Page 197 - Kolte Patil AR 2019-20

Notes forming part of the Consolidated Financial Statements

Valuation of investment property –Investment property is stated at cost. However, as per Ind AS 40 there is a requirement to
disclose fair value as at the balance sheet date. The Group engaged independent valuation specialists to determine the fair value of its
investment property as at reporting date.The determination of the fair value of investment properties requires the use of estimates such
as future cash flows from the assets (such as lettings, future revenue streams, capital values of fixtures and fittings, any environmental
matters and the overall repair and condition of the property) and discount rates applicable to those assets. In addition, development
risks (such as construction and letting risk) are also taken into consideration when determining the fair value of the properties under
construction. These estimates are based on local market conditions existing at the balance sheet date

2.A NEW ACCOUNTING STANDARDS, AMENDMENTS TO EXISTING STANDARDS, ANNUAL IMPROVEMENTS
AND INTERPRETATIONS EFFECTIVE SUBSEQUENT TO MARCH 31, 2020:
Ministry of Corporate Affairs (“MCA”) notifies new standard or amendments to the existing standards. There is no such notification
which would have been applicable from April 1, 2020

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