Abbreviated Company Accounts - GT GASWORKS LTD

1Accounting Policies

Basis of measurement and preparation of accounts
The accounts are prepared under the historical cost convention modified to include the revaluation of certain fixed assets and comply with financial reporting standards of the Accounting Standards Board.

Turnover policy
Turnover is recognised upon provision of service to customer

Tangible assets depreciation policy
All fixed assets are initially recorded at cost. Depreciation is provided at rates calculated to write off the cost or valuation less residual value of each asset over its expected useful life, as follows:

Website - 25% reducing balance
Fixtures, fittings and equipment - 25% straight line
Commercial vehicles - 25% straight line

Other accounting policies
Stock
Stock is valued at the lower of cost and net realisable value. Cost in respect of finished goods represents direct materials and other direct costs. Net realisable value is the price at which the stock can be realised in the normal course of business. Provision is made where necessary for obsolete, slow moving and defective stock.

Taxation
Corporation tax is calculated on the results for the year. Tax deferred as a result of timing differences between accounting and taxation profits is provided for in full respect of deferred tax liabilities. Such provision or recognition is made at the taxation rates at which the differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets are recognised to the extent that they are regarded as recoverable.