The Academy Electric Building Company (1931) Limited Company Accounts

COMPANY REGISTRATION NUMBER: 00253625

The Academy Electric Building Company (1931) Limited

Filleted Unaudited Financial Statements

30 June 2017

The Academy Electric Building Company (1931) Limited

Financial Statements

Year ended 30 June 2017

Contents	Page

Statement of financial position	1

Notes to the financial statements	3

The Academy Electric Building Company (1931) Limited

Statement of Financial Position

30 June 2017

	2017		2016
Note	£	£	£

Fixed assets

Tangible assets	4		437,697	437,747

Current assets

Debtors	5	110,846	91,918
Cash at bank and in hand		4	924
		---------	--------
		110,850	92,842

Creditors: amounts falling due within one year	6	18,359		20,289
		---------		--------
Net current assets			92,491	72,553
			---------	---------
Total assets less current liabilities			530,188	510,300

Provisions

Taxation including deferred tax	39,707	39,707
	---------	---------
Net assets	490,481	470,593
	---------	---------

Capital and reserves

Called up share capital	10,000	10,000
Revaluation reserve	357,363	357,363
Capital redemption reserve	56,185	56,185
Profit and loss account	66,933	47,045
	---------	---------
Shareholders funds	490,481	470,593
	---------	---------

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In accordance with section 444 of the Companies Act 2006, the statement of income and retained earnings has not been delivered.

For the year ending 30 June 2017 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

- The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476 ;

- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements .

The Academy Electric Building Company (1931) Limited

Statement of Financial Position (continued)

30 June 2017

These financial statements were approved by the board of directors and authorised for issue on 9 March 2018 , and are signed on behalf of the board by:

Mr D Farley

Director

Company registration number: 00253625

The Academy Electric Building Company (1931) Limited

Notes to the Financial Statements

Year ended 30 June 2017

1. General information

The company is a private company limited by shares, registered in England. The address of the registered office is Equity House, 128-136 High Street, Edgware, Middlesex, HA8 7TT.

2. Statement of compliance

These financial statements have been prepared in compliance with Section 1A of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Transition to FRS 102

The entity transitioned from previous UK GAAP to FRS 102 as at 1 July 2015. Details of how FRS 102 has affected the reported financial position and financial performance is given in note 9.

Revenue recognition

Turnover represents the gross rental income receivable by the company in the ordinary course of business.

Income tax

The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.

Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in equity, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation, is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in equity in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in equity in respect of that asset, the excess shall be recognised in profit or loss.

Depreciation

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

	Fixtures & Fittings	-	20% reducing balance

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.

4. Tangible assets

	Freehold investment properties	Fixtures and fittings	Total
	£	£	£
Cost
At 1 July 2016 and 30 June 2017	437,500	1,377	438,877
	---------	-------	---------
Depreciation
At 1 July 2016	–	1,130	1,130
Charge for the year	–	50	50
	---------	-------	---------
At 30 June 2017	–	1,180	1,180
	---------	-------	---------
Carrying amount
At 30 June 2017	437,500	197	437,697
	---------	-------	---------
At 30 June 2016	437,500	247	437,747
	---------	-------	---------

The freehold investment properties have been valued at open market value by the directors, and shown in the accounts at that value.

5. Debtors

	2017	2016
	£	£
Amounts owed by group undertakings and undertakings in which the company has a participating interest	110,811	91,886
Other debtors	35	32
	---------	--------
	110,846	91,918
	---------	--------

6. Creditors: amounts falling due within one year

	2017	2016
	£	£
Trade creditors	2,714	3,502
Corporation tax	31	–
Other creditors	15,614	16,787
	--------	--------
	18,359	20,289
	--------	--------

7. Directors' advances, credits and guarantees

During the year the directors entered into the following advances and credits with the company:

	2017
	Balance brought forward	Advances/ (credits) to the directors	Balance outstanding
	£	£	£
Mr D Farley	( 1,174)	1,173	( 1)
	-------	-------	----

	2016
	Balance brought forward	Advances/ (credits) to the directors	Balance outstanding
	£	£	£
Mr D Farley	( 200)	( 974)	( 1,174)
	----	----	-------

8. Controlling party

The company is a wholly owned subsidiary of Fraser Lodge Limited , a company incorporated in the United Kingdom.

9. Transition to FRS 102

These are the first financial statements that comply with FRS 102. The company transitioned to FRS 102 on 1 July 2015.

Reconciliation of equity

	1 July 2015			30 June 2016
	As previously stated	Effect of transition	FRS 102 (as restated)	As previously stated	Effect of transition	FRS 102 (as restated)
	£	£	£	£	£	£
Fixed assets	437,809	–	437,809	437,747	–	437,747
Current assets	70,059	–	70,059	92,842	–	92,842
Creditors: amounts falling due within one year	( 13,252)	–	( 13,252)	( 20,289)	–	( 20,289)
	---------	----	---------	---------	----	---------
Net current assets	56,807	–	56,807	72,553	–	72,553
	---------	----	---------	---------	----	---------
Total assets less current liabilities	494,616	–	494,616	510,300	–	510,300

Provisions	–	( 39,707)	( 39,707)	( 39,707)	–	( 39,707)
	---------	--------	---------	---------	----	---------
Net assets	494,616	( 39,707)	454,909	470,593	–	470,593
	---------	--------	---------	---------	----	---------

	---------	--------	---------	---------	----	---------
Capital and reserves	494,616	( 39,707)	454,909	470,593	–	470,593
	---------	--------	---------	---------	----	---------