Accounting Policies of Shree Manufacturing Company Ltd. Company

Mar 31, 2024

1. SIGNIFICANT ACCOUNTING POLICIES:

Basis for preparation of accounts

A. Compliance with Ind As

The financial statement comply in all material aspects with Indian Accounting Standards (Ind AS)
notified under section 133 of the Companies Act, 2013 ("the Act") [Companies (Indian Accounting
Standards ) Rules , 2015] and other relevant provision of the Act.

B. Historical cost convention

The financial statements have been prepared on a historical cost basis
Use of Estimates

The preparation of financial statements requires the Management of the Company to make
estimates and assumptions that affect the reported balance of assets and liabilities, revenue
and expenses and disclosures relating to contingent liabilities. The Management believes that
the estimates used in the preparation of the financial statements are prudent and reasonable.
Future Results could differ from these estimates. Any revision of accounting estimates is
recognized prospectively in the current and future periods.

Revenue Recognition

Revenue is recognized to the extent that is probable that the economic benefits will flow to the
Company and the revenue can be reliably measured.

Government Grants and Subsidies

Government grants in the nature of promoters contribution like investment subsidy, where no
repayment is expected in respect thereof, are treated as capital reserve.

Tangible Fixed Assets

There are no Fixed Assets.

Depreciation and Amortisation

As there are no fixed assets, there is no depreciation
provision.

Valuation of Inventories

There was no inventory in the current financial year.

Foreign Currency Transaction

There was no foreign currency transaction during the year.

Retirement Benefits

There is no gratuity liability for the year under review.

Taxation

Current income tax is measured at the amount expected to be paid to the tax authorities in
accordance with the provisions of local Income Tax Laws as applicable to the financial year.

Earnings Per Share

Basic earnings per share is 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.

Deferred Tax

Company has not recognized deferred tax asset as there in no reasonable certainty that in future
sufficient taxable income will be available against which such deferred tax asset can be realized.

(a) The Amount of Rs.19.75 lacs (Rs.19.75 lacs) standing to the credit of Capital Suspense
Account required to be converted into paid up equity capital of the Company by issue of
1,99,345(1,99,345) fully paid up Equity Shares of Rs.10 each for consideration other than cash to
the resident stock holders of erstwhile Indian Copper Corporation Limited, Holding 7,49,860
(7,49,860) units of stock as and when they will surrender their stock certificates as per the
agreement dated 3^rd January,1977 entered into with the liquidators of Indian Copper Corporation
Limited (in Member’s Voluntary Liquidation).

(b) Capital Reserve amounting to Rs.32,78,841 represents the excess of assets over liabilities
taken over from the Liquidators of Indian Copper Corporation Limited (in Member’s Voluntary
Liquidation, hereinafter referred to as ICCL) as per the agreement dated 3rd January,1977 and
700000 represents reserve arising on conversion of preference shares into equity shares.

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Mar 31, 2014

A) FIXED ASSETS

Fixed Assets are stated at cost less depreciation. Depreciation on Fixed Assets is provided on straight - tine method at applicable rates specified in Schedule XIV of the Companies Act,1956. However there is no Fixed Assets as on Balance Sheet date.

b) INVENTORIES

Normally inventories are valued at lower of cost or net realizable value. However there is no Stock at the yeand.

c) EMPLOYEES BENEFIT

Employee''s benefits, which include Salary, Bonus, and allowance, are recognized as expenses in the period in which the employee renders the related service. Gratuity & Leave encashment liabilities are accounted for on Cash basis under the Act. However there is no gratuity liability for the year under review.

d) RECOGNITION OF INCOME AND EXPENDITURE

Items of Income and Expenditure are recognized on prudent and accrual basis.

e) INCOME-TAX

Income Tax Liability for the period comprises current and deferred tax (if any)

The Provision for Income Tax is based on the basis of estimated taxable income. The Company provides for deferred tax as and when such situation arises using the liability method, based on the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.

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Mar 31, 2013

A) FIXED ASSETS

Fixed Assets are stated at cost less depreciation. Depreciation on Fixed Assets is provided on straight-line method at applicable rates specified in Schedule XIV of the Companies Act,1956. However there is no Fixed Assets as on Balance Sheet date.

b) INVENTORIES

Normally inventories are valued at lower of cost or net realizable value. However there is no Stock at the year-end.

c) EMPLOYEES BENEFIT

Employee''s benefits, which include Salary, Bonus, and allowance, are recognized as expenses in the period in which the employee renders the related service. Gra tuity & Leave encashment liabilities are accounted for on Cash basis under the Act.

d) RECOGNITION OF INCOME AND EXPENDITURE

Items of Income and Expenditure are recognized on prudent and accrual basis.

e) INCOME-TAX

Income Tax Liability forthe period comprises current and deferred tax (if any)

The Provision for Income Tax is based on the basis of estimated taxable income. The Company provides for deferred tax as and when such situation arises using the liability method, based on the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.

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Mar 31, 2012

A) FIXED ASSETS

Fixed Assets are stated at cost less depreciation. Depreciation on Fixed Assets is provided on straight- line method at applicable rates specified in Schedule XIV of the Companies Act,1956. However there is no Fixed Assets as on Balance Sheet date.

b) INVENTORIES

Normally inventories are valued at lower of cost or net realizable value. However there is no Stock at the year-end.

c) GRATUITY & LEAVE ENCASHMENT

Gratuity & Leave encashment liability is accounted for on Cash basis, as computed by the Company

d) RECOGNITION OF INCOME AND EXPENDITURE

Items of Income and Expenditure are recognized on prudent and accrual basis.

e) INCOME-TAX

Income Tax Liability for the period comprises current and deferred tax (if any)

The Provision for Income Tax is based on the basis of estimated taxable income. The Company provides for deferred tax as and when such situation arises using the liability method, based on the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.

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Mar 31, 2011

A. FIXED ASSETS

Fixed Assets are stated at cost less depreciation. Depreciation on Fixed Assets is provided on straight-line method at applicable rates specified in Schedule XIV of the Companies Act, 1956. However there is no Fixed Assets as on Balance Sheet date.

b. INVENTORIES

Normally inventories are valued at lower of cost or net realisable value. However there is no Stock at, the year end.

c. GRATUITY & LEAVE ENCASHMENT

Gratuity & Leave encashment liability is accounted for on Cash basis, as computed by the Company

d. RECOGNITION OF INCOME AND EXPENDITURE

Items of Income and Expenditure are recognised on prudent and accrual basis,

e. INCOME-TAX

Income Tax Liability for the year comprises current and deferred tax (if any). The Provision for Income Tax is based on the basis of estimated taxable income. The Company provides for deferred tax as and when such situation arises using the liability method, based on the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.

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Mar 31, 2010

A. FIXED ASSETS

b. one train depreciation- Depreciation on Fixed Assets is provided specified in Schedule XIV of the Companies Act,

b INVENTORIES S 3S Balance Sheet date- no Stop atheist net realizable value- However there is

c. GRATUITY & LEAVE ENCASHMENT

Company & Leave encashment liability is accented for on Cash basis, as computed by the

d. RECOGNITION OF INCOME AND EXPENDITURE

e 16 and Expenditure are recognized on prudent and accrual basis. Income Tax Liability for the year comprises current and deferred tax (if any)

The Provision for Income Tax is based on the basis of estimated taxable income The Company the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.

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Mar 31, 2009

A. FIXED ASSETS : Fixed Assets are stated at cost less depreciation. Depreciation on Fixed Assets is provided on straight-line method at applicable rates specified in Schedule XIV of the Companies Act, 1956.

b. INVENTORIES: Normally inventories are valued at lower of cost or net realisable value. However there is no Stock at the year end.

c. GRATUITY & LEAVE ENCASHMENT : Gratuity & Leave encashment liability is accounted for on Cash basis, as computed by the Company.

d. RECOGNITION OF INCOME AND EXPENDITURE : Items of Income and Expenditure are recognised on prudent and accrual basis.

e. INCOME-TAX : Income Tax Liability for the year comprises current and deferred tax (if any). The Provision for Income Tax is based on the basis of estimated taxable income. The Company

" provides for deferred tax as and when such situation arises using the liability method, based on the tax effect of timing differences resulting from the recognition of items in the financial statements and in estimating its current income tax provision.