1Accounting Policies

Basis of measurement and preparation of accounts
The accounts are prepared under the historical cost convention and comply with financial reporting standards of the Accounting Standards Board.

Turnover policy
Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

Tangible assets depreciation policy
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:-
Land and Buildings - Straight line over fifty years
Plant and Machinery - 25% reducing balance basis
Fixtures, fittings and equipment - 25% reducing balance basis
Motor Vehicles - 25% reducing balance basis

Valuation information and policy
Stock and work in progress are valued at the lower of cost and net realisable value.

Other accounting policies
Leasing - Rentals payable under operating leases are charged against income on a straight line basis over the lease term.

Pensions- The company operates a defined contribution pension scheme. Contributions payable for the period are charged to the profit and loss account.

Foreign currencies- Monetary assets and liabilities denominated in foreigh currencies are translated into sterling at the rates of exchange prevailing at the accounting date. Transactions in foreign currencies are recorded at the date of the transaction. All differences are taken to the Profit and Loss account.