3.22. Provisions, Contingent Liabilities and Contingent Assets
3.22.1. Provisions
Provisions are recognized when there is a present obligation (legal or constructive) as a
result of a past event and it is probable that an outflow of resources embodying economic
benefits will be required to settle the obligation and a reliable estimate can be made of
the amount of the obligation. Provisions are determined by discounting the expected
future cash flows (representing the best estimate of the expenditure required to settle the
present obligation at the balance sheet date) at a pre-tax rate that reflects current market
assessments of the time value of money and the risks specific to the liability. The
unwinding of the discount is recognized as finance cost.
3.22.2. Contingent Liabilities
Contingent liability is a possible obligation arising from past events and the existence of
which will be confirmed only by the occurrence or non-occurrence of one or more
uncertain future events not wholly within the control of the Company or a present
obligation that arises from past events but is not recognized because it is not possible
that an outflow of resources embodying economic benefit will be required to settle the
obligations or reliable estimate of the amount of the obligations cannot be made. The
Company discloses the existence of contingent liabilities in Other Notes to Financial
Statements.
3.22.3. Contingent Assets
Contingent assets usually arise from unplanned or other unexpected events that give rise
to the possibility of an inflow of economic benefits. Contingent Assets are not recognized
though are disclosed, where an inflow of economic benefits is probable.
3.22.4. Intangible Assets
3.22.4.1. Recognition and Measurement
Intangible assets are stated at cost on initial recognition and subsequently
measured at cost less accumulated amortization and accumulated impairment
loss, if any.
3.23. Amortization
3.23.1. Software’s are amortized over a period of three years.
3.23.2. The amortization period and the amortization method are reviewed at least
at the end of each financial year. If the expected useful life of the assets is
significantly different from previous estimates, the amortization period is changed
accordingly.
3.24. Operating Segment
Operating segments are reported in a manner consistent with the internal reporting
provided to the chief operating decision maker. The chief operating decision maker of the
Company is responsible for allocating resources and assessing performance of the
operating segments and accordingly is identified as the chief operating decision maker.
The Company has identified one reportable segment only based on the information
reviewed by the CODM.
4. SIGNIFICANT JUDGEMENTS AND KEY SOURCES OF ESTIMATION IN APPLYING
ACCOUNTING POLICIES
4.1. Estimates and judgments are continually evaluated. They are based on historical
experience and other factors, including expectations of future events that may have a
financial impact on the Company and that are believed to be reasonable under the
circumstances. Information about Significant judgments and Key sources of estimation
made in applying accounting policies that have the most significant effects on the
amounts recognized in the financial statements is included in the following notes:
4.2. Recognition of Deferred Tax Assets: The extent to which deferred tax assets can be
recognized is based on an assessment of the probability of the Company’s future
taxable income against which the deferred tax assets can be utilized. In addition,
significant judgment is required in assessing the impact of any legal or economic
limits.
4.3. Classification of Leases: The Company enters into leasing arrangements for various
assets. The classification of the leasing arrangement as a finance lease or operating
lease is based on an assessment of several factors, including, but not limited to,
transfer of ownership of leased asset at end of lease term, lessee’s option to purchase
and estimated certainty of exercise of such option, proportion of lease term to the
asset s economic life, proportion of present value of minimum lease payments to fair
value of leased asset and extent of specialized nature of the leased asset.
4.4. Where the rate implicit in the lease is not readily available, an incremental borrowing
rate is applied. This incremental borrowing rate reflects the rate of interest that the
lessee would have to pay to borrow over a similar term, with a similar security, the
funds necessary to obtain an asset of a similar nature and value to the right of-use
asset in a similar economic environment Determination of the incremental borrowing
rate requires estimation.
4.5. Defined Benefit Obligation (DBO): Employee benefit obligations are measured on the
basis of actuarial assumptions which include mortality and withdrawal rates as well as
assumptions concerning future developments in discount rates, medical cost trends,
anticipation of future salary increases and the inflation rate. The Company considers
that the assumptions used to measure its obligations are appropriate. However, any
changes in these assumptions may have a material impact on the resulting
calculations.
4.6. Provisions and Contingencies: The assessments undertaken in recognising provisions
and contingencies have been made in accordance with Indian Accounting Standards
(Ind AS) 37, ‘Provisions, Contingent Liabilities and Contingent Assets’. The evaluation
of the likelihood of the contingent events is applied best judgment by management
regarding the probability of exposure to potential loss.
4.7. Impairment of Financial Assets: The Company reviews it carrying value of investments
carried at amortized cost annually, or more frequently when there is indication of
impairment. If recoverable amount is less than its carrying amount, the impairment
loss is accounted for.
4.8. Allowances for Doubtful Debts: The Company makes allowances for doubtful debts
through appropriate estimations of irrecoverable amount The identification of doubtful
debts requires use of judgment and estimates. Where the expectation is different from
the original estimate, such difference will impact the carrying value of the trade and
other receivables and doubtful debts expenses in the period in which such estimate
has been changed.
4.9. Fair value measurement of financial Instruments: When the fair values of financial
assets and financial liabilities recorded in the balance sheet cannot be measured
based on quoted prices in active markets, their fair value is measured using valuation
techniques including the Discounted Cash Flow model. The input to these models are
taken from observable markets where possible, but where this not feasible, a degree
of judgement is required in establishing fair values. Judgements include considerations
of inputs such as liquidity risk, credit risk and volatility.
Other Notes
4.10. Details of Crypto / Virtual Currency
There were no Transaction and Financial Dealing in Crypto / Virtual Currency during
the Financial Year 2024-25
4.11. There are no micro, Small and Medium Enterprises, to whom the Company owes dues
which outstanding for more than 45 days as at 31st March 2025. This information as
required to be disclosed under the micro, small and medium Development Act, 2006
has been determined to the extent such parties have been identified on the basis of
information available with company.
The Note Referred to above form as an integral part of Balance Sheet.
For GRAND OAK CANYONS DISTILLERY LIMITED
For VRSK & Associate (Formerly Known As Pacheli Industrial Finance Limited)
Chartered Accountants
(CA. RAHUL JAIN) PIYUSH HARSH
partner (MANAGING DIRECTOR) (DIRECTOR)
, l,- m nooi O/i DIN-10727781 DIN: 09021074
Membership No. 099134 ADD: QNO-19C, BARWALA ROAD, NEAR ADD: HOUSE NO. 6295, GAU
FRN: 011199N sadar thana, new police line, hisar, guruduwara, nabi
HARYANA 125001 KARIM, PAHAR GANJ, CENTAL
DATE: 31/05/2025 DELHI -110055
DATE: 31/05/2025
Place : New Delhi
Dated : 31/05/2025 MIIKFSH SAH SARVAGYA GOEL
MUIVton OAM (COMPANY SECRETARY)
UDIN: ICF°) M.No. - ACS44644
PAN: EOBPS7870M ADD: WARD NO: 54, RAJIV GANDHI
ADD: HOUSE NO 22 BESMENT, COLONY. sujANGARH ,
RAJENDRAPARK, RAJENDER NAGAR, SUJANGARH (RURAL), PO
PO: RAJENDER NAGAR, SUJANGARH, CHURU, RAJASTHAN-
DIST:CENTRAL DELHI DELHI - 110060 331507
DATED: 31/05/2025 DATED : 31/05/2025
| 