Abbreviated Company Accounts - PRIMARY CARE MANAGEMENT SOLUTIONS LTD

1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements 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 represents amounts chargeable, net of value added tax, in respect of sale of goods and services to customers.

Tangible assets depreciation policy
Depreciation is provided at rates calculated to write off the cost less residual values of each asset over its expected useful life, as follows:

Asset class
Fixtures, fittings, tools and equipment

Depreciation method and rate
20% on reducing balance

Other accounting policies
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 is 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.