NOTES TO THE FINANCIAL STATEMENTS 31ST MARCH, 2015

NOTE 1. BEING PART OF NOTES ON ACCOUNTS EARNING PER SHARES

Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares considered for deriving basic earnings per share since the company have not issued any securities which can be potential equity shares.

NOTE 2. BEING PART OF NOTES ON ACCOUNTS

• Particulars of employees who are in receipt of Rs. 60,00,000 per annum when employed throughout the financial year or Rs. 5,00,000 per month when employed for the part of year : Nil (2013-14 : Nil).

• As none of the employee is covered by the eligibility criteria hence no provision for the retirement benefit has been made.

NOTE 3. BEING PART OF NOTES ON ACCOUNTS  

There has been no prior period or extra ordinary item of income or expenditure which has been entered in

the books of accounts during the year.

NOTE 4. BEING PART OF NOTES ON ACCOUNTS  

· Current income tax expense comprises taxes in income from operation for the period. Income tax payable is determined in accordance with the Income Tax Act, 1961.

· Deferred Tax expense or benefit is recognized on timing difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods.

· Deferred tax asset and liabilities are measured using the tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date.

NOTE 5. BEING PART OF NOTES ON ACCOUNTS  

The Company is a Small and Medium-sized Company (SMC) as defined in the General Instructions in respect of Accounting Standards notified under the Companies Act, 2013. Accordingly, the Company has compiled with the Accounting Standards as applicable to a Small and Medium-Sized Company.

NOTE 6. BEING PART OF NOTES ON ACCOUNTS  

Preliminary Expenses are being written off over a period of five years.

NOTE 7. BEING PART OF NOTES ON ACCOUNTS  

Provision, Contingent Liabilities & Contingent Assets :

Estimated amounts of contract to be executed and not provided for as on 31st March 2015 is: Nil (2013-14: Nil)

In the opinion of the Board, the assets other than fixed assets and noncurrent investments are approximately of the same value stated, if realized in the ordinary course of business.

NOTE 8. BEING PART OF NOTES ON ACCOUNTS  

• Earnings in foreign currency Rs. Nil (2013-14 : Nil)

• Expenditure in foreign currency Rs. Nil (2013-14: Nil)

NOTE 9. BEING PART OF NOTES ON ACCOUNTS  

Previous year's figures have been regrouped wherever necessary. The company has compiled the above accounts based on the revised/Modified schedule III applicable for the accounting period 2014-2015.

(Sanjay Mehra)

Partner

M. No. 075182

For and on behalf of

Mehra Sanjay & Co

Firm Reg. No. : 006381C

Chartered Accountants

Ashok Kumar Mittal Chairman

Rakesh Kumar Mittal Director

For and on behalf of Board

Anil Kumar Agarwal Whole Time Director

Kanchan Agarwal Company Secretary

Place: Agra

Date: 30.05.2015

NOTE 10. SIGNIFICANT ACCOUNTING POLICIES

1. RECOGNITION OF INCOME AND EXPENDITURE: -

(a) Under the Real Estate Division of the Company the Income recognized at the point of Sale or booking amount received on estimation basis and balance of Profit & Loss of particular project accounted in that year in which the entire sale of said project will be completed.

(b) The Company has booked the Income on a GP basis on sales/Bookings of Plots Shops, and balance of Profit & Loss of particular project accounted in that year in which the entire sale of said project will be completed. The Company is following the same method of accounting from more than 10 years consistently.

(c) Revenue/Income and costs/Expenditure are recognized on an accrual basis except dividends.

2. FIXED ASSETS

Fixed Assets are stated at Cost less accumulated debrciation.

3. DEbrCIATION

Debrciation on Fixed Assets has been provided based on life assigned to each asset in accordance with schedule II of the Companies Act, 2013. However, in case where useful life of asset has been expired, the Carrying Cost of Asset stands in excess of Residual Value, the same has been transferred to Retained Earnings.

4. INVESTMENTS

Investments are held by the Company are classified into Current and Long Term Investments Categories in terms of RBI Guidelines and valued accordingly. Long Term Investments are stated at cost and provision for diminution in value is made wherever considered necessary, if the diminution is of permanent nature. Current Investments are stated at lower of cost and fair value. Gains/Losses on disposal or redemption of investments are recognized in the profit & Loss Statement.

5. INVENTORIES

Inventories under Real Estate Division of the Company are stated at lower of cost or net realizable value.

6. Confirmation of various debit and credit balances, loans and advances given and other liabilities etc. have not been received in some cases, which may have a revenue impact.

7. Remuneration to Directors

The Company is of the opinion that the computation of the net profit under section 198 of the Companies Act 2013 is not necessary as no commission is paid/payable to the Directors for the year ended 31.03.2015.

The total Remuneration paid to Director(s) is less than 5 % of the Net Profits of the Company in accordance with Section 197(1)i of the Companies Act, 2013.

8. Under Real Estate Division of the Company, the sale and booking is in progress in the following projects:

• Plots in Ikon city Project

• Plots in Ikon Greens Project

• Plots in Ikon Vatica Project

• Shops in Anna Complex

• Shops in Anna Ikon

The Company has booked the Gross Profit @ 30% on sales/Bookings of Inventories and balance of Profit & Loss of particular project accounted in that year in which the entire sale of said project will be completed.

10. Figures have been rounded off to the nearest rupee.

For and on behalf of Board

Ashok Kumar Mittal Chairman

Anil Kumar Agarwal Whole Time Director

Rakesh Kumar Director

Mittal Kanchan Agarwal Company Secretary