LK Property Investments Limited - Accounts to registrar (filleted) - small 18.2

REGISTERED NUMBER: SC552765 (Scotland)

LK PROPERTY INVESTMENTS LIMITED

UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31 MAY 2021

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

DIRECTOR:

Mrs Chung Han Law

REGISTERED OFFICE:

9 Royal Crescent

Glasgow

G3 7SP

REGISTERED NUMBER:

SC552765 (Scotland)

ACCOUNTANTS:

Whitelaw Wells

Chartered Accountants

9 Royal Crescent

Glasgow

G3 7SP

FIXED ASSETS

Tangible assets

4

104

136

Investment property

5

170,000

170,000

170,104

170,136

CURRENT ASSETS

Debtors

6

-

1,488

Prepayments and accrued income

283

-

Cash at bank

4,549

253

4,832

1,741

CREDITORS

Amounts falling due within one year

7

150,280

149,609

NET CURRENT LIABILITIES

(145,448

)

(147,868

)

TOTAL ASSETS LESS CURRENT LIABILITIES

24,656

22,268

PROVISIONS FOR LIABILITIES

659

671

NET ASSETS

23,997

21,597

CAPITAL AND RESERVES

Called up share capital

8

1

1

Fair value reserve

9

2,723

2,723

Retained earnings

9

21,273

18,873

SHAREHOLDERS' FUNDS

23,997

21,597

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 May 2021.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 May 2021 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges her responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 14 February 2022 and were signed by:

Mrs Chung Han Law - Director

1.	STATUTORY INFORMATION

LK Property Investments Limited is a private company, limited by shares , registered in Scotland. The company's registered number and registered office address can be found on the Company Information page.

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets.

Turnover and revenue recognition

The turnover shown in the profit and loss account represents the rental income receivable for the year. Income is recognised on the basis of rent due for the year.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Equipment and Fittings

-

15% on cost

Investment properties

Investment properties are shown at their fair value. The surplus or deficit arising from changes in fair value are recognised in the profit and loss account for the year. An increase in value due to the fluctuation in the property market is not considered to be permanent.

This is in accordance with FRS 102 which, unlike the Companies Act 2006, does not require depreciation of investment properties. Investment properties are held for their investment potential and not for use by the company and so their current value is of prime importance. The departure from the provisions of the Act is required in order to give a true and fair view.

Deferred taxation is provided on any fair value surplus at the rate expected to apply when the property is sold and at the year end is included in the fair value reserve together with the fair value movement.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Financial instruments

Basic financial instruments such as cash, debtors and creditors are measured at transaction price. Financial liabilities classified as payable within one year are not amortised.

Going concern

The director consider there are no material uncertainties about the company's ability to continue as a going concern. Accordingly, the financial statements have been prepared on a going concern basis. This assessment of going concern includes the expected impact of COVID-19 to the entity in the 12 months following the signing of these financial statements.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2020 - NIL).

4.	TANGIBLE FIXED ASSETS

Equipment

and

Fittings

£

COST

At 1 June 2020

and 31 May 2021

215

DEPRECIATION

At 1 June 2020

79

Charge for year

32

At 31 May 2021

111

NET BOOK VALUE

At 31 May 2021

104

At 31 May 2020

136

5.	INVESTMENT PROPERTY

Total

£

FAIR VALUE

At 1 June 2020

and 31 May 2021

170,000

NET BOOK VALUE

At 31 May 2021

170,000

At 31 May 2020

170,000

Fair value at 31 May 2021 is represented by:

£

Valuation in 2018

3,362

Cost

166,638

170,000

The investment property was revalued by the director on 31 May 2018. The director's valuation at 31 May 2021 remains unchanged.

6.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Prepayments

-

1,488

7.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2021

2020

£

£

Corporation Tax

2,375

2,953

Director's current account

146,209

145,317

Accrued expenses

1,696

1,339

150,280

149,609

The loan from director is repayable on demand. Interest of £1,000 (2020 : £1,000) was charged on the loan.

8.	CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:

Number:

Class:

Nominal

2021

2020

value:

£

£

1

Ordinary

£1

1

1

9.

RESERVES

Fair

Retained

value

earnings

reserve

Totals

£

£

£

At 1 June 2020

18,873

2,723

21,596

Profit for the year

2,400

2,400

At 31 May 2021

21,273

2,723

23,996

10.	RELATED PARTY DISCLOSURES