Accounting Policies of Cinevista Ltd. Company

Mar 31, 2025

2.4 Material Accounting Policies

A. Revenue Recognition:

a. Media business

The Company derives revenue from producing television programs, Internet series, sale or licensing
movie rights, service fee for content development, production of exhibition of feature films The Company
identifies and evaluates each performance obligation under the contract. Revenue recognition is based
on the delivery of performance obligations and an assessment of when control is transferred to the
customer. Revenue is recognized either when the performance obligation in the contract has been
performed (''point in time'' recognition) or ''over time'' as control of the performance obligation is transferred
to the customer.

Revenue generated from the commissioned television programs and Internet series produced for
broadcasters is recognized over the period of time (i.e. over the contract period).

Revenue from sale and licensing of movies - The Company evaluates if a license represents a right to
access the content (revenue recognized over time) or represents a right to use the content (revenue
recognized at a point in time). The Company has determined that most license revenues are satisfied
at a point in time due to their being limited ongoing involvement in the use of the license following its
transfer to the customer.

Revenue from events is recognized at a period in time.

Service Income for curation of digital content is recognized over the period of time.

The transaction price, being the amount to which the Company expects to be entitled and has rights
to under the contract is allocated to the identified performance obligations. The transaction price will
also include an estimate of any variable consideration where the Company''s performance may result in
additional revenues based on the achievement of agreed targets.

Revenue excludes any taxes and duties collected on behalf of the government.

b. Real Estate business

Recognition of revenue from sale of Development Rights

For projects executed through joint development arrangements not being jointly controlled operations,
wherein the Company provides development rights and Developer undertakes to develop properties on
such land and in lieu of said development rights, the Developer has agreed to transfer certain percentage
of constructed area or certain percentage of the revenue proceeds, the revenue from the development
and transfer of constructed area/revenue sharing arrangement in exchange of such development
rights, Revenue is recognised over a period of time, on the basis of the inputs to the satisfaction of
a performance obligation relative to the total expected inputs to the satisfaction of that performance
obligation.

Revenue from the Joint Development contract is accounted to the extent of revenue share of the
Company from the total bookings of flats carried out by K. Raheja Corp. Real Estate Private Limited.

c. Interest and Dividend Income Recognition:

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.

Dividends are recognized in the Statement of Profit and Loss only when the right to receive payment
is established, it is probable that the economic benefits associated with the dividend will flow to the
Company and the amount of the dividend can be measured reliably.

B. Inventories:

Media business

Company does not have physical inventory (i.e. goods)

Inventories consist of films or movies, serials, other digital content, etc. that are awaiting launch / release or
unamortized portion of the costs. Inventories are stated at the lower of cost and net realizable value. Cost is
determined on the basis of actual / amortized cost.

Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs
of completion and costs necessary to make the sale.

Real Estate business

Direct and other expenditure is determined based on specific identification to the real estate activity. Cost
incurred/ items purchased specifically for projects are taken as consumed as and when incurred/ received.

i. Land stock- Represents the cost comprises of purchase price under agreement to purchase, stamp
duty, registration charges, brokerage cost and other incidental expenses.

ii. Stock of constructed units - constructed units received under Joint Development Agreement as a part of
revenue against sale of development rights is measured at the fair value of the estimated construction
service rendered by the developer to the land owner.

iii. Advance paid towards land procurement- Advances paid by the Company to the seller/ intermediary
towards outright purchase of land is recognized as land advance under other assets during the course of
obtaining clear and marketable title, free from all encumbrance and transfer of legal title to the Company,
whereupon it is transferred to land stock under inventories.

C. Foreign currency transactions and balances

i) Initial recognition

Foreign currency transactions are recorded in the functional currency, by applying the exchange rate
between the functional currency and the foreign currency at the date of the transaction.

ii) Conversion

Foreign currency monetary items are retranslated using the exchange rate prevailing at the reporting
date. Non-monetary items, which are measured in terms of historical cost denominated in a foreign
currency, are reported using the exchange rate at the date of the transaction. Non-monetary items,
which are measured at fair value or other similar valuation denominated in a foreign currency, are
translated using the exchange rate at the date when such value was determined.

iii) Exchange differences

The Company accounts for exchange differences arising on translation/ settlement of foreign currency
monetary items as income or as expense in the period in which they arise.

D. Income Taxes:

The income tax expense for the period is the tax payable on the current period''s taxable income based on the
applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary
differences and to unused tax losses, if any.

Current income tax:

The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at
the end of the reporting period in the country where the Company generates taxable income. Management
periodically evaluates positions taken in tax returns with respect to situations in which applicable tax regulation
is subject to interpretation. It establishes provisions where appropriate on the basis of amounts expected to be
paid to the tax authorities.

Deferred tax:

Deferred tax is recognized, using the liability method, on temporary differences arising between the tax bases
of assets and liabilities and their carrying amounts in the financial statements. Deferred tax is determined
using tax rates (and laws) that have been enacted or substantially enacted by the end of the reporting period
and are expected to apply when the related deferred income tax asset is realised or the deferred tax liability
is settled.

Deferred Tax assets are recognized to the extent that it is probable that future taxable income will be available
against which for all deductible temporary differences, unused tax losses, deprecation carry forward and
unused tax credit could be utilized.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax
assets and liabilities and when the deferred tax balances relate to the same taxation authority. Current tax
assets and tax liabilities are offset where the entity has a legally enforceable right to offset and intends either
to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Current and deferred tax is recognized in the Statement of Profit and Loss, except to the extent that it relates
to items recognized in other comprehensive income or directly in equity. In this case, the tax is also recognized
in other comprehensive income or directly in equity, respectively.

E. Cash & Cash Equivalents:

Cash and cash equivalents includes cash on hand, deposits held at call with financial institutions, other short¬
term, highly liquid investments with original maturities of three months or less that are readily convertible to
known amounts of cash and which are subject to an insignificant risk of changes in value.

F. Financial Instruments:

(i) Financial Assets.

Classification:

The Company classifies its financial assets at amortised cost. The classification depends on the entity''s
business model for managing the financial assets and the contractual terms of the cash flows.

There are no transactions in respect of classification of financial assets to be Measured at Fair Value through
Other Comprehensive Income (FVOCI) and measured at Fair Value Through Profit or Loss (FVTPL).

Investments in Subsidiaries and Associates:

The Company accounts for its equity investments in subsidiaries and associates at amortized cost. On
disposal of investments in subsidiaries and associates, the difference between net disposal proceeds and the
carrying amounts are recognized in the retained earnings under the head “Other Equity Reserves & Surplus”.

Impairment of Financial Assets:

The Company assesses on a forward looking basis the expected credit losses associated with its assets
carried at amortized cost. The impairment methodology applied depends on whether there has been a
significant increase in credit risk. The Company applies the simplified approach permitted by Ind AS 109
financial instruments.

De-recognition of Financial Assets:

A financial asset is de-recognized only when :

- The Company has transferred the right to receive cash flows from the financial asset or

- Obligation to pay the cash flows to one or more recipients.

Where the company has transferred an asset, it evaluates whether it has transferred substantially all risks
and rewards of ownership of the financial asset. In such cases, the financial asset is derecognized. Where
the company has not transferred substantially all risks and rewards of ownership of the financial asset, the
financial asset is not derecognized.

Where the Company has neither transferred a financial asset nor retains substantially all risks and rewards of
ownership of the financial asset, the financial asset is de-recognised if the company has not retained control
of the financial asset. Where the company retains control of the financial asset, the asset is continued to be
recognized to the extent of continuing involvement in the financial asset.

(ii) Financial Liabilities:

Classification as debt or equity:

Financial liabilities and equity instruments issued by the Company are classified according to the
substance of the contractual arrangements entered into and the definitions of a financial liability and an
equity instrument.

Initial recognition and measurement:

Financial liabilities are recognized when the Company becomes a party to the contractual provisions of
the instrument. Financial liabilities are initially measured at amortized cost.

Subsequent measurement:

Financial liabilities are subsequently measured at amortised cost using the effective interest rate method.
Derecognition:

A financial liability is derecognized when the obligation specified in the contract is discharged, cancelled
or expires.

(iii) Offsetting Financial Instruments:

Financial assets and liabilities are offset and the net amount is reported in the balance sheet where there
is a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net
basis or realize the asset and settle the liability simultaneously. The legally enforceable right must not be
contingent on future events and must be enforceable in the normal course of business and in the event
of default, insolvency or bankruptcy of the Company or the counterparty.

G. Property, Plant and Equipment:

All property, plant and equipment are stated at historical cost less accumulated depreciation and accumulated
impairment losses, if any. Historical cost includes expenditure that is directly attributable to the acquisition of
the asset. Subsequent costs are included in the asset''s carrying amount or recognized 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. The carrying amount of any component accounted
for as a separate asset is derecognized when replaced. All other repairs and maintenance expenses are
charged to Statement of Profit and Loss during the reporting period in which they are incurred.

Depreciation methods, estimated useful lives and residual value

Depreciation is calculated using the written down value method to allocate the cost of the asset, net of their
residual values, if any, over their estimated useful lives which are in accordance with the useful lives prescribed
under Schedule II to the Companies Act, 2013.

The residual values are not more than 5% of the original cost of the asset. The assets'' residual values and
useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period. An asset''s carrying
amount is written down immediately to its recoverable amount if the asset''s carrying amount is higher than its
estimated recoverable amount.

Gains or losses arising from the retirement or disposal of a tangible asset are determined as the difference
between the net disposal proceeds and the carrying amount of the asset and recognized as income or expense
in the Statement of Profit and Loss.

H. Impairment of assets:
i. Financial assets

The Company assesses at each date of balance sheet whether a financial asset or a group of financial
assets (except financial assets valued through fair value through profit or loss) is impaired. Ind AS 109
requires expected credit losses to be measured through a loss allowance. The Company recognizes
lifetime expected losses for all contract assets and / or all trade receivables that do not constitute a
financing transaction. For all other financial assets, expected credit losses are measured at an amount
equal to the 12-month expected credit losses or at an amount equal to the life time expected credit
losses if the credit risk on the financial asset has increased significantly since initial recognition.

The presumption under Ind AS 109 with reference to significant increases in credit risk since initial
recognition (when financial assets are more than 30 days past due), has been rebutted and is not
applicable to the Company, as the Company is able to collect a significant portion of its receivables that
exceed the due date.

ii. Non-Financial assets

Non-Financial assets are tested for impairment whenever events or changes in circumstances indicate
that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by
which the asset''s carrying amount exceeds its recoverable amount. The recoverable amount is the
higher of an asset''s fair value less costs of disposal and value in use. For the purposes of assessing
impairment, assets are grouped at the lowest levels for which there are separately identifiable cash
inflows which are largely independent of the cash inflows from other assets or groups of assets (cash¬
generating units). Non-financial assets that suffered impairment are reviewed for possible reversal of
the impairment at the end of each reporting period.

When an impairment loss subsequently reverses, the carrying amount of the asset (or a cash-generating
unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying
amount does not exceed the carrying amount that would have been determined had no impairment loss
been recognized immediately in the Statement of Profit or Loss.

I. Capital work-in-progress and intangible assets under development

Capital work-in-progress and intangible assets under development represents expenditure incurred
in respect of capital projects/ intangible assets under development which are not yet ready for their
intended use and are carried at cost less accumulated impairment loss, if any.

Depreciation/ amortisation is not provided on capital work-in-progress and intangible assets under
development until construction/ installation are complete and the asset is ready for its intended use.

J. Intangible Assets:

Intangible assets are stated at cost of acquisition less accumulated amortization/impairment losses.
Acquired intangible assets

Separately acquired intangible Assets are shown at historical cost. They have a finite useful life and
subsequently carried at cost less accumulated amortization and impairment losses, if any.

The Company amortizes impairment losses with finite useful life using Straight Line method over the estimated
useful life. In respect of the above assets Management estimates is based on internal assessment.

The amortization period and amortization method for intangible assets are reviewed at the end of each
reporting period.

Losses arising from disposal of intangible assets are determined by comparing sales proceeds with carrying
amount in the financial statements and disclosed in the statement of Profit & Loss.

K. Borrowing Costs:

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily
takes a substantial period of time to get ready for its intended use or sale are capitalized as part of the cost
of asset. All other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of
interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing cost also
includes exchange differences to the extent regarded as an adjustment to the borrowing costs.

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Mar 31, 2018

STATEMENT ON SIGNIFICANT ACCOUNTING POLICIES FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2018. 1.0 Statement of significant Accounting Policies.

1.1 Basis of preparation of Financial statements.

This financial statements are prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention under accrual basis and comply with mandatory accounting standards as prescribed under section 133 of the Companies Act, 2013 ([the Actl) read with rule 7 of the Companies (Accounts) Rules, 2014. Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

1.2 System of Accounting.

The Company adopts the accrual concept in the preparation of the accounts in respect of revenue and expenses.

1.3 Use of estimates.

The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities on the date of financial statements, disclosure of contingent liabilities and reported amounts of revenue and expenditure for the year. Estimates are based on historical experience, where applicable and other assumptions that management believes are reasonable under the circumstances. Actual results could vary from these estimates and any such differences are dealt with in the period in which the results are known/materialize.

1.4 Fixed assets and Depreciation/amortization.

(a) Tangible Fixed Assets are stated at cost inclusive of attributed cost related to acquisition.

(b) Depreciation on tangible fixed assets is provided at the rate specified in Part ‘C’ of schedule

II of the Companies Act, 2013, based on their estimated useful life under written down value method on prorate basis from the month the assets are put to use during the financial year. In respect of assets sold for disposed off during the year, the depreciation/amortization is provided till the month of sale or disposal of the assets.

(c) Intangible assets acquired are measured on initial recognition at cost.

1.5 Investments:

Non-current Investments are stated at cost.

1.6 Inventories:

(a) Work-in-progress:

Under production cost of serials etc. are valued at “cost”.(As Certified by the Company)

1.7 Contingent Liabilities:

Contingent liabilities in respect of show cause notices received from Government authorities are considered only when they are converted into demands.

1.8 Foreign Currency Transactions:

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transactions. Foreign Currency receivables and payables are valued at the closing price at the year end in accordance with the Accounting Standard 11 (AS-11) - Foreign Currency Transactions issued by the Institute of Chartered Accountants of India. Gains losses on settlement/translation of monetary assets and liabilities are recognized in the statement of profit and loss.

1.9 Revenue Recognition:

Realization in respect of serials are shown at gross.

In respect of serials, income is recognized in the Statement of Profit and Loss as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognized in the statement of Profit and Loss only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad-films, income is recognized when the completed commercial cassettes is delivered to the buyer.

In respect of realized feature films, income is recognized as and when the right to receive the amount is established.

1.10 Deferred Revenue Expenses:

Production cost of T.V.Serials telecast is deferred, wherever ownership and other copy rights are with the company. This deferred expenditure is written off over the estimated useful life of T.V.Serials as estimated by the management. From the deferred Revenue Expenditure, Production Cost of Serials, the Production/Telecast of which has been discontinued are transferred to Intangible Assets under the head LSoftwareL No depreciation has been charged on software. For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the Company.

1.11 Deferred Tax:

Deferred tax is recognized on timing differences; being the difference between taxable income and accounting income that originate in one period and are capable of reversing in one or more subsequent periods.

Deferred tax assets pertaining to unabsorbed depreciation and carry forward losses are recognized only to the extent there is a virtual certainty of realization.

3.3 Cost of Production:

Estimation of cost of serials ‘under production’ being of technical nature, cannot be verified by the Auditors and have been taken as certified by the Management of the Company.

3.4 During the financial year 1997-98 search action was carried out by the income-tax authorities at the premises of the company u/s.132 of the Income Tax Act, 1962 and assessment for the same was completed on 31-01-2000 thereby resulting in a demand of Rs.48,30,381/- on the company. As against the said demand the company has paid Rs.41,07,093/-. The Company disputed the demand raised by the Income Tax Department and filed an appeal against the order before the Commissioner of Income Tax (Appeal) who has partly allowed it to the extent of Rs.31,00,524/-. The Company disputing the balance liability has gone in to appeal before Income-tax Appellate Tribunal, the order of which went in the favour of the company. Further the department had gone into appeal before the Hon. High Court and the matter is still pending before the said authority.

3.5 A massive fire incident had occurred on 06-01-2018 at the studio premises situated at Plot No.1, Gandhi Nagar, L. B. S. Marg, Kanjurmarg West, Mumbai-400078 resulting in impairment and destruction of fixed assets as well as, assets other than fixed assets. The Company had insurance cover under valid and subsisting insurance policy in force in respect of fixed assets and assets other than fixed assets from Iffco Tokio General Insurance Co. Ltd. for a total value of sum assured Rs. 18,08,46,498/- and from The Oriental Insurance Co. Ltd. for a total value of sum assured Rs. 10,87,00,000/-. The insurance claim lodgment was made to Iffco Tokio General Insurance Co. Ltd. and The Oriental Insurance Co. Ltd. for impairment and destruction of fixed assets and assets other than fixed assets for a total sum of Rs. 8,37,33,125.45 and Rs. 5,91,87,845,80 respectively totaling to Rs. 14,29,20,971.25. Accordingly, the insurance claim amount has been recognized as Endurance Compensation claimed Lon the revenue side of the Profit and Loss Account for the year ended 31-03-2018 at Rs. 14,29,20,971.25 (Iffco Tokyo General Insurance Co. Ltd. Rs. 8,37,33,125.45 and The Oriental General Insurance Co. Ltd. Rs. 5,91,87,845.80) under the head Other Income in conformity with the insurance policy read together with the lodgment before the respective insurance companies. The corresponding loss on account of impairment and extinguishment of assets being fixed assets as well as assets other than fixed assets is recognized by charging to statement of Profit and Loss under the head Other Expenses computed by reversal/deduction from Gross Block of Fixed Assets and/or from Gross value of the assets other than Fixed Assets.

The corresponding accumulated depreciation on the assets lost/impaired/extinguished on account of fire have been correspondingly and appropriately reversed.

3.7 Segment Reporting:

There is only one primary reportable business segment viz. production of serials, films, ad films. The disclosure requirement of accounting standard (AS-17) on segment reporting is not provided.

3.11 Previous year’s figures have been re-grouped, re-arranged, re-classified and re-casted wherever necessary to make them comparable with current year’s figures.

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Mar 31, 2016

1.0 Statement of significant Accounting Policies.

1.1 Basis of preparation of Financial statements.

This financial statements are prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention under accrual basis and comply with mandatory accounting standards as prescribed under section 133 of the Companies Act, 2013 (‘the Act’) read with rule 7 of the Companies (Accounts) Rules, 2014. Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

1.2 system of Accounting.

The Company adopts the accrual concept in the preparation of the accounts in respect of revenue and expenses.

1.3 Use of estimates.

The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities on the date of financial statements, disclosure of contingent liabilities and reported amounts of revenue and expenditure for the year. Estimates are based on historical experience, where applicable and other assumptions that management believes are reasonable under the circumstances. Actual results could vary from these estimates and any such differences are dealt with in the period in which the results are known/materialize.

1.4 Fixed assets and Depreciation/amortization.

(a) Tangible Fixed Assets are stated at cost inclusive of attributed cost related to acquisition.

(b) Depreciation on tangible fixed assets is provided at the rate specified in Part ‘C’ of schedule

II of the Companies Act, 2013, based on their estimated useful life under written down value method on prorate basis from the month the assets are put to use during the financial year. In respect of assets sold or disposed off during the year, the depreciation/amortization is provided till the month of sale or disposal of the assets.

(c) Intangible assets acquired are measured on initial recognition at cost.

1.5 Investments:

Non-current Investments are stated at cost.

1.6 Inventories:

(a) U-Matic Cassetes:

Inventories of u-matic cassetes are valued at “weighted average cost” as permissible under the Accounting Standard 2 (AS-2) “Valuation of Inventories” issued by the Council of The Institute of Chartered Accountants of India.

(b) Work-in-progress:

Under production cost of serials etc. are valued at “cost”.

1.7 Contingent Liabilities:

Contingent liabilities in respect of show cause notices received from Government authorities are considered only when they are converted into demands.

1.8 Foreign Currency Transactions:

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transactions. Foreign Currency receivables and payables are valued at the closing price at the yearend in accordance with the Accounting Standard 11 (AS-11) - Foreign Currency Transactions issued by the Institute of Chartered Accountants of India. Gain losses on settlement/translation of monetary assets and liabilities are recognized in the statement of profit and loss.

1.9 Revenue Recognition:

Realization in respect of serials are shown at gross.

In respect of serials, income is recognized in the Statement of Profit and Loss as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognized in the statement of Profit and Loss only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad-films, income is recognized when the completed commercial cassettes is delivered to the buyer.

In respect of realized feature films, income is recognized as and when the right to receive the amount is established.

1.10 Deferred Revenue Expenses:

Production cost of T.V.Serials telecast is deferred, wherever ownership and other copy rights are with the company. This deferred expenditure is written off over the estimated useful life of T.V.Serials as estimated by the management. From the deferred Revenue Expenditure, Production Cost of Serials, the Production/Telecast of which has been discontinued are transferred to Intangible Assets under the head ‘Software’. No depreciation has been charged on software. For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the Company.

1.11 Deferred Tax:

Deferred tax is recognized on timing differences; being the difference between taxable income and accounting income that originate in one period and are capable of reversing in one or more subsequent periods.

Deferred tax assets pertaining to unabsorbed depreciation and carry forward losses are recognized only to the extent there is a virtual certainty of realization.

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Mar 31, 2015

1.1 Basis of preparation of Financial statements:

This financial statements are prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention under accrual basis and comply with mandatory accounting standards as prescribed under section 133 of the Companies Act, 2013 ('the Act') read with rule 7 of the Companies (Accounts) Rules, 2014. Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

1.2 System of Accounting:

The company adopts the accrual concept in the preparation of the accounts in respect of revenue and expenses.

1.3 All the assets and liabilities have been classified as current or non-current as per the companies normal operating cycle and other criteria set on in the Revised Schedule VI of the companies Act, 1956. Based on the nature of goods and products and the time between the acquisition of assets and their realisation in cash and cash equivalents, the company has determined its operating cycle as twelve months for the purpose of current - non current classification of assets and liabilities.

1.4 Use of estimates:

The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities on the date of financial statements, disclosure of contingent liabilities and reported amounts of revenue and expenditure for the year. Estimates are based on historical experience, where applicable and other assumptions that management believes are reasonable under the circumstances. Actual results could vary from these estimates and any such differences are dealt with in the period in which the results are known / materialize.

1.5 Fixed assets and Depreciation / amortisation:

a) Tangible Fixed Assets are stated at cost inclusive of attributed cost related to acquisition.

b) Depreciation on tangible fixed assets is provided at the rates specified in Part 'C' of schedule II of the companies Act,2013, based on their estimated useful life under written down value method on prorata basis from the month the assets are put to use during the financial year. In respect of assets sold or disposed off during the year, the depreciation / amortisation is provided till the month of sale or disposal of the assets.

c) Intangible assets acquired are measured on initial recognition at cost.

1.6 Investments :

Non-current Investments are stated at cost.

1.7 Inventories :

(a) U-Matic Cassettes :

Inventories of u-matic cassets are valued at "weighted average cost" as permissible under the Accounting Standard 2 (AS-2) "Valuation Of Inventories " issued by the Council of The Institute of Chartered Accountants of India.

(b) Work-in-progress :

Under production cost of serials, ad-films etc. are valued at "cost".

1.8 Contingent Liabilities :

Contingent liabilities in respect of show cause notices received from govt. authorities are considered only when they are converted into demands.

1.9 Foreign Currency Transactions

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transactions. Foreign Currency receivables and payables are valued at the closing price at the year end in accordance with the Accounting Standard 11 (AS 11) Foreign Currency Transactions issued by the Institute of Chartered Accountants of India. Gains and losses on settlement/translation of monetary assets and liabilities are recognized in the statement of profit and loss.

1.10 Revenue Recognition:

Realizations in respect of serials are shown at gross.

In respect of serials, income is recognised in the Statement of Profit and Loss as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognised in the statement of Profit and Loss only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad-Films, income is recognised when the completed commercial cassettes is delivered to the buyer.

In respect of released feature films income is recognised as and when the right to receive the amount is established.

1.11 Deferred Revenue Expenses:

Production cost of T.V. Serial's telecast is deferred, wherever ownership and other copyrights are with the company. This deferred expenditure is written off over the estimated useful life of T. V. Serials as estimated by the management. From the deferred Revenue Expenditure, Production Cost of Serials, the Production / Telecast of which has been discontinued are transferred to Intangible Assets under the head 'Software'. No depreciation has been charged on software. For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the company.

1.12 Deferred tax:

Deferred tax is recognized on timing differences; being the difference between taxable income and accounting income that originate in one period and are capable of reversing in one or more subsequent periods.

Deferred tax assets pertaining to unabsorbed depreciation and carry forward losses are recognized only to the extent there is a virtual certainty of realization.

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Mar 31, 2014

1. Accounting Convention:

1.1 The financial statements are prepared under historical cost convention, in accordance with the generally accepted accounting principles and the provisions of the Companies Act, 1956, with revenues recognized and expenses accounted on accrual basis unless otherwise stated.

Dividend on investments is accounted for on cash basis.

1.2 Use of estimates:

The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that effect the reported amounts of assets and liabilities on the date of the financial statements. Disclosure of contingent liabilities and reported amounts of revenues and expenses for the year Estimates are based on historical experience, where applicable and other assumptions that management believes are reasonable under the circumstances. Actual results could vary from these estimates and any such differences are dealt with in the period in which the results are known/materialize.

1.3 Fixed Assets :

(a) Tangible assets are stated at cost less depreciation. Costs include cost incidental to and / or installation expenses incurred in putting the assets for its intended use.

(b) Intangible assets acquired are measured on initial recognition at cost.

1.4 depreciation /Amortization:

Company provides for depreciation/amortization on the Fixed Assets at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956 on written down value method on a prorate basis from the month the assets are put to use during the financial year. In respect of assets sold or disposed off during the year, depreciation/amortization is provided till the month of sale or disposal off assets.

1.5 Investments:

Non-current investments are stated at cost.

1.6 Inventories :

(a) U-Matic Cassettes

Inventories of u-matic cassets are valued at "weighted average cost" as permissible under the Accounting Standard 2 (AS-2) "Valuation Of Inventories " issued by the Council of The Institute Of Chartered Accountants Of India.

(b) Work-in-progress:

Under production cost of serials, ad-films etc. are valued at "cost"

1.7 Contingent Liabilities :

Contingent liabilities in respect of show cause notices received from govt. authorities are considered only when they are converted into demands.

1.8 Foreign Currency Transactions :

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transactions. Foreign Currency receivables and payables are valued at the closing price at the year end in accordance with the Accounting Standard 11 (AS 11) Foreign Currency Transactions issued by the Institute of Chartered Accountants of India. Gains and losses on settlement/translation of monetary assets and liabilities are recognized in the statement of profit and loss.

1.9 Revenue Recognition:

Realizations in respect of serials are shown at gross.

In respect of serials, income is recognised in the Statement of Profit and Loss as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognised in the statement of Profit and Loss only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad-Films, income is recognised when the completed commercial cassettes is delivered to the buyer.

In respect of released feature films income is recognised as and when the right to receive the amount is established.

1.10 Deferred Revenue Expenses:

Production cost of T.V. Serial''s telecast is deferred, wherever ownership and other copyrights are with the company. This deferred expenditure is written off over the estimated useful life of T V. Serials as estimated by the management.

From the deferred Revenue Expenditure, Production Cost of Serials, the Production / Telecast of which has been discontinued are transferred to Intangible Assets under the head ''Software''. No depreciation has been charged on software.

For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the company.

1.11 deferred tax:

Deferred tax is recognized on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversing in one or more subsequent periods.

Deferred tax assets pertaining to unabsorbed depreciation and carry forward losses are recognized only to the extent there is a virtual certainty of realization.

Notes:

1. Shareholders holding more than 5% of the total share capital

Pamma Mehta holds 94,90,355 ( 2013: 94,90,355) Equity shares of Rs.2/- each aggregating to 16.52% (2013: 16.52%) Premkrishen Malhotra holds 93,16,355 ( 2013: 93,16,355) Equity shares of Rs.2/- each aggregating to 16.22% (2013: 16.22%) Sunil Mehta holds 90,09,315 ( 2013: 90,09,315) Equity shares of Rs.2/- each aggregating to 15.69% (2013: 15.69%)

Sunita P Malhotra holds 51,65,135 ( 2013: 51,65,135) Equity shares of Rs.2/- each aggregating to 8.99% (2013: 8.99%)

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Mar 31, 2012

1. ACCOUNTING CONVENTION:

1.1 The financial statements are prepared under historical cost convention, in accordance with the generally accepted accounting principles and the provisions of the Companies Act, 1956, with revenues recognized and expenses accounted on accrual basis unless otherwise stated. Dividend on investments is accounted for on cash basis.

1.2 All assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle and other criteria set out in the Revised Schedule VI to the Companies Act, 1956. Based on the nature of products and the time between the acquisition of assets for processing and their realization in cash and cash equivalents, the Company has determined its operating cycle as twelve months for the purpose of current- non current classification of assets and liabilities.

1.3 Use of estimates:

The preparation of the financial statements in conformity with the generally accepted accounting principles requires management to make estimates and assumptions that effect the reported amounts of assets and liabilities on the date of the financial statements, disclosure of contingent liabilities and reported amounts of revenues and expenses for the year Estimates are based on historical experience, where applicable and other assumptions that management believes-re reasonable under the1 circumstances. Actual results could vary from these estimates and any such differences are dealt with in the period in which the results are known/materialize.

1.4 Fixed Assets :

(a) Tangible assets are stated at cost less depreciation. Costs include cost incidental to and / or installation expenses incurred in putting the assets for its intended use.

(b) Intangible assets acquired are measured on initial recognition at cost.

1.5 Depreciation /Amortization

Company provides for depreciation/amortization on the Fixed Assets at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956 on written down value method on a prorate basis from the month the assets are put to use during the financial year. In respect of assets sold or disposed off during the year, depreciation/amortization is provided till the month of sale or disposal off assets.

1.6 Investments:

Non-current investments are stated at cost.

1.7 Inventories :

(a) U-Matic Cassettes

Inventories of u-matic cassets are valued at "weighted average cost" as permissible under the Accounting Standard 2 (AS-2) "Valuation Of Inventories " issued by the Council of The Institute Of Chartered Accountants Of India.

(b) Work-in-progress:

Under production cost of serials, ad-films etc. are valued at "cost"

1.8 Contingent Liabilities :

Contingent liabilities in respect of show cause notices received from govt, authorities are considered only when they are converted into demands.

1.9 Foreign Currency Transactions :

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transactions. Foreign Currency receivables and payables are valued at the closing price at the year end in accordance with the Accounting Standard 11 (AS 11) Foreign Currency Transactions issued by the Institute of Chartered Accountants of India. Gains and losses on settlement/translation of monetary assets and liabilities are recognized in the statement of profit and loss.

1.10 Revenue Recognition:

Realizations in respect of serials are shown at gross.

In respect of serials, income is recognised in the Statement of Profit and Loss as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognised in Statement of Profit & Loss only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad Films, income is recognised when the completed commercial cassettes is delivered to the buyer.

In respect of released feature films income is recognised as and when the right to receive the amount is established.

1.11 Deferred Revenue Expenses:

Production cost of T.V. Serial's telecast is deferred, wherever ownership and other copyrights are with the company. This deferred expenditure is written off over the estimated useful life of T. V. Serials as estimated by the management.

From the deferred Revenue Expenditure, Production Cost of Serials, the Production / Telecast of which has been discontinued are transferred to Intangible Assets under the head 'Software'. No depreciation has been charged on software.

For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the company. .

1.12 Deferred tax:

Deferred tax is recognized on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversing in one or more subsequent periods.

Deferred tax assets pertaining to unabsorbed depreciation and carry forward losses are recognized only to the extent there is a virtual certainty of which realization.

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Mar 31, 2010

1. Basis Of Presentation / Accounting :

The financial statements are prepared under historical cost convention, in accordance with the generally accepted accounting principles and the provisions of the Companies Act, 1956, with revenues recognised and expenses accounted on accrual basis unless otherwise stated. Dividend on investments is accounted for on cash basis.

2. Fixed Assets :

Fixed Assets are stated at cost less depreciation. Costs include cost incidental to and / or installation expenses incurred in putting the assets for its intended use.

3. Investments:

Long term investments are stated at cost.

4. Depreciation :

Company provides for depreciation on the Fixed Assets at the rates and in the manner specified in Schedule XIV to the Companies Act, 1956 on Written Down Value Method. Depreciation on additions to assets during the year is provided on a proportionate basis. No depreciation has been charged on land and building during the year as written down value consist of cost of land only.

5. Inventories :

Inventories are valued at weighted average cost as permissible under the Accounting Standard 2 (AS-2)" Valuation Of Inventories " issued by the Council of The Institute Of Chartered Accountants Of India.

6. Contingent Liabilities :

Contingent liabilities in respect of show cause notices received are considered only when they are con- verted into demands.

7. Foreign Currency Transactions :

Foreign Currency transactions are accounted for at the exchange rates prevailing on the date of the transac- tions. Foreign Currency receivables and payables are valued at the closing price at the year end in accor- dance with the Accounting Standard 11 (AS 11) Foreign Currency Transactions issued by the Institute of Chartered Accountants of India.

8. Miscellaneous Expenditure :

Preliminary Expenses :

Preliminary expenses incurred before 1 st April, 1998 are being written off equally over a period of ten years. Preliminary Expenses incurred after 31st March, 1998 are amortised in five equal installments over the years.

Deffered Cost of Production:

Deffered cost of production of the feature flim " Garv- Pride and Honour" is being written off equally over a period of 5 years.

9. Revenue Recognition:

Realisations in respect of serials are shown at gross.

In respect of serials, income is recognised in the Profit & Loss Account as and when the relevant programme or the episode is telecast.

In respect of export of serials, income is recognised in Profit & Loss Account only when the relevant serials are delivered to and accepted by the buyers and all the significant risks and rewards of telecasting rights of programme have been transferred to the buyers.

In respect of Ad Films, income is recognised when the completed commercial cassettes is delivered to the buyer.

In respect of released feature films income is recognised as and when the right to receive the amount is established.

Deferred Revenue Expenses:

Production cost of T.V. Serials telecast is deferred, wherever ownership and other copyrights are with the company. This deferred expenditure is written off over the estimated useful life of T. V. Serials as estimated by the management.

From the deferred Revenue Expenditure, Production Cost of Serials, the Production / Telecast of which has been discontinued are transferred to Fixed Assets under the head Software. No depreciation has been charged on software.

For the purpose of taxation the Production Cost are treated as revenue expenses, as per the legal opinion obtained by the company.