Abbreviated Company Accounts - VJ TECH LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The principal accounting policies adopted in the preparation of the financial statements are set out below and have remained unchanged from the previous year, and also have been consistently applied within the same accounts.

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

The effect of events in relation to the year ended 30 June 2014 which occurred before the date of approval of the financial statements by the Board of Directors, have been included in the statements to the extent required to show a true and fair view of the state of affairs at 30 June 2014 and of the results for the year ended on that date.

Turnover policy
The company`s turnover represents the value, excluding Value Added Tax, of goods and services supplied to customers during the year.

Tangible assets depreciation policy
Depreciation has been computed to write off the cost of tangible fixed assets over their expected useful lives using the following rates:


Freehold buildings - -% annum of cost

Plant and machinery - 20% annum of cost

Fixtures and fittings - 15%annum of cost

Other accounting policies
Deferred Taxation

Deferred taxation is accounted for in accordance with the requirements of the FRSSE.

Investment properties

In accordance with standard accounting practice, investment properties are revalued annually and the aggregate surplus or deficit is transferred to a revaluation reserve. No depreciation or amortisation is provided in respect of freehold investment properties and leasehold investment properties with over 20 years to run.

Although the Companies Act would normally require the systematic annual depreciation of fixed assets, the directors believe that the policy of not providing depreciation is necessary in order to give a true and fair view, since the current value of investment properties, and changes to that current value, are of prime importance rather than a calculation of systematic annual depreciation. Depreciation is only one of the many factors reflected in the annual valuation, and the amount which might otherwise have been included cannot be separately identified or quantified.