Accounting Policies of Kairosoft AI Solutions Ltd. Company

Mar 31, 2024

3 Material Accounting Policies:

A summary of the material accounting policies applied in the preparation of the Standalone Financial Statements are as given below. These
accounting policies have been applied consistently to all periods presented in the Standalone Financial Statements.

(3.a) Property plant and equipment (PPE)

1.1. Initial recognition and measurement

Property, plant and equipments ("PPE") are measured at cost less accumulated depreciation/amortization and accumulated impairment losses.
Cost includes expenditure that is directly attributable to bringing the asset, inclusive of non-refundable taxes & duties, to the location and
condition necessary for it to be capable of operating in the manner intended by management
When parts of an item of property, plant and equipments have different useful lives, they are recognized separately.

Spare parts are capitalized when they meet the definition of PPE, i.e. when the Company intends to use these for a period exceeding 12 months.

On transition to IND AS, the Company has elected to continue with the carrying value of all of Its PPE recognized, measured as per the previous
GAAP and use that carrying value as the deemed cost of the PPE.

1.2. Depreciation

Depreciation on Property, Plant and Equipment, including assets taken on lease, other than freehold land Is charged based on Written down
method on an estimated useful life as prescribed in Schedule II to the Companies Act, 2013.

Depreciation on additions to/deductions from property, plant and equipment during the year ic charged on pro-rata basis from/up to the date on
which the asset is available for use/disposed.

In circumstance, where a PPE is abandoned, the cumulative capitalized costs relating to the property are written off in the same period.

The useful life of asset taken into consideration as per Schedule II for the purpose of calculating depreciation is as follows: -

An item of Property. Plant and Equipment is derecognized upon disposal or when no future economic benefits are expected to arise from tne
continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of Property, Plant and Equipment are determined as a
difference between the sale proceeds and the carrying amount of the asset and is recognized in the profit and loss. At the end of each reporting
period, the Company reviews the carrying amounts ol tangible and intangible assets to determine whether there is any indication that those
assets have suffered an impairment loss.

(3.bl Revenue recognition: ,, ,._cm

With Effective 1st April, 2018, the Company has applied Ind AS 115 - Revenue from Contracts with Customers Pursuant to adoption of Ind AS 115,
Revenue from contracts with customers are recognized when the control over the goods or services promised in the contract are transferred to
the customer. The amount of revenue recognized depicts the transfer of promised goods and services to customers for an amount that. eflects the
consideration to which the Company Is entitled to in exchange for the goods or services.

3,b.l Interest Income: The Company recognises interest income using Effective Interest Rate (EIR) on all financial assets subsequently
measured at amortised cost El R is calculated by considering all costs and other incomes attributable to acquisition of a financial assets.

3.b.2 Dividend: Dividend income from investments is recognised when the shareholders'' right to receive payment has been established which

is generally when the shareholders approve the dividend.

3.b.3 Other revenue from operations: The Company recognises revenue from contracts with customers (other than financial assets to which
Ind AS 109 Financial Instruments’ is applicable) based on a comprehensive assessment model as set out in Ind AS 115 Revenue from
contracts with customers’. The Company identifies contract(s) with a customer and Its performance obligations under the contract,
determines the transaction price and its allocation to the performance obligations in the contract and recognises revenue only on
satisfactory completion of performance obligations. Revenue is measured at fair value of the consideration received or receivable.

(3.c) Financial Instruments:

3.C.1 Financial Assets:-

Recognition and initial measurement: -

Financial assets and financial liabilities are initially recognised when the Company becomes a party to the contractual provisions of the
instrument and are measured initially at fair value adjusted for transaction cost

Subsequent measurement: -

Equity instrument and Mutual Fund: - All equity Instrument and mutual funds within scope of Ind-AS 109 are measured at fair value.
Equity instrument and Mutual fund which are held for trading are classified as at fair value through profit & loss (FVTPL). For all other
equity instruments, the Company decided to classify them as at fair value through other comprehensive income (FVTOCI).

Debt instrument: - A ’debt instrument’ is measured at the amortised cost if both the following conditions are met The assets are held
within a business model whose objective is to hold assets for collecting contractual cash flows, and contractual terms of the assets give
rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. After initial
measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method.

De- Recognition of financial Assets: -

A financial asset Is primarily de-recognised when the rights to receive cash flows from the asset have expired or Company has transferred
its right to receive cash flow from the asset

Impairment of financial assets: -

The Company determines whether there has been a significant increase in the credit risk since initial recognition and if credit risk has
increased significantly, impairment loss is provided.

3.C.2 Financial Liabilities : -

Recognition and initial measurement: -

All financial liabilities are recognised initially at fair value and transaction cost that Is attributable to the acquisition of the financial
liabilities is also adjusted. Financial liabilities are classified at amortised cost

Subsequent measurement: -

Subsequent to initial recognition, these liabilities are measured at amortised cost using the effective interest rate method.

De-recognition of financial liabilities

Financial liabilities are derecognized when the obligation under the liabilities are discharged or cancelled or expires. Consequently, write
back of unsettled credit balances is done on closure of the concerned project or earlier based on the previous experience of Management
and actual facts of each case and recognized in other Operating Revenues.

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Sjnit^dif credit risk has increased significantly, impairment loss >s provided.

3.C.5 Fvnected Credit l-OSS lEClli • __... . ,_Pr., _d ¦ _for fi_nandal assets which are not fair valued

The Company recognizes loss allowances using the rape e "''financing compunent is measured at an amount equal to 12-month F.CL.
through profit or loss. Loss allowanceo on Loans with jj . [_{0 [hp |lfetime} i₂-month ECL, unless there has been

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the Company''s cash management

appropriate. . .

e 2 Deferred Tax: Deferred tax is provided using the Balance Sheet method on temporary differences between the tax bases of assets and liabilities and their
carrying amounts tor financial reporting purposes at the reporting date. Deferred tax assets and liabilities are measured based on tax rates (and tax laws) that
have been enacted or substantively enacted at the reporting date. Deferred tax relating to items recognized outside profit or loss is recognized outside profit or
loss (either in other comprehensive Income or in equity).

(3.f) Employee benefits

Short Term Benefits: Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is
provided.

A liability is recognized for the amount expected to be paid under performance related pay if the Company has a present legal or constructive
obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

(3.g) Earning per share

Basic earnings/ (loss) per share are calculated by dividing the net profit/ (loss) for the period attributable to equity shareholders by the weighted
average number of equity shares outstanding during the period. The weighted average number of equity shares outstanding during the period are
adjusted for any bonus shares issued during the period and also after the Balance Sheet date but before the date the Ind AS financial statements
are approved by the Board of Directors.

For the purpose of calculating diluted earnings/ (loss) per share, the net profit/ (loss) for the period attributable to equity shareholders and the
weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

The number of equity shares and potentially dilutive equity shares are adjusted for bonus shares as appropriate. The dilutive potential equity
shares are adjusted for the proceeds receivable, had the shares been issued at fair value. Dilutive potential equity shares are deemed converted as
of the beginning of the period, unless issued at a later date.

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Mar 31, 2015

A. Use of estimates

The preparation of Financial Statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on the management's best knowledge of current event and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future period.

b. Fixed Assets

Fixed assets are carried at the cost of acquisition or construction less accumulated depreciation. The cost of fixed assets includes non-refundable taxes, duties, freight and other incidental expenses related to the acquisition and installation of the respective assets.

c. Depreciation on Fixed Assets

Depreciation on fixed asset is provided on the Written Down Value (WDV) Method. Depreciation is provided based on useful life of the asset as prescribed in Schedule II to the Companies Act 2013.

d. Revenue Recognition

Having regards to the size, nature and level of operation of the business, the company is applying accrual basis of accounting for recognition of income earned and expenses incurred in the normal course of business.

e. Inventories

Inventories include investments in shares of other companies. The company classified such investments as inventory and valuation of them has been made at cost.

f. Taxes on Income

Tax expense comprises of current tax and deferred tax. Current tax is measured at the amount expected to be paid to the tax authorities, using the applicable tax rates. Deferred income tax reflect the current period timing differences between taxable income and accounting income for the period and reversal of timing differences of earlier years/period.

Deferred tax assets are recognised only to the extent that there is a reasonable certainty that sufficient future income will be available except that deferred tax assets, in case there are unabsorbed depreciation or losses, are recognised if there is virtual certainty that sufficient future taxable income will be available to realize the same.

Deferred tax assets and liabilities are measured using the tax rates and tax law that have been enacted or substantively enacted by the Balance Sheet date.

g. Provisions

A provision is recognized when the company has a present obligation as a result of past event, it is probable that an outflow of resource embodying economic benefits will be require to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are not discounted to their present value and are determined based on the best estimate required to settle the obligation at the reporting date. These estimates are review at the end of each reporting date and adjusted to reflect the current best estimates.

h. Earning Per Share

Basic Earning per Share has been calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period. Diluted Earning per Share has been computed by dividing the net profit after tax by the weighted average no. of equity shares considered for deriving basic Earning per Share and also the weighted average no. of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

i. Cash and cash equivalents

Cash and cash equivalents comprise cash in hand, cash at bank and short term investments with the original maturity of three months or less.

j. Previous year figures

The company has reclassified previous year figures to conform to current year's classification.

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Mar 31, 2014

1. Basis of preparation

The financial statements of the company have been prepared in accordance with generally accepted accounting principles (Indian GAAP). The company has prepared these financial statements to comply in all material respects with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended from time to time) and the relevant provisions of the Companies Act, 1956.

The financial statements have been prepared on accrual basis and under the historical cost convention. The accounting policies not specifically referred, are consistently applied from the past accounting periods.

2. Summary of significant accounting policies

a. Revenue recognition

Having regard to the size, nature and level of operation of the business, the company is applying accrual basis of accounting for recognition of income earned and expenses incurred in the normal course of business.

b. Fixed assets:

Fixed Assets are valued at cost of purchase and/ or construction as increased by necessary expenditure incurred to make them ready for use in the business.

c. inventories

Inventories include investments in shares of other companies. The Company classifies such investments as inventory and valuation of them has been made at tower of cost or Market Value. However, unquoted investments are stated at cost.

d. Depreciation

The company is charging depreciation on all assets which are put to use by the Companyon written down value method method as per rates prescribed under Schedule XIV of the Companies Act, 1956 on pro- rata basis. However, no Depreciation is being trharged on asset depreciated upto 95% of its historical cost.

e. Taxes on income

Current taxes on income have been provided by the Company in accordance with the relevant provisions of the Income Tax Act, 1961. Deferred Taxes has been recognisedon timing differences between accounting income and taxable income subject to consideration of prudence.

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Mar 31, 2012

Not Available