Abbreviated Company Accounts - BARN GLASS GROUP 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.

The company is part of a small group. The company has taken advantage of the exemption provided by section 398 of the Companies Act 2006 and has not prepared group accounts.

Turnover policy
Turnover represents amounts chargeable, net of VAT, in respect of the sales of goods and services to customers during the year.

Tangible assets depreciation policy
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic lives at the following rates:

Plant & machinery – 10% per annum straight line
Fixtures & fittings – 10% per annum straight line
Motor vehicles – 20% per annum straight line
Office equipment – 33% per annum straight line
Short leasehold premises - over the remainder of the lease

Valuation information and policy
Investment properties
Certain of the company's properties are held for long-term investment. Investment properties are accounted for in accordance with the FRSSE, as follows:
No depreciation is provided in respect of investment properties and they are revalued annually. The surplus or deficit on revaluation is transferred to the revaluation reserve unless a deficit below original cost, or its reversal, on an individual investment property is expected to be permanent, in which case it is recognised in the profit and loss account for the year.
This treatment as regards the company's investment properties may be a departure from the requirements of the Companies Act concerning the depreciation of fixed assets. However, these properties are not held for consumption but for investment and the directors consider that systematic annual depreciation would be inappropriate. The accounting policy adopted is therefore necessary for the financial statements to give a true and fair view. Depreciation or amortisation is only one of many factors reflected in the annual valuation and the amount which might otherwise have been shown cannot be separately identified or quantified.

Other accounting policies
Fixed asset investments
Fixed asset investments are stated at historical cost less provision for any diminution in value.

Stock and work in progress
Stock is valued at the lower of cost and estimated realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

3Fixed assets Investments
Fixed asset investments represents a 100% holding of the issued share capital of Barn Glass Works Ltd, a manufacturer, installer and supplier of glazing products and a 100% holding of the issued share capital of Barn Glass Ltd, a dormant company.