Notes to Accounts of AVI Polymers Ltd.

Mar 31, 2024

(e ) Provisions

Provisions are recognised when the Company has a present legal or constructive obligation as a
result of past events, it is probable that an outflow of resources will be required to settle the
obligation and the amount can be reliably estimated.

Provisions are measured at the present value of best estimate of the expenditure required to
settle the present obligation at the end of the reporting period, Provisions are determined by
discounting the expected future cash and the discount rate used to determine present value is a
pre-tax rate that reflects current market assessments of the time value of money and the risks
specific to the liability.

(f) Income taxes:

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 income taxes are determined based on respective
taxable income of each taxable entity. Deferred tax assets and liabilities are recognized for the
future tax consequences of temporary differences between the carrying values of assets and
liabilities and their respective tax bases, and unutilized business loss and depreciation carry¬
forwards and tax credits. Such deferred tax assets and liabilities are computed separately for
each taxable entity. Deferred tax assets are recognized to the extent that it is probable that future
taxable income will be available computed separately for each taxable entity. Deferred tax assets
are recognized to the extent that it is probable that future taxable income will be available against
which the deductible temporary differences, unused tax losses, depreciation carry-forwards and
unused tax credits could be utilized. Deferred tax assets and liabilities are measured based on
the tax rates that are expected to apply in the period when the asset is realized or the liability is
settled, based on tax rates and tax laws that have been enacted or substantively enacted by the

balance sheet date. Deferred tax assets and liabilities are offset when there is a legally
enforceable right to set off current tax assets against current tax liabilities and when they relate
to income taxes levied by the same taxation authority and the Company intends to settle its
current tax assets and liabilities on a net basis.

(g) Earnings per share

Basic earnings per share has been computed by dividing profit/loss for the year by the weighted
average number of shares outstanding during the year.

Diluted earnings per share has been computed using the weighted average number of shares and
dilutive potential shares, except where the result would be anti-dilutive.

(h) Segments

Company is engaged in only one segment, Trading Business.

(i) Financial instruments

i) Classification, initial recognition and measurement

A financial instrument is any contract that gives rise to a financial asset of one entity and a
financial liability or equity instrument of another entity.

Financial assets other than equity instruments are classified into categories: Financial assets at
fair value through profit or loss and at amortised cost.

Financial assets that are equity instruments are classified as fair value through profit or loss or
fair value through other comprehensive income.

Financial liabilities are classified into financial liabilities at fair value through profit or loss and
other financial liabilities.

Financial instruments are recognized on the balance sheet when the Company becomes a party
to the contractual provisions of the instrument Initially, a financial instrument is recognized at its
transaction price as per appendix D20 of Ind AS 101 first time adoption.

Transaction costs directly attributable to the acquisition or issue of financial instruments are
recognized in determining the carrying amount, if it is not classified as at fair value through profit
or loss. Subsequently, Financial instruments are measured according to the category in which
they are classified.

Financial assets at amortised cost: Financial assets having contractual terms that give rise on
specified dates to cash flows that are solely payments of principal and interest on the principal
outstanding and that are held within a business model whose objective is to hold such assets in
order to collect such contractual cash flows are classified in this category. Subsequently, these
are measured at amortized cost using the effective interest method less any impairment losses.

Equity instruments: An equity instrument is any contract that evidences residual interests in the
assets of the Company after deducting all of its liabilities.

Other financial liabilities: These are measured at amortized cost using the effective interest
method.

(j) Inventories

Cost of Traded goods is valued at lower of cost or net realizable value. Cost of traded goods
include cost of purchase, costs of conversion and other costs incurred in bringing the inventory
to the present location and condition, however there is no inventory at the end of the year.

(k) Property Plant and Equipment

Property Plant and Equipment are measured at cost/deemed Cost, less accumulated
depreciation and accumulated impairment losses, if any. Historical cost includes expenditure
that is directly attributable to the acquisition of the items. Subsequent costs are included in
the carrying amount of asset or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with the item will flow to the Company and
the cost of the item can be measured reliably. All other repairs and maintenance expenses are
charged to the Standalone Statement of Profit and Loss during the period in which they are
incurred. Gains or losses arising on retirement or disposal of assets are recognised in the
Statement of Profit and Loss.

(l) Depreciation methods, estimated useful lives and residual value:

The charge in respect of periodic depreciation is derived after determining an estimate of
expected useful life and the expected residual value of the assets at the end of its useful life.
The lives are based on historical experience with similar assets as well as anticipation of future
events, which may impact their life.

Depreciation is provided on a pro-rata basis on the straight-line method from the date of
acquisition, installation till the date the assets are sold or disposed of.

The useful life of the Plant and Machinery is 7 to 25 Years

(m) Impairment of assets:

The carrying amount of assets are reviewed at each Standalone Balance Sheet date to assess
if there is any indication of impairment based on internal | external factors. An impairment
loss on such assessment is recognised wherever the carrying amount of an asset exceeds its
recoverable amount. The recoverable amount of the assets is net selling price or value in use,
whichever is higher. While assessing value in use, the estimated future cash flows are
discounted to the present value by using weighted average cost of capital. A previously
recognised impairment loss is further provided or reversed depending on changes in the
circumstances and to the extent that carrying amount of the assets does not exceed the
carrying amount that will be determined if no impairment loss had previously been recognised

n) Cash and cash equivalents:

Cash and cash equivalents include cash in hand, demand deposits with bank and other short¬
term (three months or less from the date of acquisition), highly liquid investments that are
readily convertible into cash and which are subject to an insignificant risk of changes in value.

o) Trade receivables:

Trade receivables are recognised when the right to consideration becomes unconditional.
These assets are held at amortised cost, using the effective interest rate (EIR) method where
applicable, less provision for impairment based on expected credit loss.

p) Trade and other payables:

These amounts represent liabilities for goods and services provided to the Company prior to
the end of financial year which are unpaid. Trade and other payables are presented as current
liabilities unless payment is not due within 12 months from the reporting date. They are
recognised initially at their fair value and subsequently measured at amortised cost using the
EIR method.

(q) Contingent Liabilities and contingent Assets

(a) Contingent Liabilities are disclosed in either of the following cases: i) A present obligation
arising from a past event when it is not probable that an outflow of resources will be required
to settle the obligation; or ii) A reliable estimate of the present obligation cannot be made; or
iii) A possible obligation unless the probability of outflow of resource is remote.

(b) Contingent assets is disclosed where an inflow of economic benefits is probable.

(c) Contingent Liability and Provisions needed against Contingent Liability and Contingent
Assets are reviewed at each Reporting date.

(d) Contingent Liability is net of estimated provisions considering possible outflow on
settlement.

Other than classification and regrouping there is no change in balance sheet and profit and loss
account on account of transition to Ind AS.

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. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

a) In the principal market for the asset or liability, or

b) In the absence of a principal market, in the most advantageous market for the asset or liability.

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that
market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant''s ability to generate economic benefits by using the asset in its
highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising
the use of relevant observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as
follows, based on the lowest level input that is significant to the fair value measurement as a whole:

a) Level 1 -- This includes financial instruments measured using quoted prices. The fair value of all equity instruments which are traded on the Stock Exchanges
is valued using the closing price as at the reporting period.

b) Level 2 -- The fair value of financial instruments that are not traded in an active market (for example over-the-counter derivatives) is determined using
valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates.

c) Level 3 -- If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3

For assets and liabilities that are recognised in the financial statements on a recurring basis, the Company determines whether transfers have occurred
between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at
the end of each reporting period.

External valuers are involved, wherever required, for valuation of significant assets, such as properties, unquoted financial assets and significant liabilities.
Involvement of external valuers is decided upon by the Company after discussion with and approval by the Company''s management. Selection criteria include
market knowledge, reputation, independence and whether professional standards are maintained. The Company, after discussions with its external valuers,
determines which valuation techniques and inputs to use for each case.

At each reporting date, the Company analyses the movements in the values of assets and liabilities which are required to be remeasured or re-assessed as per
the Company''s accounting policies. For this analysis, the Company verifies the major inputs applied in the latest valuation by agreeing the information in the
valuation computation to contracts and other relevant documents. The Company also compares the change in the fair value of each asset and liability with
relevant external sources to determine whether the change is reasonable.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of
the asset or liability and the level of the fair value hierarchy as explained above.

This note summarises accounting policy for fair value measurement. Other fair value related disclosures are given in the relevant notes.

The Company''s principal financial liabilities comprise of loans and borrowings, trade payables and other financial liabilities. The loans and borrowings are
primarily taken to finance and support the Company''s operations. The Company''s principal financial assets include investments, loans, cash and cash
equivalents, trade receivables and other financial assets.

The Company is exposed to market risk, credit risk and liquidity risk. The Company''s senior management oversees the management of these risks. The
Company''s senior management ensures that financial risk activities are governed by appropriate policies and procedures and that financial risks are
identified, measured and managed in accordance with the Company''s policies and risk objectives. The risk management system is relevant to business
reality, pragmatic and simple and involves the following:

Risk identification and definition: Focuses on identifying relevant risks, creating / updating clear definitions to ensureundisputed understanding along
with details of the underlying root causes / contributing factors.

Risk classification: Focuses on understanding the various impacts of risks and the level of influence on its root causes. This involves identifying various
processes generating the root causes and clear understanding of risk interrelationships.

Risk assessment and prioritisation: Focuses on determining risk priority and risk ownership for critical risks. This involves assessment of the various
impacts taking into consideration risk appetite and existing mitigation controls.

Risk mitigation: Focuses on addressing critical risks to restrict their impact(s) to an acceptable level (within the defined risk appetite). This involves a
clear definition of actions, responsibilities and milestones.

Risk reporting and monitoring: Focuses on providing to the Board periodic information on risk profile evolution and mitigation plans.

1. Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk
comprises three types of risk: interest rate risk, currency risk and other price risk, such as equity price risk or Net assset value ("NAV") risk in case of
investment in mutual funds. Financial instruments affected by market risk include investments, trade receivables, trade payables, loans and borrowings and
deposits.

The sensitivity analysis in the following sections relate to the position as at March 31, 2024 and March 31, 2022.

The sensitivity of the relevant profit and loss item is the effect of the assumed changes in respective market risks. This is based on the financial assets and
financial liabilities held at March 31, 2024 and March 31, 2023.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The
Company do not have any Borrowings and hence do not have any Interest Rate Risk

Foreign currency risk

The Company do not have any international operations and is not exposed to foreign exchange risk arising from foreign currency transactions. Foreign
exchange risk arises from future commercial transactions and recognised financial assets and liabilities denominated in a currency that is not its functional
currency (Rs). The risk also includes highly probable foreign currency cash flows

2 Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The
Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing activities, including deposits with banks
and financial institutions and foreign exchange transactions.

Trade receivables

Customer credit risk is managed by the Company''s internal policies, procedures and control relating to customer credit risk management. Credit quality of
a customer is assessed based on an credit rating scorecard and credit limits are defined in accordance with this assessment. Outstanding customer
receivables are regularly monitored and any shipments to major customers are generally covered by letters of credit. As at March 31, 2024, there were 1
customer with balances greater than Rs.100 lakhs accounting for 100.00% of the total amounts receivables. As at March 31, 2023 there were 1 with
balances greater than Rs.100 lakhs accounting for 100.00% of the total amounts receivables.

Trade receivables are non-interest bearing and are generally on period ranging upto 180 days credit terms. Credit limits are established for all customers
based on internal rating criteria.

The principal sources of liquidity of the Company are cash and cash equivalents, borrowings and the cash flow that is generated from operations. It believes
that current cash and cash equivalents, tied up borrowing lines and cash flow that is generated from operations is sufficient to meet requirements.
Accordingly, liquidity risk is perceived to be low.

1 Decreased in Trade receivables turnover ratio is due to faster recoveries as compared to last year.

2 Increased in trade Payables turnover ratio Due to faster payments and lower payables

3 The overall creditor figure is very low and a small increase , in the same has resulted in a significant change in the ratio.

4 Due to less Tax In Current Year hence Net Profit Ratio has Improved.

5 Due to Lower Sales and lower Profit, Return on Equity Ratio has decreased.

6 This ratio has decreased due to lower sales and profit.

7 There is change in this ratio due to decrease in Sales

There is change in this ratio due to Increase in Closing Inventory. However no comprision is possible as there was no

8 inventory last year

9 There is change in this ratio due to Increase in Debt. However no comprision is possible as there was no debt last year
10 There is No Investment Hence Return on Investment is not applicable

In terms of our report of even date attached For and on behalf of the Board of Directors

For Jain Kedia & Sharma
Chartered Accountants

FRN : 103920W Mansukh Patel Monika Shah

DIN : M NO : 37823

Chairman &

MD Company Secretary

AjayKrishna Sharma
Partner

Membership No. 035075

Mitesh Meghani
CFO

Place :Ahmedabad Place :Ahmedabad

Date : 30.05.2024 Date : 30.05.2024

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Mar 31, 2015

(a) As per the information and explanation given to us the Company does not have the policy of providing post employment benefits and hence no provision is made for liabilities for retirement benefits.

(b) Contingent Liabilities

Name of Nature of Amount Rs. Financial status Dues In Lacs Year to which amount relates

Income tax Tax on 5.56 1999-2000 Act,1961 assessment u/s 143(3)

Income tax Tax on 98.28 2000-2001 Act,1961 Assessment u/s 143(3)

Income tax Tax on 11.34 2006-2007 Act,1961 Assessment u/s 143(3)

Income tax Tax on 0.19 2011-2012 Act,1961 Assessment u/s 143(3) 115.37

Name of Forum where status dispute is pending

Income tax Gujarat High Act,1961 Court Ahmedabad

Income tax ITAT Act,1961 Ahmedabad

Income tax ITAT Act,1961 Ahmedabad

Income tax CIT (Appeals) Act,1961

(d)The balances shown in the Balance sheet under the head of Creditors, Debtors and Loans and Advances are each subject to confirmation from respective parties and are subject to adjustment, if any, on receipt of confirmation.

(e) The Company has not received any intimation from Suppliers regarding their status under Micro and Medium Enterprises Development Act, 2006 and hence disclosure , if any, relating to amounts unpaid as at year end together with interest paid/payable as required under the said Act have not been given.

(f) The Figures for the previous year have been rearranged and regrouped wherever considered necessary so as to confirm to the current year classification.

(g) The amount remitted during the year in foreign currencies on account of dividend is Rs. NIL

* C.I.F. Value of Imports is Rs. NIL.

* Earnings in Foreign Exchange is (FOB) is NIL

(h) The amounts have been rounded off nearest Rupee.

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Mar 31, 2014

1. As per the information and explanation given to us the Company does not have the policy of providing post employment benefits and hence no provision is made for liabilities for retirement benefits.

2. Contingent Liabilities

Name of status Nature of Dues Amount Financial Forum where Rs. In Year to dispute is Lacs which pending amount relates

Income tax Tax on 1999-2000 Gujarat High Act,1961 assessment u/s 5.56 Court 143(3) Ahmedabad

Income tax Tax on 2000-2001 ITAT Ahmedabad Act,1961 Assessment u/s 98.28 143(3)

103.84 -

3. The balances shown in the Balance sheet under the head of , Creditors, Debtors and Loans and Advances are each subject to confirmation from respective parties and are subject to adjustment if any, on receipt of confirmation.

4. The Company has not received any intimation from Suppliers regarding their status under Micro and Medium Enterprises Development Act, 2006 and hence disclosure , if any, relating to amounts unpaid as at year end together with interest paid/payable as required under the said Act have not been given.

5. The Figures for the previous year have been rearranged and regrouped wherever considered necessary so as to confirm to the current year classification.

6. The amount remitted during the year in foreign currencies on account of dividend is Rs. NIL

* C.I.F. Value of Imports is Rs. NIL.

* Earnings in Foreign Exchange is (FOB) is Rs. 10,81,250/-

7. The amounts have been rounded off nearest Rupee.

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Mar 31, 2013

(a) As per the information and explanation given to us the Company does not have the policy of encashment of leave and hence no provision is made for liabilities for retirement benefits. The effect of the same cannot be quantified, to that extent loss for the year and balance of Profit & Loss account is understated and balance of current liabilities is understated.

(b) Contingent Liabilities

Name of status Nature of Dues Amount Financial Forum where Rs. In Year to dispute is Lacs which pending amount relates

Income tax Tax on 18.00 1999-2000 Gujarat High Court Act, 1961 assessment u/s Ahmedabad 143(3)

Income tax Penalty u/s 6.93 1999-2000 CIT (Appeal), Act,1961 271(l)(c) Ahmedabad

Income tax Tax on 3.31 2000-2001 ITAT Ahmedabad Act,1961 Assessment u/s 143(3)

28.24

(d) The balances shown in the Balance sheet under the head of unsecured loans, Creditors, Debtors and Loans and Advances are each subject to confirmation from respective parties and are subject to adjustment if any, on receipt of confirmation.

(e) The Company has not received any intimation from Suppliers regarding their status under Micro and Medium Enterprises Development Act, 2006 and hence disclosure , if any, relating to amounts unpaid as at year end together with interest paid/payable as required under the said Act have not been given.

(f) The Figures for the previous year have been rearranged and regrouped wherever considered necessary so as to confirm to the current year classification.

(g) The amount remitted during the year in foreign currencies on account of dividend is Rs. NIL

*C.I.F. Value of Imports is Rs. NIL.

*Expenditure in foreign currency is Rs. Nil.

*Earnings in Foreign Exchange is (FOB) is Nil

(h) The amounts have been rounded off nearest Rupee.

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Mar 31, 2011

1. Debit and Credit balances appearing in Balance Sheet are subject to confirmation from respective parties.

2 The Directors are of the opinion that all the known liabilities have been adequately provided for and the current Assets, Loans and Advances are approximately at the value stated, if realised in ordinary course of business.

3 Depreciation on fixed assets for the year has been provided during the year Rs. 5532

4 In last year, the company has opted for one time settelment with the lending bank and paid a treed setlment amount

5 Debtors include Rs. 2,47,26,975 (Previous year Rs.35402408 ) due three companies namely Gujarat Optical Comm. Jd., RHB Cable & Ind.Ltd., and Hindustan Cable Ltd. It is informed by management that the all the three companies were closed and not in operation, Hence the amount is doubt full for recovery. During the previous year Rs 10675434 due from GTCL Mobile Comm.Tech Ltd is written off as bed debt.

6 In accordance with Accounting Standard 22 "Accounting for Taxes on Income" issued by the Institute of Chartered Accountants of India, Company has not accounted for deferred tax during the year. Consequently the deferred tax liability for the year has not been recognised in view of loss for the year.

7 Previous year figures have been regrouped or rearranged wherever necessary so as to confirm to Current Year's classification.

8 Related party transaction:

A Name of related party and Nature of related party relationship:

a) Subsidary companies/concem

b) Directors and their relatives:

SHRl MANSUKH A. patal Director

SHRI GOVIND R. PATEL Director

SHRl rooplal nuwal Director

SHRI DINESH CHAUHAN Director