1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities(effective January 2015).

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

Tangible assets depreciation policy
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life or,if held under a finance lease,over the lease term,whichever is the shorter.
Leasehold improvements 16% per annum straight line basis
Motor vehicles 20% per annum straight line basis
Machinery 15% per annum straight line basis
Fixtures & fittings 10% per annum straight line basis
Kitchen displays 30% per annum straight line basis

Valuation information and policy
Stocks and work in progress are valued at the lower of cost and net realisable value,after making due allowance for obsolete and slow moving items.
Cost includes all direct expenditure and an appropriate proportion of fixed and variable overheads.

Other accounting policies
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useul lives or the lease term,whichever is the shorter.
The interest element of these obligations is charged to the profit and loss account over the relevant period. The capital element of the future payments is treated as a liability.
Rentals paid under operating leases are charged to the profit and loss account on a straight line basis over the period of the lease.