Notes on
Accounts
VI. Inventories:
Inventories are valued on the following basis:
a) Stores and Spares - at moving weighted average basis.
b) Raw Materials - at moving weighted average basis.
c)
Work-in-Process - at estimated cost
d) Finished Goods - at lower of cost or estimated realisable value.
e)
Stock in trade - at lower of cost or estimated realisable value.
f) Material in Transit – at cost.
VII. Excise Duty:
$&/7"5 $SFEJU UP UIF FYUFOU BWBJMFE JT BEKVTUFE UPXBSET DPTU PG NBUFSJBMT
VIII. Sales
4BMFT BSF JODMVTJWF PG FYDJTF EVUZ BOE BGUFS EFEVDUJOH 7"5 BOE EJTDPVOUT
IX. Foreign Currency Transactions:
B 5SBOTBDUJPOT EFOPNJOBUFE JO GPSFJHO DVSSFODJFT BSF SFDPSEFE BU UIF FYDIBOHF SBUFT QSFWBJMJOH PO UIF EBUF PG UIF USBOTBDUJPO
PS UIBU BQQSPYJNBUFT UIF BDUVBM SBUF BU UIF EBUF PG UIF USBOTBDUJPO
C .POFUBSZ JUFNT EFOPNJOBUFE JO GPSFJHO DVSSFODJFT BU UIF ZFBS FOE BSF SFTUBUFE BU ZFBS FOE SBUFT FYDFQU JO DBTFT DPWFSFE
CZ GPSXBSE FYDIBOHF DPOUSBDUT
D "OZ JODPNF PS FYQFOTF PO BDDPVOU PG FYDIBOHF EJGGFSFODF FJUIFS PO TFUUMFNFOU PS PO USBOTMBUJPO JT SFDPHOJ[FE JO UIF
TUBUFNFOU PG QSPmU MPTT
X. Government grants and subsidies:
Grants and subsidies from the government are recognised when there is reasonable assurance that (i) the Company will comply
with the conditions attached to them, and (ii) the grant/ subsidy will be received.
8IFSF UIF HSBOU PS TVCTJEZ SFMBUFT UP SFWFOVF JU JT SFDPHOJTFE BT JODPNF PO B BDDSVBM CBTJT JO UIF TUBUFNFOU PG QSPmU BOE MPTT
8IFSF UIF HSBOU SFMBUFT UP B mYFE BTTFU JU JT OFU PGG GSPN UIF SFMFWBOU BTTFU
9* &NQMPZFF #FOFmUT
B 4IPSU UFSN FNQMPZFF CFOFmUT BSF SFDPHOJTFE BT BO FYQFOTF BU UIF VOEJTDPVOUFE BNPVOU JO UIF QSPmU BOE MPTT BDDPVOU PG
the year in which the related service is rendered.
b) Liability towards Gratuity and unavailed leaves has been provided on the basis of actuarial valuation.
XII. Research & Development:
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&YQFOEJUVSF PO SFTFBSDI BOE EFWFMPQNFOU JT USFBUFE BT BEEJUJPOT UP 'JYFE "TTFUT JO DBTF UIF TBNF RVBMJmFT BT B UBOHJCMF BTTFU
as per AS – 10 issued by ICAI.
XIII. Provision, Contingent Liabilities and Contingent Assets:
Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a
SFTVMU PG QBTU FWFOUT BOE JU JT QSPCBCMF UIBU UIFSF XJMM CF BO PVUnPX PG SFTPVSDFT $POUJOHFOU MJBCJMJUJFT BSF OPU SFDPHOJ[FE CVU
BSF EJTDMPTFE JO UIF OPUFT $POUJOHFOU BTTFUT BSF OFJUIFS SFDPHOJTFE OPS EJTDMPTFE JO UIF mOBODJBM TUBUFNFOUT
XIV.
Dividend received is accounted for as and when it is declared.
XV.
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1. SIGNIFICANT ACCOUNTING POLICIES TO THE CONSOLIDATED BALANCE SHEET AND STATEMENT OF PROFIT & LOSS
79
Annual Report 2013-14
