NOTE No.26
The Company does not fall within the purview of the Payment of Gratuity Act, 1972 as it has less than the stipulated number of employees. Accordingly, actuarial valuation of gratuity has not been conducted and the gratuity is paid on cash basis.
NOTE No.27
The Company has not received any information from the vendors so as to their status under the Micro, Medium and Small Enterprise Development Act, 2006 and hence amount outstanding and interest paid/payable to them under this Act is considered to be 'Nil1.
NOTE No.28
The Company has only single Reporting Business Segment in accordance with Ind AS - 108
Financial Risk Management Objectives
The Company's operations currently do not expose itself to significant financial risks as explained hereunder:
(i) Market risk: The Company has not entered into any foreign exchange or commodity derivative contracts. Accordingly, there is no significant exposure to the market risk.
(ii) Interest rate risk: As the Company does not have significant external borrowings, the Company's net exposure to interest risk is negligible.
NOTE No.31
Capital Management
The Company funds its operations mainly through internal accruals and short-term loans from its holding company. The Company obtains short-term loans to maintain adequate supply of funds.
NOTE No.32
(a) Standard issued but not effective
There are no standards issued but not effective up to the date of issuance of the Company's financial statements.
(b) New and amended standards
The Ministry of Corporate Affairs has notified Companies (Indian Accounting Standards) Amendment Rules, 2023 dated 31 March 2023 to amend the following Ind AS which are effective for annual periods beginning on or after 1 April 2023. The Company applied for the first-time these amendments.
(i) Definition of Accounting Estimates Amendments to Ind AS 8
The amendments clarify the distinction between changes in accounting estimates, changes in accounting policies and the correction of errors. It has also been clarified how entities use measurement techniques and inputs to develop accounting estimates. The amendments had no impact on the Company's financial statements.
(ii) Disclosure of Accounting Policies Amendments to Ind AS 1
The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose their 'significant' accounting policies with a requirement to disclose their 'material' accounting policies and adding
guidance on how entities apply the concept of materiality in making decisions about accounting policy disclosures.
The amendments have had an impact on the Company's disclosures of accounting policies, but not on the measurement, recognition or presentation of any items in the Company's financial statements.
Apart from these, consequential amendments and editorials have been made to other Ind AS like Ind AS 101, Ind AS 102, Ind AS 103, Ind AS 107, Ind AS 109, Ind AS 115 and Ind AS 34.
NOTE No.33
The Company has accumulated loss which has resulted into erosion of the Company's net worth. The management feels that this erosion is temporary in nature and the Company's future plans and prospects will help the Company to turn around in future. The promoter of the Company has assured to infuse the funds as and when required, hence the Company has prepared its Financial Statements on going concern basis.
NOTE No.34
Previous year figure has been regrouped /reclassified wherever necessary to correspond with the current year's classification /disclosure.
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