Abbreviated Company Accounts - WHINSTONE AGENCIES LIMITED

1Accounting Policies

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

Going Concern
The company meets its day to day working capital requirements through an overdraft facility which is repayable on demand.
The nature of the company's business is such that there can be unpredictable variation in the timing of cash inflows. The directors have reviewed expected cash flow for the period ending 9 months from the date of their approval of these financial statements. On the basis of this cash flow information and discussions with the company's bankers, the directors consider that the company will continue to operate within the facility currently agreed.
However, the margin of facilities over requirements is not large and, inherently there can be no certainty in relation to these matters. On this basis, the directors consider it appropriate to prepare the financial statements on the going concern basis. The financial statements do not include any adjustments that would result from a withdrawal of the overdraft facility by the company's bankers.

Compliance with accounting standards
The financial statements are prepared in accordance with applicable Financial Reporting Standards, which have been applied consistently (except as otherwise stated).

Turnover policy
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.

Tangible assets depreciation policy
Tangible fixed assets are capitalised at cost including any incidental expenses of acquisition. Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset over their expected useful lives, as follows:

Plant and machinery 25% Reducing Balance
Fixtures, fittings & equipment 15% Reducing Balance
Motor vehicles 25% Reducing Balance

Other accounting policies
Leasing
Rentals payable under operating leases are charged against income on a straight line basis over the lease term.

Stock
Stock is valued at the lower of cost and net realisable value, Cost is calculated on the first in first out basis, and net realisable value is the expected sale value of stock, less any costs of sale.

Pensions
The company operates a defined contribution scheme for the benefit of its employees. Contributions payable are charged to the profit and loss account in the year they are payable.

Deferred taxation
Deferred taxation is provided in full in respect of taxation deferred by timing differences between the treatment of certain items for taxation and accounting purposes.