SIGNIFICANT ACCOUNTING POLICIES & NOTES ON FINANCIAL
STATEMENTS
Note No. : 13
A. Significant Accounting Policies
1. Basis of accounting:-
These financial statements have been prepared in accordance with the Generally
Accepted Accounting Principles in India (Indian GAAP) including the Accounting
Standards notified under Section 133 of the Companies Act, 2013, read with Rule
7 of the Companies (Accounts) Rules, 2014 and the relevant provisions of the
Companies Act, 2013.
The financial statements have been prepared under the historical cost convention
on accrual basis.
2. Use of Estimates
The preparation of financial statements in conformity with Indian GAAP requires
the management to make judgments, estimates and assumptions that affect the
reported amounts of revenues, expenses, assets and liabilities and the disclosure
of contingent liabilities, at the end of the reporting period. Although these
estimates are based on the management’s best knowledge of current events and
actions, uncertainty about these assumptions and estimates could result in the
outcomes requiring a material adjustment to the carrying amounts of assets or
liabilities in future periods.
3. Revenue Recognition: -
Expenses and Income considered payable and receivable respectively are
accounted for on accrual basis.
Revenue is recognized to the extent that it is probable that the economic benefits
will flow to the Company and the revenue can be reliably measured.
4. Property, Plant & Equipment :-
Property, Plant & Equipment including intangible assets are stated at their
original cost of acquisition including taxes, freight and other incidental expenses
related to acquisition and installation of the concerned assets less depreciation till
date.
5. Depreciation :-
Depreciation on Fixed Assets is provided to the extent of depreciable amount on
the Written down Value (WDV) Method/SLM method. Depreciation is provided
based on useful life of the assets as prescribed in Schedule II to the Companies
Act, 2013.
6. Foreign currency Transactions: -
Transactions arising in foreign currencies during the year are converted at the
rates closely approximating the rates ruling on the transaction dates. Liabilities
and receivables in foreign currency are restated at the year-end exchange rates.
All exchange rate differences arising from conversion in terms of the above are
included in the statement of profit and loss.
7. Investments :-
Investments, which are readily realizable and intended to be held for not more
than one year from the date on which such investments are made, are classified
as current investments. All other investments are classified as non-current
investments.
On initial recognition, all investments are measured at cost. The cost comprises
purchase price and directly attributable acquisition charges such as brokerage,
fees and duties.
Current investments are carried in the financial statements at lower of cost and
fair value determined on an individual investment basis. Long-term investments
are carried at cost. However, provision for diminutions in value is made to
recognize a decline other than temporary in the value of the investments.
On disposal of an investment, the difference between its carrying amount and net
disposal proceeds is charged or credited to the statement of profit and loss.
8. Inventories :-
Inventories are valued as under:-
1. Inventories : Lower of cost(FIFO/specific cost/Weighted avg) or net
realizable value
2. Scrap : At net realizable value.
9. Borrowing cost:-
Borrowing costs that are attributable to the acquisition or construction of the
qualifying assets are capitalized as part of the cost of such assets. A qualifying
assets is one that necessarily takes a substantial period of time to get ready for
its intended uses or sale. All other borrowing costs are charged to revenue in the
year of incurrence. The amount of borrowing cost capitalized during the year.
10. Retirement Benefits:-
The retirement benefits are accounted for as and when liability becomes due for
payment.
11. Taxes on Income:-
Provision for current tax is made on the basis of estimated taxable income for the
current accounting year in accordance with the Income Tax Act, 1961. The
deferred tax for timing differences between the book and tax profits for the year is
accounted for, using the tax rates and laws that have been substantively enacted
by the balance sheet date. Deferred tax assets arising from timing differences are
recognized to the extent there is virtual certainty with convincing evidence that
these would be realized in future. At each Balance Sheet date, the carrying
amount of deferred tax is reviewed to reassure realization.
12. Provisions, Contingent Liabilities and Contingent Assets:- (AS-29)
Provisions are recognized only when there is a present obligation as a result of
past events and when a reliable estimate of the amount of the obligation can be
made.
Contingent Liabilities is disclosed in Notes to the account for:-
(i) Possible obligations which will be confirmed only by future events not wholly
within the control of the company or
(ii) Present Obligations arising from past events where it is not probable that an
outflow of resources will be required to settle the obligation or a reliable
estimate of the amount of the obligation cannot be made.
Contingent assets are not recognized in the financial statement since this may
result in the recognition of the income that may never be realized.
13. General:
Except wherever stated, accounting policies are consistent with the generally
accepted accounting principles and have been consistently applied.
(B) Notes on Financial Statements
1. The classification of creditors as micro and small enterprise has been given for
the parties from whom the confirmation has been received regarding their
classification as per MSMED Act. The interest on delayed payment to such
parties, if any, has neither been determined nor has been paid as per verbal
mutual understanding with the such parties.
2. Salaries includes directors remuneration on account of salary Rs. /- (Previous
Year Rs. /-)
3. Trade receivables, Trade payables, Loans & Advances and Unsecured Loans
have been taken at their book value subject to confirmation and reconciliation.
4. Payments to Auditors:
Auditors Remuneration 2024-2025 2023-2024
Audit Fees 20,000 20,000
Total 20,000 20,000
5. Loans and Advances are considered good in respect of which company does not
hold any security other than the personal guarantee of persons.
6. No provision for retirement benefits has been made, in view of accounting policy
No. 10. The impact of the same on Profit & Loss is not determined.
7. Advance to others includes advances to concerns in which directors are
interested:
(Figures in Hundred )
Name of Concern Current Year Previous Year
Closing Balance Closing Balance
NA
8. Related Party disclosure as identified by the company and relied upon by the
auditors:
(A) Related Parties and their Relationship
(I) Key Management Personnel
1. KRISHNA VENI NAMBURI
2. CHENNA KESAVULU CHENNA
(II) Relative of Key Management Personnel
1.
(III) Enterprises owned or significantly influenced by Key Management personnel or
their relatives
1.
Transactions with Related parties (Figures in Hundred)
Transactions during the year
Current Year Previous year
Key Relative of Key Key Relative of Key
Particulars Management Management Management Management
Personnel Personnel Personnel Personnel
Advance Paid NA NA NA NA
Received Back NA NA NA NA
Deposit Received NA NA NA NA
Deposit Repaid NA NA NA NA
Interest Received NA NA NA NA
Interest Paid NA NA NA NA
Remuneration Paid NA NA NA NA
Purchase NA NA NA NA
Rent Paid NA NA NA NA
Other Payment NA NA NA NA
Job Charges NA NA NA NA
Outstanding Balances
Current Year Previous year
Key Relative of Key Key Relative of Key
Particulars Management Management Management Management
Personnel Personnel Personnel Personnel
Loans Taken 2158900 0 2158900 0
Loans Repaid 0 0 0 0
9. During the year, the Company was not subject to any penalties imposed by any
department, and there were no provisions made or appeals filed in relation to any
penalties.
10. Additional Regulatory Information/disclosures as required by General Instructions
to Schedule III to the Companies Act, 2013 are furnished to the extent applicable
to the Company.
11. % of imported & indigenous raw material & consumables
Particulars 2025 2024
% Amount % Amount
Imported 0.00 0.00 0.00 0.00
Indigeneous 0.00 0.00 0.00 0.00
12. Value of Imports
Raw Material Nil Nil
Finished Goods Nil Nil
13. Expenditure in Foreign Currency Nil Nil
14. Earning in Foreign Exchange Nil Nil
15. Previous year figures have been regrouped/rearranged wherever necessary.
Signature to notes 1 to 12
In terms of Our Separate Audit Report of Even Date Attached.
For CH &ASSOCIATES For M/S. TEKOPTIMIZE SOFTWARE
INDIA PRIVATE LIMITED
Chartered Accountants
(RAMESH CH)
PARTNER KRISHNAVENI CHENNA KESAVULU
Membership No. 234432 NAMBURI CHENNA
Registration No. 0015474S Director Director
Place:- HYDERABAD DIN : 07849400 DIN : 05150283
Date: - 19/09/2025
UDIN: - 25234432BMUMZC9339