Accounting Policies of Winmore Leasing & Holdings Ltd. Company

Mar 31, 2014

1.1 Method of Accounting:

The Company follows the mercantile system of accounting and recognises Income and expenses on accrual basis, except dividend recorded on cash basis.

1.2 Fixed Assets:

Fixed Assets are valued at cost of acquisition Inclusive of duties, taxes and direct expenses related to the acquisition.

1.3 Depreciation:

Depreciation is charged on written down value basis at rates specified In Schedule XIV of the Companies Act, 1956 pro rata from date of acquisition.

1.4 Investments:

Investments are stated at cost plus expenses related to the acquisition and borrowing cost. Provision is made to recognise a decline other than a temporary decline in the value of investments and of Investments held as strategic Investments, If any.

Profit / loss on sale of Investments is ascertained by deducting from sales realisation, cost of the investment on the date of sale on first- in-first out basis

1.5 Deferred Tax:

1.5.1 Deferred Tex for timing difference between tax profits and book profits is accounted for, using tax rates and laws that have been enacted or enacted as of the Balance Sheet date.

1.5.2 Deferred Tax Assets are recognised to the extent there Is reasonable certainty that these assets can be realised In future.

1.5.3 Minimum Alternate Tax (MAT) Credit entitlement Is shown under the head Other Loans & Advances.

1.6 Revenue Recognition:

Revenue Is recognized to the extent that It Is probable that the economic benefits flow to the Company and the revenue can be measured.

1.6.1 Sale of Goods

Revenue is recognized when significant risks and rewards of ownership of goods have passed to the buyer, usually on delivery of the goods. Sales for the year are shown net of Value Added Tax/Seles Tax, returns and trade discounts.

1.6.2 Interest and Dividend Income

Interest income Is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable.

Dividend income is recognized when the Company's right to receive dividend is established upto the balance sheet date.