Abbreviated Company Accounts - NAZEING GOLF CLUB LIMITED

1Accounting Policies

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

Turnover policy
The turnover shown in the profit and loss account represents amounts invoiced during the year, exclusive of Value Added Tax.

Tangible assets depreciation policy
All fixed assets are initially recorded at cost.

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

Motor Vehicles - 25% per annum reducing balance

Other accounting policies
Going concern
At the year end date the company has positive net assets and has made a profit for the year. On 1st October 2009 the company started to lease the golf club to a third party which has proven to be profitable. The company entered into a creditors voluntary arrangement on 30 April 2010. On this basis the directors believe that the company is a going concern and the accounts have been prepared on this basis.

Investment properties
In accordance with applicable accounting standards, no depreciation or amortisation is provided in respect of properties held for investment purposes. This departure from the requirements of the Companies Act 2006, for all properties to be depreciated, is, in the opinion of the Directors, necessary for the financial statements to give a true and fair view in accordance with applicable accounting standards, as properties are included in the financial statements at their open market value.
The effect of depreciation is only one amongst many factors reflected in the annual valuation of properties and accordingly the amount of depreciation which might otherwise have been charged cannot be separately identified or quantified. The directors consider that this policy results in the accounts giving a true and fair view.

Operating lease agreements
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

Financial instruments
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Investment Property Revaluation
The company holds a freehold property for investment purposes. In accordance with the requirements of applicable accounting standards, the property should be carried at its market value within the company's accounts, and accordingly the directors have given consideration to the value of this property.
The directors consider that the market value of the property is equal to the net book value brought forward therefore no revaluation surplus or deficit has been recognised.