Abbreviated Company Accounts - TIMO RESTAURANT LTD

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 value, net of value added tax and discounts, of goods provided to customers and work carried out in respect of services provided to customers.

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:
Plant and machinery - 20% reducing balance

Intangible assets amortisation policy
Goodwill represents the excess of the consideration for an acquired business compared with the fair value of net assets acquired. It is capitalized and written off evenly over 20 years as in the opinion of the directors this represents the period over which the goodwill is effective.

Other accounting policies
Stocks
Stock is valued at the lower of cost and net realizable 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.