1Accounting Policies

Basis of measurement and preparation of accounts
The accounts have been prepared under the historical cost convention and in accordance with
FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as
applied to small entities by section 1A of the standard).

Turnover policy
Turnover is measured at the fair value of the consideration received or receivable, net of discounts
and value added taxes. Turnover includes revenue earned from the sale of goods and from the
rendering of services. Turnover from the sale of goods is recognised when the significant risks
and rewards of ownership of the goods have transferred to the buyer. Turnover from the rendering
of services is recognised by reference to the stage of completion of the contract. The stage of
completion of a contract is measured by comparing the costs incurred for work performed to date
to the total estimated contract costs.

Tangible assets depreciation policy
Tangible fixed assets are measured at cost less accumulative depreciation and any accumulative
impairment losses. Depreciation is provided on all tangible fixed assets, other than freehold land,
at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its
expected useful life, as follows:
Plant and machinery over 5 years
Fixtures, fittings, tools and equipment over 5 years