Accounting Policies of Fruition Venture Ltd. Company

Mar 31, 2024

L Summary of significant Accounting Policies

1.1 basis of Preparation

The Flhfjgclal Statements have been prepared in accordance W-th Inrian Accounting Standards (lnd-A$) notified under
section 133 of the Cpnnpatiles Act 2D13 [The Companies {Indian Accounting Standards) Rules, jiDlSJ and comply In si I
material aspects with their provisions

1.2 Classification of Assets and Liabilities

Alt assets and liabilities are classified as current or nun-current as per the Company''s normal operating cycis and other
criteria set out in inc-A5 I notified under the Companies [Indian Accounting Standards} Rules, 2015. Based on the nature of
products and rhe time between the acquisition of assets fo^r processing and their realisation m cash end cash eq u. va-ents,
twelve months has beer cons id a rod by the Company for the purpose of current/ non-current classif cation of assets ard
;abilities. Howeve- certain I abilit-es such as trade payables and some accruals tor employee and other operating costs are
part of the working capital used in the Company''s normal opening cycle, acc$tilrigty classified as current liabilities

1.3 Accounting Estimates end Judgements

Due to thf nature of the Company''s operations, critical accounting estimates and Judgements principally relate to tluj:

* Tangible fixed assets (ash mate useful ife);

fhe management oTthe Compeniy makes assumption about.....estimated useh lives, depreciation meHiOds m residual

values of items of property, plant and equipment could Impact I he re-, .ills of the (lonnpany eased ci past experience and
''information currently available In amition. ch? management accesses arnually whether sny ind''cations of impairment of
.ntangihle assets and tangible assets The) manage merit nt i he Company relieve that on halunrF sheet d?,fe nn impainnenl.

hnd lea Lions re exist ing

tfis management of the Co vpr,ny ec-Heve :haT the inventory balances on hand could be sold to the third parties at the
disclosed value.

1.4 Presentation oFincome statement

The income ststenfwnjj is presem.ee! |n the form based pn the nature of expense and c less i Fie e expenses according to iheir
funecion. Further doLailed analyses of expenses ere provided n notes to Lho financial siaieniants.

1.5 inventories

As per Ind A5-2, all Inventories except financial instrL.menls aro valued attos-i or Net Realisable Value whichever ¦? less. Due
botho nature of inventories being F.nancial Instruments inventories are valued as per I ltd AS 105.32.

1.6 Property. Plant and Equipment

Furniture, plant and equipment held %¦ use n the business or foi admlmstreuve purposes are stated at historical cost, or
deemed cost less accumulated depredatori and any accumulated Impairment losses. Cost comp rises cf purchase price and
any directly, attributable cout of bringing the assets tc its work mg condition for its intended use
tfUSaequejH costs are included ifi tne asset''s carry ,ng amount or rerpgmseo usi separate asset, as appropnare, only wlten it
£ probable that future economic benefits associated with the item will flow to th$ group and the cos; of the item can be
measured reliably The carry-ng a mo Lint of any coma orient accounted ^Jo- ss a separata asset is derecognised when
replaced All other repairs and maintenance ere charged t.o profit o*^- loss during the reporting period in which they ere
Incurred.

Transition tn Ind AS

On transit lor to |nd Ai, the Company has elected to continue with (he carrying value of all of Its property, plant ard
equipment recogn sed as at 1 April 2016 measured as per the previous GAAP and use that carrying value as the deeneu
cost of the property, plant and equipment

1.7 Impairment of Assets

Assets ore tested for impairment wherever events o'' changes in circumstances indicate that tne cam,- ng amount may not
t!F recoverable. An impairment IdJs is recognised for the amount by which the siSel''j CS^ying amcuirl exceeds ,tS
recoverable amount. The recoverable amount Is the higher of an asset''s fair value less costs of disposa¹ and value in use For
the purposes of assessing impa recent, assets are grouped at the lowest leve s for which there are separately dentihabie
ca"h nflows which are largely in it f per den tor lire casti in flows from other assets or groups of assets (cafflFgeaerating snitii.
New-flnofielal assets other thari guadwi-l Chat suffurad an impairment, are reviewed foe poss b^!e reversal of the I mpaSimeht
at the end of each reporting period.

1.8 Depreciation

Depredation on buildings, machinery and epuipment has been provided on Straiflflt-lUle basis over the estimated useful
Ives of tlu> respective asseLs. intangible assets are arrvirt''ssd over their estimated useful eccnarnic lives on straight line
aasis. Land and construction In progress are not decreciated. The estimated useful ives considered foi providing
depreciaTor on other substantial assets are as follows.:

Machinery -15 Years
Furniture and Fixtures -10 Years
Computers - 3 Years
Servers Component li Years

Further the residual values, estimated useful Ives and depreciation methods of each items of property, plant and
equipment are reassessed annua by.

1.9 Investments and other financial assets
(ay Classification

The Investments and other financial assets has been classified as per Company''s business model for managing the
financial assets,

(b) Measurement

For assets measured at fair value, gains and losses yy II eithe-'' be records*) ;n profit or ^:oss or other comprehensive
Income. For Investments In debt instruments, inis will depend an the business model In which the investment is
he''d For investments h acuity instruments, this will depend or whether the group has made on irrevocable e lectio r
at the time of initial recognition to account tor tF,e equity ijives:meni ai fair yalue through- other cdfitprehepsive
Income.

(b. 1} Dc bt Instruments

Subsequent measurement of debt nsrrements depends on the Company''s business model for managing the
asset and flip cash- flow characteristics of the asset. There are 1 Free measurement categories into which me
Company''s classifies its debt instruments-:

Amortised Cost

Assets that ar# held for collection of contractual cash ^lovys where those cash flows represent solely
payments of principal and interest are measured at amortised cost. A gain or loss on a debt investment that
is subsequently measured at amortised cost is recognised in profit or loss when the asset is derecognised or
impaired interest income from there financial assets U included in finance income using the effective
interest rate method

fair value through otner comprehensive ncome (i-vuuf:

Assets that are held far collection of contractual cash flows and for sol mg the Financial assets, where the
assets cash flows represent solely payments of principal and interest, are measured at fair tragus through
other comprehensive income (FV&d) Movements in the carrying amount are taEten through OG, except for
the recognition of Impairment gains gr fosses, nt-ere?t reVennf and Foreign exchange gains and lo^ps which
are recognised n pmfiL and loss. Y/hun thn finanda asset is ¦derecognised, the cumulative gain or loss
previously recognised in QCI is reclassified from equity to profit or loss and recognised in other gains/
flosses). Interest income from Inese financial assets is Included I ft other income using the effective interest
rate method

Fair value through profit or loM:

Assets that do itoi moot the enter ia ^:or amortised tost or FVOci are measured at fair value through prof: or
loss. A gain or loss on o debt investment that c suaseoLently measured at feir value through prosit or toss is
recogn-sed n profit or less and presented net in the statement of profit and loss within other gains/tlesses)
in the period In which it a-ises. interest Interne from these flnaridat assets is included m other nc*me.

(b.Z) Equity instruments

The Company i subsequently measures all equity invectne-nts at fair value. Where the group''s management
has elected to present fair value gains and osses on equity Investments in other comprehensive income,
there is no subsequent reclassification cf fair value gc-ins and losses to profit or loss. Dividends from such
investments are recognise-d in profit or loss as ether income when the Company''s right to receive payments
is established.

Changes in the fair value of financial assets at fair value through crofitor loss are recog''n sed in other ga^n/ (losses) n
rhe Statement of profit and loss. Impairment losses (and reversal of impairment losses) on equity investments
measured ail FVOCI aye not reported separately from ottu r clitupges Intglr value,

(c) Impairment of financial assets

The group assesses cm a toward looking jasis the expecti".''. credit losses associated yvH''i its assets earned at
amortised cost and FVOf debt instruments "m- impah ¦''lent methodology appliso depends on whether there has
been i| sijJJiificanL mere asp in credit risk,

Tor trade receivables only, the grifkip appfts the j rsypliffedflpp bach permitted by i d AS 109 Financial Instruments
which requires expectc-o f&el me losses to be recogn red from nlfi jl recognition of -he receivables.

(ri) Oh recognition

A financial asset is derecognised only when

- The group has transferred the rights to receive cash flows from the Financial asset ui
retains the contractual rights to receive the cash flows of the financial asset, hut assumes a contractual obligat-on
to pay the cash flows to one or more recipients.

led Income recognition

(e,l) Interest Income

Inferefl Income from dt?bt insLiumtnis is re cognised using the effect; u-s IritOfeit rare methed. Ids effective
interest rate is the rate mat exactly discounts estimated future cash receipts through the expected life or the
tins real asset to the gross carrying amount of a financial asset WhErt calculating the effective interest rate,
the group estimates the expected cash Flows by considering all the contractual terms of the Financial
instrument but doss not consider tfte expected credit lossres.

(&.2| Dividends

Dividends are recognised in prof t or loss only when the rig it to receive payment is established, it is orobable
that the econo mis benefits associate:; w th me dividend: will flovj to the group, and the amount of the
dividend tan fcs measured reliably.

i.iu (jsri and tssn hquivaierits

For ;hs pur poise; of pretention in tlie statement of cash. flows* cash arid cash equivalents Includes cash or¹ ''land, deposits
field at call wish financial I rs titud ens, others bo''t term, f’-igh-lv liquid investmcrits with orgii''-al maturities of three months or
less that are readily cenvertiblf to Known amounts of cash and which are subject to an insign heard risk of changes In value,
and ba h£t alre r d u ftj, Rjn k d wrdrg Fts a re S hown withl n bq r row''j ng; I rt culTen t H a bl lltl&S In t ^ e b? Ian ee 5 h a e!

1.11 Trade Receivables

Trade receivao es are recognised initially at fair value and sunsequently measured at amortised cost using the effective
interest method, less provision for impairment.

1.12 Borrowings.

Borrowings tKe reccgn led initially at fair value, less attributable iransscticn costs Subsequent to initial recognition, interest
hearing burrow mgs are stated at amorti:ed nest with any difference between cost and redemption value being recognized
In the statement of profit or loss over the perod of the bonrowingi on an effective interest basis.

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Mar 31, 2015

1.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS:

(i) In compliance with the accounting standards referred to in section 133 and the order relevant provision of the companies Act, 2013 to the extent applicable, the company follows the accrual system of accounting in general and the historical cost convention in accordance with the generally accepted Accounting Principles (GAAP).

(ii) The preparation of accounting statements in conformity with GAAP requires the management to make assumption and estimates that effect the reported amounts of assets and liabilities and discloser of contingent liabilities as at the date of the financial statements and amount of income and expenses during The period reported under the financial statements. Any revision to the accounting estimates are recognised prospectively when revised.

(iii) All assets and liabilities have been classified as current and non current as per the companies' normal operating cycle and other in the in the 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 realisation in cash and cash equivalents, the company has ascertained its operating cycle as 12 months for the purpose of current & non current classification of assets and liabilities.

1.2 Use of estimates

The preparation of the financial statements In conformity with Indian Accounting Standards requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during' the year. The Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ due to these estimates and the differences between the actual results and the estimates are recognised in the periods in which the results are known / materialise.

1.3 Inventories

Inventories are valued at the lower of cost (on FIFO basis) and the net realisable value after providing for obsolescence and other losses, where considered necessary. Cost includes all charges in bringing the goods to the point of sale, including octroi and other levies, transit insurance and receiving charges.

1.4 Cash and cash equivalents (for purposes of Cash Flow Statement)

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

1.5 Cash flow statement

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

1.6 Fixed Assets and Depreciation

Fixed Assets are recorded in the books of accounts at their original cost of acquisition. As per the requirement of the provisions of Schedule II of the Companies Act, 2013 (the "Act"), the Management has decided to adopt the useful lives as suggested in Part C of Schedule II of the Act with effect from 1st April,

1.7 Revenue recognition

Sale of goods

Sales are recognised, net of returns and trade discounts, on transfer of significant risks and rewards of ownership to the buyer, which generally coincides with the delivery of goods to customers. Sales exclude sales tax and value added tax.

1.8 Other income

interest income is accounted on accrual basis. Dividend income is accounted for when the right to receive it is established.

1.9 Investments

Long-term investments (excluding investment properties), are carried individually at cost less provision for diminution, other than temporary, in the value of such investments, Current investments are carried individually, at the lower of cost and fair value. Cost of investments include acquisition charges such as brokerage, fees and duties,

1.10. Employee benefits

No provision for gratuity and Leave Encashment on retirement has been made.

1.11 Others

Previous years figures have been recast and regrouped wherever necessary.

1.12 Earnings per share

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income 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. Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity shares are determined independently for each period presented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.

1.13 Taxes on income

Current tax is the amount of tax payable on the taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in 'the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Company.

Deferred tax is recognised as per Accounting Standard -22 issued by ICAI.

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Mar 31, 2014

1.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS:

(i) In compliance with the accounting standards referred to in section 211(3C) and the order relevant provision of the companies act, 1956 to the extent applicable, the company follows the accrual system of accounting in general and the historical cost convention in accordance with the generally accepted Accounting Principles (GAAP).

(ii) The preparation of accounting statements in conformity with GAAP requires the management to make assumption and estimates that effect the reported amounts of assets and liabilities and discloser of contingent liabilities as at the date of the financial statements and amount of income and expenses during the period reported under the financial statements. Any revision to the accounting estimates are recognised prospectively when revised.

(iii) All assets and liabilities have been classified as current and non current as per the companies'' normal operating cycle and other criteria set out in the in the 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 realisation in cash and cash equivalents, the company has ascertained its operating cycle as 12 months for the purpose of current & non current classification of assets and liabilities.

1.2 Use of estimates

The preparation of the financial statements in conformity with Indian Accounting Standards requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during the year. The Management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could differ due to these estimates and the differences between the actual results and the estimates are recognised in the periods in which the results are known / materialise.

1.3 Inventories

Inventories are valued at the lower of cost (on FIFO basis) and the net realisable value after providing for obsolescence and other losses, where considered necessary. Cost includes all charges in bringing the goods to the point of sale, including octroi and other levies, transit insurance and receiving charges.

1.4 Cash and cash equivalents (for purposes of Cash Flow Statement)

Cash comprises cash on hand 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.

1.5 Cash flow statement

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

1.6 Fixed Assets and Depreciation

Fixed Assets are recorded in the books of accounts at their original cost of acquisition. Depreciation has been provided on the straight-line method as per the rates prescribed in Schedule XIV to the Companies Act, 1956.

1.7 Revenue recognition

Sale of goods

Sales are recognised, net of returns and trade discounts, on transfer of significant risks and rewards of ownership to the buyer, which generally coincides with the delivery of goods to customers. Sales exclude sales tax and value added tax.

1.8 Other income

Interest income is accounted on accrual basis. Dividend income is accounted for when the right to receive it is established.

1.9 Investments

Long-term investments (excluding investment properties), are carried individually at cost less provision for diminution, other than temporary, in the value of such investments. Current investments are carried individually, at the lower of cost and fair value. Cost of investments include acquisition charges such as brokerage, fees and duties.

1.10. Employee benefits

No provision for gratuity and Leave Encashment on retirement has been made.

1.11 Others

Previous years figures have been recast and regrouped wherever necessary.

1.12 Earnings per share

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income 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. Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive potential equity shares are determined independently for each period presented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.

1.13 Taxes on income

Current tax is the amount of tax payable on the taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Company.

Deferred tax is recognised as per Accounting Standard -22 issued by ICAI.