Abbreviated Company Accounts - MCKIRANS 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 of rental income received 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:

Land and buildings - Nil
Other tangible assets - 25% straight line

Other accounting policies
Investment Properties:
The freehold property is not depreciated because it is held for investment purposes. This is in accordance with Statement of Standard Accounting Practice number 19 but not the Companies Act 2006. In the opinion of the directors this represents a fairer treatment of the asset.

Pensions:
The pension costs charged in the financial statements represent the contribution payable by the company during the year.

Deferred Taxation:
Provision is made for deferred tax using the liability method to take account of timing differences between the incidence of income and expenditure for taxation and accounting purposes except to the extent that the directors consider that the liability is unlikely to materialise.

The valuation of investment properties (land and buildings freehold) were made as at 30th June 2014 by the directors on an open market basis. No deprecation is provided in respect of these properties. On an historical cost basis these would have been included at an original cost of £113,091.