2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS

IND Description Applicability Brief Exis Description Impact

AS
No ting
GAAP

1 Presentation Applicable Thestandard AS1 Disclosuresof RevisedDraft

ofFinancial prescribesthebasis Accounting ScheduleIIIformat
Statements forpreparationand Principles isavailablewhich
presentationofFS andPolicies shallbefollowedfor
toensure preparationofInd
comparability.A ASfinancials.The
completesetofFS transitiondateis
includeBalance 01.04.2016.FSfor
Sheet,Income FY1516willbe
Statement,SOCE, preparedasper
CFS&Notesto existingAS.For
accounts.Assets quarterendedJune
andLiabilitiesare 16theFSshallbe
classifiedascurrent preparedasperInd
andnoncurrent. ASand
Asperthe reconciliationfrom
standard,some INDAStoIGAAP
itemsarerouted required.For
throughOCIe.g. comparativeperiod
changesin ofquarterendedfor
revaluationsurplus. June15theFSshall
Goingconcern, bepreparedasper
accrualbasisof IndASand
accountingand reconciliationfrom
consistencyarethe IGAAPtoINDAS
fundamental required.Opening
accounting BalanceSheetason
assumptions. 01.04.2015asper
Unlesspermittedby IndAS.
IndASanentity
shallnotoffset
assetsandliabilities
orincomeand
expenses.Minimum
requirementsfor
structureand
contentofFSare
statedinthe
standard.Requires
explicitstatementin
FSofcompliance
withallInd
ASs.Inappropriate
accountingpolicies
arenotrectifiedby
disclosureinnotes.

2 Inventories Applicable Inventoriesare AS2 Inventories Noimpact

assets(a)heldfor
sale(b)inthe
processof
production&(c)
materialsand
supplies.Thecost
ofinventories
comprisesallcosts
ofproduction,cost
ofconversionand
othercostsincurred
inbringingthe
inventoriestotheir
presentlocation
andcondition.
Inventoriesare
measuredatcostor
NRVwhicheveris
less.FIFOand
weightedaverage
costformulaeare
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
costformulaeare
usedforinventory
valuation.

7 Statementof Applicable Bankoverdraftsare AS3 CashFlow 1)Toincludebank

CashFlows includedincash& Statements overdraftswhichare
cashequivalents repayableon
underINDAS7. demandasapartof
Hithertoitwaspart cashequivalents.2)
offinancing interestreceivedto
activities.As beclassifiedasfrom
extraordinaryitems investingactivity3)
arenotpermitted interestpaidtobe
underINDAS, classifiedas
thereisno financingactivity4)
classificationof indirectmethodof
extraordinaryitems cashflowstatement
underoperating, canbeusedasthe
investingor standardstatesthat
financingactivities. entitycanpresent
However,interest cashflowstatement
anddividends inamannermost
receivedare suitabletoits
requiredtobe business.
classifiedas
investingactivities
andpaymentofthe
sameunder
financingactivities.
INDASand
IGAAPfollowthe
sameprinciplein
thisaspect.

8 Accounting Applicable Theobjectiveofthis AS5 NetProfitor Estimatesusedin

Policies, standardisto Lossforthe IGAAPcanbe
Changesin prescribethe period,prior carriedinIndAS,
Accounting criteriaforselecting perioditems unlessthereare
Estimates andchanging andchanges errors,isacarveout
andErrors accountingpolicies inaccounting availableforsmooth
anddisclosingthe policies transition.
effectsofestimates
anderrors.The
entityshallapply
therelevant
accounting
standardwhen
determiningthe
accountingpolicy.
Policiesshouldbe
consistentfrom
periodtoperiodto
allowcomparison.
APmaybechanged
onlywhenitis
requiredby
standardorwhen
thechangewould
resultbetter
information.The
effectofchange
mustbeclearly
disclosed.
Applicationof
retrospectiveAP
requires
adjustmentofthe
priorperiod
openingbalanceof
eachcomponentof
equity.Adjustment
ofcarryingamount
ofasset,liabilityor
theconsumptionof
anassetischange
inaccounting
estimate.The
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
estimate.The
distinctionis
requiredforchange
inaccounting
estimateand
changein
accounting
policy.Rectification
oferrorsinthe
immediate
comparativeperiod,
restatethe
comparativeperiod.
Iftheerrorsare
correctedforthe
periodbeforethe
immediate
comparativeperiod,
correcttheopening
balances.The
distinctionis
requiredforchange
inaccounting
estimateand
changein
accountingpolicy.

10 Eventsafter Applicable Theobjectiveofthe AS4 Contingencies 1)MaterialNon

the standardisto andEvents adjustingeventsare
Reporting prescribethe occurring requiredtobe
Period adjustmentsand afterthe disclosedinthe
disclosuresfor BalanceSheet financialstatements
eventsafterthe Date 2)Thedateof
balancesheetdate approvalbyboard
tilltheapprovalof isconsideredas
financialstatement. approvaldate
Eventsoccurring regardlessof
afterthebalance subsequent
sheetdatemaybe approvalsunderlaw
Adjustingevents(
whenthecondition
existedatthe
balancesheetdate)
orNonadjusting
events(whenthe
eventaroseafter
balancesheetdate).
Theformerneedsto
beadjustedinFS
butthelatterneed
notbe.Thedateof
approvalistheend
ofpostbalance
sheetperiod.The
dateofapprovalby
boardisconsidered
asapprovaldate
regardlessof
subsequent
approvalsunder
law.

12 IncomeTaxes Applicable Differencein AS22 Taxeson Theassessmentof

accountingprofit Income DTL/DTAshallbe
andtaxableincome madeforevery
mayarisebecause reportingperiod
oftemporary usingthebalance
differenceinasset sheetapproach.The
orliability.The probabilityof
deferredtaxliability reversalof
shouldbe deductible
recognisedforall temporary
taxabletemporary differencesand
differences.Deferred availabilityof
taxassetshouldbe taxableprofitshall
recognisedforall beascertained.
deductible
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
deductible
temporary
differences.DTA/
DTLshouldbe
measuredusingtax
ratesthatare
expectedtobe
appliedwhenthe
liabilityissettledor
assetrealised.An
entitymayrecord
DTAwhenitis
probablethat
futuretaxable
profitwillbe
available.Inour
case,thehuge
unusedtaxlosses
areavailable.So
thereisno
possibilitythatthe
temporarytiming
differenceswillbe
reversedinthe
foreseeablefuture.
Hence,DTL/DTA
neednotbe
recordedinthe
bookshowever,the
sameshouldbe
disclosedinnotesto
accounts.

16 Property, Applicable Thestandard AS10 Accounting 1)Toidentifythe

Plantand prescribes and forFixed assetsinFARwhere
Equipment componentization AS6 Assetsand component
incaseofdifferent Depreciation accountingwouldbe
usefullivesof Accounting applied.e.g.paint
PPE.Majorrepairs shopplant&
andoverhauling machinery.2)To
expenditureshallbe studytheusefullife
capitalised.Ifthe ofcomponentof
creditperiodfor whichusefullifeis
purchaseofPPEis differentfrommain
deferredbeyond assetthen,itistobe
normalcreditterms derecognisedfrom
,differencebetween alreadycapitalised
thecashprice machineryandthen
equivalentandtotal toshow
paymentischarged capitalisation
asinterestexpenses separately.3)Touse
toIncome thecarryingvalues
Statementunless ofallassetsason
suchpaymentof thedateof
interestis transisitiontoInd
capitalisedunder ASs,inaccordance
IndAS23 withprevious
BorrowingCosts. GAAPasan
AS11Theeffectsof acceptablestarting
changesinforeign pointunderInsAS.
ExchangeRates 4)Thefactand
allowscompaniesto policyregardingthis
adjustcurrency optiontodisclose
exchange 5)Aadoptinga
differencesarising usefullife/residual
onlongterm valuedifferentfrom
foreigncurrency thatspecifiedin
monetoryitemsto ScheduleII,the
thecarryingvalue financialstatement
ofPPE.ScheduleII willhavetodisclose
totheAct, suchdifferenceand
prescribesuseful justficationforthe
livesforvarious samewillhaveto
itemsofPPE.Italso providewith
fixestheresidual supportoftechnical
valueforitemsof advice.6)Tocheck
PPEmaximumat whethermajor
5%oftheoriginal repairsand
cost.Ifacompany
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
cost.Ifacompany overhaulexpensesto
adoptsausefullife/ becapitalisedas
residualvalue replacementcosts7)
differentfromthat Todecideabout
specifiedin inclusionof
scheduleII,the dismantlingand
financialstatements removalcostofPPE
shoulddisclose initsinitialcosts.8)
suchdifferences todecideabout
andprovide estimatesofuseful
justificationinthis lives,depreciation
behalfduly methodandresidual
supportedby valuestobe
technicaladvice.Ind reviewedatleastat
AS16requiresthat theendofeach
theinitialestimates financialyear.9)
ofthecostsof Anychangein
dismantlingand depreciationmethod
removingtheitems istreatedaschange
andrestoringthe inestimateandwill
siteonwhichitis havetoapplied
locatedshouldbe prospectively.
includedinthecost
oftherespective
itemsofproperty
plantand
equipment.

17 Leases Applicable Aleaseisan AS19 Leases AsperIGAAPthe

agreementwhereby leaseholdlandis
thelessorprovides capitalisedinthe
tothelesseethe books.AsperInd
righttouseanasset AS17,thelandlease
foranagreed isclassifiedas
periodoftimein operatinglease.
returnforpayment Hencetheleasehold
orforseriesof landshallbe
payments.Incase derecognisedat
offinancelease carryingamount.
substantiallyallthe Thedisclosureof
risksandrewards advancelease
ofownershipare paymentsshallbe
transferred.The madeinthenotes.
otherleaseis Theotherleases
operatinglease. shallbeidentifiedin
Whenthelandhas cancellableandnon
indefiniteeconomic cancellableandthe
life,theland leasepaymentstobe
elementisnormally madeinnext1year,
classifiedasan 1to5yearsand
operatinglease laterthan5years
unlessthetitleis shallbedisclosedin
expectedtopassto thenotes.
leassee.Building
elementisclassified
asfinanceor
operatinglease
dependingonthe
agreement.

19 Employee Applicable IndAS19 AS15 Employee 1)Employeebenefits

Benefits EmployeeBenefit (R Benefits arisingfrom
requirestheimpact 2005) constructive
ofremeasurement obligationsaretobe
innetdefined covered.2)
benefitliability( Employeeincludes
asset)tobe directorsalso3)
recognisedinother Actuarialgains&
comprehensive lossesdueto
income(OCI changesinactuarial
).Remeasurementof assumptionsshall
netdefinedbenefit berecognisedin
liability(asset) othercomprehensive
comprisesactuarial incomeandshould
gainsorlosses, notberecognisedin
returnonplan profit&loss.
assets(excluding
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
assets(excluding
interestonnet/
assetliability)and
anychangeinthe
assetceiling.Under
IndAS19,
unvestedservice
costsarerecognized
immediatelyasthey
occur,ratherthan
beingspreadover
thevestingperiod.
Employeebenefits
arisingfrom
constructive
obligationsarealso
covered.Theterm
employeeincludes
wholetimedirectors.

20 Accounting Applicable Government AS12 Government Governmentgrants

for assistanceisdirect Grants arethetransferof
Government actiontoprovide resourcesto
Grantsand economicbenefitsto qualifyingentity.An
Disclosureof qualifyingentity.It entityshallapply
Government doesnotinclude thedefinitionof
Assistance indirect governmentgrantto
help.Government concludewhether
grantsarethe thegrantis
transferof governmentgrant
resourcesto andthenthe
qualifying prescribedAPshall
entity.Theentity befollowed.
qualifyforpastor
futurecompliance
withgrant
conditions

21 TheEffects Applicable Theobjectiveofthis AS11 TheEffectsof Nochange.The

ofChanges standardisto Changesin existingprocedure
inForeign prescribethe Foreign ofrecognising
Exchange accountingfor Exchange foreignexchange
Rates transactionsin Rates differencesthrough
foreigncurrencies profitorlossshall
andforeign continue.
operations.The
initialtransaction
shallberecordedat
theattheexchange
rateonthedayof
thetransaction.The
rateshallbeusedis
thespotrateonthe
dayofthe
transaction.
Howeveranaverage
ratemaybeused
foraweekora
month.Monetary
items(moneyheld,
receivablesand
payables)shallbe
reportedatthe
closingrateonthe
reportingperiod.
Onmonetaryitems
(PPE)shallbe
reportedatthe
exchangerateofthe
transaction.The
exchange
differencesshallbe
recognisedin
periodsincome
statementexceptfor
integraloperations.
Thedisclosureshall
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
Thedisclosureshall
bemadefortotal
netexchange
differencesincluded
inprofitforthe
periodandnet
exchange
differences
classifiedasequity.

23 Borrowing Applicable Itemsincludedin AS16 Borrowing Nowtheborrowing

Costs borrowingcostsare Costs coststandardis
interestonbank applicableto
overdraft& intangibleassets
borrowings(short also.Theborrowing
termorlongterm), costshallbe
amortizationof capitalisedonthe
fundraisingcosts, basisofeffective
financechargesasa interestrate
partoffinancelease method.Whenthe
&exchange borrowingismade
differencesformFC outofgeneralpool
relatingtointerest offunds,the
costs(noguidance borrowingcostshall
hasyetprovided becapitalisedusing
).Aqualifyingasset thecapitalization
isonethattakes rate.Thedeffered
substantialperiod fundraising
oftimetoprepare expensesare
foritsintendeduse deductedfrom
orsale.Qualifying borrowings.
assetincludes Exchange
iintangible differencesarising
assets.Borrowing fromtheFC
costsaredirectly borrowingstothe
attributabletothe extenttheseare
acquisition, regardedasan
constructionor adjustmentto
productionofa interestcosts.(No
qualifyingassetare guidancehasyet
capitalisedand beenprovidedon
formpartofCOA. thecomputation.)
Otherborrowing
costsarerecognized
as
expense.Investment
incomegenerated
frominvestment
outofloanfunds
specificallytaken
forqualifyingasset
shallbededucted
fromborrowing
cost.Whenthe
borrowingismade
outofgeneralpool
offunds,the
borrowingcost
shallbecapitalised
usingthe
capitalization
rate.Whenthe
activedevelopment
ofassetis
suspendedfor
extendedperiods,
thecapitalisationof
borrowingcost
shouldalsobe
suspended.When
substantiallyall
preparatoryactions
arecompletethe
capitalizationof
borrowingcosts
shouldcease.The
disclosureshallbe
madeinrespectof
accounting
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
accounting
treatmentusedfor
borrowingcost,
amountof
borrowingcosts
capitalizedduring
theyearand
capitalizationrate
used.

24 RelatedParty Applicable Identifytherelated AS18 RelatedParty Therelationship

Disclosures partiesasperInd Disclosures withtheparties
AS24andrelated shallbedisclosed
partytransactions. irrespectiveofthe
Identifythe transactionduring
outstanding theyear.Aparty
balanceswiththe establishedforthe
relatedparties. postemployment
Identifywhento benefitplanisalso
disclosetherelated consideredasa
andpartyandwhat relatedparty.
todisclose.Asper
thedefinitionof
relatedparty,joint
venturerisarelated
party.Memberofof
KMPofthe
enterpriseaswellas
memberofKMPof
parent,bothare
consideredas
relatedparties.
Hencethereisneed
toevaluatewhether
moredisclosurein
RPDrequiredfor
disclosingthe
transactionswith
KMPs.
Transactionswith
directorsofthe
entityandits
parentare
consideredas
relatedparty
transactions.A
personwhohasthe
authorityand
responsibilityfor
planning,directing
andcontrollingthe
activitiesofthe
entityisarelated
party.The
relationshipwith
thepartiesshallbe
disclosed
irrespectiveofthe
transactionduring
theyear.Aparty
establishedforthe
postemployment
benefitplanisalso
consideredasa
relatedparty.

32 Financial Applicable Theobjectiveofthe AS31 Financial Financial

Instruments: standardisto Instruments: instrumentsshallbe
Presentation establishprinciples Presentation bifurcatedinto
forpresentingthe derivativeandnon
financial derivativefinancial
instrumentsas instruments.
liabilitiesorequity Disclosureshallbe
andforoffsetting madeinrespectof
financialassetsand cashandcash
financialliaibilities. equivalent,
Afinancial
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
Afinancial Availableforsale
instrumentisany financialassets,
contractthatgives Loansand
risetofinancial receivablesand
assetofoneentity Tradeandother
andafinancial payables.Disclosure
liabilityorequity shallbemadein
instrumentof respectofforward
anotherentity.The contractsenteredfor
standardrequires hedging.
anissuertoclassify
theinstrument,or
itscomponentparts
onrecognitionasa
financialliability,a
financialassetoran
equityinstrument
inaccordancewith
thesubstanceofthe
contractual
arrangement.The
presentationshall
bemadeonthe
basisofsubstance
overformfor
compoundfinancial
instruments.
Interest,dividends,
lossesandgains
relatedtoFAand
FLmaybe
recognisedas
incomeorexpense
inincomestatement
orrevenuereserves
dependingonthe
classification.An
entityshalloffset
FAandFLonly
whenithaslegally
enforceablerightto
setoffandintends
eithertosettleona
netbasisorto
realisetheassetand
settletheliability
simultaneously.

33 Earningsper Applicable Anentityshall AS20 Earningsper Nochange.The

Share discloseEPSinits Share existingprocedure
SFSaswellasCFS. EPS/DEPSwould
BasicandDiluted continue.
EPSshallbe
calculatedandshall
bepresentedonthe
faceofincome
statement.EPSbe
presentedevenifis
negative.Potential
equityshares
shouldbe
consideredonlyif
theirconversion
woulddecreasethe
basicEPS.

34 Interim Applicable Anentitythat AS25 Interim Minimumcontents

Financial presentsitsfirst Financial ofinterimfinancial
Reporting IndASFinancial Reporting reportsare:a)
statementsisafirst condensedbalance
timeadopterand sheet,b)condensed
shouldapplyInd incomestatement,c)
AS101inthe condensedcashflow
preparationof statement,d)
thosefinancial condensed
statements.It statementshowing
shouldalsoapply
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
shouldalsoapply changesinequity,
IndAS101ineach ande)selected
interimreport explanatorynotes
preparedunderInd Thefirstinterim
AS34Interim financialsofan
FinancialReporting entityshallensureto
forpartofaperiod include:a
coveredbyitsfirst reconciliationofits
IndASfinancial equityunder
statements.Fora previousGAAPat
company31March theendofthat
yearend,thiswill comparableinterim
meanthatifIndAS periodtoitsequity
34isadoptedfor underIndASason
quarterlyreporting, thatdate.A
firstfinancial reconciliationwith
information itstotal
preparedunderInd comprehensive
ASwillbeat30 incomeunderthe
June2016andthe previousGAAPfor
companywillneed thatperiod.The
toapplyIndAS startingpointfor
101inthe thatreconciliation
preparationof shallbetotal
quarterlyreport. comprehensive
Moreover, incomeunderthe
comparable previousGAAPfor
quarter,i.e.30June thatperiodor,ifan
2015numbersshall entitydidnotreport
alsobepresented suchatotal,profit
IndAS.Iffirsttime orlossunderthe
adopterpresentsan previousGAAP.
interimfinancial
reportunderInd
AS34,thenthe
reportshould
include:1)A
reconciliationofits
equityunder
previousGAAPat
theendofthat
comparableinterim
periodtoitsequity
underIndASat
thatdate.A
reconciliationwith
itstotal
comprehensive
incomeunderthe
previousGAAPfor
thatperiod.The
startingpointfor
thatreconciliation
shallbetotal
comprehensive
incomeunderthe
previousGAAPfor
thatperiodor,ifan
entitydidnot
reportsuchatotal,
profitorlossunder
thepreviousGAAP.

36 Impairment Applicable IndAS36requires AS28 Impairment Nochange

ofAssets thatanentity ofAssets
shouldestimatethe
followingassetsfor
impairment.This
impairmenttest
maybeperformed
atanytimeduring
anannualperiod,
provideditis
performedatthe
sametimeevery
year.1)An
intangibleasset
withanindefinite
usefullife2)an
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
usefullife2)an
intangibleassetthat
isnotyetavailable
foruse3)goodwill
acquiredina
business
combination.Ind
AS36doesnot
permitan
impairmentloss
recognizedfor
goodwilltobe
reversedin
subsequentperiod.

37 Provisions, Applicable Theobjectiveofthe AS29 Provisions, Estimatesusedin

Contingent standardisto Contingent IGAAPcanbe
Liabilities ensuretheproper Liabilities carriedinIndAS,
and recognitioncriteria and unlessthereare
Contingent andthe Contingent errorsisacarveout
Assets measurementbases Assets availableforsmooth
areappliedto transition.Ifitis
provisions, certainthatthe
contingentliabilities reimbursementswill
andcontingent bereceivedagainst
assets.Provisions theprovision,a
aredistinguished separateassetshall
fromliabilitiesin berecognisedforthe
respectof reimbursements.The
uncertaintyof provisionshallbe
timingoramount. recognisedinfull.
Contingentliability Thiswillbe
isapossible applicableincaseof
obligation Provisionfor
dependingonthe InterestonExcise
occurrenceornon dutyonTOP.A
occurrenceof provisionshallbe
uncertainfuture usedonlyfor
eventsorapresent expendituresfor
obligationbutnot whichtheprovision
recordedasthereis wasoriginally
noprobabilityof recognized.The
paymentor movementforeach
obligationcannot classofprovision
bemeasured.A shallbedisclosed.
provisionshallbe
recordedinthe
booksonthebasis
ofestimationbut
thecontingent
liabilityshallnotbe
recordedbutneeds
disclosure.A
provisionshallbe
discountedusinga
pretaxdiscount
ratewherethetime
valueofmoneyis
material.Provision
shouldnotbe
recordedforfuture
operatinglosses.
Theexpenditure
requiredtosettlea
provisionis
expectedtobe
reimbursedby
anotherparty,the
reimbursement
shallberecognised
when,andonly
when,itisvirtually
certainthat
reimbursementwill
bereceivedifthe
entitysettlesthe
obligation.The
reimbursement
shallbetreatedasa
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
shallbetreatedasa
separate
asset.Provisions
shallbereviewedat
theendofeach
reportingperiod
andadjustedto
reflectthecurrent
bestestimate.A
provisionshallbe
usedonlyfor
expendituresfor
whichtheprovision
wasoriginally
recognized.The
movementforeach
classofprovision
shallbedisclosed.

38 Intangible Applicable IndAS38requires AS26 Intangible Noimpact.

Assets anintangibleasset Assets
tobeamortised
overitsusefullife.
Inaccordancewith
IndAS38,several
methodsmaybe
usedfor
amortizationofan
intangibleasset
withfiniteuseful
life.UnderIndAS
38Intangible
Assets,an
intangibleassetcan
haveindefinite
usefullives.Such
assetsarerequired
tobetestedfor
impairmentatleast
onanannualbasis
andarenot
amortized.IndAS
38prohibitstheuse
ofrevenuebased
amortization
method.

39 Financial Applicable Thisstandarddeals AS30 Financial Theloansshallbe

Instruments: withaccountingfor Instruments: carriedatamortized
Recognition financialassetsand Recognition costusingeffective
and financialliabilities and rateofinterest
Measurement withreferenceto Measurement method.The
recognition, effectiverateof
classificationand interestmethod
treatmentforgain/ shouldbefollowed
loss.Afinancial fromtheopening
instrumentisany balancesheet.The
contractthatgives forwardcontracts
risetoafinancial arethehedging
assetofone instruments.These
companyand forwardcontracts
financialliabilityor shallbevalued
equityinstrument markedtomarket.
ofanother
company.FAorFL
shallberecognised
whentheentity
becomestheparty
tothecontract.
Hencederivatives
shallberecordedin
thebooksthough
thereismarginalor
noinitial
investment.The
classification
determines
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
determines
measurementof
itematamortised
costoratfairvalue
andwhetherthe
gain/lossshouldbe
recognisedeither
profitorlossor
reserves.FAare
classifiedinfour
categoriesi.e.
FVTPL.HTM,
Loansand
receivableandAFS.
FLareclassifiedin
twocategories
FVTPL&
amortizedcost.
Derivativesshallbe
measuredat
FVTPL.Incaseof
effectivehedge,FV
canberecognisedin
reserves.Hedge
accountingisarisk
management
techniquedesigned
tooffsetchangesin
fairvalueorcash
flow.Therearetwo
typesofhedgesi.e.
fairvaluehedge
andcashflow
hedge.The
objectiveofhedge
accountingisthat
gainsandlosseson
thehedging
instrumentand
hedgeitemare
recognisedinthe
sameperiod.Hedge
accountingis
optional.Risk
management
policiesand
hedgingactivities,
termsconditions
andaccounting
policies,interest
raterisk,creditrisk
shallbedisclosed.

101 Firsttime Applicable Anentityshalluse NA NA 1)OpeningIndAs

Adoptionof thesame balancesheetshall:
Indian accountingpolicies a)recogniseall
Accounting initsopeningInd assetsandliabilities
Standards ASbalancesheet whoserecognitionis
andthroughoutall requiredbyInd
periodspresented ASs,b)derecognise
initsIndAS theassetorliability
financials ifnotpermittedby
statements.Those IndAS:C)
accountingpolicies reclassifyitemsthat
shallcomplywith itrecognisedin
eachIndAS accordancewith
effectiveattheend previousGAAPas
ofitsfirstIndAS onetypeofasset,
reportingperiod, liabilityor
exceptasspecified componentof
inIndAS101.It equity,butarea
shallinopeningInd differenttypeof
ASBalanceSheet: assets,liabilityor
1)recogniseall componentofequity
assetsandliabilities inaccordancewith
whoserecognitionis IndASs.d)apply
requiredbyInd IndASsin
ASs,2)not measuringall
recogniseitemsas
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
recogniseitemsas recognisedassets
assetsorliabilitiesif andliabilities.2)
IndASdonot Accountingpolicies
permitsuch tochangeasper
recognition,3) rquirementsofInd
reclassifyitemsthat AS3)adoptionof
itrecognisedin newpoliciesifany4)
accordancewith Anentityshallhave
previousGAAPas toexplainhowthe
onetypeofassets, transitionfrom
liabilityor previousGAAPto
componentof IndASaffectedits
equity,buta reportedBalance
differenttypeof Sheet,financial
asset,liabilityor performanceand
componentof cashflows.
equityin
accordancewith
IndASsand4)
applyIndASsin
measuringall
recognisedassets
andliabilities.The
accountingpolicies
inopeningIndAS
BalanceSheetmay
differfromthoseit
usedforthesame
dateusingprevious
GAAP.The
resulting
adjustmentsarise
fromeventsand
transactionsbefore
thedateof
transitiontoInd
ASsshallbe
recogniseddirectly
inretained
earnings.IndAS
101providesoption
tousecarrying
valuesofallsuch
assetsasonthe
dateoftransitionto
IndASs,in
accordancewith
previousGAAPas
anacceptable
startingpoint
underIndAS.Ifan
entityusesthis
exemption,thefact
andtheaccounting
policyshallbe
disclosedbythe
entityuntilsuch
timethatthose
itemsofproperty,
plantand
equipment,
investment
propertiesor
intangibleassets,
asthecasemaybe,
aresignificantly
depreciated,
impairedor
derecognisedfrom
theentitysBalance
Sheet.

107 Financial Applicable Theobjectiveofthe NA NA Financial

Instruments: standardisto instrumentsshallbe
Disclosures providedisclosure bifurcatedinto
inFSthatenable derivativeandnon
userstoevaluate derivativefinancial
thesignificanceof instruments.
financial
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
financial Disclosureshallbe
instrumentsforthe madeinrespectof
entitysfinancial cashandcash
positionand equivalent,
performanceand Availableforsale
natureandextent financialassets,
ofrisksarising Loansand
fromfinancial receivablesand
instrumentsto Tradeandother
whichtheentityis payables.Disclosure
exposedduringthe shallbemadein
periodandat respectofforward
reportingdateand contractsenteredfor
howtheentity hedging.
managesthose
risks.The
disclosuresshallbe
madeonthebasis
ofcategoriesofFA
orFL,collateral,
compoundfinancial
instruments,
defaultsand
breaches,hedge
accounting,fair
valueofthe
instruments,credit
risk,liquidityrisk
andmarketrisk.

108 Operating Applicable Definitionof AS17 Segment Operatingsegments

Segments operatingsegment: Reporting areidentifiedbased
Itisacomponentof onfinancial
anundertaking information
thatengagesin regularlyreviewed
businessactivities byCEO.Segment
fromwhichitmay profit/lossis
earnrevenuesand reportedbasedon
incurexpenses, samemeasurement
whoseoperating basisasusedby
resultsareregularly CEO.Reconciliation
reviewedby ofsegment
CODM.INDAS performance
adopts measureswith
management corresponding
reportingapproach amountsreportedin
toidentify financialstatements
operatingsegments. isrequired.
INDAS108does
notimposethe
requirementto
reportsegment
informationona
productor
geographicalbasis.
Thisstandard
requiresoperating
segmentstobe
identifiedonthe
basisofinternal
reportson
componentsofthe
entitythatare
regularlyreviewed
bytheChief
OperatingDecision
Maker(CODM),in
ordertoallocatethe
resourcesandalso
toassessits
performance.
UnlikeAS17,IND
AS108doesnot
definesegment
revenue,segment
profitandloss,
segmentassetsand
segmentliabilities.
Asaresultdiversity
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
Asaresultdiversity
ofreporting
practiceswill
increase.On
adoptionofIND
AS,companywill
havetocompile
informationof
revenuegenerated
byeachcustomerto
furnishdisclosures
requiredbyIND
AS108.Underthis,
disclosuresare
requiredwhenan
entityreceivesmore
than10%ofits
revenuefroma
singlecustomer.In
suchinstance,an
entitymustdisclose
thisfact,thetotal
amountofrevenue
earnedfromeach
suchcustomerand
thenameofthe
operatingsegment
thatreportsthe
revenue.CODM
couldbeCEO,
COOorgroupof
executivessuchas
boardofdirectors
oramanagement
committee.Ifthe
policiesfollowedfor
computing
informationfor
MISdoesnot
matchwith
financial
statements,an
entitywillneedto
furnish
reconciliation.
Henceentitiesneed
todeviseor
upgradesystemsto
prepare
reconciliation
betweenMISand
theaccounting
system.

115 Revenue Applicable Theentityshould AS9 Revenue Needtoreview

from perform5stepsin Recognition contractswiththe
contracts recognizing customers.
with revenue.(1)
customers Identifythe
customer(2)
Identifythe
performance
obligationsinthe
contract(3)
Determinethe
transactionprice(4)
Allocatethe
transactionpriceto
performance
obligationsinthe
contractandlast(5)
Recognizethe
revenuewhenthe
entitysatisfiesas
andwhen
obligationsare
satisfied.Under
this,revenueisto
bemeasuredatthe
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
bemeasuredatthe
amountof
considerationto
whichtheentity
expectstobe
entitled(rather
thancontractually
specified)in
exchangefor
transferring
promisedgoods&
services.UnlikeAS
9whereno
guidanceis
available,this
standard
introducedthe
conceptofvariable
consideration.
Underthenew
standard,if
transactionpriceis
subjectto
variability,anentity
wouldberequired
toestimate
transactionpriceby
usingeither(i)the
expectedvalue
(probability
weighted)approach
or(ii)themost
likelyamount
approach
dependingon
whichmethodthe
entityexpectsto
betterpredictthe
amountof
considerationto
whichtheentityis
entitled.Asfaras
servicesare
concerned,entity
shouldrecognize
revenueovertime
bymeasuring
progresstowards
completion.Under
thenewstandard,
entitiesrecognise
revenueas
controlofthe
goodsorservices
underlyinga
performance
obligationis
transferredtothe
customer.This
controlbased
modeldiffersfrom
therisksand
rewardsmodel
generallyapplied
undercurrent
revenuerecognition
guidance.Entities
mustfirst
determinewhether
controlis
transferredover
time.

Carveouts Applicable (1)IndAs21

permitsanoption
torecognise
exchange
differencesfrom
translationof
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2/23/2017 INDASSUMMARYGenerallyapplicablestandardsforSFS
translationof
certainlongterm
monetaryitems
fromFCto
functionalcurrency
directlyin
equity.The
accumulated
exchange
differencestobe
amortizedtoprofit
orlossin
appropriate
manner.(2)Fair
valueofliabilities
whichuponinitial
recognitionare
designatedat
FVTPL,any
changeinFV
consequentto
changeinentitys
owncreditrisks
shallbeignored.(3)
Entitymayuse
carryingvalueofall
itemsofPPEonthe
dateoftransitionin
accordancewith
previousGAAPas
anacceptable
startingpoint
underIndAS.(4)
Wherethereisa
breachofamaterial
provisionofthe
longtermloan
arrangementonor
beforetheendof
thereportingperiod
withtheeffectthat
theliabilitybecomes
payableondemand
,theentitydoesnot
classifytheliability
ascurrent,ifthe
lenderagreed,after
thereportingperiod
andbeforethe
approvaloftheFS,
nottodemand
paymentasa
consequenceof
breach.(5)IndAS
17requireslease
rentalsshouldbe
chargedto
statementofprofit
orlossin
accordancewiththe
leaseagreement.

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