11) Provisions and contingent liabilities

i. Provisions:

A Provision is recorded when the Company has a present legal or constructive obligation as a result of past events
and it is probable that an outflow of resources will be required to settle the obligation and the amount can be
reasonably estimated.

Provisions are evaluated at the present value of management's best estimate of the expenditure required to settle
the present obligation at the end of the reporting period. The discount rate used to determine the present value is a
pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability.
The increase in the provision due to the passage of time is recognised as interest expenses.

ii. Contingent liabilities:

As of the Balance sheet date the management believes that there are no Contingent liabilities that may fall upon the
company pursuant to the order of the Hon. NCLT dated 25^th Mar.2024

iii. Contingent Assets:

The Company does not recognise contingent assets. If it is virtually certain then they will be recognised as asset. These
are assessed continually to ensure that the developments are appropriately disclosed in the financial statements.

12) Earnings per share

Basic earnings per share are 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. The weighted average number of equity
shares outstanding during the period is adjusted for events including a bonus issue, bonus element in a rights issue to
existing shareholders, share split and reverse share split (consolidation of shares). 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 considered for the effects of all dilutive potential equity shares.

The basic earnings per share (EPS) is compute by dividing the net profit/ (loss) after tax for the year by the weighted
average number of equity shares outstanding during the year.

13) Cash and Cash equivalents and Cash Flow Statement

Cash and cash equivalents comprise cash on hand and demand deposits, together with other short-term, highly liquid
investments maturing within three months from the date of acquisition and which are readily convertible into cash and
which are subject to only an insignificant risk of changes in value.

Cash flows are reported using the indirect method, whereby profit/(loss) before tax is appropriately classified for the
effects of transactions of non-cash nature and any deferrals or accruals of past or future receipts or payments. In the
cash flow statement, cash and cash equivalents include cash in hand, cheques on hand, balances with banks in current
accounts and other short- term highly liquid investments with original maturities of thee months or less.

14) Segment reporting

The Company operates in one business segment namely “Textile.”Hence reporting under this standard is not applicable.

15) Borrowing costs

Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalised
during the period of time that is necessary to complete and prepare the asset for its intended use or sale. Other
borrowing costs are expensed in the period in which they are incurred under finance costs.

III. Significant management judgment in applying accounting policies and estimation of uncertainty

While preparing the financial statements, management has made a number of judgments, estimates and assumptions about
the recognition and measurement of assets, liabilities, income and expenses.

(i) Significant management judgment

The following are significant management judgments in applying the accounting policies of the Company that have
significant effect on the financial statements.

(ii) Recognition of deferred tax assets

The extent to which deferred tax assets can be recognized is based on an assessment of the probability that future
taxable income will be available against which the deductible temporary differences and tax loss carry-forwards can be
utilized. In addition, careful judgment is exercised in assessing the impact of any legal or economic limits or uncertainties
in various tax issues.

In consideration of prudence, no provision is made in respect of net deferred tax asset, arising due to timing differences
after set off of deferred tax liability against deferred tax asset.

(iii) Estimation of uncertainty

Information about estimates and assumptions that have the most significant effect on recognition and measurement of
assets, liabilities, income and expenses is mentioned below Actual results may be different.

a. Useful lives of depreciable assets

Management reviews its estimate of the useful lives of depreciable assets at each reporting date, based on the
expected utility of the assets. Uncertainties in these estimates relate to technological obsolescence that may change
the utility of assets including Intangible Assets.

b. Inventories

Management has carefully estimated the net realizable values of inventories, taking into account the most reliable
evidence available at each reporting date. The future realization of these inventories may be affected by market-
driven changes.

c. Defined benefit obligation (DBO)

Management's estimate of the DBO is based on a number of critical underlying assumptions such as standard rates
of inflation, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may
significantly impact the DBO amount and the annual defined benefit expenses (as analysed in Note .10).

d. Current and non-current classification

All assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle
and other criteria set out in the Schedule III to the Companies Act, 2013. Based on the nature of products and time
between the acquisition of assets for processing and their realization in cash and cash equivalents, the Company has
ascertained its operating cycle as twelve months for the purpose of current or non-current classification of assets
and liabilities.

1 Current Ratio there has been substantial improved pursuant to the fact that current liabilities were written back during the
current year Under consideration.

2 Debt Equity Ratio there has been Substantial improved in debt Equity ratio pursuant to the fact that current Liabilities were
written back during the current year under consideration.

3 Return of Net worth the net Income to shareholders equity has substantially improved pursuant to the write back in
Liabilities being part of Exceptional Items and corresponding increase in Net Income.

4 Trade Receivable ratio have improved pursuant to the write off of certain receivables during the current year.

5 Trade Payable ratio have improved pursuant to the write back of certain laibilites during the current year

6 Net capital T/o. Ratio have substantial variation as the net working capital of the company underwent various charges
pursuant to the write off and write back. Carried out during the year

7 The Return of capital Employed have changed substantially pursuant to the various write back in the capital employed of
the company during the current year.

8 The Return on Investment have impaired due to prudent investment decision taken by the company during the current year.

Note 30

1 The Land on which the factory is situated is owned by the promoters of the company which was taken on lease in
the year 2000-01 and 2008-09. Lease end date 05-07-2030 and 09-10-2038 respectively.

2 The Outstanding balances as on 31-03-2024 in respect of sundry debtors, sundry creditors, Loans & Advances,
Deposits are subject to confirmation from respective parties and consequential reconciliation/adjustment arising
there from, if any. The Management, however, does not expect any material variation.

3 In the opinion of the Board of Directors , the current assets, loans and advances as well as unquoted investments
have realisable value in the ordinary course of business at least equal to the amounts at which they are stated.

4 Figures of the previous year are regrouped wherever necessary

5 Figures are rounded off to nearest lakh of rupees.

6 Consumption of Raw Material Packing & Spares

10 I he Company does not have any Benami property, where any proceeding has been initiated or pending against the
Group for holding any Benami property.

11 The Company does not have any transactions with struck off companies to the knowledge of the Management.

12 The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory

period.

13 The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

14 The Company has been declared as wilful defaulter by Union Bank of India (erstwhile Corporation Bank) .Punjab

National Bank, however debts of the said financial Institution shall/ have extinguished pursuant to the Liquidation
Proceedings Under IBC-2016

15 The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign
entities (intermediaries) with the understanding that the intermediary shall: a) Directly or indirectly lend or invest in
other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries)
or b) Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

16 The Company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party) with
the understanding (whether recorded in writing or otherwise) that the Group shall: a) Directly or indirectly lend or invest
in other persons or entities identified in any manner whatsoever by or on behalf of the funding party (ultimate
beneficiaries) or b) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

17 The Company has no transaction which is not recorded in the books of accounts that has 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, 1961).

18 The code of Social Security, 2020 (code) relating to employee benefits during employment and post-employment
received Presidential assent in September, 2020 and its effective date is yet to be notified. The Company will assess
and record the impact of the Code, once it is effective.

19 As the company is incurring continiuos Losses the formation of CSR Policy and its Rules,as per The Companies Act is
not applicable to the company

Signed in terms of our separate report

For Abhishek Corporation Limited

• For M/s A R N A & Associates

Chartered Accountant FRN :122293W

• Deepak Choudhari • Mandar Jadhav

Rahulprasad Agmhotri _CMD Director

Partner M.No.111576 DIN 03175105 DIN 07189931

UDIN:24111576BKFBCK2748

Date : 27/05/2024 • shrenik Choudhari • Nasima Kagadi

^Place . ^Ko|ha^pUr CFO Company Secretary