Abbreviated Company Accounts - ACE HYGIENE SUPPLIES 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).

Turnover policy
Turnover represents the invoiced value of goods and services supplied by the company, net of value added tax and trade discounts.

Tangible assets depreciation policy
Plant and machinery - 25% reducing balance
Motor cars - 25% reducing balance
Land and buildings are not depreciated.

Other accounting policies
Cash Flow Statement - the company is exempt from including a statement of cash flows in its accounts in accordance with Financial Reporting Standard for Smaller Entities (effective January 2015).
Stocks - stock and work in progress are valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks.
Taxation - corporation tax payable is provided on taxable profits at the current rates.
Provision is made for deferred taxation in so far as a liability or asset has arisen as a result of transactions that had occurred by the balance sheet date and have given rise to an obligation to pay more tax in the future, or the right to pay less tax in the future. An asset has not been recognised to the extent that the transfer of economic benefits in the future is uncertain. Deferred tax assets and liabilities recognised have not been discounted.
Fixed asset investments are shown at cost less amounts written off. This includes investment in group undertaking. Dividend income from the group undertaking is shown in the profit and loss account. Provisions are made for temporary fluctuations in value.
Revaluation reserve - during the year, the revaluation reserve was increased by £200,000 as a result of a revaluation of the company's property by the directors on 30th June 2016.
Secured debt within one year was £30,000 (2015: £29,000). These are included under creditors' note.

The above includes a freehold property at the valuation of £1,650,000 which was carried out by the directors on 30th June 2016.

3Fixed assets Investments
Fixed asset investments include £200,540 for 100% of the ordinary share capital of CPS Supply Co Limited, a company which specialises in disposable paper, ceramics and glassware distribution. The aggregate amount of share capital and reserves of CPS Supply Co Limited as at 31 December 2015 was £82,225 and the profit after taxation for the year ended on that date was £55,301. No accounts have been prepared for the year ended 31st December 2016 yet.