Abbreviated Company Accounts - IRWIN LEASING LTD

1Accounting Policies

Basis of measurement and preparation of accounts
The full financial statements, from which these abbreviated accounts have been extracted, have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).

Turnover policy
Turnover comprises revenue recognised by the company in respect of goods and services supplied during the year, exclusive of Value Added Tax and trade discounts.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Plant & machinery - 25% reducing balance
Motor vehicles - 25% reducing balance

Other accounting policies
Investments

Investments held as fixed assets are shown at cost less provision for impairment.

Investment properties

Investment properties are included in the Balance sheet at their open market value in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015) and are not depreciated. This treatment is contrary to the Companies Act 2006 which states that fixed assets should be depreciated but is, in the opinion of the director, necessary in order to give a true and fair view of the financial position of the company.

Operating leases

Rentals under operating leases are charged to the Profit and loss account on a straight line basis over the lease term.

Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

Deferred taxation

Full provision is made for deferred tax assets and liabilities arising from all timing differences between the recognition of gains and losses in the financial statements and recognition in the tax computation.

A net deferred tax asset is recognised only if it can be regarded as 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 assets and liabilities are calculated at the tax rates expected to be effective at the time the timing differences are expected to reverse.

Deferred tax assets and liabilities are not discounted

All tangible assets held are leased out under operating lease contracts.

Investment property

Freehold investment property is included within the balance sheet at a valuation of £417,253 at 30 June 2015 (2014: £417,253)

The 2015 valuations were made by H Irwin, the director, on an open market value for existing use basis.

3Fixed assets Investments
The company owns 38% of the ordinary share capital of Anglia Free Range Eggs Limited. The principal activity of the which is the packaging and wholesale of free range eggs.

Anglia Free Range Eggs Limited reported aggregate share capital and reserves of £1,417,318 at the balance sheet date and a profit of £435,299 for the year.

Qualifying undertakings

The company was a partner in the Davidson Irwin Properties partnership during the year. The head office of the partnership is located at South View, Fressingfield, Eye, Suffolk, IP21 5PJ.

The amount falling due after more than one year relates to loan notes in Anglia Free Range Eggs Limited, an associated company. The loan notes are unsecured and subject to interest at 5% above the bank base rate, on a quarterly basis. The notes are repayable at any time, but only when such payments have been proposed by and approved by ordinary resolution by the board of Anglia Free Range Eggs Limited.