Abbreviated Company Accounts - PRIVATE LABEL MARKETING LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
The financial statements are prepared under the historical cost convention, in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2015), and include the results of the company’s operations which are described in the Directors Report and all of which are continuing.

Turnover policy
Turnover represents the invoiced value of sales and fees net of Value Added Tax.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation.
Depreciation and amortisation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives at the following rates:-
Office Equipment - 15% per annum reducing balance
Computers - 20% per annum reducing balance
Leasehold Premises and Improvements - Period of the lease

Other accounting policies
Stock
These have been valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow-moving stock.

Operating Leases
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to profit and loss account as incurred.

Foreign Currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the Balance Sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling at the date of the transaction. Exchange differences are taken into account in arriving at the operating profit.

Deferred Taxation
The charge for taxation takes into account taxation deferred as a result of timing differences between the treatment of certain items for taxation and accounting purposes. In general, deferred taxation is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. However, deferred tax assets are recognised only to the extent that the directors consider that it is likely than not that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred taxation is measured on a non-discounted basis at the average tax rates that would apply when the timing differences are expected to reverse, based on tax rates and laws that have been enacted by the balance sheet date.