Abbreviated Company Accounts - BERTIE AND BOO TEAHOUSE AND THEATRE 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 April 2008.

Turnover policy
Turnover comprises the invoiced value of goods and services supplied by the company, net of Value Added Tax and trade discounts.

Tangible assets depreciation policy
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Long leasehold: over term of use
Plant & Machinery: 25% reducing balance
Fixtures & Fittings: 15% reducing balance
Computer Equipment: 33% on cost

Other accounting policies
Hire purchase agreements:
Assets held under hire purchase agreements are capitalised and disclosed under tangible fixed assets at their fair value. The capital element of the future payments is treated as a liability and the interest is charged to the profit and loss accounts on a straight line basis.
Stocks are valued at the lower cost and net realisable value, after making due allowance for obsolete and slow moving items.
Deferred tax:
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.