2.14. Provisions

Provisions are recognized when the Company has 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.

2.15. Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow
to the Company, the Company retains neither continuing managerial involvement to the
degree usually associated with ownership nor effective control over the goods sold, and
the revenue can be reliably measured, regardless of when the payment is being made.
Revenue is measured at the fair value of the consideration received or receivable, taking
into account contractually defined terms of payment.

a) Sales including export sales and trading sales are recognized when goods are
dispatched from the factory and are recorded at net of shortages, claims settled, rate
differences, rebate allowed to customers.

b) Export Sales are booked at the rate on the date of transaction and the resultant gain or
loss on realization on transaction is accounted as Exchange rate difference and is dealt
with Statement of Profit and Loss.

2.16. Export Incentive

Export incentives under various schemes notified by government are accounted for in the
year of exports based on eligibility and when there is no uncertainty in receiving the same.

2.17. Borrowing Cost

Borrowing costs directly attributable to the acquisition, construction or production of an
asset that necessarily takes a substantial period of time to get ready for its intended use
or sale are capitalized as part of the cost of the respective assets. All other borrowing
costs are expensed in the period in which they occur. Borrowing costs consist of interest
and other costs that the company incurs in connection with the borrowing of funds.

2.18. Employee Benefits

(a) Short Term Employee Benefits

Short term employee benefits are recognized as an expense in the Profit & Loss Account
of the year in which the related service is rendered. However Bonus has been accounted
on cash Basis.

(b) Post-Employment Benefits

Post employment and other long term employee benefits are recognized as an expense in
the Profit & Loss Account in the year of payment. Refer note no 34.

2.19. Taxes

Tax expense comprises of current income tax and deferred tax.

Current income tax

Current income tax assets and liabilities are measured at the amount expected to be
recovered from or paid to the taxation authorities. The tax rates and tax laws used to

compute the amount are those that are enacted or substantively enacted at the reporting
date.

Deferred tax

Deferred tax is provided using the liability method on temporary differences between the
tax bases of assets and liabilities and their carrying amounts for financial reporting
purposes at the reporting date.

Deferred tax liabilities are recognized for all taxable temporary differences.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply
in the year when the asset is realized or the liability is settled, based on tax rates (and tax
laws) that have been enacted or substantively enacted at the reporting date.

2.20. 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. Earning considered in ascertaining the company’s earnings
per share in the net profit for the period.

2.21. Regrouped, Recast, Reclassified

Figures of the earlier year have been regrouped or reclassified to conform to Ind AS
presentation requirements.

(2) Borrowings from banks or financial institutions on the basis of security of current assets

The Company has been sanctioned working capital limits in excess of Rs. 5 crores, in aggregate, during
the year, from banks or financial institutions on the basis of security of current assets. The quarterly
returns filed with Bank are in agreement with books accounts.

(3) Wilful Defaulter

Where a company is a declared wilful defaulter by any bank or financial Institution or other lender,
following details shall be given.

34. The company has provided for gratuity benefits The same is in accordance with the Indian
Accounting Standard 19- "Employee Benefit” issued by the Institute of Chartered Accountants of India.

35. The balances of Loans and advances given, unsecured loan received, debtors and creditors are
subject to balance confirmation by the respective parties and necessary adjustment if any will be made
on its reconciliation.

36. The company is having investment of Rs. 35,90,220 being 211600 equity shares of Advance
Multitech Ltd Rs. 10 each . The shares of this company is listed at Mumbai stock Exchange ,but
presently these are not traded since trading is suspended by the exchange on account of non
compliance of some of the terms of exchange. Therefore, market value could not be determined .The
company is in process of resumption of listing and expect that shares would be traded in the exchange.
The fair value of investment is above than the cost of investment as per audited financial statement as
on 31/03/2025.The management expects that on revocation of suspension, the shares may trade
above its cost and on account of it; there is no permanent deterioration in the value of investment.

37. The GST liability is reconciled with GST portal and GST liability is taken as per books of accounts.
The interest on GST liability and late return filing fees will be accounted as a when paid, however it
may not have any material amount.

43. Segment reporting

The Company’s business activity falls within a single primary business segment of Petroleum
Product. Accordingly the Company is a single segment company In accordance with Ind AS
108 "Operating Segment”.

44. Disclosure pursuant to Related Party

As per the Indian Accounting Standard on "Related Party Disclosures” (Ind AS 24), the related parties
of the Company are as follows:

As per our attached report of even date

For Suresh R Shah & Associates For and on behalf of the board of directors of
Chartered Accountant Advance Petrochemicals Limited

Mrugen K Shah Pulkit Goenka Arvind V Goenka

(Partner) (Managing director) (Director)

FRN: 110691W DIN 00177230 DIN 00093200

Membership No.117412
UDIN : 25117412BMJJKA6668

Natrajan Arli Gurpreetkaur B. Munjani

(Chief Financial officer) (Company Secretary)

Place: Ahmedabad Place: Ahmedabad

Date: 22-05-2025 Date: 22-05-2025