1. SIGNIFICANT ACCOUNTING POLOCIES

GENERAL:

A. Financial statements have been brpared in accordance with generally accepted Accounting principles in India (Indian GAAP) under the historical cost convention on an accrual basis in compliance with all material aspect of the Accounting standards (AS) notified by companies Accounting Standards rules, 2006 ( as amended ) and the relevant provisions of the companies act, 1956. The accounting policies have been consistently applied by the company and are consistent with used in the brvious year.

B. All assets and liabilities have been classified as current or non-current as per the company's normal operating cycle and other criteria set out in the schedule VI to the companies act, 1956.

1.2 FIXED ASSETS:

Fixed assets and additions thereto are capitalized & disclosed at cost inclusive of freight, Duties, taxes and all incidental expenses related thereto and borrowing cost up to its use.

1.3 DEbrCIATION:

A Debrciation on assets is provided on written down value method applying the rates

Specified in schedule XIV to the companies Act, 1956. B Debrciation on additions to fixed assets is provided on pro- rata basis from the date of

Assets put to use.

C Debrciation on deletion/sale/dispose of assets has been calculated on pro-rata basis up to The date of deletion/sale/disposal.

1.4 INVENTORIES:

Inventories at the year end are valued as under:

a) Raw material at cost

b) Finished goods at cost or market value whichever is less:

c) Stores and tools, if significant & material at cost.

1.5 RETIREMENT BENEFITS:

Retirement benefit, gratuity payments for which no provisions made and the same is Accounted on payment basis, if any.

1.6 REVENUE RECOGNITION: SALES & OTHER INCOME :

Revenue from sales of goods is recognized upon passage of title to the customer, which Generally coincides with their delivery of goods. Other income recognized on accrual basis On substantial completion of work.

1.7 BORROWING COST:

i) Borrowing cost that are attributable to the acquisition of qualifying assets are capitalized as a part of the cost of such fixed assets up to the date when such assets are ready for its intended use.

ii) all other borrowing cost not attributed to any assets is charged to revenue.

iii) amount of borrowing cost capitalized as per AS-16 during the was nil.

1.8 SEGMENT REPORTING:

The company is basically operating in one segment i.e. mining materials. Hence, no segment Wise disclosure as per AS-17 is provided.

1.9 DEFERRED TAX:

As per AS-22 issued by ICAI, the company has not credited any deferred tax assets as availability Of future taxable profit to realize deferred tax assets cannot be estimated with virtual certainty. Since deferred tax assets exceeds deferred tax liabilities, no provision has been made for deferred Tax liabilities.

1.10 IMPAIRMENT OF ASSETS (AS-28):

An assets 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.

1.11 investments are generally shown at cost. However there is no investment at the end of the year.

(XI) Other Information

1 In the absence of intimation from the vendors with regard to their registration (filing of Memorandum) under" the micro, small & medium enterprise development act, 2006 (27 of 2006)". Hence no disclosures have been made in this regard

2. Figure of the brvious year have been re-grouped/ rearranged/ reclassified /wherever Necessary.

FOR AND ON BEHALF OF BOARD OF DIRECTORS

AS PER OUR REPORT OF EVEN DATE ATTACHED

FOR MIS. KACHCHH MINERALS LIMITED.

Sd/- (P.G. DAVDA) DIRECTOR DIN : 01149981

Sd/- ( D.S. MADHAVANI) DIRECTORDIN : 01149920

FOR M/S. SAMIR GANDHI & CO.

CHARTERED ACCOUNTANT

Sd/- SAMIR H GANDHI

( PROPRIETOR)

Membership no. 121330

Firm registration no.

PLACE : Mumbai

DATE : 30/05/2015