Accounting Policies of Premier Capital Services Ltd. Company

Mar 31, 2024

1. Summary of Material Accounting Policies

A. Corporate Information

Premier Capital Services Limited (''the Company'') is a Limited Company, domiciled in India and incorporated
under the provision of the Companies Act, 1956 having its registered office at 4, Bhima Vaitarna Complex, Sir
Pochkhanwala Road, Worli Mumbai, Mumbai city, Maharashtra - 400030 and listed on the Bombay Stock
Exchange (BSE). The Company is primarily engaged in the business of Manufacturer, Trader, and financer of
dairy products such as ghee, skimmed milk powder, liquid milk, butter, cheese etc. The company is registered
with the Ministry of Corporate Affairs. The registration details are as follows:

Corporate Identity Number (CIN) - L65920MH1983PLC030629

The financial statements of the Company for the year ended March 31, 2024 were approved for issue in
accordance with the resolution of the Board of Directors on May 30, 2024.

B. 1 Material Accounting Policies

a) Basis of Preparation and Presentation

The Financial Statements have been prepared to comply with the Indian Accounting Standards (hereinafter
referred to as the ''Ind AS'') as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies
Act, 2013 read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian
Accounting Standards) Amendment Rules, 2016.The financial statements have been prepared on accrual and
going concern basis. The accounting policies are applied consistently to all the periods presented in the financial
statements. All assets and liabilities have been classified as current or non-current as per the Company''s normal
operating cycle and other criteria as set out in the Division II of Schedule III to the Companies Act, 2013.

The Financial Statements are presented in Indian Rupees and all values are rounded to the nearest lacs (00,000)
except when otherwise indicated.

B.2 Summary of Material Accounting Policies

a) Current and 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;

- Held primarily for the purpose of trading;

- 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.

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 held primarily for the purpose of trading;

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

- There is no unconditional right to defer the

b) Revenue Recognition

i) The Company generally follows the mercantile system of accounting and recognizes income and expenditure
on an accrual basis except those with significant uncertainties.

ii) Claims made by the Company and those made on the company are recognized in the profit and loss Account
as and when the claims are accepted.

c) Property, Plant and Equipment (PPE)

Measurement at recognition:

i. Property plant and equipment are stated at cost less accumulated depreciation and accumulated impairment
losses, if any. Subsequent costs are included in the asset''s carrying amount.

ii. All property, plant and equipment are initially recorded at cost. Cost comprises acquisition cost, borrowing cost
if capitalization criteria are met, and directly attributable cost of bringing the asset to its working condition for
the intended use.

iii. Subsequent expenditure relating to property, plant and equipment is capitalized only when it is probable that
future economic benefit associated with these will flow with the Company and the cost of the item can be
measured reliably.

iv. Any gain or loss on disposal of an item of property, plant and equipment is recognized in statement of profit and
loss.

v. The Company has opted to elect to continue with the carrying value for all its property, plant and equipment as
recognized in the financial statements as at the date of transition to IND AS, measured as per the previous GAAP
and use that as its deemed cost as at the date of Transition.

Depreciation:

i. Depreciation provided on property, plant and equipment is calculated on a Straight-Line Method (SLM) basis
using the rates arrived at based on the useful lives estimated by management.

ii. Depreciation on assets is provided on a Straight-Line Method (SLM) as per the rates prescribed in Schedule II to
the Companies Act, 2013. Depreciation on additions to fixed assets is provided on a pro-rata basis from the date
the asset is available for use. Depreciation on sale / deduction from fixed assets is provided for up to the date of
sale / deduction / scrapping.

iii. The residual values, estimated useful lives and methods of depreciation of property, plant and equipment are
reviewed at the end of each financial year and changes if any, are accounted for on a prospective basis.

De-recognition:

The carrying amount of an item of property, plant and equipment is derecognized on disposal or when no future
economic benefits are expected from its use or disposal. The gain or loss arising from the derecognition of an
item of property, plant and equipment is measured as the difference between the net disposal proceeds and the
carrying amount of the item and is recognized in the Statement of profit and Loss when the item is derecognized.

The Company has elected to measure all its property, plant and equipment at the previous GAAP carrying
amount as its deemed cost on the date of transition to Ind AS.

d) Financial Instruments

The Company recognizes all the financial assets and liabilities at its fair value on initial recognition; In the case of
financial assets not at fair value through profit or loss, transaction costs that are directly attributable to the
acquisition or issue of the financial asset are added to the fair value on initial recognition. The financial assets are
accounted on a trade date basis.

For subsequent measurement, financial assets are categorized into:

Amortized cost: The Company classifies the financial assets at amortized cost if the contractual cash flows
represent solely payments of principal and interest on the principal amount outstanding and the assets are held
under a business model to collect contractual cash flows. The gains and losses resulting from fluctuations in fair
value are not recognized for financial assets classified in amortized cost measurement category.

Fair Value through Other Comprehensive Income (FVOCI): The Company classifies the financial assets
as FVOCI if the contractual cash flows represent solely payments of principal and interest on the principal
amount outstanding and the Company''s business model is achieved by both collecting contractual cash flow and
selling financial assets. In case of debt instruments measured at FVOCI, changes in fair value are recognized in
other comprehensive income. The impairment gains or losses, foreign exchange gains or losses and interest
calculated using the effective interest method are recognized in profit or loss. On de-recognition, the cumulative
gain or loss previously recognized in other comprehensive income is re- classified from equity to profit or loss as
a reclassification adjustment. In case of equity instruments irrevocably designated at FVOCI, gains / losses including
relating to foreign exchange, are recognized through other comprehensive income. Further, cumulative gains or
losses previously recognized in other comprehensive income remain permanently in equity and are not
subsequently transferred to profit or loss on derecognition.

Fair value through profit or loss (FVTPL): The financial assets are classified as FVTPL if these do not meet the
criteria for classifying at amortized cost or FVOCI. Further, in certain cases to eliminate or significantly reduce a
measurement or recognition inconsistency (accounting mismatch), the Company irrevocably designates certain
financial instruments at FVTPL at initial recognition. In case of financial assets measured at FVTPL, changes in fair value
are recognized in profit or loss.

Profit or Loss on sale of investments is determined based on first-in-first-out (FIFO) basis.

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, if market participants act in their economic best interest.

A fair value measurement of a non- financial asset considers 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.

In order to show how fair values have been derived, financial instruments are classified based on a hierarchy of
valuation techniques, as summarized below:

Level 1 - The fair value hierarchy have been valued using quoted prices for instruments in an active market.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable either directly (i.e., as
prices) or indirectly (i.e., derived from prices).

Level 3: Inputs that are unobservable. This category includes all instruments for which the valuation technique
includes inputs that are not observable and the unobservable inputs have a significant effect on the instrument''s
valuation.

Based on the Company''s business model for managing the investments, the Company has classified its investments
and securities for trade at FVTPL. Investment in subsidiaries is carried at deemed cost (previous GAAP carrying
amount) as per Ind AS 27.

Impairment of financial assets: In accordance with Ind AS 109, the Company applies Expected Credit Loss
model (ECL) for measurement and recognition of impairment loss. The Company recognizes lifetime expected
losses for all contract assets and / or all trade receivables that do not constitute a financing transaction. At each
reporting date, the Company assesses whether the loans have been impaired. The Company is exposed to credit
risk when the customer defaults on his contractual obligations. For the computation of ECL, the loan receivables
are classified into three stages based on the default and the aging of the outstanding.

If the amount of an impairment loss decreases in a subsequent period, and the decrease can be related objectively to an
event occurring after the impairment was recognized, the excess is written back by reducing the loan impairment
allowance account accordingly. The write-back is recognized in the statement of profit and loss.

The Company recognizes life time expected credit loss for trade receivables and has adopted the simplified
method of computation as per Ind AS 109.

For subsequent measurement, financial liability is categorized into:

All financial liabilities are initially recognized at fair value net of transaction cost that are attributable to the
separate liabilities. All financial liabilities are subsequently measured at amortized cost using the effective
interest method or at FVTPL.

Financial liabilities are classified as at FVTPL when the financial liability is either contingent
consideration recognized by the Company as an acquirer in a business combination to which lnd AS
103 applies or is held for trading or it is designated as at FVTPL.

Financial liabilities that are not held-for- trading and are not designated as at FVTPL are measured at
amortized cost. The carrying amounts of financial liabilities that are subsequently measured at
amortized cost are determined based on the effective interest method.

The effective interest method is a method of calculating the amortized cost of a financial liability and of
allocating interest expense over the relevant period. The effective interest rate is the rate that exactly
discounts estimated future cash payments (including all fees paid or received that form an integral part of
the effective interest rate, transaction costs and other premiums or discounts) through the expected life of
the financial liability, or (where appropriate) a shorter period, to the amortized cost of a financial liability.

Equity instruments:

An equity instrument is any contract that evidences a residual interest in the assets of an entity after
deducting all its liabilities. Equity instruments issued by the Company are recognized at the proceeds
received, net of direct issue costs.

Derecognition:

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 derecognition of the original liability and the recognition of a
new liability. The difference between the carrying amount of the financial liability derecognized and
the consideration paid is recognized in the Statement of Profit and Loss.

e) Employee Benefits

a) Short term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss
Account of the year in which the related service is rendered.

b) Termination benefits are recognized as an expense as and when incurred.

f) Borrowing Costs

Borrowing costs attributable to the acquisition or construction of qualifying assets are capitalized as a part of
such assets. All other borrowing costs are charged to revenue. A qualifying asset is an asset that necessarily
requires substantial period to get ready for its intended use or sale.

g) Cash Flow Statement

Cash flow statement has been prepared in accordance with the indirect method prescribed in Indian Accounting
Standard 7- Statement of Cash Flow issued by the Institute of Chartered Accountants of India. APITAL

h) Investments

Investments held as long-term investments are stated at Fair market value through FVTPL. Investment in
unquoted shares of related parties is carried at Amortized cost as per IND AS 27.

i) Taxes on Income

a) Current tax is determined as the amount of tax payable in respect of taxable income for the year as determined
in accordance with the provisions of the Income Tax Act, 1961/ relevant tax regulations applicable to the
Company.

Current tax assets and liabilities are offset only if, the Company:

a) The entity has legally enforceable right to set off the recognized amounts; and

b) Intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously.

b) Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which give 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 recognized as an asset in the Balance Sheet
when it is probable that future economic benefit associated with it will flow to the Company.

c) Deferred Tax is recognized on temporary differences between the carrying amounts of assets and liabilities in
the financial statements and the corresponding tax bases used in the computation of taxable profit.

Deferred Tax Assets are recognized to the extent it is probable that taxable profit will be available against which
the deductible temporary differences, and the carry forward of unused tax losses can be utilized.

Deferred tax assets and liabilities are offset only if:

a) The entity has legally enforceable right to set off current tax assets against current tax liabilities; and

b) The deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation
authority on the same taxable entity.

Deferred Tax Liabilities and Assets are measured at the tax rates that are expected to apply in the period in
which the liability is settled or the asset realized, based on tax rates (and tax laws) that have been enacted or
substantively enacted by the end of the reporting period. The carrying amount of deferred tax liabilities and
assets are reviewed at the end of each reporting period.

---

Mar 31, 2015

1. Accounting Convention

The financial statement have been prepared on the basis of Going Concern, under Historical Cost Convention on accrual basis, to comply all material aspects with applicable generally accepted accounting principles in India ("Indian GAAP") and in accordance with Section 133 of the Companies Act, 2013 and the relevant provisions of the act.

2. Revenue Recognition

a) The Company generally follows the mercantile system of accounting and recognizes income and expenditure on an accrual basis except those with significant uncertainties.

b) Claims made by the Company and those made on the company are recognized in the profit and loss Account as and when the claims are accepted.

3. Employee Benefits

a) Short term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss Account of the year in which the related service is rendered.

b) Termination benefits are recognized as an expense as and when incurred.

4. Borrowing Costs

Borrowing costs attributable to the acquisition or construction of qualifying assets are capitalized as a part of such assets. All other borrowing costs are charged to revenue. A qualifying asset is an asset that necessarily requires substantial period of time to get ready for its intended use or sale.

5. Cash Flow Statement

Cash flow statement has been prepared in accordance with the indirect method prescribed in Accounting Standard 3-Cash Flow Statement issued by the Institute of Chartered Accountants of India

6. Investments

a) Investments held as long term investments are stated at cost comprising of acquisition and incidental expenses less permanent diminution in value, if any.

7. Taxes on Income

a) Current tax is determined as the amount of tax payable in respect of taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961/ relevant tax regulations applicable to the Group.

b) Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which give 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 Group will pay normal income tax. Accordingly, MAT is recognized as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Group.

c) Deferred tax is recognized on timing differences being the difference between taxable incomes and accounting income that originate in one period and are capable of reversal in subsequent periods, subject to consideration of prudence. There being no timing difference, hence deferred tax not recognized.

8. Provisions, contingent liabilities and contingent assets

Provisions are recognized only when there is a present obligation as a result of past events and when a reasonable estimate of the amount of obligation can be made. Contingent liabilities disclosed for possible obligation which will be confirmed only by future events not wholly within the control of the group or present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made. Contingent assets are neither recognized nor disclosed in the financial statements.

---

Mar 31, 2014

1. Accounting Convention

The financial statement have been prepared on the basis of Going Concern, under Historical Cost Convention on accrual basis, to comply all material aspects with applicable generally accepted accounting principles in India ("Indian GAAP") and in accordance with the Accounting Standards notified under section 211 (3C) of the Companies Act 1956, and the relevant provisions of the act read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act, 2013 and the relevant provisions of the act.

2. Revenue Recognition

a) The Company generally follows the mercantile system of accounting and recognizes income and expenditure on an accrual basis except those with significant uncertainties.

b) Claims made by the Company and those made on the company are recognized in the profit and loss Account as and when the claims are accepted.

3. Employee Benefits

a) Short term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss Account of the year in which the related service is rendered.

b) Termination benefits are recognized as an expense as and when incurred.

4. Borrowing Costs

Borrowing costs attributable to the acquisition or construction of qualifying assets are capitalized as a part of such assets. All other borrowing costs are charged to revenue. A qualifying asset is an asset that necessarily requires substantial period of time to get ready for its intended use or sale.

5. Cash Flow Statement

Cash flow statement has been prepared in accordance with the indirect method prescribed in Accounting Standard 3-Cash Flow Statement issued by the Institute of Chartered Accountants of India

6. Investments

a) Investments held as long term investments are stated at cost comprising of acquisition and incidental expenses less permanent diminution in value, if any. Diminution in value of quoted shares is generally not considered to be of permanent nature.

7. Taxes on Income

a) Current tax is determined as the amount of tax payable in respect of taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961/ relevant tax regulations applicable to the Group.

b) Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which give 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 Group will pay normal income tax. Accordingly, MAT is recognized as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Group.

c) Deferred tax is recognized on timing differences being the difference between taxable incomes and accounting income that originate in one period and are capable of reversal in subsequent periods, subject to consideration of prudence. There being no timing difference, hence deferred tax not recognized.

b) Provisions, contingent liabilities and contingent assets

Provisions are recognized only when there is a present obligation as a result of past events and when a reasonable estimate of the amount of obligation can be made. Contingent liabilities disclosed for possible obligation which will be confirmed only by future events not wholly within the control of the group or present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made. Contingent assets are neither recognized nor disclosed in the financial statements.

Note: The company on March 20, 2014 had split its equity shares from "" 10/- each to ~ 1/- each. Consequent to the same the issued, subscribed and paid up capital of the company changed to 37060920 equity shares of ~ 1/- each from 3706092 equity shares of ~ 10/- each.

B) Terms / Right attached to equity shares

The Company has one class of issued shares referred to as equity shares having a par value ~ 1/-each. Holder of equity shares is entitled to one vote per share. The dividend proposed by the board of directors, if any, is subjected to the approval of shareholders in Annual General Meeting. In the event of liquidation of the Company the holder of the equity shares will be entitled to receive remaining assets of the Company after settlement of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the equity shareholders.

D) Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date

No Bonus shares, shares for consideration other than cash have been issue during the period of five years immediately preceding the reporting date.

---

Mar 31, 2012

1. Basis of Accounting:

Financial statements are prepared under HISTORICAL COST CONVENTION going concern and on the ACCRUAL BASIS and in accordance with the requirements of the COMPANIES ACT, 1956.

2. Balances:

Balances of Sundry Debtors and Creditors are subject to confirmation.

3. Recognition of Income:

Income from operation which comprises Financial Services / Brokerages / Commission is all accounted on accrual basis. Interest income is recorded on time basis.

4.Inventory:

Inventory of shares and stocks are valued at cost.

5. Taxation:

Current Tax as per Income Tax Act, 1961 is considered. Deferred Tax is accounted as per the Accounting Standard (AS - 22) issued by The Institute of Chartered Accountants of India, whereby Deferred tax is calculated on timing difference of Depreciation and is charges to Profit and Loss Account.

---

Mar 31, 2009

1) GENERAL ACCOUNTING PRINCIPAL :-

The Company adopts the accrual basis in the preparation of accounts.

2) INCOME FROM OPRATION :-

Income from operation which comprises Financial ServicesBrokerageCommission are all accounted for on accrual basis .

3) EXPENSES :-

The Company provides for all expenses on accrual basis .

4) FIXED ASSETS :-

Fixed assets are capitalized at cost inclusive of expenses Depreciation on Fixed Assets is provided at Written down value method in accordance with provision of schedule XIV to the Companies Act, 1956.

5) INVESTMENT & STOCK :-

Investments are capitalized at cost plus expenses.

6) STOCK IN TRADE (SHARES):-

Stocks of shares at the End of the Financial Year are valued at Cost or Market Price whichever is Lower ,as valued and certified by the Management.

---

Mar 31, 2000

A) Systems of Accounting

The Company adopts the accrual basis in the preparation of the accounts.

b) Income From Operation

Income From Operation which comprises Lease RentalsHire ChargesBrokrageCommission are all accounted for on accural basis.

c) Expenses

The Company provides for all expenses on accrual basis.

d) Fixed Assets

Fixed Assets are capitalised at cost inclusive of expenses. Depreciation on Fixed Assets is provided at written down value method in accordance with provision of schedule XIV to the Companies Act, 1956.

e) Investment & Stock

1) Investment are Capitalised at cost plus expenses.