AUTOMOBILE

Group - 12

SHUBHAM ARORA
21021241147
SWAPNIL BURDE
21021241162

SHAHID NAZIR SHAIKH

21021241136

ROUDRA SHREETAM JENA

21021241119 ROHIT SUNIL PATIL
21021241116
ACCOUNTING STANDARDS
A set of principles, standards, and procedures that define the
foundation of financial accounting policies and practices.
Here, we are focusing on the below stated Accounting Standards

• AS 10- Fixed Assets

• AS 26- Intangible Assets
• AS 38- Research and Development
HERO MOTOCORP
• Hero MotoCorp Limited, formerly Hero Honda, is an Indian multinational
motorcycle and scooter manufacturer headquartered in New Delhi, India.
• The company is the largest two-wheeler manufacturer in the world, and
also in India, where it has a market share of about 37.1% in the two-
wheeler industry.
Fixed Assets
• Property, plant and equipment (including furniture, fixtures, vehicles, etc.) held for use in the production or
supply of goods or services, or for administrative purposes, are stated in the balance sheet at cost less
accumulated depreciation and accumulated impairment losses, if any.
• Depreciation is recognised on the cost of assets (other than freehold land and properties under construction)
less the irresidual values over their useful lives, using the straight line method.

Hero Motocorp
Years Freehold Land Buildings Plant & Euipment Furniture Office Equipment Vehicles Data Euipment Total
2016-2017 79.85 1688.28 2409.82 23.37 19.38 28.67 61.36 4310.73
2017-2018 86.3 1839.93 2411.6 23.54 27.57 31.48 65.47 4485.89
2018-2019 86.3 1895.06 2345.69 24.19 28.66 32.8 64.83 4477.53
2019-2020 186.47 2458..06 2981.85 30.54 35.36 23.84 70.12 5786.24
2020-2021 164.72 2342.14 2649.63 26.08 28.7 18.54 63.59 5293.4
Intangible Assets
• Intangible assets are asset that is not physical in nature.
• Amortisation is recognised on a straight-line basis over their estimated useful lives.

Hero MotoCorp
Years Model fee/product design & development Computer Software Technical know Total
2016-2017 39.66 45.2 N/A 84.86
2017-2018 126.89 41.76 N/A 168.65
2018-2019 99.03 42.02 N/A 141.05
2019-2020 91.81 48.28 N/A 140.09
2020-2021 229.79 60.47 N/A 290.26
Research and Development
• Research and development means the activities that companies undertake to innovate and introduce new
products and services.
• It is often the 1st step in the development process.

Hero MotoCorp
Years Capital Expenditure Revenue Total
2016-2017 276.38 424.71 701.09
2017-2018 126.79 366.72 493.51
2018-2019 132.22 417.49 549.71
2019-2020 234.18 477.58 711.76
2020-2021 144.21 395.81 540.02
Graphical Representation
Research and Development

Fixed Assets

Intangible Assets
Eicher Motors
• Eicher Motors Limited is an Indian multinational automotive company that
manufactures motorcycles and commercial vehicles, headquartered in New Delhi.
• Eicher is the parent company of Royal Enfield, a manufacturer of middleweight
motorcycles.
Fixed Assets
• Property, plant and equipment (including furniture, fixtures, vehicles, etc.) held for use in the production or
supply of goods or services, or for administrative purposes, are stated in the balance sheet at cost less
accumulated depreciation and accumulated impairment losses. Freehold land is not depreciated.
• Depreciation is charged on a pro-rata basis at the straight line method over estimated economic useful lives
of its property, plant and equipment generally in accordance with that provided in the Schedule II

Eicher Motor
Years Freehold Land Buildings Plant & Euipment Furniture Office Equipment Vehicles Data Euipment Total
2016-2017 85.95 201.65 485.09 8.09 36.06 15.59 N/A 832.43
2017-2018 85.95 439.18 830.13 11.57 60.46 27.47 N/A 1454.76
2018-2019 85.95 573.74 911.05 15.24 66.83 35.51 N/A 1688.32
2019-2020 85.95 675.34 1086.69 18.56 87.31 42.75 N/A 1996.6
2020-2021 85.95 669.27 1000.2 17.43 71.62 43.83 N/A 1888.3
Intangible Assets
• Intangible assets asset that is not physical in nature.
• Amortisation is recognised on a straight-line basis over their useful economic life and assessed for
impairment whenever there is an indication that the intangible asset may be impaired.
• Intangible assets comprising of product design, prototypes, etc., either acquired or internally developed are
amortised over a period of 5 to 10 years, the estimated minimum useful life of the related products.

Eicher Motor
Years Model fee/product design & development Computer Software Technical know Total
2016-2017 16 17.41 N/A 33.41
2017-2018 17.83 20.83 N/A 38.66
2018-2019 151.97 27.01 N/A 178.98
2019-2020 153.45 31.38 N/A 184.83
2020-2021 288.5 50.39 N/A 338.89
Research and Development
• Research and development means the activities that companies undertake to innovate and introduce new
products and services.

Eicher Motor
Years Capital Expenditure Revenue Total
2016-2017 91.29 36.78 128.07
2017-2018 206.18 31.38 237.56
2018-2019 310.28 44.66 354.94
2019-2020 173.62 83.74 257.36
2020-2021 195.7 103.4 299.1
Graphical Representation
Research and Development

Fixed Assets

Intangible Assets
Mahindra and Mahindra
• Mahindra & Mahindra Limited is an Indian multinational automotive manufacturing corporation
headquartered in Mumbai, Maharashtra, India.
• It was established in 1945 as Muhammad & Mahindra and later renamed as Mahindra and Mahindra.
Fixed Asset
• Property, plant and equipment are stated at cost of acquisition or construction less accumulated
depreciation and accumulated impairment, if any.
• Depreciation is provided on straight-line basis for property, plant and equipment so as to expense the
depreciable amount, i.e. the cost less estimated residual value, over its estimated useful lives.

Mahindra & Mahindra

Years Freehold Land Buildings Plant & Euipment Furniture Offi ce Equipment Vehicles Data Euipment Total
2016-2017 267.22 1151.25 3679.65 76.05 37.95 156.75 N/A 5455.32
2017-2018 262.39 1376.6 4504.19 67.19 32.34 193.22 N/A 6507.95
2018-2019 271.96 1382.98 5593.05 59.29 29.57 210.65 N/A 7614.71
2019-2020 271.71 1485.19 5643.79 61.79 32.36 239.02 N/A 7762.64
2020-2021 273 1467.76 5622.16 55.83 30.38 181.95 N/A 7644.85
Intangible Assets
• Intangible assets Intangible assets are initially recognised at cost. Intangible
assets with definite useful lives are amortised on a straight line basis so as to
reflect the pattern in which the asset’s economic benefits are consumed.

Mahindra & Mahindra

Years Model fee/product design & development Computer Software Technical know Total
2016-2017 1084.19 24.04 N/A 1233.8
2017-2018 1210.31 19.89 N/A 1351.46
2018-2019 2334.47 15.62 N/A 2467.04
2019-2020 2223.15 13.08 N/A 2413.83
2020-2021 2126.72 6.79 N/A 2306.76
Research and Development
• Development Expenditure incurred on technical services and other
project/product related expenses are amortised over the estimated period of
benefit, not exceeding five years.

Mahindra & Mahindra

Years Total Expenditure
2016-2017 367.64
2017-2018 372.69
2018-2019 456.35
2019-2020 812.27
2020-2021 687.18
Graphical Representation
Research and Development

Fixed Assets

Intangible Assets
Bajaj Auto Ltd.
• Bajaj Auto Limited is an Indian multinational two-wheeler and three-wheeler manufacturing
company based in Pune, Maharashtra.
• It manufactures motorcycles, scooters and auto rickshaws. Bajaj Auto is a part of the Bajaj
Group. It was founded by Jamnalal Bajaj in Rajasthan in the 1940s
Fixed Assets
• All property, plant and equipment have not been physically verified by the Management during the year but
there is a regular program of verification designed to cover all items in a phased manner over a period of
three years.
• Depreciation is provided on a pro rata basis on straight line method to allocate the cost, net of residual
value over the estimated useful lives of the assets.

Bajaj Auto
Years Freehold Land Buildings Plant & Euipment Furniture Office Equipment Vehicles Data Euipment Total
2016-2017 79.85 1688.28 2409.82 23.37 37.27 68.55 N/A 2500.67
2017-2018 86.3 1839.93 2411.6 23.54 41.96 69.03 N/A 2627.92
2018-2019 19.97 312.94 978.74 22.8 35.43 64.11 N/A 2507.66
2019-2020 19.97 338.37 1016.8 25.96 36.46 40.88 N/A 2419.25
2020-2021 19.97 360.79 1064.25 28.69 38.69 38.88 N/A 2613.75
Intangible Assets
• Intangible assets with finite useful lives that are acquired separately are carried at cost
less accumulated amortisation and accumulated impairment losses.
• Amortisation is recognized on a straight-line basis over their useful economic life and
assessed for impairment whenever there is an indication that the intangible asset may be
impaired

Bajaj Auto
Years Model fee/product design & development Computer Software Technical know Total
2016-2017 N/A N/A 44.65 44.65
2017-2018 N/A N/A N/A N/A
2018-2019 N/A N/A 19.75 19.75
2019-2020 N/A N/A 43.09 43.09
2020-2021 N/A N/A 47.3 47.3
Research and Development
• Many new Products/projects are launched across various product segments to meet the
domestic and export requirements. Information on the new products is always in the report on
Management Discussion and Analysis of the ANNUAL REPORT.

Bajaj Auto
Years Total Expenditure
2016-2017 367.64
2017-2018 372.69
2018-2019 456.35
2019-2020 475.06
2020-2021 424.47
Graphical Representation
Research and Development

Fixed Assets

Intangible Assets
Maruti Suzuki Ltd.
• Maruti Suzuki India Limited, formerly known as Maruti Udyog Limited, is an Indian
automobile manufacturer, based in New Delhi.
• It was founded in 1981 and owned by the Government of India until 2003, when it
was sold to Suzuki Motor Corporation.
Fixed Assets
• Property, plant and equipment are stated at cost of acquisition or construction less accumulated
depreciation less accumulated impairment, if any. Freehold land is measured at cost and is not depreciated.
• Depreciation is calculated using the straight-line method on a pro-rata basis from the month in which each
asset is put to use to allocate their cost, net of their residual values, over their estimated useful lives.

Maruti Suzuki
Years Freehold Land Buildings Plant & Euipment Furniture Offi ce Equipment Vehicles Data Euipment Total
2016-2017 19039 16574 90389 975 N/A 1052 N/A 129162
2017-2018 31403 16900 78439 1387 N/A 1249 N/A 130473
2018-2019 38419 18826 88296 1595 N/A 1387 N/A 149576
2019-2020 39974 19927 83654 1908 N/A 1540 N/A 147618
2020-2021 40033 19651 77850 1980 N/A 1124 N/A 141511
Intangible Assets
• Intangible assets acquired separately, lump sum royalty and engineering support fee is carried at cost which
is incurred and stated in the relevant licence agreement with the technical knowhow / engineering support
provider less accumulated amortisation and accumulated impairment losses.

• Amortisation is recognised on a straight line basis over their estimated useful lives

Maruti Suzuki
Years Total
2016-2017 3730
2017-2018 3117
2018-2019 4511
2019-2020 4067
2020-2021 2242
Research and Development
• The Company being the pioneer in Indian automotive industry has been at the forefront of bringing new
products and technological solutions, by deeper understanding of Indian consumers and their product usage
pattern.
• The Company has been focusing on developing its R&D capability to design & develop products which meet
growing customer expectations. The Company is making efforts in this direction to develop products which
are attractive, equipped with latest technologies, provide comfort, convenience, safety and digital
connectivity.

Maruti Suzuki
Years Capital Expenditure Revenue Total
2016-2017 3491 3529 7020
2017-2018 3570 5073 8643
2018-2019 4372 6716 11088
2019-2020 4047 7049 11096
2020-2021 2701 6642 9343
Graphical Representation
Research and Development

Fixed Assets

Intangible Assets
 Company Year Adaption Consistency Presentation Total
2021 5 5 3 13
2020 5 5 3 13
Hero Motor Corp 2019 5 5 3 13
2018 5 5 3 13
2017 5 5 2 12

2021 5 5 5 15
2020 5 5 5 15
Eicher Motors 2019 5 5 5 15
2018 5 4 5 14
2017 5 4 5 14

2021 5 5 5 15
2020 5 5 5 15
Bajaj Auto 2019 5 5 5 15
2018 5 5 5 15
2017 5 5 5 15

2021 5 5 5 15
2020 5 5 5 15
Mahindra & Mahindra 2019 5 5 5 15
2018 5 5 5 15
2017 5 5 5 15

2021 5 5 5 15
2020 5 5 5 15
Maruti Suzuki 2019 5 5 5 15
2018 5 5 5 15
2017 5 5 5 15