Note 1: A. SIGNIFICANT ACCOUNTING POLICIES

Basis of Preparation of Financial statement.

The financial statements of Transglobe Foods Limied have been brpared and brsented in accodance with Generally Accepted Accounting Principles (GAAP) on the historical cost convention on the accrual basis. GAAP comprises accounting standards notified by Central Government of India under the relevant provision of Companies Act, 2013

Use of Estimates

The brparation of financial statements is in conformity with Generally Accepted Accounting Principles (GAAP) in India requires management to make estimates and assumption that affect the reported amounts of assets and liabilities and the disclosures of contingent liabilities on the date of the financial statements and reported amounts of income and expenses during the period.

Revenue Recognition:

The Company follows the mercantile system of Accounting and recognizes income and expenditure on accrual basis

Investments:

Investments are stated at cost i.e., cost of acquisition, inclusive of expenses incidental to acquisition wherever applicable.

Fixed Assets & Debrciation

Fixed Assets are stated at cost less Debrciation. Debrciation on Fixed Assets is provided to the extent of debrciable amount on the Straight Line Method. Debrciation is provided based on useful life of the assets as brscribed in Schedule II to the Companies Act, 2013. Debrciation on addition / deletions is calculated on pro- rata with respect to date of addition / deletions.

Taxation:

The current charge for income tax is calculated in accordance with the relevant tax regulations applicable to the Company. Deferred tax asset and liability is recognized for future tax consequences attributable to the timing differences that result between the profit offered for income tax and the profit as per the financial statements. Deferred tax asset & liability are measured as per the tax rates/laws that have been enacted or substantively enacted by the Balance Sheet date.

Earnings per Share:

The earning considered in ascertaining the company's earnings per share comprises net profit after tax. The number of shares used in computing basic earnings per share is the weighted average number of shares outstanding during the year.

Impairment of Assets :

The carrying amount of assets is reviewed at each balance sheet date to determine if there is any indication of impairment thereof based on external / internal factors. An impairment loss is recognised wherever the carrying amount of an asset exceeds its recoverable amount, which rebrsents the greater of the net selling price of assets and their value in use. The estimated future cash flows are discounted to their brsent value at appropriate rate arrived at after considering the brvailing interest rates and weighted average cost of capital

Gratuity:

No provision for gratuity has been made as no employee has put in qualifying period of service for entitlement of this benefit

Under the Micro Small and Medium Enterprises Development Act ,2006, certain disclourses are required to be made relating to Micro,Small and Medium Enterprises. The company is in the process of compling relevant information from its suppliers about their coverage under the Act . Since the revelant information is not brsently available, no disclosures have been made in the accounts.

For, Transglobe Foods Limited 

For, Ashvin Thumar & Co

Chartered Accountants

FRN: 131965W

(Prabhakar Khakkhar)  

Proprietor M.No. 138376

(Bhavna Khakhar) Director

CA. Ashvin R.Thumar Director

Place:Mumbai

Date: 30.05.2015