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| 2. |
ACCOUNTING POLICIES |
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The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company’s financial statements. |
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Statement of compliance |
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The financial statements of the company for the year ended 31 March 2017 have been prepared in accordance with the provisions of FRS 102 Section 1A (Small Entities) and the Companies Act 2006 These are the company's first set of financial statements prepared in accordance with FRS 102. |
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Basis of preparation |
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The financial statements have been prepared under the historical cost convention except for certain properties and financial instruments that are measured at revalued amounts or fair values, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for assets. The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements. |
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Cash flow statement |
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The company has availed of the exemption in FRS 102 Section 1A from the requirement to prepare a Statement of Cash Flows because it is classified as a small company. |
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Revenue |
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Revenue represents the total invoice value, excluding value added tax, of sales made during the year. Revenue is recognised upon delivery of goods to the customer. |
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Property, plant and equipment and depreciation |
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Property, plant and equipment are stated at cost or at valuation, less accumulated depreciation. The charge to depreciation is calculated to write off the original cost or valuation of property, plant and equipment, less their estimated residual value, over their expected useful lives as follows: |
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Fixtures, fittings and equipment |
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25% straight line |
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The carrying values of property, plant and equipment are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable. |
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Inventories |
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Inventories are valued at the lower of cost and net realisable value. Cost comprises expenditure incurred in the normal course of business in bringing stocks to their present location and condition. Full provision is made for obsolete and slow moving items. Net realisable value comprises actual or estimated selling price (net of trade discounts) less all further costs to completion or to be incurred in marketing and selling. |
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Taxation |
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Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Statement of Financial Position date. |
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| 8. |
RELATED PARTY TRANSACTIONS |
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2017 |
2016 |
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The following amounts are due to other connected parties: |
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£ |
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The Verbal Arts Centre (Northern Ireland) Ltd |
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18,859 |
18,170 |
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Sevengate Publishing Limited |
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8,640 |
8,640 |
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───────── |
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27,499 |
26,810 |
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Lagan Press Limited and The Verbal Arts Centre (Northern Ireland) Limited, a charitable company incorporated in Northern Ireland, were under common control in the year. A balance of £18,859 was owed by Lagan Press Limited at the year end.
Lagan Press Limited and Sevengate Publishing Limited, a company incorporated in Northern Ireland, were under common control in the year. A balance of £8,640 was owed by Lagan Press Limited at the year end.
These balances are considered to be payable on demand. |
