Abbreviated Company Accounts - 5TH GOSPEL RETREATS LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The full financial statements, from which these abbreviated accounts have been extracted, have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective April 2008).

Going concern:
The company is insolvent and is dependant upon the continued financial support of its director. The accounts have been prepared on the going concern basis as the director has indicated her willingness to provide continued support for at least the next twelve months.

Turnover policy
Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to customers.

Tangible assets depreciation policy
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their respected useful economic life as follows:

Asset Class: Office equipment - Depreciation method and rate: 15% reducing balance basis

Intangible assets amortisation policy
Amortisation:
Amortisation is provided on intangible fixed assets so as to write off the cost, less any estimated residual value, over its expected useful economic life as follows:

Asset class: Website - Amortisation method and rate: 10 years straight line basis

Valuation information and policy
Stock:
Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

Other accounting policies
Hire purchase and leasing:
Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.

2Company limited by guarantee
The Company is a private company limited by guarantee and consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £1 towards the assets of the company in the event of liquidation.