Shivamshree Businesses Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2024

2 Summary of Significant Accounting Policies

The accounting policies set out below have been applied consistently to all periods presented in the financial statements unless
otherwise stated.

i Property, Plant and Equipment (PPE)

Property, Plant and Equipment are stated at cost, net of recoverable taxes, trade discount and rebates less accumulated depreciation
and impairment loss, if any. Such cost include purchase price, borrowing cost and any cost directly attributable to bringing assets to
its location and working condition or its intended use. Depreciation on Tangible Assets, PPE is charged on WDV method as per the
useful life prescribed in Part C of Schedule: it of the Companies Act, 2013 and in the manner specified therein. The residual values,
useful lives and methods of depreciation of property plant and equipment are reviewed at each financial year end and adjusted
prospectively, if any. Depreciation on fixed assets added/ disposed off/ discarded during the year is provided on a pro-rata basis with
reference to the month of addition/disposal/discarding.

ii Inventories

Inventories are valued at lower of cost and net realisable value. Cost is determined on a First in First out (FIFO). Cost includes cost of
conversion and other costs incurred in bringing the inventories to their present location and condition. Obsolete, slow moving and
defective inventories are identified and provided for.

Net Realizable value is the estimated selling price in the ordinary course of business, less estimated cost of completion and estimated
costs necessary to make sale.

iii Finance Cost

Borrowing Costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of such
assets. A Qualifying asset is one that necessarily takes a substantial periost of time to get ready for its intended use or sale.All other
borrowing costs are charged to the Statement of Profit and Loss for the period for which they are incurred._

i_v Revenue Recognition

Revenue is recognised to the extent it is probable that the economic benefits will flow to the Company and the revenue can be
reliably measured, regardless of when the payment is being made. Revenue is measured at the fair value of the consideration
received or receivable, taking into account contractually defined terms of payment and excluding taxes or duties collected on behalf
of the government. The Company has concluded that it is the principal in all of its revenue arrangements since it is the primary
obligor in all the revenue arrangements as it has pricing latitude and is also exposed to inventory and credit risks.

Sale of products

Revenue from the sale of products is recognised when the significant risks and rewards of ownership of the products have passed to
the buyer, usually on delivery of the products. Revenue from the sale of products is measured at the fair value of the consideration
received or receivable, net of returns and allowances, trade discounts and volume rebates.

Interest Income

For all financial assets measured either at amortised cost or at fair value through other comprehensive income, interest income is
recorded using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash payments or receipts
over the expected life of the financial instrument or a shorter period, where appropriate, to the gross carrying amount of the
financial asset or to the amortised cost of a financial liability. When calculating the effective interest rate, the Company estimates the
expected cash flows by considering all the contractual terms of the financial instrument but does not consider the expected credit
losses.

_v Employee Benefit
Expenses

Short Term Employee Benefits

The undiscounted amount of short term employee benefits expected to be paid in exchange for the services rendered by employees
are recognised as an expense during the period when the employees render the services.

vi Foreign currencies

Company has not made any foreign transaction during the year.

vii Taxes on Income

Tax on Income comprises current tax. It is recognised in statement of profit and loss except to the extent that it relates to a business
combination, or items recognised directly in equity or in other comprehensive income.

Current tax

Tax on income for the current period is determined on the basis on estimated taxable income and tax credits computed in
accordance with the provisions of the relevant tax laws and based on the expected outcome of assessments / appeals. Current
income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The
tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date.
Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations
are subject to interpretation and establishes provisions where appropriate.

Deferred tax

Deferred tax is recognized for the future tax consequences of deductible temporary differences between the carrying values of assets
and liabilities and their respective tax bases at the reporting date, using the tax rates and laws that are enacted or substantively
enacted as on reporting date. Deferred tax liability are generally recorded for all temporary timing differences.

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Mar 31, 2015

A. Basis of Accounting

The financial statements are prepared under the historical cost convention in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP), including the Accounting Standards notified under the relevant provisions of the Companies Act, 2013.

B. Presentation and Disclosure of Financial Statements

These Financial Statements have been prepared and presented on the accrual basis of Accounting and comply with the Accounting Standards prescribed in the Companies Act, 2013. The financial statements are presented in Indian rupees rounded off to the nearest rupees.

The Revised Schedule introduces some significant conceptual changes as well as new disclosures. These include classification of all Assets and liabilities into Current and Non-Current.

CURRENT- NON-CURRENT CLASSIFICATION

All assets and Liabilities are classified into current and Non-current. An asset shall be classified as current when it satisfies any of the following criteria:

(a) it is expected to be realised in, or is intended for sale or consumption in, the company's normal operating cycle;

(b) it is held primarily for the purpose of being traded;

(c) it is expected to be realised within twelve months after the reporting date; or

(d) it is cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting date.

All other assets shall be classified as non-current.

A liability shall be 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 twelve months after the reporting date; or

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

All other liabilities shall be classified as non-current.

An operating cycle is the time between the acquisition of assets for processing and their realization in cash or cash equivalents. Where the normal operating cycle cannot be identified, it is assumed to have duration of 12 months.

C. Use of estimates

The preparation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on the date of financial statements and reported amount of revenues and expenses during the reporting period. Difference between the actual results is recognized in the period in which the results are known/ materialized.

D. Fixed Assets (including Intangibles)

Tangible Fixed Assets

Tangible Fixed Assets are stated at cost of acquisition net of recoverable taxes less accumulated depreciation. Cost of Acquisition or construction is inclusive of freight, duties, taxes and other incidental expenses related to acquisition and installation incurred up to the date of commissioning of assets.

Intangible Fixed Assets

Intangible Assets are stated at cost of acquisition net of recoverable taxes less accumulated amortization / depletion. All costs, including financing costs till commencement of commercial production, net charges on foreign exchange contracts and adjustments arising from exchange rate variations attributable to the intangible assets are capitalized.

E. Depreciation and Amortization

Depreciation is provided based on life assigned to each asset in accordance with Schedule II of the Companies Act,2013. Consequent to the enactment of the Companies Act, 2013 and its applicability for accounting periods commencing after 1 April, 2014, the Company has reassessed the useful life of its fixed assets and has computed depreciation with reference to the useful life of assets recommended in Schedule II to the act. An additional amount of Rs 1,279/- has been charged to the Statement of Profit & Loss account for the year ended 31.03.2015, based on the residual useful life as per Schedule II.

F. Impairment of Assets

An asset is treated as impaired when the carrying cost of asset 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. However there is no Impairment lossProfit during the year.

G. Foreign Currency Transactions

a) Transaction denominated in foreign currencies is recorded at the exchange rate prevailing on the date of transaction or that approximates the actual rate at the date of transaction.

b) Any income or expense on account of exchange difference either on settlement or on translation is recognized in the Statement of profit and Loss.

H. Revenue Recognition.

Revenue arises by way of earning commission and is recognized on the basis of providing of services.

Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable.

I. Expenses

Expenses are recognized on accrual basis and provisions are made for all known losses and Liabilities.

J. Employee Benefits.

Short-term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss account of the year in which the related service is rendered.

K. Provision for current and Deferred Tax

Provision for current tax is made on the basis of assessable under the provisions of the Income tax act, 1961.

Deferred Tax resulting from timing difference between taxable and accounting income is accounted for using the tax rates and law that are enacted or substantively enacted on the balance sheet date .Deferred tax asset is recognized and carried forward only to the extent that there is a virtual certainty that the asset will be realized in future.

L. Provisions, Contingent Liabilities and Contingent Assets.

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Assets are neither recognized but are disclosed in notes. Contingent Assets are neither nor disclosed in the financial statements.

M. Related Party Disclosures

* Key Management Personnel

i) Mr. Sarwesh Singh

ii) Mr. Bhim Singh Chaudhary

iii) Mr. Kheem Singh

iv) Mr. Mohit Kumar

v) Ms Deepa Gupta

N. Earning Per Share

Earnings Per Share (EPS) is calculated by dividing the Net Profit or Loss for the period attributable to equity shareholders by the Weighted Average Number of equity shares outstanding during the period.

For the purpose of calculating Diluted Earnings Per share, the Net Profit or Loss for the period attributable to equity shareholders is divided by the Weighted Average Number of shares outstanding during the period after adjusting for the effects of all dilutive potential equity shares.

O. Realizable Value of Current Assets

In the opinion of the management, the value on realization of current assets, loans & advances in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet and provisions for all known liabilities has been made.

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Mar 31, 2014

A. Basis of preparation of financial statements

The financial statements are prepared under the historical cost convention in accordance with the generally accepted accounting principles in India and the provisions of the companies act, 1956.

B. Use of estimates

The preparation of financial statement requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on the date of financial statements and reported amount of revenues and expenses during the reporting period. Difference between the actual results is recognized in the period in which the results are known/ materialized.

C. Depreciation and Amortization

Depreciation on fixed assets is provided to the extent of depreciable amount on written down value (WDV) at the rates and in the manner prescribed in schedule XIV of the Companies act 1956 over their useful life.

D. Impairment of Assets

An asset is treated as impaired when the carrying cost of asset 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.

E. Foreign Currency Transactions

a) Transaction denominated in foreign currencies is recorded at the exchange rate prevailing on the date of transaction or that approximates the actual rate at the date of transaction.

b) Any income or expense on account of exchange difference either on settlement or on translation is recognized in the profit and Loss account.

F. Investments

Current investments are carried at lower of cost and quoted/fair value, computed category wise. Long term investments are stated at cost. Provision for diminution in the value of long-term investments is made only if such decline is other than temporary.

G. Revenue Recognition.

Revenue is recognized on the basis of providing of services.

Interest income is recognized on time proportion basis taking into account the amount outstanding and rate

applicable.

H. Employee Benefits.

Short-term employee benefits are recognized as an expense at the undiscounted amount in the profit and loss account of the year in which the related service is rendered.

I. Borrowing Costs.

Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalized as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready of its intended use. All the borrowing costs are charged to Profit and Loss account.

J. Financial Derivatives and Commodity Hedging Transactions

In respect of derivative contracts , premium paid gains/losses on settlement and losses on restatement are recognized in the profit and Loss account except in case where they relate to the acquisition or construction of fixed assets, in which case, they are adjusted to the carrying cost of such assets. However there are no financial derivatives and commodity hedging transactions.

K. Provision for current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions of the income tax act, 1961. Deferred Tax resulting from timing difference between taxable and accounting income is accounted for using the tax rates and law that are enacted or substantively enacted on the balance sheet date .Deferred tax asset is recognized and carried forward only to the extent that there is a virtual certainty that the asset will be realized in future.

L. Provisions, Contingent Liabilities and Contingent Assets.

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are neither recognized but are disclosed in notes. Contingent Assets are neither recognized nor disclosed in the financial statements.

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Mar 31, 2013

1.1 These accounts have been prepared on “ Historical cost “ basis.

1.2 The company generally follows “ accrual concept “ of accounting in the preparation of the accounts.

1.3 Investments are stated at their cost of acquisition.

1.4 The employees benefits for Leave Encashment etc. are accounted for in the year they are incurred.

1.5 Accounting policies not specifically referred to are in consonance with the generally accepted accounting practices.

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Mar 31, 2012

1.1 These accounts have been prepared on" Historical cost" basis.

1.2 The company generally follows " accrual concept" of accounting in the preparation of the accounts .

1.3 Investments are stated at their cost of acquisition.

1.4 The employees benefits for Leave Encashment etc. are accounted for in the year they are incurred.

1.5 Accounting policies not specifically referred to are in consonance with the generally accepted accounting practices.

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Mar 31, 2011

1 These accounts have been prepared on " Historical cost" basis

2 The company generally follows "accrual concept" of accounting in the preparation of the accounts

3 Investments are stated at cost of their acquisiton.

4 Accounting policies not specifically referred to are in consonance with the generally accepted accounting practices