RFBL Flexi Pack Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2025

(iii) Current and not current classification (Continued)

Current assets include the current portion of non-current financial
assets.

All other assets are classified as non-current.

Liability

A liability is classified as current when it satisfies any of the
following criteria:

a. It is expected to be settled in the Company''s normal operating
cycle;

b. It is held primarily for the purpose of being traded;

c. It is due to be settled within 12 months after the reporting date;

d. the Company does not have an unconditional right to defer
settlement of the liability for at least 12 months after the
reporting date. Terms of liability that could, at the option of the
counterparty, result in its settlement by the issue of equity
instruments do not affect its classification.

Current liabilities include current portion of non-current financial
liabilities.

All other liabilities are classified as non-current.

Operating cycle;

The operating cycle is the time between the acquisition of assets for
processing and their realisation in cash or cash and. cash
equivalents for project period.

(iv) Tangible fixed assets

Fixed assets are stated at cost of acquisition or construction
(including directly attributable expenses thereto} or at revalued
amounts, net of impairment loss if any, less depreciation/
amortisation. Cost includes financing costs of borrowed funds
attributable to acquisition of qualifying

up to the date the assets are put to use.

(vf Depreciation and amortisation

Depreciation is provided on written down value method as per the
rates of depreciation prescribed in Schedule XIV to the Companies
Act. 1956{as amended).Consequent to the enactment of the
Companies Act, 2013(The Act) and its applicability for accounting
periods commencing after 01-04-2014, the company provided
depreciation with reference to the estimated useful lives of Fixed
Assets as per prescribed by Schedule II of the Act. Depreciation on
additions is provided on a pro-rata basis from the date of
capitalization. Depreciation on deletions is provided up to the date
on which the asset is sold / discarded.

(vi) Revenue recognition

Revenues are recognised on accrual basis and when all the potential
risks and rewards linked to ownership of goods are transferred to
the buyer.

(vii) Earnings per share

The Company reports basic and diluted earnings per equity share in
accordance with Accounting Standard - 20, “Earnings per Share” of
Companies (Accounting Standards) Rules, 2006. The basic and
dilutive earnings / (loss) per share is computed by dividing the net
profit / (loss) for the year by the weighted average number of equity
shares outstanding during the year. Dilutive earnings per share is
computed and disclosed after adjusting the effects of all dilutive
potential equity shares, if any, except when the results will be anti¬
dilutive.

(viii) Investment

Investments are classified as Non current Investments. Non current
investments are stated at Cost, Provision is made for diminution in
the value of Non current Investments to recognise a decline, if any
other than temporary in nature,

fix) Inventories

Inventories of Finished Goods are stated at Cost or Net Realisable
Value whichever is lower. Cost comprises of cost of purchases, cost
of conversion and other costs incurred in bringing the inventories to
their present location and condition.

(x) Taxation

Income-tax expense comprises current tax (that is amount of tax for
the year determined in accordance with the income-tax laws) and
deferred tax charge or credit (reflecting the tax effect of timing
differences between accounting income and taxable income for the
year). The deferred tax charge or credit and the corresponding
deferred tax liability and / or deferred tax asset are recognised
using the tax rates that have been enacted or substantially enacted
by the balance sheet date. Deferred tax assets are recognised only
to the extent there is reasonable certainty of realisation in the
future. However, where there is unabsorbed depreciation or carried
forward loss under taxation laws, deferred tax assets are recognised
only if there is virtual certainty of realisation of such assets.

(xi) Assets and Liabilities

All debit and credit balances and accounts squared up during the
year are subject to confirmation from respective parties. In the
opinion of the Board of Directors the current assets, loans &
advances are approximately of the value at which these are stated
in the Balance Sheet if realized in the ordinary course of business.
Adequate provisions have been made for all known liabilities and
the provision are not in excess of the amount reasonably necessary.