Abbreviated Company Accounts - THE BUSINESS SCHOOL (UK) LTD.

1Accounting Policies

Basis of measurement and preparation of accounts
Basis of preparation
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).

The accounts do not include a cash flow statement because the company, as a small reporting entity, is exempt from the requirements to prepare such a statement.

Turnover policy
Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to clients. Turnover has not been divided into geographical areas as the directors do not believe that any benefit is to be derived from this.

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 life as follows:

Asset class Depreciation method and rate
Office equipment 3 years on cost

Other accounting policies
Deferred tax
Deferred tax is recognised in respect of all material timing differences that have originated but not reversed at the balance sheet date.

Foreign currency
Assets and liabilities expressed in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are converted into sterling at the appropriate rates ruling during the year. Material exchange differences are taken to the profit and loss account.

Financial instruments
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as financial assets, financial liabilities or equity instruments. An equity instrument in any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Where shares are issued, any component that creates a financial liability of the company is presented as a liability in the balance sheet. The corresponding dividends relating to the liability component are charged as interest expense in the profit and loss account.

Debtors includes £760 (2015 - £nil) receivable after more than one year.