Notes to Accounts of Mishka Exim Ltd.

Mar 31, 2024

(O) Provisions & Contingencies Provisions

A provision is recognised if, as a result of past event, the company has present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows ( representing the best estimate of the expenditure required to settle the present obligation at Balance Sheet date)at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognised as finance cost. Expect future operating losses are no provided for.

Contingent Liabilities and contingent assets

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by occurrence or non occurrence of one or more uncertain future events not wholly within the control of the company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made Contingent assets are not recognised however are disclosed in the financial statements were an inflow of economic benefit is probable. Contingent assets are assessed continually and if it is virtually certain that inflow of economic benefits will arise, the asset and related income are recognised in the period in which the change occurs.

(P) Operating cycle

The company has ascertained its operating cycle as twelve months for the purpose of current and non current classification of assets and liabilities.

Note 27: Segment reporting

In accordance with the requirements of IND AS 108, "Operating Segments"(specified under section 133 of the Companies Act 2013(the Act) read with Companies ( Indian Accounting Standards) Rules 2015 (as amended from time to time) and other relevant provisions of the Act, The Company has identified business segments as its primary segment and there are no geographical segments of the company. Business segments are primarily divided into three segment. The first segment consists of Income from sale/purchase or trading of ornaments, second segment consists of Income from sale/purchase or trading of fabric and third segment consists of Income from sale/purchase or trading of shares . Revenues and expenses directly attributable to segment are reported under reportable segment. Expenses which are not directly identifiable to reportable segment have been allocated on the basis of associated revenues of the segment and manpower efforts. All other expenses which are not attributable or allocable to segment have been disclosed as unallocable expenses. Assets and liabilities that are directly attributable or allocable to segment are disclosed under reportable segment. All other assets and liabilities are disclosed as unallocable:

Note 32: Contingent Liability

During the financial year 2019-20, a demand of Income Tax of Rs.14,897.65 was raised against the company vide. Assessment order dated 29.12.2019 made under section 143(3) of the Income Tax Act,1961 for the Assessment Year 2017-18. The company has filed an Appeal in CIT (Appeals) against abovesaid order. The company has paid Rs.400.00 against the abovesaid demand and the same has been shown as Other current assets in the Balance Sheet because the management is confident of positive outcome of hearings in Appeal. The ultimate liability depends on outcome of hearings of Appeal hence there is contingent liability of Rs.14,897.65 of the company as on Balance Sheet date. In relation to the above following bank accounts were attached and no transaction could be made through these accounts and balances as well are subject to confirmation:-

i. HDFC A/c no.50081,

ii. HDFC A/c no.34285,

iii. INDUSIND A/c no. 02993.

Note 33:Exceptional items( BSE fine)

During Financial year ended 31.03.2022 the company had paid Rs.1,770.00 towards fines levied by the BSE Limited (the exchange) non compliances of regulation 17(1), 23(9) and 33 of SEBI ( LODR ) Regulations, 2015 . Later on the exchange has waived off fine . of Rs.745.00 the balance amount could not get waived in spite of best efforts made by the management hence transferred to penalty expenses under exceptional item in the statement of profit & loss during the previous year.

Note 33A:

In the opinion of the management, the balances shown under trade receivables, loans and advances and other current assets have approximately same realizable value as shown in the accounts.

Credit risk is the risk of financial loss to the company if a customer or counter party fails to meet its contractual obligations.

Credit risk on cash & cash equivalents is limited as the company deals with high networth and well reputed banks.Trade receivables are non-interest bearing and are generally 30 to 45 days credit,depending on respective terms and conditions of sale. The management evaluates the outstanding receivables on a periodic basis thereby risk is relatively low.

Loans includes security deposit and other inter corporate deposites recoverable from related parties . The company believes that amount receivable from related parties is collectible in full hence no loss has been recognised.

(ii) Liquidity risk

Liquidity risk is the risk that the company will encounter difficulty in meeting the obligation associated with its financial liabilities that are settled by delivering cash or another financial asset. The company approach is to maintain sufficient lequidity to meet its liabilities when they are due without incurring unacceptable losses or risking damage to the company''s reputation.

Expousure to liquidity risk

The following are the remaining contractual maturities of financial liabilities at the reporting date. The contractual cash flow amount are gross and undiscounted.

Note 1. Total Shareholders'' equity means total equity capital plus other equity.

2. EBITDA means Earnings before interest, tax & depreciation and amortisation.

3. Net earnings means Net profit after interest & tax

4. Average inventory means (Opening inventory Closing inventory)/2

5. Average accounts receivables means (Opening debtors Closing debtors)/2

6. Average accounts payables means (Opening creditors Closing creditors)/2

7. Net profit means profit after tax

8. Capital employed means total assets-current liabilities

Explanation for change in Ratios by more than 25% as compared to the preceding year

-Due to increase in current liability, current ratio decreased significantly during the year.

-During the year net profit after tax increased due to decrease in cost of goods sold and increase in prices of gold(ornaments) hence net profit ratio, return on equity, return on investment ratio and return on capital employed ratio increased significantly.

- Inventory turnover ratio and Net capital turnover ratio decreased due to decrease in turnover .

b) Details of Benami property :-

The company neither hold any benami property nor any proceeding has been initiated against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988(45 of 1988) and rules made thereunder.

c) The company has not borrowed money from banks or financial institutions on the basis of its current assets.

d) The company has not been declared wilful defaulter by any bank or financial institution.

e) The company has no transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

f) The company do not have any charges or satisfaction yet to be registered with ROC beyond the statutory period.

g) The company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017.

Note 36: Grouping and classification

Figures of the previous year have been rearranged and regrouped wherever necessary to make them comparable with the current year''s classification.

In terms of our report attached. For and on behalf of Board of Directors

Chartered Accountants Mishka Exim Limited

Chartered Accountants

Sd/- Sd/- Sd/-

Satish Kumar Gupta Rajneesh Gupta Suman Gupta

(Partner) (Director) (Director)

(Partner) DIN: 00132141 DIN: 00027797

M. No.: 016746

UDIN : 24016746BKBZVJ2497

Place : New Delhi Sd/- Sd/-

Date: 06/05/2024 Varun Gupta Priyanka Pathak

(Chief Financial Officer & Director) (Company Secretary)

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Mar 31, 2018

1 Corporate Overview

Mishka Exim Limited is a listed public company domiciled in India and incorporated under the provisions of the Companies Act, 2013. The Company is engaged in the business of sale/purchase and trading of jewelley, fabric and shares.

Note 2: Defined benefit plans

In accordance with the requirements of AS-15 “Employee Benefits” issued by The Institute of Chartered Accountant, the company paid short term benefits which fall due wholly within 12 months after the end of the period in which the employee renders the related service. Long term benefits are recorded when they are paid.

Note 3: Leases

Leases where the lessor retains substantially all the risks and rewards of ownership are classified as operating leases. Lease rentals in respect of assets taken under operating leases are charged to statement of profit and loss over the lease term. During the year company has paid as a lessor Rs.267900/-(Rs 3,00,000) and company has received rent as a lessee Rs.195000/-(Rs.2,40,000).

Note 4

In the opinion of the management the balances shown under sundry debtors, loans and advances and other current assets have approximately same realizable value as shown in the accounts.

Note 5: Grouping and classification

Figures of the previous year have been rearranged and regrouped wherever necessary to them comparable with the current year’s classification.

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Mar 31, 2016

Deferred Tax Assets and Deferred Tax Liabilities are offset, if a legally enforceable right exists to set off current tax assets against current liabilities and the deferred tax assets and deferred tax liabilities relate to the same taxable entity and the same taxation authority.

1. In accordance with the requirements of AS-17 "Segment Reporting" issued by The Institute of Chartered Accountant, The Company has identified business segments as its primary segment and there are no geographical segments of the company. Business segments are primarily divided into three segments. First segment consists of Income from sale of fabric. Second segment consists of Income from sale of Ornaments and Third segment consists of Income from sale of shares. Revenues and expenses directly attributable to segments are reported under each reportable segment. Expenses which are not directly identifiable to each reportable segment have been allocated on the basis of associated revenues of the segment and manpower efforts. All other expenses which are not attributable or allocable to segments have been disclosed as unallowable expenses. Assets and liabilities that are directly attributable or allocable to segments are disclosed under each reportable segment. All other assets and liabilities are disclosed as unallowable:

b. List of Key Management Personnel:

a. Mr. Rajneesh Gupta Managing Director

b. Mrs. Suman Gupta Whole Time Director

c. Mr. Varan Gupta CFO/Director

c. Transactions with related parted (in Rs.)

2. In accordance with the requirements of AS-15 "Employee Benefits" issued by The Institute of Chartered Accountant, the company paid short term benefits which fall due wholly within 12 months after the end of the period in which the employee renders the related service.

3. In accordance with the requirements of AS-19 “Leases” issued by The Institute of Chartered Accountant, during the year the company paid Rs. 2,65,000 /- as rental charges.

4. (a) In accordance with the requirements of AS-22 "Taxes on Income" issued by The Institute of Chartered Accountant During the year, the net Deferred tax asset is calculated for Rs. 2,96,304.12 as a timely difference of the following:

(b) During the year Rs. 31,07,957.26/- (Rupees Thirty One Lakhs Seven Thousand Nine Hundred Fifty Seven and Twenty Six Paisa Only) has been written off as deferred revenue expenditure & Rs. 11,88,168.00 /- (Rupees Eleven Lakhs Eighty Eight Thousand One hundred Sixty Eight Only) as preliminary expenses.

5. a. In the opinion of the management the balances shown under sundry debtors, loans and advances and other current assets have approximately same realizable value as shown in the accounts.

b. Previous year figures have been regrouped and rearranged to make items comparable with the current year figures.

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Mar 31, 2015

1. The Company is incorporated on 25/08/2014; hence the financial statements is prepared for a period from 25/08/2014 to 31/03/ 2015

2. I n the opinion of the management the balances shown under sundry debtors, loans and advances and other current assets have approximately same realizable value as shown in the accounts.

3. During the year, the company has transacted with the following in which Directors are Interested:

a) M/s Varun Capital Services Limited

b) M/s Happy Impex (Prop.)

4. In accordance with the requirements of AS-18 "Related Party Disclosures" issued by The Institute of Chartered Accountant, following disclosures have been made:

Name of Party

Key Managerial Personnel

Mr. Rajneesh Gupta Managing Director

Mrs. Suman Gupta Director

Mr. Varun Gupta Director& Chief Financial Officer

5. During the year, the deferred tax asset is calculated for Rs. 1,720/- as a timely difference of Rs. 5, 5366.35/between depreciation of Companies Act, 2013 and Income Tax Act, 1961.

6. Preliminary Expense and Deferred revenue expenses written off amounted to Rs. 2,97,042/- (Rs. Two Lakhs Ninty Seven Thousand Forty Two only) and Rs. 11,236/- (Eleven Thousand Two Hundred Thirty Six Only) respectively.