1.SINGIFICANT ACCOUNTING POLICIES Basis for brparation of financial statement These financial statement have been brpared in accordance with the generally accepted accounting principles in India on the basis of going concern under the historical cost convention and also on accrual basis these financial statement comply in all material aspects with the provision the companies act 2013 to the extent applicable and also accounting standards brscribed by the companies accounting standard rules 2006 which continue to be applicable in respect of section 133 of the companies act 2013 in terms of general circular 15/2013 dated September of the ministry of corporate affairs . All assets and liabilities have been classified as current or non current as per the company normal operating cycle and other criteria set out in the schedule III to the companies act 2013 all the division of the company have normal operating cycle of less than twelve months hence a period of twelve months has been considered for bifurcation of assets and liabilities into current and non current as required by schedule III to the companies act 2013 for brparation of financial statement . The accounting policies adopted in the brparation of financial statement are consistent with those of brvious year except for change in accounting policy explained below. Use of estimates The brparation of financial statement is conformity with generally accepted accounting principles requires management to make assumption and estimates which it believes are reasonable under the circumstances that affect the reported amount of assets and liabilities on the date of financial statement and the reported amounts of revenue and expenses during the period actual results could differ from those estimates difference between the actual results and estimates are recognized in the period in which the results are know materialized . Inventories The inventories are values on the cost basis Cost of inventories comprises all costs of purchase conversion and other costs incurred in bringing the inventories to their brsent location and condition Cash flow statement Cash flows are reported using the indictors method wher by profit or loss before extraordinary items and tax is adjusted for the effects of transaction of non cash nature and any deferrals or accruals of past of future cash receipts or payments .the cash flow from operating investing and financial activities of the company are segregated based on the available on the available information . Provision for current tax is made in the books of accounts after taking into consideration benefits admissible under provision of the income tax act 1961. Provision for deferred tax is made in the books of account as per as-22 issued by the ical deferred tax resulting from timing difference between taxable and accounting income is accounted for using the tax rates and laws that are enacted or substantively enacted as on the balance sheet date. Intangible assets Intangible assets are stated at cost of acquisition net of recoverable taxes less accumulated amortization depletion and impairment loss if any the cost comprises purchase price borrowing costs and any cost directly attributable to bringing the asset to its working condition for the intended use and net charges on foreign exchange contract and adjustments arising from exchange rate variations attributable to the intangible assets. Amortization Intangible assets are amortized over 5 year Impairment assets An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the profit and loss account in the year in which an asset is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount . Revenue recognition The sales are recorded when supply of goods taken place in accordance with the terms of sales and on charge of title in the good revenue is recognized only when it can be reliably measured and its is reasonable to expect ultimate collection. Provision contingent liabilities and contingent assets Provision involving substantial degree of estimation in measurement are recognized when there is a brsent obligation as a result of events and if s probable that there will be an outflow of resources liabilities which are of contingent nature are not provided but are disclosed at their estimated amount in the notes forming part of the accounts contingent assets are neither recognized nor disclosed in the financial statements. Event occurring after the balance sheet date No significant event which could affect the financial position as on 31st march 2015 to a material extent have been reposted by the management after the balance sheet date till the signing the repot. Prior period items Prior period expended income is accounted for under respective heads. Material items if any are disclosed separately by way of note. Earning per shares The earning considered in ascertaining the company earnings per share eps comprises the net profit after tax. The number of shares used in computing basis and diluted eps is weighted average number of shares outstanding during the year as per the guideline of as -20 and calculation of eps is shown in notes to accounts. Segment reporting Accounting standards interbrtation ASI 20 dated 14-02-2014 issued by the accounting standard board of ICAL on as-17 segment reporting clarifies that in case by applying the definition of business segment and geographical segment given in as-17 if is concluded that there has one geographic segment as primary segment and there has been not identified secondary segment. 1.balance of sundry debtors and loan &advances are subject to confirmation 2.in loans &advances advances to shrimm constriction private limited are for purchase of capital assets. 3.cash balance is taken as certified by the management . 4.in the events of non availability of suitable supporting vouchers directors have given us certificate that these expenses are incurred mainly for the business activities of the company . 5.in respect of recovery of loans and advances of Rs.5,00,000/- from mb parikh &co and Rs.25,01,500/-from m b parikh fin stocks lets legal proceedings are pending befor honorable court .as informed to us by management that they are sure about is recovery and the same are loans and advances considered good. 6.above disclosure is made after taking into account the principle of materiality. 7.brvious year figures are regrouped and rearranged wherever considered necessary. FOR PRADIP B GANDHI &CO CHARTERED ACCOUNTANTS FRN: 118674W CA PRADIPB GANDHI PARTNER M.NO.102070 FOR TIRTH PLASTIC LIMITED VARIES DOSHI MANAGING DIRECTORS MANOJ SHAH DIRECTORS GUNJAY DOSHI DIRECTORS PLACE : AHMEDABAD DATE : 30-05-2015 |