Provisions, Contingent liabilities and Contingent assets

Provisions are recognised when there is a present obligation as a result of a past event it is
probable that an outflow of resources embodying economic benefits will be required to settle the
obligation and there is a reliable estimate of the amount of the obligation can be made.
Provisions (excluding retirement benefits) are measured at the best estimate of the expenditure
required to settle the present obligation at the Balance sheet date and are not discounted to its
present value These are reviewed at each Balance Sheet date and adjusted to reflect the current
best estimates.

Contingent liabilities are disclosed when there is a possible obligation arising from past events,
the existence of which will be confirmed only by the occurrence/non-occurrenee of one/more
uncertain future events not wholly within the control of the company or a present obligation that
arises from past events where it is either not probable that an outflow of resources will be
required to settle or a reliable estimate of the amount cannot be made.

A contingent asset is neither recognised nor disclosed in the financial statements.

Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit before tax is adjusted for the
effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating
cash receipts or payments and item of income or expenses associated with investing or financing
cash flows. The cash flows are segregated into operating, investing and financing activities.

Taxation

Current Tax is determined as the amount of tax payable in respect of taxable income for the
period based on applicable tax rates and laws.

Deferred tax is recognised on timing differences, being the differences between the taxable
income and the accounting income that originate in one period and are capable of reversal in one
or more subsequent periods. Deferred tax is measured using the tax rates and the tax laws
enacted or substantially enacted as at the reporting date. Deferred tax liabilities are recognised
for all timing differences Deferred tax assets are recognised only if there is virtual certainty that
there will be sufficient future taxable income will be available against which these can be
realised. Deferred tax assets and liabilities are offset if such items relate to taxes on income
levied by the same governing tax laws and the Company has a legally enforceable right for such
set off. Deferred tax assets are reviewed at each Balance Sheet date for their readability.

Cash and Cash Equivalents

Cash and cash equivalents consist of cash on hand, cash at banks, fixed deposits and short-term
highly liquid investments with an original maturity of three months or less.

In the Cash Flow Statement, cash and cash equivalents includes cash in hand, demand deposits
with banks, other short term highly liquid investments with original maturities of three months or

less.

Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable
to equity shareholders by the weighted average number of equity shares outstanding during the
period. Earnings considered in ascertaining the Company's earnings per share is the net profit for
the period. The weighted average number of equity shares outstanding during the period and for
all periods presented is adjusted for events, such as bonus shares, other than the conversion of
potential equity shares, that have changed the number of equity shares outstanding, without a
corresponding change in resources. For the purpose of calculating diluted earnings per share, the
net profit or loss for the period attributable to equity shareholders and the weighted average
number of shares outstanding during the period are adjusted for the effects of all dilutive
potential equity shares.

NOTE 20

Other Notes

1. The Company is engaged in the business of providing consultancy and services,
development and reselling in the field of cloud, cloud management and cloud related
solution, information technology, content creation, web photogram metric. imaging and
display software development.

2. In the opinion of the Board of Directors of the Company, the realisable value of the
assets, except Fixed Assets, in the ordinary course of business is not less than that stated
in the Balance Sheet.

3. There was no impairment of Property. Plant and Equipment's on the basis of evaluation
on physical verification done by the management during the year.

4. The assets of the Company are free from encumbrances except as stated in the Financial
Statements.

5. Internal Control System has been designed and implemented to prevent and detect fraud
or error, proper custody, use of assets and preparation of financial information. No
fraud or suspected fraud on or by the Company has been noticed or reported during the
year involving management or employees who have significant roles in internal control
which could have a material effect on the financial information.

6. Account Balances. Trade Receivables, Advances. Deposits and other Current Assets
have been taken in the financial statements on the basis of books and records of the
Company, as reviewed by the Board about their realizability and obligations, in cases
where confirmation of account balances, to determine the carrying value required, have
not been received.

7. All liabilities and major contingent liabilities have been duly considered in the Financial
Statements.

8. The Company has no litigation or legal/disputed matters relating to claims or possible
claims, if any, or demand against which there could be any future impact on its financial
position.

9. The Company did not have to make any provision under the applicable laws or
accounting standards for material foreseeable losses on long term contracts including
derivative contracts.

10. There were no amounts which were required to be transferred to the Investor Education
and Protection Fund by the Company.

1 i. Deferred Tax Liability/Asset has been recognised in accordance with Accounting
Standard 22.

(in) Loans or Advances to Promoters, Directors, KMPs and the related parties

This clause is not applicable since the Company has not granted Loans or Advances in
the nature of loans to promoters, directors, KMPs and the related parties (as defined
under the Act) either severally or jointly with any other person.

(iv) Capital Work In Progress (CWIP)

The clauses on Capital Work in progress are not applicable since the Company has no
such item. The Company has no projects where activity has been suspended.

(v) Intangible Assets under development

The clauses on Intangible Assets under development are not applicable since the
Company has no such item. The Company has no projects where activity has been
suspended.

(vi) Details of Benami Property held

the clauses on Benami Property are not applicable since the Company has no such
property

(vii) Borrowings from banks or financial Institutions on the basis of security of
current assets

This clause is not applicable since the Company has no such borrowings.

(viii) Wilful Defaulter

This clause on being a wilful defaulter is not applicable since the Company does not
have any borrowing from banks or financial institutions or other lenders.

(ix) Relationship with Struck off Companies

The Company has no relationship and does not have any transaction with any
Company struck off under section 248 of the Act or section 560 of the Companies
Act 1956.

(x) Registration of charges or satisfaction with Registrar of Companies

There are no cases where charges or satisfaction are yet to be registered with Registrar
of Companies beyond the statutory period.

(xiii) Compliance with approved schemes of Arrangements

This clause is not applicable since there was no scheme of Arrangement requiring
approval by the Competent Authority' in terms of sections 230 to 237 of the Act.

(xiv) Utilization of borrowed funds and share premium

(A) The clauses on the above are not applicable since the Company has not

advanced or loaned or invested funds (either from borrowed funds or share

premium or any other sources or kind of funds) to any Intermediary' for lending
or investing or providing guarantee, security for any Beneficiary.

(B) The clauses on the above are not applicable since the Company has not

received any fund from any Funding Party for lending or investing or giving

guarantee, security to any Beneficiary.

(xv) Undisclosed Income

There are no transactions not recorded in the books of account that have been
surrendered or disclosed as income during the year in the tax assessments under the
Income Tax Act 1961 (such as search or survey or any other relevant provisions of the
income Tax Act).

(xvi) Corporate Social Responsibility'' (CSR)

Tliis clause is not applicable since the Company is not covered under section 135 of
the Act.

(xvii) Details of Crypto Currency or Virtual Currency

This clause is not applicable since the Company has not traded or invested in Crypto
currency or Virtual currency during the year.