Abbreviated Company Accounts - BLUE MONDAY EVENTS LIMITED

1Accounting Policies

Basis of measurement and preparation of accounts
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 policy
Turnover represents the total invoice value, excluding value added tax, of sales made during the year and derives from the provision of goods falling within the company's ordinary activities.

Tangible assets depreciation policy
Depreciation is provided at rates calculated to write off the cost less residual value of each asset over its expected useful life, as follows:
Fixtures, fittings and equipment - 25% straight line
Motor vehicles - 25% straight line
Bespoke software - 20% straight line

Other accounting policies
Stock
Stock is valued at the lower of cost and net realisable value.

Pensions
The pension costs charged in the financial statements represent the contribution payable by the company during the year.

Deferred taxation
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more, or a right to pay less or to receive more, tax, with the following exception:
Deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
Deferred tax is measured on an undiscounted basis at the tax rates that are expected to apply in the periods in which timing differences reverse, based on tax rates and laws enacted or substantively enacted at the balance sheet date.

Transactions with directors
Advances to directors
The following directors had interest free loans during the year. The movements on these loans are as follows:

Amount owing

W R D Thorpe 2016 £7,583; 2015 £7,583

As at the year-end, £7,583 (2015 £7,583) was owed to the company by W R D Thorpe.
This loan will be repaid within nine months of the year end and as such, no S455 tax provision has been made.

W R D Thorpe was paid dividends of £46,900 (2015; £66,400) during the year.