Notes which are integral part of financial statements for the year ended March 31,2015 :- Decorous Investment & Trading Co. Limited ("the Company") was incorporated on November 22, 1982 to Invest in properties, debentures, securities, and to do the business of promoters, investment consultants etc. Certificate of Commencement of Business was issued on December 15,1982. At the meeting of Board & Shareholders held on 23rd Day of August, 2014 & 29th day of September, 2014 respectively. MOA & AOA were amended and Certificate of Registration of the Special Resolution Confirming Alteration of Object Clause(s) dated 17.11.2014 received from ROC and the company is now carrying on the principal business of Gems & Jewellery, Bullion, etc. 1. Significant Accounting Policies 1.1 Basis of brparation of financial statements These financial statements are brpared on under the historical cost convention, in compliance in accordance with Generally Accepted Accounting Principles (GAAP) in India on accrual basis. GAAP Comprises accounting standards as specified in rule 3 of the Companies (Accounting Standards) Rules 2006, and the relevant provisions of the Companies Act, to the extent applicable. Accounting policies have been consistently applied. 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 Form AOC - 3 of the Companies (Accounts) Rule, 2014. Company has ascertained its operating cycle as 12 months for the purpose of current - non current classification of assets and liabilities. 1.2 Use of estimates The brparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of income and expenses of the period, reported amount of assets and liabilities and disclosure relating to contingent assets and liabilities as on the date of the financial statements. Accounting estimate could change from period to period and actual results could differfrom those estimates. 1.3 Revenue recognition Revenue is recognized on accrual basis. Dividend income is accounted for on receipt basis. Sale/purchase of securities is recognized on the basis of actual deliveries of securities. 1.4 Investments Securities, which are considered by the management as stock in trade, are valued at lower of cost or net realizable value. Transfer charges on securities purchased are added to the cost when paid. Cost of Stock is taken on Average cost method 1.5 Employee benefits Employee benefits are recognized as an expense in the profit and loss account 1.6 Foreign Currency Transactions a. Expenditure in Foreign Currency: NIL b. Income in Foreign Currency : NIL 1.7 Taxes Taxation, if any, is being provided at the rate brvailing during relevant period under normal provisions brscribed by the Income tax Act, 1961 and rules made thereunder. 1.8 Cash and Cash Equivalents Cash and cash equivalents comprise cash in hand and accounts with banks. 2.1 Quantitative Details & Business The Company is carrying on the principal business of Gems & Jewellery and sale & purchase of Bullion, Commodities, etc,. 2.2 Post Balance Sheet Events Material events occurring after the Balance Sheet are taken into cognizance/ consideration. 2.3 Loans & Advances In the opinion of the Board all the Current Assets, Loans & Advances have a value on realization in ordinary course of business at least equal to the amount at which these are stated. 2.4 Segment Reporting Income of company are primarily from Gems & Jewellery business and also from purchase & sale of bullion commodities, etc. 2.5 Previous year's figures Previous years figures have been regrouped / rearranged / reclassified wherever necessary to correspond with the current year classification / disclosures. As per our even Report attached For MOHAN & MOHAN Chartered Accountants FRN: 002612N Adarsh Mohan Proprietor Membership No. 081491 For Decorous Investment & Trading Co. Ltd. Raj Kumar Gupta Director DIN:00074532 Amit Gupta Director DIN:00074483 Mohit Kumar Company Secretary & Compliance Officer ACS-38142 Place: New Delhi Date : 25.05.2015 |