Abbreviated Company Accounts - 2 EXCEL AVIATION 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
Turnover represents the total invoice value, excluding value added tax, of sales made during the year.

Tangible assets depreciation policy
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:
- flight simulator - 3 years reducing balance method
- aircraft and helicopter - 10% reducing balance method/15 years
- furniture and fittings - 10 years reducing balance method
- office equipment - 3 years reducing balance method
- aircraft equipment - 20% reducing balance method

Valuation information and policy
Investments
Fixed asset investments are stated at cost less provision for permanent diminution in value.

Deferred taxation
Full provision is made for deferred taxation resulting from timing differences between the recognition of gains and losses in the accounts and their recognition for tax purposes. Deferred taxation is calculated on an un-discounted basis at the tax rates which are expected to apply in the periods when the timing differences will reverse.

Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange prevailing at the accounting date. Transactions in foreign currencies are recorded at the date of the transactions. All differences are taken into the Profit and Loss account.

Other accounting policies
Research and development
Research expenditure is written off to the profit and loss account in the year in which it is incurred.

3Fixed assets Investments
No movement during the year.