SHIVA MEDICARE LIMITED 1. SIGNIFICANT ACCOUNTING POLICIES ACCOUNTING CONCEPTS The Company follows the Mercantile System of Accounting and recognizes Income and Expenditure on accrual basis except dividend which is accounted for on cash basis. The accounts are brpared on historical cost basis, as a going concern and are consistent with generally accepted accounting principles. FIXED ASSETS Fixed Assets are stated at cost of acquisition, inclusive of inward freight, duties & taxes and incidental expenses related to acquisition. In respect of major projects involving construction and modification cum expansion, related br-operational expenses form part of the value of the assets capitalized. DEbrCIATION Debrciation is calculated on fixed assets on straight-line method at the rates and in the manner provided in Schedule of the Companies Act, 2013. EARNING PER SHARE Basic earnings per share is calculated by dividing the net profit/loss for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is calculated by dividing the net profit/loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. DEFERRED TAXATION Deferred Taxation is provided using the liability method in respect of the taxation effect arising from all material timing differences between the accounting and tax treatment of income and expenditure which are expected with reasonable probability to crystallize in the foreseeable future. Deferred tax benefits are recognized in the financial statements only to the extent of any deferred tax liability or when such benefits are reasonably expected to be realizable in the near future. CONTINGENT LIABILITIES Unprovided contingent liabilities are disclosed in the accounts by way of notes giving nature and quantum of such liabilities. OTHERS: Other Accounting Policies followed are generally accepted accounting practices. For V.Ramachandra Rao Chartered Accountants Membership No. : 203292 Amit Jain Director John Wilson Director Place: Hyderabad Date: 30/05/2015 |