MGOC Spares Limited - Period Ending 2013-12-31

Registration number: 01931679

MGOC Spares Limited

Unaudited Abbreviated Accounts

for the Year Ended 31 December 2013
 

ProEdge Accounting Limited
  8A NEW ROAD
  MEPAL
  ELY
  CAMBRIDGESHIRE
  CB6 2AP

MGOC Spares Limited
Contents

Abbreviated Balance Sheet 1 to 2

Notes to the Abbreviated Accounts 3 to 5

MGOC Spares Limited
(Registration number: 01931679)
Abbreviated Balance Sheet at 31 December 2013

		Note			2013 £			2012 £
Fixed assets
Tangible fixed assets					44,196			51,573
Current assets
Stocks					1,133,255			1,147,315
Debtors					282,360			374,110
Cash at bank and in hand					9,353			4,857
					1,424,968			1,526,282
Creditors: Amounts falling due within one year					(769,125)			(894,810)
Net current assets					655,843			631,472
Total assets less current liabilities					700,039			683,045
Provisions for liabilities					(5,052)			(3,818)
Net assets					694,987			679,227
Capital and reserves
Called up share capital		3			100			100
Profit and loss account					694,887			679,127
Shareholders' funds					694,987			679,227

For the year ending 31 December 2013 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime .

Approved by the Board on 28 July 2014 and signed on its behalf by:

The notes on pages 3 to 5 form an integral part of these financial statements.
Page 1

MGOC Spares Limited
(Registration number: 01931679)
Abbreviated Balance Sheet at 31 December 2013
......... continued

.........................................
  Mr MP Bentley
  Director

.........................................
  Mr DG Sculthorpe
  Director

The notes on pages 3 to 5 form an integral part of these financial statements.
Page 2

MGOC Spares Limited
Notes to the Abbreviated Accounts for the Year Ended 31 December 2013
......... continued

1	Accounting policies

Basis of preparation

The full financial statements, from which these abbreviated accounts have been extracted, have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (Effective April 2008).

Turnover

Turnover represents amounts chargeable, net of value added tax, in respect of the sale of goods and services to customers.

Depreciation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class	Depreciation method and rate
Plant and machinery	15% - 25% reducing balance
Motor vehicles	25% straight line
Property improvements	10% straight line

Stock

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs.

Deferred tax

Deferred tax is recognised, without discounting, in respect of all timing differences between the treatment of certain items for taxation and accounting purposes, which have arisen but not reversed by the balance sheet date, except as required by the FRSSE. Deferred tax is measured at the rates that are expected to apply in the periods when the timing differences are expected to reverse, based on the tax rates and law enacted at the balance sheet date.

Foreign currency

Transactions in foreign currencies are recorded at the exchange rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the closing rates at the balance sheet date. All exchange differences are included in the profit and loss account.

Hire purchase and leasing

Rentals payable under operating leases are charged in the profit and loss account on a straight line basis over the lease term.

Page 3

MGOC Spares Limited
Notes to the Abbreviated Accounts for the Year Ended 31 December 2013
......... continued

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.

Pensions

The company operates a defined contribution pension scheme. Contributions are recognised in the profit and loss account in the period in which they become payable in accordance with the rules of the scheme.

2	Fixed assets

		Tangible assets £			Total £
Cost
At 1 January 2013		271,420			271,420
Additions		12,262			12,262
Disposals		(22,095)			(22,095)
At 31 December 2013		261,587			261,587
Depreciation
At 1 January 2013		219,847			219,847
Charge for the year		18,248			18,248
Eliminated on disposals		(20,704)			(20,704)
At 31 December 2013		217,391			217,391
Net book value
At 31 December 2013		44,196			44,196
At 31 December 2012		51,573			51,573

3	Share capital

Allotted, called up and fully paid shares

	2013						2012
		No.			£			No.			£
Ordinary shares of £1 each		100			100			100			100

Page 4

MGOC Spares Limited
Notes to the Abbreviated Accounts for the Year Ended 31 December 2013
......... continued

The transactions were all at an arms length basis.

The company operates closely with R & M Bentley (Motor Factors Limited, MGOC Limited, Spares Trade Distribution Limited and Promapac LLP and attempts to achieve economies of scale with regard to administration costs where convienient. As a result of this policy, which became effective from July 1997, the company receives and banks sales of itself and the above companies, prior to distribution. The company's bank account, has therefore, not only received the turnover of MGOC Spares Limited but also, has passed through it, turnover of the above companies in the sum of £2,168,941 (2012 : £2,868,152).

Page 5