Abbreviated Company Accounts - C. & N. CONTROL SYSTEMS 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
The turnover shown in the profit and loss account represents amounts invoiced during the year,
exclusive of Value Added Tax.

Tangible assets depreciation policy
Fixed Assets
All fixed assets are initially recorded at cost.
Depreciation
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value,
over the useful economic life of that asset as follows:
Leasehold Property - straight line basis over the period of the lease
Plant & Machinery - 15%/20% reducing balance

Other accounting policies
Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for
obsolete and slow moving items.

Operating Lease Agreements
Rentals applicable to operating leases where substantially all of the benefits and risks of
ownership remain with the lessor are charged against profits on a straight line basis over the
period of the lease.

Pension Costs
The company operates a defined contribution pension scheme for employees. The assets of the
scheme are held separately from those of the company. The annual contributions payable are
charged to the profit and loss account.

Deferred Taxation
Deferred tax is recognised in respect of all timing differences that have originated but not
reversed at the Balance Sheet date where transactions or events have occurred at that date that
will result in an obligation to pay more, or a right to pay less tax.
Deferred tax assets are recognised only to the extent that the directors consider that it is more
likely than not that there will be suitable taxable profits from which the future reversal of the
underlying timing differences can be deducted.
Deferred tax is measured on an undiscounted basis at the rates that are expected to apply in the
periods in which timing differences reverse, based on tax rates and laws enacted or substantively
enacted at the Balance Sheet date.

Financial Instruments
Financial instruments are classified and accounted for, according to the substance of the
contractual arrangement, as either financial assets, financial liabilities or equity instruments. An
equity instrument is any contract that evidences a residual interest in the assets of the company
after deducting all of its liabilities.

Ultimate Parent Company
The company is under the control of Nicholls of Dentons Green Limited, a company registered in
England and Wales, company number 4753135. The registered office address is:
Units 7 & 8,
Sterling Industrial Park,
Carr Wood Road,
Glasshoughton,
Castleford.
WF10 4PS
9. Ultimate Controlling party
The company is under the ultimate control of J Nicholl, a director and majority shareholder of
Nicholls of Dentons Green Limited.