Abbreviated Company Accounts - HANNAWAY HILLTOWN LIMITED

1Accounting Policies

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

Turnover policy
Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

Tangible assets depreciation policy
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:

Leasehold properties - Straight line over the life of the lease
Plant & Machinery - 15% Reducing balance
Fixtures, fittings and equipment - 15% Reducing balance
Motor vehicles - 25% Reducing balance

Other accounting policies
Goodwill:
Acquired goodwill is written off in equal annual instalments over its estimated useful economic life of 20 years.

Stock:
Stock is valued at the lower cost and net realisable value

Foreign currencies:
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange prevailing at the accounting date. Transactions in foreign currencies are recorded at the date of the transactions. All differences are taken to the Profit and Loss account.