Accounting Policies of Krishna Ventures Ltd. Company

Mar 31, 2024

1. Significant Accounting Policies:

Corporate Information:

The Company is in the business of real estate& trading of other goods.

The Company is a public limited company incorporated and domiciled in India. The Registered Office of the Company is located at 7^th Floor, Corporate Centre, Opp. Hotel Vitts, AndheriKurla Road, Andheri (East), Mumbai 400059

These financial statements of the Company for the year ended March 31,2024 were authorised for issue by the board of directors on 29^th May 2024. Pursuant to the provisions of section 130 of the Companies Act, 2013, the Central Government, Income tax authorities, other statutory regulatory body and under section 131 of the Act, the board of directors of the Company have powers to amend / re-open the financial statements approved by the board / adopted by the members of the Company.

a. Basis of Preparation, measurement and significant accounting policies:

(i) Compliance with Indian Accounting Standard (Ind AS)

The financial statements of the Company comply in all material aspects with Companies (Indian Accounting Standards) Rules, 2015 (Ind AS) notified under Section 133 of the Companies Act, 2013 (the Act) read with relevant rules and other accounting principles. The policies set out below have been consistently applied during the years presented.

(ii) Basis of Preparation

The financial statements for all periods up to and including the year ended March 31, 2024 were prepared in accordance with the accounting standards notified under Section 133 of Companies Act, 2013 read together with the Companies (Accounts) Rules, 2014 (“Previous GAAP’’).

The financial statements have been prepared in accordance with the requirements of the information and disclosures mandated by Schedule III to the Act, applicable Ind AS, other applicable pronouncements and regulations.

(iii) Basis of Measurement

The financial statements have been prepared on a historical cost basis, except for certain financial assets and liabilities that is measured at fair value;

(iv) Financial statements have been prepared on a going concern basis in accordance with the applicable accounting standards prescribed in the Companies (Indian Accounting Standards), Rules, 2015 issued by the Central Government.

b. Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker’s (CODM) function is to allocate the resources of the entity and access the performance of the operating segment of the entity.

The Board assess the financial performance and position of the Company and makes strategic decision. It is identified as being the CODM for the Company. Refer Note No. 25 for segment information presented.

Current versus Non-Current Classification

The Company presents assets and liabilities in the balance sheet based on current / non-current classification.

An asset is treated as current when it is:

• Expected to be realized or intended to be sold or consumed in normal operating cycle

• Expected to be realized within twelve months after the reporting period, or

___________• Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for

at least twelve months after the reporting period

• Held primarily for the purpose of trading

All other assets are classified as non-current.

A liability is current when:

• It is expected to be settled in normal operating cycle

• It is due to be settled within twelve months after the reporting period, or

• There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

• Held primarily for the purpose of trading ''¦

All other liabilities are classified as non-current.

The Company’s normal operating cycle in respect of operations relating to the construction of real estate projects may vary from project to project depending upon the size of the project, type of development, project complexities and related approvals. Assets and liabilities have been classified into current and.non-current based on their respective operating cycle.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

c. Revenue Recognition:

Revenue is recognized only when it can be reliably measured and it is reasonable to effect ultimate collection. Revenue from operations includes sale of service.

Dividend on Investment is recognized when the right to receive payment is established.

d. Financial Instruments:

The Company recognises financial assets and liabilities when it becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are recognised at fair values on initial recognition, except for trade receivables which are initially measured at transaction price.

(I) Financial Assets :

(i) Classification:

The Company classifies its financial assets in the following measurement categories:

• those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and

• Those measured 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.

For assets measured at fair value, gains and losses will either be recorded in Statement of Profit and Loss or other comprehensive income. For investments in debt instruments, this will depend on the business model in which the investment is held. For investments in equity instruments, this will depend on whether the Company has made an irrevocable election at the time of initial recognition to account for the equity investment at fair value through other comprehensive income.

(ii) Measurement Initial

At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs of financial assets carried at fair value through profit or loss are expensed in Statement of Profit and Loss.

Debt Instruments

Subsequent measurement of debt instruments depends on the Company’s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories into which the Company classifies its debt instruments:

• Amortised Cost:

Assets that are held for collection of contractual cash flows 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 and is not part of a hedging relationship is recognised in Statement of Profit and Loss when the asset is derecognised or impaired. Interest income from these financial assets is included in finance income using the effective interest rate method.

• Fair Value through Other Comprehensive Income (FVOCI):

Assets that are held for collection of contractual cash flows and for selling the financial assets, where the assets’ cash flows represent solely payments of principal and interest, are measured at fair value through other comprehensive income (FVOCI). Movements in the carrying amount are taken through OCI, except for the recognition of impairment gains or losses, interest revenue and foreign exchange gains and losses which are recognised in the Statement of Profit and Loss. When the financial asset is derecognised, the cumulative gain or loss previously recognised in OCI is reclassified from equity to profit or loss and recognised in other gains / (losses). Interest income from these financial assets is included in other income using the effective interest rate method.

• Fair Value through Profit or Loss (FVTPL):

Assets that do not meet the criteria for amortised cost or FVOCI are measured at fair value through profit or loss. A gain or loss on a debt investment that is subsequently measured at fair value through profit or loss and is not part of a hedging relationship is recognised in the Statement of Profit and Loss and presented net in the Statement of Profit and Loss in the period in which it arises. Interest income from these financial assets is included in other income.

Equity Instruments

The Company subsequently measures all equity investments at fair value. Where the Company’s management has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains and losses to the Statement of Profit and Loss.

Changes in the fair value of financial assets at fair value through profit or loss are recognised in Statement of Profit and Loss. Impairment losses (and reversal of impairment losses) on equity investments measured at FVOCI are not reported separately from other changes in fair value.

(iii) Impairment of Financial Assets

The Company assesses on a forward-looking basis the expected credit losses associated with its assets carried at amortised cost and FVOCI debt instruments. The impairment methodology applied depends on whether there has been a significant increase in credit risk. Note No.27 details how the Company determines whether there has been a significant increase in credit risk.

For trade receivables only, the Company measure''s the expected credit loss associated with its trade receivables based on historical trend, industry practices and the business environment in which the entity operates or any other appropriate basis. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

(iv) De recognition of Financial Assets

A financial asset is derecognised only when:

• Right to receive cash flow from assets have expired or

• The Company has transferred the rights to receive cash flows from the financial asset or

• It retains the contractual rights to receive the cash flows of the financial asset, but assumes a

contractual obligation to pay the received cash flows in full without material delay to a third party

?''^Tiu^xunder a “pass through” arrangement.

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Where the entity has transferred an asset, the Company evaluates whether it has transferred substantially all risks and rewards of ownership of the financial asset. In such cases, the financial asset is derecognised.

Where the entity has neither transferred a financial asset nor retains substantially all risks and rewards of ownership of the financial asset, the financial asset is derecognised 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 recognised to the extent of continuing involvement in the financial asset.

(II) Financial Liabilities Initial Recognition and Measurement

All financial liabilities are recognised initially at fair value. The Company''s financial liabilities include trade and other payables.

Subsequent measurement

After initial measurement, such financial liabilities are subsequently measured at amortized cost.

(a) 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 after the reporting period. They are recognized initially at their fair value and subsequently measured at amortized cost using he effective interest method

De-recognition

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the de-recognition of the original liability and the recognition of a new liability.

The difference in the respective carrying amounts is recognized in the Statement of Profit and Loss.

(b) Fair Value Measurement

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:

¦ In the principal market for the asset or liability, or

¦ 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, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized 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:

Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

Level 2- Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable.

, --4_evel 3 -Valuation techniques for which the lowest level input that is significant to the fair -iMratue measurement is unobservable.

measurement as a whole) at the end of each reporting period, measured at fair value.

agSg^tSKffiVS. valuation computation to contracts and other relevant documents.

The management also compares the change in the fair value of each asset and liability with relevant external sources to determine whether the change is reasonable.

the fair value hierarchy as explained above.

hierarchy.

Offsetting Financial Instruments:

Financial assets and liabilities are offset and the net amount is reported in the balance sheet where there is a leaallv enforceable right to offset the recognised amounts and there is an intention to settle on a n basis or realise 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 of default, insolvency or bankruptcy of the Company or the counterparty.

f. Property, Plant and Equipment

Prooertv Plant and Equipmentassets are carried at cost net of tax / duty credit availed less accumulated Sec!atior_and accumulated impairment losses, if any. Cost includes expenditure that » directly

attributable to the acquisition of the items.

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 compone accounTed for as a separate asset is de-recognized when replaced. All other repairs and maintenance are charged to the Statement of Profit and Loss during the reporting period in which they are incurred.

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount.

Property, Plant and Equipment are eliminated from the financial statements, either on disposal or when retired from active use.

Gains and losses on disposals or retirement of assets are determined by comparing proceeds with carrying amount. These are recognized in the Statement of Profit and Loss.

Property" P°ant and Equipment are depreciated under the Written down Value method as per the useful life and in the manner prescribed under Schedule II of the Companies Act, 2013.

g-

Income Taxes:

The income tax expense or credit for the period is the tax payable on the current period’s taxable income based on the applicable income tax rate for each jurisdiction adjusted by changes in deferred tax assets ~-\and liabilities attributable to temporary differences and to unused tax losses.

The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the reporting date in the countries where the Company operates and generate 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 income tax is provided in full, 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 income 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 realized or the deferred income tax liability is settled.

Deferred tax assets are recognized for all deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilize those temporary differences and losses. 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. Income tax expense for the year comprises of current tax and deferred tax.

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Mar 31, 2023

1. Significant Accounting Policies:

Corporate Information:

iWCompany Is In the business of real estate & trading of other goods.

The Company Is a public limited company Incorporated and domiciled in India. The

Company is located at 7* Floor, Corporate Centre. Opp. Hotel Vitts. Andheri Kurla Road. Andhor. (East).

Mumbai 400059

Those financial statements of the Company for tho year ended March 3J>2023

the board of directors on 30" May 2023. Pursuant tc the provisions of_I^s*^dK>2l³l/⁰i131* of the the Central Government. Income tax authorities, other statutory rMulatoor t^y and under _a³pl^_ved

Act. the board of directors of the Company have power* to amend (re-open the financial statements appro by the board f adopted by the members of the Company.

a. Basis ot Preparation, measurement and significant accounting policies:

(I) Compliance with Indian Accounting Standa’d (Ind AS)

The financial statements ot the Company comply tn .

Accounting Standards) Rules. 2015 (led AS) nofified ^e S^ton133 ofthe Co^n^Aa Act) road with rolovant rules and other accounting principles. The policies set our neiow consistently applied during the years presented.

(II) Basis of Preparation

The financial statements for all penods up ^t°,^ando|ⁿ?''i^d''"n^Se^ixTlM of compank?Art!MlTread togo^ⁿ“the SJEjKSito) Rule*. Z014 (-Previous GAAP"). .

regulations. ... • •

(ill) Basis of Measurement

The financial statements have been prepared on a historic* cos. basis, except for certain financial assets and liabilities that Is measured at fair value.

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the Central Government.

b. Segment Reporting _Ih-rhi#rf

§£38 SSSMSK^ «* *•

performance of the operating segment ot the entity.

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in .he balance sheet based on current / -xurrent

classification.

*" ^aS5ttlT,ore re"ln!lLd tc Pe sold or ccnaumrfln nonoperating cycio ¦ I exchanged or us«l to retde . Ub«y fcr

at leasl twelvo months alter the reporting period

• Held primarily for the purpose of trading

All otfccr assets are classified as non-current ,

A liability is current when:

• It Is expected to be settled In normal operating cycle

• . It is due to be settled within twelve months after the reporting period, or

• There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

• Held primarily for the purpose of trading

All other liabilities are classified as non-current.

The Company''s normal operating cycle in respect of operations relating to the construction of real estate projects may vary from project to project depending upon the size of the project, type of development, project complexities end related approvals. Assets and liabilities have been classified into current and non-current based on their respective operating cyde.

• Deferred tax assets and liabilities are classified as non-current assets and liabilities.

c. Revenue Recognition:

Revenue is recognized only when it can be reliably measured and It is reasonable to effect ultimate collection. Revenue from operations includes sale of service.

Dividend on Investment is recognized when the right to receive payment is established.

d. Financial Instruments:

The Company recognises financial assets end liabilities when it becomes a party to the contractual provisions of the Instrument. All financial assets and liabilities are recognised at lair values on initial recognition, except for trade receivables which are initially measured at transaction price.

(1) Financial Assets : •

(t) Classification:

The Company classifies its financial assets in ttie following measurement categories.

. those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and

• those measured 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. . .

For assets measured at fair value, gains and losses will either be recorded in and loss or olher comprehensive income. For Investments In debt Increments. Ws i wU_deipend on the business model In which the Investment is held. For investments *™

depend on whether tho Company has made an irrevocable eloction at the time of Initial recognition to account for the equity Investment at fair value through other comprehensive Income.

(II) Measurement

Initial ‘ . .

At initial recognition, the Company measures a financial asset at its fair value plus, in the case ofa financial assetnotel fair valub through profit or loss, transaction cosK of financial assets earned at lair value through profit or loss are expensed In Statement of Profit and Loss.

Subsequent

Debt Instruments

Subsequent measurement of debt Instruments depends on the Company''s business model for

managing the asset and the cash flow characteristics of the asset. There are three measurement categories into which the Company classifies its debt instruments.

. • Amortisod Cost:

Assets that are held for collection of contractual cash flows 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 and Is not parte*a hedging . relationship is recognised In Statement of Profit and toss when the asset is derecognised or ''• Impaired. Interest income from theso financial assets is Included in finance Income using me • effective Interest rate method.

• Fair Valuo through Other Comprehensive Income (FVOCI):

Assets that are held for collection of contractual cash andter 2§^,a*£jKremmuA

where the assets’ cash flows represent solely payments of principal and interest,.areimeasurea

at fair value through other comprehensive income ([FVOCI). I** "} ¦£? We75trev«nue are taken through OCI. except for the recognition of Imprtrfont.grinsor and foreign exchange gains and losses which are recognised In the Statement_oi ei i Loss. When tho financial asset IS derecognised, the cumulate gain or loss previou^ recognised in OCI is reclassified Irom equity to profit or loss aifo roc^nteed in omer gans (losses). Interest Income from these financial assets Is included In other income using me effective interest rate method.

. • Fair Value through Profit or Loss (FVTPL)i . .

Assets that do not meet the criteria for amorfceO, coalI or FVOCI SfoS

Equity Instrument*

The Company subsequently measures all equity''^a^ioss^®''S^St^i^sOTente^oUtor ™:^^eh7nslvSto^>e?a^“ su^ont r&lasslficatior of (air value gains and losses to the Statement of Profit and Loss.

Changes In the fair ^v^, Rossis reveSVimp^mem fosses^on equity

. Pn^Tn''^mrs^rat^Oclr r^^aTatoly Irom Cher changes ,n fair wUuo.

(ill) Impairment of Financial As*ets

The Company ^asse3E“^ⁿ “ tosl^rts^e m^lriront mrtlxSolqgy applied

assets carried tit aniortised rest and FVOC deb _ri£. Note No.25 details hew the

^Cf8di''^ .

For trade receivables only, the fiSSnntESvHmSasand^e busnew cnSonment in which the — a rny^h^»^T^irment methodology oppltod depends on

whettiefmere has been a significant Increase In credit nsk.

(lv) De recognition of Financial Assets

.^A R^hUor«l⁰ve^te''tMhflSwl(lows from the financial asset or . The Company has transferredthenghtsto ₀, ,_ho financial asseL but ^a,^s=“^m“ ®

• cash flows in lull without material datay to a third party

under a "pass through* arrangement

# * *

/ Krishna Venture* limited . . .

Noitt Annexed to and forming part of Financial SUtemanta

/ control of the financial asset. Where the Company retains control of Iho financial Ml the asset Is

coniinuod to bn recognised to the extent of oontmulng Involvement In Iho financial asset.

(II) Financial Liabilities ''

Initial Recognition and Measurement

AH financial lleblllllos are recognised InWalty al fair value. Tho Company''s financial BaMitles Indude trade and other payables.

Subsequent measurement

After Initial measurement, such financial liabilities are subsequently measured at amortized cosL

(a) Trado and Other Payables:

These amounts represent liabilities for goods and services provided to fhe Company prior lo the end of financial year which are unpaid. Trade and other payables are presented as currant.liabilities unw« payment is not duo within 12 months after Iho reporting period. They are recognised Initially at their lair valuo and subsequently measured at omortisod cost using he effectvo Interest method

De recognition

A financial liability Is derecognized when the obligation under Om liability

expires. When an existing financial liabrlly Is replaced by an

substantially different torms. or tho terms of on exrstlng HaMly are

exchange or modification is treated as tho derecognition of the original liability and the recognition ot _n The''diffcrcnco In fhe respective carrying amounts Is recognized In the Statement of Profit and Loss.

(b) Fair Value Measurement . ¦

Fair value Is the price that wxjuld be received to sal an asset or paid lolranster^a transaction between marital participants at Iho measurement da». TheiMr *

based on the presumption that Iho transacllon to sell the asset or transfer Iho liability lanes pace either * .

«in Iho absence ^a^prinop^fm^^''bw most advantageous maritot for the asset or liability Tho principal or the most advantageous market must be accessible by the Company.

The fair valuo or on asset or a liability Is measured using the assumptions ^ martMl Mhld(Mna would use when prfdng the asset or liability, assuming that mortal participants act In their economic best Interest

market participant that would uso the asset In Its highest and best use.

and minimizing tho use of unobscrvablo Inputs.

Is significant lo Iho fair value measurement os a whole: ¹

nwrementsjn the values of m«s and llabUMes

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fSS^“®^a«ss

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o. Offsetting Financial Instruments:

rjⁿo^i!!,^a^f,^{tS and},!''^abl¹''!^la5 afe offset and the net amount is reported In Ute balance sheel where there IS a legally enforceable nght to offset the recognised amounts and there is an Intention to settle on a net basis or realise the asset and setUe 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.

f. Property, Plant and Equipment •

Property, Plant and Equipmentassets aro carried at cost net ol lax / duty credit availed less accumulated depredation and accumulated impairment losses. If any. Cost Includes expenditure that is directly attributable to the acquisition of the Items.

Subsequent costs are Induded In the asset''s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits assodatad 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 de-recognized when replaced. All other repairs and maintenance are charged to the Statement of Profit and Loss during the repotting period In which they are incurred.

An osset''s carrying amount is written down Immediately to Its recoverable amount If tha asset''s carrying omounl Is greater than its estimated recoverable amount.

Property. Plant and Equipment aro eliminated from Iho financial statements, either on disposal or when retired from active use.

Gains and losses on disposals or retirement of assets are determined by comparing proceeds with carrying amount. These are recognized In the Statement of Profit and Loss.

Depreciation:

Property, Plant and Equipment are depreciated under the Written Down Value method as per the useful life and in the manner prescribed under Schedule II of the Companies Act, 2013.

g. Income Taxes:

The income tax expense or credit for the period Is the tax payable on the current period''s taxable Income based on the applicable income tax rate for oach jurisdiction adjusted by changes in deferred tax assets and liabilities attributable lo temporary differences and to unused tax losses.

The current income lax charge Is calculated on the basis of the tax laws enacted or substantively enacted at Iho reporting dale In the countries where the Company operates and generate taxable Income. Management periodically evaluates positions taken In tax returns with respect to situations In which applicablo lax regulation is subject to Interpretation. It establishes provisions where appropriate, on the basis of amounts expected to be paid to the tax authorities.

Deterred lncomo tax Is provided In full, using the liability method, on temporary differences arising between

the tax bases ot assets and liabilities and their carrying amounts in the financial statements. Deferred

Income tax Is determined using tax rates (and laws) that have been enacted or substantially enacted by

the ond of the reporting portod and are expected to apply when the related deferred Income lax asset is .

realised or the doferred Income tax liability Is settled.

Deterred lax assets are recognised for all deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

Deferred lax assets and liabilities ore 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 whore the entity has a legally enforceable right to offset and intends either to settle on a nel basis, or to realise the asset and settle the liability simultaneously. Income tax expense for the year comprises of current tax and deferred tax.

1

measurement Is directly or Indirectly obsorvoble.

Level 3 -Valuation techniques for which the lowest lovel Input that Is significant lo the fair value measurement is unobservable. »

...... _nnH rtahll.iles that are recognised In lha financial slalcmenla on b recurring basis, the

ro^anv doiornSnoswhemo trwsfonsUe occurred between levels m the hierarchy by re-aasessing nwutol(Eased» theiolst level Inpul that is significant lo Iho lair value measurement as a wholo) al Iho ond of each reporting period.

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Mar 31, 2015

1.1 Basis for preparation of financial Statements

The Financial Statement are prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention on the accrual basis. GAAP comprises mandatory accounting standard as prescribed by the Companies (Accounts) Rules, 2014, the provisions of the Companies Act, 2013 and Guidelines issued by the Securities and Exchange Board of India (SEBI). Accounting Policies have been consistently applied except where a newly issued accounting standard is mainly adopted or a revision to an existing accounting standards requires a change in the accounting policy hitherto is use.

1.2 Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to effect ultimate collection. Revenue from operations includes sale of service.

1.3 Use of Estimate

The Preparation of financial statements in conformity with generally accepted accounting principles requires estimates and assumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Differences between actual results and estimates are recognized in the period in which the results are known/materialized.

1.4 Provisions & Contingent Liabilities

A provision is recognized when an enterprise has a present obligation as a result of past event, it is probable that an outflow of resources will be required to settle the obligation, in respect of which reliable estimates can be made. Provisions are not discounted to its present value and are determined based on best estimate required to settle the obligation at the Balance Sheet Date. These are reviewed at each Balance Sheet Date and adjusted to reflect the current best estimates.

All known liabilities are provided for and liabilities which are material, and whose future outcome cannot be ascertained with reasonable certainty are treated as Contingent and disclosed by way Notes on Accounts.

1.5 Basis of Fixed Assets

The company has freehold land (possessory right) and Transfer of Development Rights (TDR) shown at cost.

1.6 Depreciation

The Company is not required to provide for depreciation on freehold land as specified in the Schedule II of the Companies Act, 2013

1.7 Income Taxes

Income-tax expenses comprises of Current Tax and Deferred Tax charge or credit. Provision for Current Tax is made on the assessable income at the tax rate applicable to the relevant assessment year.

Deferred Tax is recognized, subject to the consideration of prudence, on timing differences, being the difference between taxable incomes and accounting income that originate in one period and are capable of reversal in one or more subsequent periods.

1.8 Earnings Per Share

Basic earnings per share is computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period. Diluted earnings per share is computed by dividing the profit after tax by the weighted average number of equity shares considered for deriving basic earnings per share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The diluted potential equity shares area adjusted for the proceeds receivable had the shares been actually issued at fair value which is the average market value of the outstanding shares. Dilutive potential equity shares are deemed converted as of the beginning of the period, unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.

The number of shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for any share splits and bonus shares issues including for changes effected prior to the approval of the financial statements by the Board of Directors

1.9 Investments

Trade investments are the investments made to enhance the Company's business interests. Investments are either classified as current or long-term based on Management's intention at the time of purchase. Investments are stated at cost including all other expenses incurred on its acquisition and dividend accrued thereon, if any. Current investments are carried at the lower of cost and fair value of each investment individually. Long term investments are carried at cost less provisions recorded to recognize any decline, other than temporary, in the carrying value of each investment.

1.10 Cash & Cash Equivalents

Cash and cash equivalents comprise cash and cash on deposit with banks and corporations.

1.11 Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.

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Mar 31, 2012

1.1 Basis for preparation of financial Statements

The Financial Statement is prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention on the accrual basis. GAAP comprises mandatory accounting standard as prescribed by the Companies (Accounting Standards) Rules, 2006, the provisions of the Companies Act, 1956 and Guidelines issued by the Securities and Exchange Board of India (SEBI). Accounting Policies have been consistently applied except where a newly issued accounting standard is mainly adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto is use.

1.2 Revenue Recognition

Revenue is recognized only when it can be reliably measured and it is reasonable to effect ultimate collection. Revenue from operations includes sale of service.

1.3 Use of Estimate

The Preparation of financial statements in conformity with generally accepted accounting principles requires estimates and assumptions to be made that affect the reported amounts of assets and liabilities on the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Differences between actual results and estimates are recognized in the period in which the results are known/materialized.

1.4 Provisions & Contingent Liabilities

A provision is recognized when an enterprise has a present obligation as a result of past event, it is probable that an outflow of resources will be required to settle the obligation, in respect of which reliable estimates can be made. Provisions are not discounted to its present value and are determined based on best estimate required to settle the obligation at the Balance Sheet Date. These are reviewed at each Balance Sheet Date and adjusted to reflect the current best estimates.

All known liabilities are provided for and liabilities which are material, and whose future outcome cannot be ascertained with reasonable certainty are treated as Contingent and disclosed by way Notes on Accounts.

1.5 Fixed Assets

The Company does not have any fixed assets.

1.6 Income Taxes

Income-tax expenses comprises of Current Tax and Deferred Tax charge or credit. Provision for Current Tax is made on the assessable income at the tax rate applicable to the relevant assessment year.

Deferred Tax is recognized, subject to the consideration of prudence, on timing differences, being the difference between taxable incomes and accounting income that originate in one period and are capable of reversal in one or more subsequent periods.

1.7 Earning Per Share

Basic earnings per share are computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period. Diluted earnings per share is computed by dividing the profit after tax by the weighted average number of equity shares considered for deriving basic earrings per share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The diluted potential equity shares area adjusted for the proceeds receivable had the shares been actually issued at fair value which is the average market value of the outstanding shares. Dilutive potential equity shares are deemed converted as of the beginning of the period, unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.

The number of shares and potentially dilutive equity shares are adjusted retrospectively for all periods presented for any share splits and bonus shares issues including for changes effected prior to the approval of the financial statements by the Board of Directors.

1.8 Investments

Trade investments are the investments made to enhance the Company's business interests. Investments are either classified as current or long-term based on Management's intention at the time of purchase. Investments are stated at cost including all other expenses incurred on its acquisition and dividend accrued thereon, if any. Current investments are carried at the lower of cost and fair value of each investment individually. Long term investments are carried at cost less provisions recorded to recognize any decline, other than temporary, in the carrying value of each investment.

1.9 Cash & Cash Equivalents

Cash and cash equivalents comprise cash and cash on deposit with banks and corporations.

Cash flows are reported using the indirect method, whereby profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.