Abbreviated Company Accounts - IKSPLEIN LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
Accounting convention
The financial statements are prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015).

Turnover
Turnover represents amounts receivable for goods and services net of VAT and trade discounts.

Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Website - 20% Straight line

Fixed assets
Fixed assets are initially recorded at cost.

Depreciation
Depreciation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful economic life of that asset as follows:
Equipment - 25% Straight line

Operating lease agreements
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight line basis over the period of the lease.

Going concern
The accounts have been prepared on a going concern basis. During the yea5r the company made a loss of £7,829, and had net liabilities at the balance sheet date of £40,403. The director considers the company to be a going concern as he does not require repayment of his overdue balance within one year, and will continue to settle the company debts as they fall due. The director considers the company will continue making sales in the next financial period, and the net liabilities arising from the current financial period are due to the expected costs of starting a business of this nature.