Abbreviated Company Accounts - NUTECH RENEWABLES 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
Turnover
Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

Tangible assets depreciation policy
Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost or at valuation, less accumulated depreciation. The charge to depreciation is
calculated to write off the original cost or valuation of tangible fixed assets, less their estimated residual value, over
their expected useful lives as follows:
Plant and machinery - 20% Straight Line
Motor vehicles - 20% Straight Line
The carrying values of tangible fixed assets are reviewed annually for impairment in periods if events or changes in
circumstances indicate the carrying value may not be recoverable

Intangible assets amortisation policy
Development expenditure is written off in the same year unless the directors are satisfied as to the technical,
commercial and financial viability of individual projects. In this situation, the expenditure is deferred and amortised
over the period from which the company is expected to benefit

Other accounting policies
Leasing
Tangible fixed assets held under leasing arrangements which transfer substantially all the risks and rewards of
ownership to the company are capitalised and included in the balance sheet at their cost or valuation, less
depreciation. The corresponding commitments are recorded as liabilities. Payments in respect of these obligations
are treated as consisting of capital and interest elements, with interest charged to the profit and loss account.
Stocks
Stocks are valued at the lower of cost and net realisable value. Cost comprises expenditure incurred in the normal
course of business in bringing stocks to their present location and condition. Full provision is made for obsolete and
slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all
further costs to completion or to be incurred in marketing and selling.
Taxation
Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the year and is
calculated using the tax rates and laws that have been enacted or substantially enacted at the balance sheet date.
Government grants
Capital grants received and receivable are treated as deferred income and amortised to the profit and loss account
annually over the useful economic life of the asset to which it relates. Revenue grants are credited to the profit and
loss account when received.
Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated at the rates of exchange ruling at the
balance sheet date. Transactions, during the year, which are denominated in foreign currencies are translated at the
rates of exchange ruling at the date of the transaction. The resulting exchange differences are dealt with in the profit
and loss account.

Research and development
Development expenditure is written off in the same year unless the directors are satisfied as to the technical,
commercial and financial viability of individual projects. In this situation, the expenditure is deferred and amortised
over the period from which the company is expected to benefit.

Included above are assets held under finance leases or hire purchase contracts as follows:
2014 2013
Net Depreciation Net Depreciation
book value charge book value charge
£ £ £ £
Plant and machinery 7,000 1,750 - -
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