Abbreviated Company Accounts - D.E. SCORER 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 represents amounts chargeable, net of value added tax, in respect of the sale of goods
and services to customers.

Tangible assets depreciation policy
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:
Plant & Machinery - 15% reducing balance basis
Fixtures & Fittings - 15% reducing balance basis
Motor vehicles - 25% reducing balance basis

Intangible assets amortisation policy
Amortisation is provided on intangible fixed assets so as to write off the cost, less any
estimated residual value, over their expected useful economic life as follows:
Goodwill - 10% straight line basis

Other accounting policies
Other accounting policies
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.
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. Assets held under finance leases, which are leases where
substantially all the risks and rewards of ownership of the asset have passed to the company,
are capitalised in the balance sheet as tangible fixed assets and are depreciated over the shorter
of the lease term and their useful lives. The capital elements of future obligations under the
leases are included as liabilities in the balance sheet. The interest element of the rental
obligation is
charged to the profit and loss account over the period of the lease and represents a constant
proportion of the balance of capital repayments outstanding. Assets held under hire purchase
agreements are capitalised as tangible fixed assets and are depreciated over the shorter of the
lease term and their useful lives. The capital element of future finance payments is included
within creditors. Finance charges are allocated to accounting periods over the length of the
contract and represent a constant proportion of the balance of capital repayments outstanding.
Financial instruments
D.E. SCORER LIMITED Registered Number 01449421
1
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.