Notes to financial statements for the year ended 31st March 2015_ 1 Nature of Operations P G Industry Limited (hereinafter referred to as 'the Company') was incorporated on December 13, 1993 and is engaged in the manufacturing and selling of Marble Blocks/Slabs. 2 Statement of Significant Accounting Policies a Basis of brparation of Financial Statements The accounts of the Company are brpared on going concern basis, under the historical cost convention, as per applicable accounting standards and generally accepted Accounting principles, and the company adopts the accrual basis in the brparation of the accounts, unless otherwise stated. The accounting policies adopted in the brparation of financial statements are consistent with those of brvious year. b Tangible fixed assets i) Fixed Assets are stated at original cost of acquisition and includes insurance, freight, Finance Charge and installation expenses. ii) The costs of leasehold land shown in the balance sheet rebrsent the consideration paid to RIICO at the time of transfer in favour of the Company. c Debrciation Pursuant to the notification of Schedule II to the Companies Act, 2013 ("The Act"), by the Ministry of Corporate Affairs effective from 01st April 2014, the management has reassessed based on technical evaluation and changed, where ever necessary the useful lives to compute debrciation, to conform to the requirements of the Act. Accordingly, the carrying amount as at 01st April 2014 is being debrciated over the remaining useful life of the asset to compute the carrying amount as at 31st March 2015. Lease hold land is not debrciable. d Impairment of tangible and intangible assets An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value, an impairement loss is charged to the statement of profit and loss in the year in which asset is identidied as impaired. The impairement loss recognised in prior accounting period is reversed if there has been change in the estimate of recoverable amount. No impairment Profit or Loss has been identified during the year. e Valuation of Inventories Inventories are valued as follows: Inventories are valued at cost. Cost includes cost for manufactured goods/process stock components of material, custom duty, shipping freight, inland freight, transportation cost, consumables and labour charges etc. Closing stock has been calculated following FIFO method. f Foreign currency transactions Transactions in the foreign exchange are recorded at brvailing rate on/or near to the date of transaction. All exchange gains and losses are accounted for in the Profit and Loss Account g Revenue recognition (i) Sale of goods Revenue is recognized when the significant risks and rewards of ownership of the goods have passed to the buyer, usually on delivery of the goods. (ii) Income from Job Work Revenue from Job Work Contracts is recognized on an accrual basis in accordance with the terms of the accounting policy adopted by the company h Segment Reporting Policies The Company brpares its segment information in conformity with the accounting policies adopted for brparing and brsenting the financial statements of the Company as a whole. i Retirement and other employee benefits Retirement benefits in the form of Provident Fund are defined contribution schemes and the contributions are charged to the Profit and Loss Account of the year when the contribution to the fund is due. There are no other obligations other than the contribution payable to that fund. j Income tax Tax expense comprises current and deferred tax. Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961. Deferred income taxes reflect the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years. k Earning Per share Basic Earning Per Share is calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. For the purpose of calculating Diluted Earning Per Share, the net profit or loss for the year attributable to equity shareholders and the weighted average number of shares outstanding during the year are adjusted for the effects of all dilutive potential equity shares. l Provision, Contingent liabilities and Contingent Assets A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the Company or a brsent obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. 30. Income Tax assessment has been completed up to assessment year 2013-14. Sales Tax assessment has been completed up to assessment year 2010-11 31 . In the opinion of the management, all the Current Assets, Loan and Advances have a value at which they are stated in the Balance Sheet, ifrealized in the ordinary course ofthe business and the provision for all known liabilities are adequate and are not in excess ofthe amount payable. 32. The Board of Directors has considered, approved and recommended a Final Dividend of Rs. 0.50 per equity share amounting to Rs. 23,12,110 excluding Dividend Distribution Tax of Rs. 4,62,283 subject to the approval of Annual General Meeting of the Company. 33. The Company has been sanctioned Buyers Credit Limit of Rs. 500.00 Lacs by Vijaya Bank, Defence Colony, Delhi and same has not been utilised/availed till 31st March 2015. 34. The accounts of sundry Debtors/Creditors and advances are subjected to confirmation from parties. 35. Previous year figures have been re-arranged/re-grouped wherever necessary. 36. Notes No's 1 to 35 form an integral part of Balance Sheet and Statement of Profit and Loss Account. As per our report of even date Chartered Accountants Sd/- Ca Vishal Goel (Proprietor) Membership No.- 094685 Firm Regn. No.- 020330 N As approved For Vishal G Goel & Co. For and on behalf of the Board of Directors Sd/- Amit Dalmia (Director) DIN: 00083646 Sd/- Saket Dalmia (Managing Director) DIN:00083636 Sd/- Davender Kumar Company Secretary ACS - 30043 Sd/- Aman Agrawal C.F.O. ACA - 501723 Place: Delhi Date: 30th May, 2015 |