1Accounting Policies

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

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:
Plant and machinery - 10% reducing balance
Fixtures, fittings and equipment - 10% reducing balance
Motor vehicles - 20% reducing balance

Valuation information and policy
Investments
Listed investments are stated at market value.
Investment properties are included in the balance sheet at their open market value. Although this accounting policy is in accordance with the applicable accounting standard, SSAP 19, accounting for investment properties, it is a departure from the general requirements of the Companies Act 2006 for all fixed assets to be depreciated. In the opinion of the directors, compliance with the standard is necessary for the financial statements to give a true and fair view. Depreciation or amortisation is only one of the many factors reflected in the annual valuation and the amount of this which might otherwise have been charged cannot be separately identified or quantified.

Other accounting policies
Stock and work in progress
Stock and work in progress are valued at the lower or cost and net realisable value.

Pensions
The pension costs charged in the financial statements represent the contributions payable by the company during the year.

Deferred taxation
Deferred tax arises as a result of including items of income and expenditure in taxation computations in periods different from those in which they are included in the company’s accounts. Deferred tax is provided in full on timing differences which result in an obligation to pay more (or less) tax at a future date, at the average tax rates that are expected to apply when the timing differences reverse, based on current tax rates and laws.

Deferred tax is not provided on timing differences arising from the revaluations of fixed assets where there is no commitment to sell the asset.

3Fixed assets Investments
Listed investments are stated at market value and investment properties are included in the accounts at the directors' estimate of the market value.