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ORTHOSON LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2018
Orthoson Limited is a private company, limited by share capital and incorporated in England and Wales.
The address of its registered office is: The Magdalen Centre, 1 Robert Robinson Avenue, Oxford, Oxfordshire, OX4 4GA.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The following principal accounting policies have been applied:
During the period ended 30 June 2016, the Company capitalised an option to license or assign certain pieces of intellectual property in the field of orthopaedic surgery on the basis that it is likely be of significant use to the business for the foreseeable future. Amortisation of the option to licence will begin, on a 25% declining balance basis, once commercialisation of the technology has begun.
Development costs are an intangible asset used to contribute to the development of the company’s technology. The company will amortise on a 25% declining balance basis once commercialisation of the technology has begun.
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income.
Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.
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