Niwas Spinning Mills Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2014

1 System of Accounting

a) The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and provisions of the Companies Act 1956.

b) Accounting policies not specifically referred to otherwise, have been followed consistently and are in consonance with the generally accepted accounting principles

2. Inflation

Assets and Liabilities are recorded at historical cost

3 Fixed Assets

a) Fixed Assets are stated at cost of acquisition inclusive of incidental expenses related to acquisition

b) Premium on leasehold land is written off over the lease period of 99 years

4 Depreciation

Depreciation on assets has been provided on WDV method at the rate prescribed in schedule XIV of the Companies Act 1956 for the period of use

5 Investment

Investments are stated at cost Amount (in Rs.)

a) Vikas Sahakari Bank Ltd. 500/- (Unquoted)

b) Nilkanth Urban Co-op Bank Ltd 5000/- (Unquoted)

c) Lahoti Overseas Ltd 12500/- (Quoted) (2500 Nos Market Price as on 31-03-2014 Rs902 per Share)

6 Inventories

a) Raw Materials Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value whichever is less The finished goods are valued at weighted average cost method only

b) The Excise Duty on the Company''s finished goods is exempted vide Notification No 7/2003 Dtd 01-03-2003 and 53/90 Dtd. 20-03-1990 and the same is not accounted for on finished goods as well stock of finished goods at the end of year

7 Revenue Recognition

Revenue is recognized when no significant uncertainty as regards reliability exists In case of claims revenue is recognized on admittance of the claim

8 Employee benefit obligation

Gratuity and Leave Encashment has been provided in accordance with Accounting Standard (AS) - 15 Benefits under the plan are based on pay and years of service and are vested on completion of five years of service, as provided in the Payment of Gratuity Act 1972 The terms of benefit are common for all the employees of the company

9 Foreign Currency Transactions

Transactions in foreign currency are recorded at the rates of exchange prevailing on the date of transaction

10 Lease

The company has taken on Lease certain machines from an associate concern on token Lease Rent of Rs. 1/- with the condition that Lessor will be allowed to capitalize the machines into Equity at Par, on restructuring of the Company or it will have option to receive the money

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Mar 31, 2013

1. System of Accounting

a) The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and provisions of the Companies Act 1956.

b) Accounting policies not specifically referred to otherwise, have been followed consistently and are in consonance with the generally accepted accounting principles

2 Inflation

Assets and Liabilities are recorded at historical cost

3 Fixed Assets

a) Fixed Assets are stated at cost of acquisition inclusive of incidental expenses related to acquisition

b) Premium on leasehold land is written off over the lease period of 99 years

4 Depreciation

Depreciation on assets has been provided on WDV method at the rate prescribed in schedule XIV of the Companies Act 1956 for the period of use

5 Investment

Investments are stated at cost Amount (in Rs.)

a) Vikas Sahakari Bank Ltd. 500/- (Unquoted)

b) Nilkanth Urban Co-op Bank Ltd 5000/- (Unquoted)

c) Lahoti Overseas Ltd 12500/- (Quoted) (2500 Nos Market Price as on 31-03-2013 Rs699 per Share)

6 Inventories

a) Raw Materials, Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value whichever is less The finished goods are valued at weighted average cost method only

b) The Excise Duty on the Company''s finished goods is exempted vide Notification No. 7/2003 Dtd. 01-03-2003 and 53/90 Dtd. 20-03-1990 and the same is not accounted for on finished goods as well stock of finished goods at the end of year

7. Revenue Recognition

Revenue is recognized when no significant uncertainty as regards reliability exists In case of claims revenue is recognized on admittance of the claim

8. Employee benefit obligation

Gratuity and Leave Encashment has been provided in accordance with Accounting Standard (AS) - 15

Benefits under the plan are based on pay and years of service and are vested on completion of five years of service, as provided in the Payment of Gratuity Act 1972 The terms of benefit are common for all the employees of the company

9. Foreign Currency Transactions

Transactions in foreign currency are recorded at the rates of exchange prevailing on the date of transaction

10. Lease

The company has taken on Lease certain machines from an associate concern on token Lease Rent of Rs. 1/- with the condition that Lessor will be allowed to capitalize the machines into Equity at Par, on restructuring of the Company or it will have option to receive the money

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Mar 31, 2012

1. System of Accounting

a) The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and provisions of the Companies Act, 1956.

b) Accounting policies not specifically referred to otherwise, have been followed consistently and are in consonance with the generally accepted accounting principles

2. Inflation

Assets and Liabilities are recorded at historical cost

3. Fixed Assets

a) Fixed Assets are stated at cost of acquisition inclusive of incidental expenses related to acquisition.

b) Premium on leasehold land is written off over the lease period of 99 years

4 DEPRECIATION

Depreciation on assets has been provided on WDV method at the rate prescribed in schedule XIV of the Companies Act 1956 for the period of use

5. Investment

Investments are stated at cost Amount (in Rs.)

a) Vikas Sahakari Bank Ltd. 500/- (Unquoted)

b) Nilkanth Urban Co-op Bank Ltd 5000/- (Unquoted)

c) Lahoti Overseas Ltd. 12500/- (Quoted) (2500 Nos Market Price as on 31-03-12 Rs 674 per Share)

6 Inventories

a) Raw Materials, Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value whichever is less. The finished goods are valued at weighted average cost method only.

b) The Excise Duty on the Company's finished goods is exempted vide Notification No. 7/2003 Dtd. 01-03-2003 and 53/90 Dtd.

20-03-1990 and the same is not accounted for on finished goods as well stock of finished goods at the end of year.

7. Revenue Recognition

Revenue is recognized when no significant uncertainty as regards reliability exists. In case of claims, revenue is recognized on admittance of the claim.

8. Employee benefit obligation

Gratuity and Leave Encashment has been provided in accordance with Accounting Standard (AS) - 15.

Benefits under the plan are based on pay and years of service and are vested on completion of five years of service, as provided in the Payment of Gratuity Act, 1972. The terms of benefit are common for all the employees of the company.

9. Foreign Currency Transactions

Transactions in foreign currency are recorded at the rates of exchange prevailing on the date of transaction.

10. Lease

The company has taken on Lease certain machines from an associate concern on token Lease Rent of Rs. 1/- with the condition that Lesser will be allowed to capitalize the machines into Equity at Par, on restructuring of the Company or it will have option to receive the money.

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Mar 31, 2011

1. System of Accounting

a) The financial statements have been prepared

under the historical cost convention in accordance with the generally accepted accounting principles in India and provisions of the Companies Act, 1956

b) Accounting policies not specifically referred to otherwise, have been followed consistently and are in consonance with the generally accepted accounting principles

2. Inflation

Assets and Liabilities are recorded at historical cost.

3 Fixed Assets

a) Fixed Assets are stated at cost of acquisition inclusive of incidental expenses related to acquisition.

b) Premium on leasehold land is written off over the lease period of 99 years

4 DEPRECIATION

Depreciation on assets has been provided on WDV method at the rate prescribed in schedule XIV of the Companies Act 1956 for the period of use

5 Investment

Investments are stated at cost Amount (in Rs.)

a) Vikas Sahakari Bank Ltd. 500/- (Unquoted)

b) Nilkanth Urban Co-op Bank 5000/- (Unquoted)

c) Lahoti Overseas Ltd 12500/- (Quoted)

6 Inventories

a) Raw Materials, Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value which ever is less. The finished goods are valued at weighted average cost method only.

b) The Excise Duty on the Company's finished goods is exempted vide Notification No. 7/ 2003 Dtd. 01-03-2003 and 53/90 Dtd. 20-03-1990 and the same is not accounted for on finished goods as well stock of finished goods at the end of year

7. Revenue Recognition

Revenue is recognized when no significant uncertainty as regards reliability exists. In case of claims, revenue is recognized on admittance of the claim.

8. Gratuity

Gratuity and Leave encashment has been provided in accordance with Accounting Standard (AS)-15

9. Foreign Currency Transactions Transactions in foreign currency are recorded at the rates of exchange prevailing on the date of transac- tion

10. Lease

The company has taken on Lease certain machines NIWAS SPINNING MILLS LIMITED from an associate concern on token Lease Rent of Rs. 1/- with the condition that Lesser will be allowed to capitalize the machines into Equity at Par, on restructuring of the Company or it will have option to receive the money.

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Mar 31, 2010

1. System of Accounting

a) The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and provisions of the Companies Act, 1956.

b) Accounting policies not specifically referred to otherwise, have been followed consistently and are in consonance with the generally accepted accounting principles.

2. Inflation

Assets and Liabilities are recorded at historical cost.

3. Fixed Assets

a) Fixed Assets are stated at cost of acquisition inclusive of incidental expenses related to acquisition.

b) Premium on leasehold land is written off over the lease period of 99 years.

4 . DEPRECIATION

Depreciation on assets has been provided on WDV method at the rate prescribed in schedule XIV of the Companies Act, 1956 for the period of use.

5. Investment

Investments are stated at cost.

a) National Saving Certificate 1100/- (Unquoted)

b) Vikas Sahakari Bank Ltd. 5 0 0 / - (Unquoted)

c) Nilkanth Urban Co-op. Bank 5000/- (Unquoted)

d) Lahoti Overseas Ltd. 12500/- (Quoted)

6. Inventories

a) Raw Materials, Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value which ever is less. The finished goods are valued at weighted aver age cost method only.

b) The Excise Duty on the Company's finished goods is exempted vide Notification No. 7/ 2003 Dtd. 01-03-2003 and 53/90 Dtd. 20-03-1990 and the same is not accounted for on finished goods as well stock of finished goods at the end of y ear.

7. Revenue Recognition

Revenue is recognized when no significant uncertainty as regards reliability exists. In case of claims, revenue is recognized on admittance of the claim.

8. Gratuity

No provision is made for the Gratuity as required by the statue. Neither the amount of gratuity is quantified. This is against the accounting standard 15 issued by the Institute of Chartered Accountants of India.

9. Foreign Currency Transactions

Transactions in foreign currency are recorded at the rates of exchange prevailing on the date of transaction.

10. Lease

The company has taken on Lease certain machines from an associate concern on token Lease Rent of Rs. 1/- with the condition that Lessor will be allowed to capitalize the machines into Equity at Par, on restructuring of the Company or it will have option to receive the money.

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Mar 31, 2009

The financial statements have been prepared under the historical cost convention In accordance with the generally acceoted accounting principles In India and provisions of the Companies Act, 1956.

b) SntlngI policies"not specifically referred to otherwise, have been followed consistently and are In consonance with the generally accepted accounting principles,

2. Inflation

Assets and Liabilities are recorded at historical cost,

3. Fixed Assets

a> Fixed Assets are stated at cost of acquisition Inclusive of Incidental expenses related to acquisition,

b) Premium on leasehold land is written off over the lease period of 99 years.

4. Depreciation:

Depreciation on assets has been provided on WDV method at the rate prescribed In schedule XIV of the Companies Act, 1956 for the period of use,

5. Inventories:

a) Raw Materials, Parts, Packing Materials and Stores & Spares are valued on FIFO method at cost or market value which ever Is less. The finished goods are valued at weighted average cost method on y.

b) The Excise Duty on the Companys finished goods Is exempted vide Notification No. 7/2003 Dtd. 01-03-2003 and 53/90 Dtd. 20-03-1990 and the same Is not accounted for on finished goods as well stock of finished goods at the end of year,

6. Revenue Recognition:

a> Revenue Recognition when no significant uncertainty as regards reliability exists, In case of claims, revenue Is recognized on admittance of the claim.

7. Gratuity:

No provision Is made for the Gratuity as required by the statue. Neither the amount of gratuity Is quantified. This Is against the accounting standard IS Issued by the Institute of Chartered Accountants of India,

8. Foreign Currency Transactlons

Transactions In foreign currency are recorded at the rates of exchange prevailing on the date of transaction.

9. Lease:

The company has taken on Lease certain machines from an associate concern on token Lease Rent of Rs, 1/- with the condition that Lessor will be allowed to capitalize the machines Into Equity at Par, on restructuring of the Company or it will have option to receive the money.