1Accounting Policies

Basis of measurement and preparation of accounts
The accounts have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities effective April 2008.

Turnover policy
Turnover represents net invoiced sales of goods and services, excluding value added tax.

Tangible assets depreciation policy
Depreciation is provided on all tangible fixed assets at rates calculated to write off the full cost or
valuation less estimated residual value of each asset over its estimated useful life. The principal
rates in use are:
Motor vehicles 25% reducing balance
Equipment, fixtures and fittings 25% reducing balance
Plant and machinery 25% reducing balance
Computer equipment 25% reducing balance

Intangible assets amortisation policy
Intangible Fixed Assets comprise of Intellectual Property and are amortised over their useful life.

Other accounting policies
Hire purchase and lease transactions
Assets acquired under hire purchase agreements and finance leases are capitalised in the balance
sheet and are depreciated in accordance with the company's normal policy. The outstanding
liabilities under such agreements less interest not yet due are included in creditors. Interest on such
agreements is charged to the profit and loss account over the term of each agreement and
represents a constant proportion of the balance of capital repayments outstanding.
Rentals under operating leases are charged to the profit and loss account as they fall due.

5Transactions with directors