Abbreviated Company Accounts - CHESTER TOWBAR & TRAILER CENTRE 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 January 2015).
The financial statements are prepared in accordance with applicable United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), Which have been applied consistently (except as otherwise stated).

The Company meets its day to day working capital requirements through the directors loans. The directors have confirmed their support for the next twelve months. The financial statements do not include any adjustments that would result from a withdrawal of the loan by the company's directors. On this basis, the directors consider it appropriate to prepare the financial statements on the going concern basis.

Turnover policy
Turnover represents amounts receivable for goods and services net of VAT 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 less estimated residual value of each asset over its expected useful life as follows:

Land and buildings leasehold, Land 99 years straight line basis, Buildings 2% per annum straight line basis.
Plant and Machinery, 15% reducing balance basis.
Motor Vehicles, 25% reducing balance basis.

Intangible assets amortisation policy
Acquired goodwill is written off in equal annual instalments over its estimated useful economic life.

Other accounting policies
Revenue recognition
Revenue is recognised when the company has transferred to the buyer the significant risks and rewards of ownership of the goods and the amount of revenue can be reliably measured.