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NOTES TO THE UNCONSOLIDATED

FINANCIAL STATEMENTS

For the year ended June 30, 2020

associated with the variable consideration is subsequently resolved. Amounts received that are subject to
the constraining principle are initially recognized as deferred revenue in the form of a separate refund liability.

a) Sale of goods
Revenue from the sale of goods is recognized at the point in time when the customer obtains control
of the goods, which is generally at the time of delivery. Otherwise, control is transferred over time and
revenue is recognized over time by reference to the progress towards complete satisfaction of the
relevant performance obligation if one of the following criteria is met:

– the customer simultaneously receives and consumes the benefits provided by the Company’s
performance as the Company performs;
– the Company’s performance creates and enhances an asset that the customer controls as the
Company performs; or
– the Company’s performance does not create an asset with an alternative use to the Company and
the Company has an enforceable right to payment for performance completed to date.

b) Rendering of services
Revenue from a contract to provide services is recognized over time as the services are rendered.

c) Interest income
Interest income is recognized as interest accrues using the effective interest method. This is a method
of calculating the amortized cost of a financial asset and allocating the interest income over the relevant
period using the effective interest rate, which is the rate that exactly discounts estimated future cash
receipts through the expected life of the financial asset to the net carrying amount of the financial asset.

d) Other revenue
Other revenue is recognized when it is received or when the right to receive payment is established.

6.18 Borrowing costs
Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which
are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are
added to the cost of those assets, until such time when the assets are substantially ready for their intended
use or sale. All other borrowing costs are charged to statement of profit or loss in the period of as and when
incurred.

6.19 Taxation
Current
The charge for current taxation is based on taxable income at current rates of taxation after taking into
account tax credits, rebates and exemptions available, if any. However, for income covered under Final
Taxation Regime (FTR), taxation is based on the applicable tax rates under such Regime after taking into
account tax credits, rebates and exemptions, if any. The charge for current tax also includes adjustments,
where considered necessary, to provision for tax made in previous years arising from assessments framed
during the year for such years.

Deferred
Deferred tax is accounted for using the statement of financial position method in respect of temporary
differences arising from differences between the carrying amount of assets and liabilities in the
unconsolidated financial statements and the corresponding tax basis used in the computation of taxable
income. Deferred tax is calculated by using the tax rates enacted at the reporting date. In this regard, the
effect on deferred taxation of the portion of income subjected to Final Tax Regime is adjusted in accordance

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