2D13. Accounting policies have been consistently aopEied and managemeni evaluates alt recently issued or neviseo accounting standards or an ongoing basis.

c. Use of Estimates

The preparation of financial statements to conformity with the Indian GAAP requires estimates and assumptions to be made that affect the reported amounts of assets and liabilities on the date of fhe financial statements, the reporting amounts of revenue and expenses during the reporting period and the disclosures relating to contingent iiab hties as on itie dale of financial statements. Although these estimates are based on the managements best Knowledge of current events and actions, uncertainty about these assumptions and estimates could resutt in outcomes different from the estimates Difference between actua' results and estimates are recognized in the period in which the results are known or nratenaltze

Estimates and underlying assumptions are reviewed on an ongoing basis Any revision to accounting estimate* is recognized prospectively in the current and future periods.

d. Fixed Assets:

Fixed Assets are carried at the cost of acquisition or construction less accumulated depreciation. The cost of fixed assets includes non - refundable taxes duties, freight and other incidental expenses related to the acquisition and installation of the respective assets Borrowing costs directly attributable to the acquisition or construction of those fixed assets which necessarily take a substantial period of rime to get ready for their intended use are capitalizes

Plani and Machinery was revalued as on 01.tM.20t4 The surplus arising from the revaluation has been transferred to uRevaluation Reserve1 and shown under the head "Reserves & Surplus1. The revaluation of fixed assets has been mode by appraisal method by an external competent valuer.

Depreciation on Tangible Fixed Assets

Depreciation on Fixed Assets have been charged based on the useftF life, fn accordance wrtb Schedule If of the Companies Act. 2313

The Management estimates the usefor rives of the revalued Plant and Machinery as 12 fears.

Depreciation on the revalued assets is adjusted against revaluation reserve without debiting to Statement Profit S Loss.

Scrap @ 5% of original cost an all tangible assets except Revalued Plan! and machinery tias been considered. Sera p @ 5% oF revoi ued amou nt has bee n carsid seed on revalued Plant ana Machinery. Depreciation es calculated on a pro- rata basis from the date or installation I revaluation till the date the assets are sold or disposed. Individual assets costing less than Rs.S.QQQ are depreciated in full in the year oF acquisition. Freehold land is not depreciated

Impairment of Assets:

The Company assesses at each Balance Sheet date whether there is any indication that an asset may be impaired IF any su ch indication exists. tti e Company estimates the recoverable amount of the asset, tf such recoverab e amount oF the asset or the recoverabFe amounl of the cash generating unit to which the asset belongs to is less than its carrying amount, impairment provision is created to bring down the carrying value to its recoverable amount. The reduction is treated as an impairment loss and ss recognized in the Statement of Profit and Loss. If at the Balance Sheet dare, there is an indication that if a previously assessed impairment loss no longer exists, the recoverable amount js reassessed and the impairment provision created earlier is reversed to bring it at the recoverable antount subject to a maximum of depreciated historical cost

e, Expenditure during construction period

Expenditure during construction period is grouped under "Capital Work tn Progress"' and the same is allocated to the respective Fixed Assets on the completion of its construction

f. Revenue Recognition:

Sales are recognized at the point of dispatch i.e., when significant risk is transferred: to customers, except in the case of consignment agents where the revenue is recognized only after the sale is effected by fhe consignment agent Sale value includes Excise Duty and Vat

g Inventory Valuation:

Inventories including wwfc-in-progness are valued at lower of coal and net realizable value. Cost of inventory comprises all cost cf purchase, cost of conversion and other costs incurred in bringing the inventories to their present location and condition

The cost of Raw Materials. Stores and Spares and Packing Materials is oetemruned by using the Weighted1 Average Cost Method. The cost of Work-imProgress and Finished Goods is determined by weighted average Cost Method and includes appropriate share of production overheads

h. Investments:

Investments are either classified qs current or tong term. Current investments are carried at the lower of cast and market value. Long term investments are carded at coat less any permanent diminution in value, determined separately fbreach individual investmenL The reduction in the carrying amount is reversed when there is a rise in the value of the investment or tf the reasons for the reduction no longer exist

i Employee Benefits

Short term benefits

Short term employee benefits are charged off at the undisco united amount in the year m which the related services are rendered.

Long term benefits

Payments to the defined contribution retirement benefit schemes are changed as an expense as they fall due.

Gratuity

Gratuity liability is a defined benefit obligation and is based on Ehe actuarial valuation All actuarial gains/i osses are immediately charged to the Profit and Loss Account and are not deferred.

Provident fund

The company has a denned contribution plan for Provident Fund under which the company contributes the fond to the Regional Provident Fund Comntissioner

j, Income-Tax expense

Income tax expense comprises current tax and deferred tax charge or credit.

Current tax

The current charge for income taxes is calculated tn accordance with the relevant lax regulations applicable to the company.

Deferred lax

Deferred tax charge of credit reflects the tax effects due to timing differences between accounting income and !axable income for the period. The deferred tax charge or credit and the corresponding deferred lax liabilities or assets are recogn-zed using the tax rates that have been enacted or substantial ly enacted by the balance s heet date Deferred fax assets are recognized only to the extent there is reasonable certainty that assets can be realized in future; however, where there is unabsorbed depreciation or carry forward of losses, deferred tax assets are recognized only if there is a virtual certainty of realization of such assets. Deferred tax assets are reviewed ai each balance sheet date and written down or written up to reflect the amount that is reasonably/virtually certain ;as the case may be) to be realizee

k, Earnings per share

The basic earnings per share (JEPS') is computed by dividing the net profit after tax for the year by weighted average number of equity shares outstanding dunng the year For the purpose of caicuFating diluted earnings per share, net profit after tax for the year and the weighted average number of shares outstanding during the year are adjusted for the effects of ail dilutive poterrtiaE equity shares

l, Provisions and contingent liabilities

The Company creates a provision where there is a present obfigation as a result of a past event that probably requires an outflow of resources and a reliable estimate can tie made of the amount of obligation. A disclosure for a contingent Aability is made when there is a possible obligation or a present obligation lhat may. but probably w;li not, require an outflow of resources. Where there is possible obligation ora present obligation i n respect of whi ch the likelihood of outflow resources -s remote, oo provision or disclosure is made

m. Borrowing Costs:

Borrowing costs attributable to the qualifying fixed assets during construction, re nova ton and modernization are capitalized. Such borrowing costs are apportioned on the average balance of capital work-in-progress far Hie year Other borrowing costs are recognizee as an expense in the period in which they are incurred.

Boro wing cost consists of interest and other financial costs incurred in connection with: borrowing of funds.

n. Cash flow statement

Casti flows are reported using the indirect method, whereby net profit/ (loss} before tax is adjusted for the effects of transactions of a non-cash nature and any deferrals or ac cru ala of past or future cash receipts or payments. The cash flows from regular re ven u e generating, investing and financing activities of the company are segregated

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Mar 31, 2014

A. Corporate Information:

Aditya Spinners Limited ("The Company") is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956 in India. Its shares are listed on Bombay Stock Exchange. The Company is engaged in manufacturing and selling of yarn.

b. Basis of Preparation

i) Financial Statements are prepared in accordance with Generally Accepted Accounting Principles in India (GAAP) under the historical cost convention.

ii) The Company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

c. Use of Estimates

The preparation of financial statements is in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and disclosure of contingent liabilities at the end of the reporting period. Although these estimates are based upon management's best knowledge of current events and actions, actual results could differ from these estimates.

d. Fixed Assets:

Tangible Fixed Assets:

Tangible Fixed Assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing costs if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets including day to day repairs and maintenance expenditure and cost of replacing parts are charged to the statement of Profit and Loss for the period during which such expenses are incurred.

Depreciation on Tangible Fixed Assets:

Depreciation on Fixed Assets is provided in accordance with Schedule XIV of the Companies Act, 1956, on Straight Line Method.

Impairment of Assets:

All the fixed assets are assessed for any indication of impairment at the end of each financial year. On such indication the impairment loss, being the excess carrying value over the recoverable value of the assets, is charged to the statement of Profit & Loss in the respective financial years. The impairment loss recognized in the prior years is reversed in cases where the recoverable value exceeds the carrying value, upon the reassessment in the subsequent years.

e. Revenue Recognition:

Sales are recognized at the point of dispatch i.e., when significant risk is transferred to customers, except in the case of consignment agents where the revenue is recognized only after the sale is effected by the consignment agent. Sale value includes Excise Duty and Vat.

f. Inventory Valuation:

i) Raw Materials, Stores & Spares and Packing Materials: At Weighted Average Cost.

ii) Work in Process: At Weighted Average cost or Net Realizable Value, whichever is lower.

iii) Finished Goods: At cost or Net Realizable Value, whichever is lower.

Cost comprises of cost of purchase, cost of conversion & other costs incurred in bringing the inventories to the present location & condition.

g. Investments:

Investments are stated at cost of acquisition. Diminution in the value of investments other than temporary meant to be held for a long period of time is recognized.

h. Borrowing Costs:

Borrowing costs are recognized as an expense in the period in which they are incurred. Borrowing costs incurred for acquiring and construction of assets are capitalized as part of the cost of such assets.

i. Taxation:

Deferred income taxes are recognized for the future tax consequences attributable to timing differences between the carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax rates as stated in the financial statements is recognized using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets are recognized and carried forward only when there is virtual certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. Provision for Income Tax for the current year is not made in view of the relief granted by BIFR during the revival period of 7 years starting from the financial year 2011-12.

j. Contigencies:

The Company recognizes provisions when there is present obligation as a result of past event and it is probable that there will be an outflow of resources and reliable estimate can be made of the amount of obligation. A disclosure for contingent liabilities is made in the notes to accounts when there is a possible obligation or a present obligation that may, but probably will not, require an out flow of resources. Contingent assets are neither recognized nor disclosed in the financial statements.

k. Earnings per Share:

Earnings per share is calculated by dividing the net profit or loss for the year attributable to equity share holders by the weighted average no of Equity Shares outstanding during the year.

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Mar 31, 2013

A. Corporate Information:

Aditya Spinners Limited (The Company") is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956 in India. Its shares are listed on Bombay Stock Exchange. The Company is engaged in manufacturing and selling of yarn.

b. Basis of Preparation

i). Financial Statements are prepared in accordance with Generally Accepted Accounting Principles in India (GAAP) under the historical cost convention.

ii). The Company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

c. Use of Estimates

The preparation of financial statements is in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and disclosure of contingent liabilities at the end of the reporting period. Although these estimates are based upon management''s best knowledge of current events and actions, actual results could differ from these estimates.

d. Fixed Assets:

Tangible Fixed Assets:

Tangible Fixed Assets are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. The cost comprises purchase price, borrowing costs if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets including day to day repairs and maintenance expenditure and cost of replacing parts are charged to the statement of Profit and Loss for the period during which such expenses are incurred.

Depreciation on Tangible Fixed Assets:

Depreciation on Fixed Assets is provided in accordance with Schedule XIV of the Companies Act, 1956, on Straight Line Method.

Impairment of Assets:

All the fixed assets are assessed for any indication of impairment at the end of each financial year. On such indication the impairment loss, being the excess carrying value over the recoverable value of the assets, is charged to the statement of Profit & Loss in the respective financial years. The impairment loss recognized in the prior years is reversed in cases where the recoverable value exceeds the carrying value, upon the reassessment in the subsequent years.

e. Revenue Recognition:

Sales are recognized at the point of dispatch i.e., when significant risk is transferred to customers, except in the case of consignment agents where the revenue is recognized only after the sale is effected by the consignment agent. Sale value includes Excise Duty and Vat.

f. Inventory Valuation:

i) Raw Materials, Stores & Spares and Packing Materials: At Weighted Average Cost.

ii) Work in Process: At weighted Average cost or Net Realizable Value, which ever is lower.

iii) Finished Goods: At cost or Net Realizable Value, which ever is lower.

Cost comprises of cost of purchase, cost of conversion & other costs incurred in bringing the inventories to the present location & condition.

g. Investments:

Investments are stated at cost of acquisition. Diminution in the value of investments other than temporary meant to be held for a long period of time is recognized.

h. Borrowing Costs:

Borrowing costs are recognized as an expense in the period in which they are incurred. Borrowing costs incurred for acquiring and construction of assets are capitalized as part of the cost of such assets.

i. Taxation:

Provision for Income Tax is made for both current and deferred taxes. Provision for Current Income Tax is made at Current Tax rates based on assessable income. Deferred income taxes are recognized for the future tax consequences attributable to timing differences between the carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax rates as stated in the financial statements is recognized using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets are recognized and carried forward only when there is virtual certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized.

j. Contingencies:

The Company recognizes provisions when there is present obligation as a result of past event and it is probable that there will be an outflow of resources and reliable estimate can be made of the amount of obligation. A disclosure for contingent liabilities is made in the notes to accounts when there is a possible obligation or a present obligation that may, but probably will not, require an out flow of resources. Contingent assets are neither recognized nor disclosed in the financial statements.

k. Earnings per Share:

Earnings per share is calculated by dividing the net profit or loss for the year attributable to equity share holders by the weighted average no of Equity Shares outstanding during the year.

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Mar 31, 2012

A. Corporate Information:

Aditya Spinners Limited ("The Company") is a public company domiciled in India and incorporated under the provisions of the Companies Act' 1956 in India. Its shares are listed on Bombay Stock Exchange. The Company is engaged in manufacturing and selling of yam.

b. Basis of Preparation

i). Financial Statements are prepared in accordance with Generally Accepted Accounting Principles in India (GAAP) under the historical cost convention.

ii). The Company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

c. Use of Estimates

The preparation of financial statements is in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of revenues' expenses' assets and liabilities and disclosure of contingent liabilities at the end of the reporting period. Although these estimates are based upon management's best knowledge of current events and actions' actual results could differ from these estimates.

d. Fixed Assets:

Tangible Fixed Assets:

Tangible Fixed Assets are stated at cost' net of accumulated depreciation and accumulated impairment losses' if any. The cost comprises purchase price' borrowing costs if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

Subsequent expenditure related to an item of fixed asset is added to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standard of performance. All other expenses on existing fixed assets including day to day repairs and maintenance expenditure and cost of replacing parts are charged to the statement of Profit and Loss for the period during which such expenses are incurred.

Depreciation on Tangible Fixed Assets:

Depreciation on Fixed Assets is provided in accordance with Schedule XIV of the Companies Act' 1956' on Straight Line Method.

Impairment of Assets:

All the fixed assets are assessed for any indication of impairment at the end of each financial year. On such indication the impairment loss' being the excess carrying value over the recoverable value of the assets' is charged to the statement of Profit & Loss in the respective financial years. The impairment loss recognized in the prior years is reversed in cases where the recoverable value exceeds the carrying value' upon the reassessment in the subsequent years.

e. Revenue Recognition:

Sales are recognized at the point of dispatch i.e.' when significant risk is transferred to customers' except in the case of consignment agents where the revenue is recognized only after the sale is effected by the consignment agent. Sale value ___includes Excise Dutv and Vat.

f. Inventory Valuation:

i) Raw Materials' Stores & Spares and Packing Materials: At Weighted Average Cost.

ii) Work in Process: At weighted Average cost or Net Realizable Value' which ever is lower.

iii) Finished Goods: At cost or Net Realizable Value' which ever is lower. Cost comprises of cost of purchase' cost of conversion & other costs incurred in bringing the inventories to the present location & condition.

g. Investments:

Investments are stated at cost of acquisition. Diminution in the value of investments other than temporary meant to be held for a long period of time is recognized.

h. Borrowing Costs:

Borrowing costs are recognized as an expense in the period in which they are incurred. Borrowing costs incurred for acquiring and construction of assets are capitalized as part of the cost of such assets.

i. Taxation:

Provision for Income Tax is made for both current and deferred taxes. Provision for Current Income Tax is made at Current Tax rates based on assessable income. Deferred income taxes are recognized for the future tax consequences attributable to timing differences between the carrying amounts of existing assets and liabilities and their respective tax bases. The effect on deferred tax assets and liabilities of a change in tax rates as stated in the financial statements is recognized using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets are recognized and carried forward only when there is virtual certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized.

j. Contingencies:

The Company recognizes provisions when there is present obligation as a result of past event and it is probable that there will be an outflow of resources and reliable estimate can be made of the amount of obligation. A disclosure for contingent liabilities is made in the notes to accounts when there is a possible obligation or a present obligation that may' but probably will not' require an out flow of resources. Contingent assets are neither recognized nor disclosed in the financial statements.

k. Earnings per Share:

Earnings per share is calculated by dividing the net profit or loss for the year attributable to equity share holders by the weighted average no of Equity Shares outstanding during the year.

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Mar 31, 2011

I) ACCOUNTING CONVENTION:

The company follows the mercantile system of accounting. Accounting policies not referred to specifically otherwise, are consistent with generally accepted accounting principles.

Although, the accumulated losses of the company together with the loss for the year ended March 31, 2011 exceeded its Capital & Reserves, since the company, with its future plans, is hopeful of turning around, the accounts have been prepared on a going concern concept.

ii) FIXED ASSETS .

Fixed assets are stated at cost, less accumulated depreciation.

iii) DEPRECIATION:

Depreciation on Fixed Assets has been provided on straight line method at the rates and the manner prescribed in schedule XIV of the companies Act, 1956.

v) RETIREMENT BENEFITS:

The contribution to the provident fund is charged against revenue, in respect of gratuity, the provision is made for all eligible employees and this has not been funded. Liability for leave encashment benefit is accounted for based on the assumption that such benefit is payable to all employees at the end of the year.

vi) MISCELLANEOUS EXPENDITURE:

The preliminary and public issue expenses are amortized over a period of ten years.

vii) EXPENDITURE DURING CONSTRUCTION PERIOD:

Expenditure during construction period is capitalised during the year.

viii) FOREIGN EXCHANGE TRANSACTION : NIL

ix) REVENUE RECOGNITION:

Revenue from sale of goods is recognised on dispatch and is inclusive of Sales Tax and Net of Sales Returns, where applicable.

x) RELATED PARTY DISCLOSURE:

Related Party: Sri Chakra Cement Ltd

Related Party Transactions: Loans & Advances amounting to Rs. 25.04 Lakhs Outstanding balance with related party as on March 31, 2011: Rs.12.24 Lakhs

xi) Impairment of Assets:

To provide for impairment loss, if any, to the extent, the carrying amount of assets exceed their recoverable amount. Recoverable amount is higher of an asset's net selling price and its value in use. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of an asset and from its disposal at the end of its useful life.

Impairment losses recognised in prior years are reversed when there is an indication that the impairment losses recognised no longer exist or have decreased. Such reversals are recognised as an increase in carrying amounts of assets to the extent that it does not exceed the carrying amounts that would have been determined (net of amortisation or depreciation) had no impairment loss been recognised in previous

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Mar 31, 2010

I) ACCOUNTING CONVENTION:

The company follows the mercantile system of accounting. Accounting policies not referred to specifically otherwise, are consistent with generally accepted accounting principles.

Although, the accumulated losses of the company together with the loss for the year ended March 31,2010 exceeded its Capital &, Reserves, since the company, with its future plans, is hopeful of turning around, the accounts have been prepared on a going concern concept.

ii) FIXED ASSETS:

Fixed assets are stated at cost, less accumulated depreciation.

iii) DEPRECIATION:

Depreciation on Fixed Assets has been provided on straight line method at the rates and the manner prescribed in schedule XIV of the companies Act, 1956-

iv) INVENTORIES:

Basis of valuation

Finished Goods : At lower of cost or realizable value

Work in progress : At Cost

Raw Material : At Cost

Stores &. Spares : At Cost

v) RETIREMENT BENEFITS:

The contribution to the provident fund is charged against revenue, in respect of gratuity, the provision is made for all eligible employees and this has not been funded- Liability for leave encashment benefit is accounted for based on the assumption that such benefit is payable to all employees at the end of the year.

vi) MISCELLANEOUS EXPENDITURE;

The preliminary and public issue expenses are amortized over a period of ten years.

vii) EXPENDITURE DURING CONSTRUCTION PERIOD:

Expenditure during construction period is capitalised during the year.

viii) FOREIGN EXCHANGE TRANSACTION : NIL

ix) REVENUE RECOGNITION:

Revenue from sale of goods is recognised on dispatch and is inclusive of Sates Tax and Net of Sales Returns, where applicable.