| With the exception of long term contracts, turnover represents amounts receivable during the year , excluding
Value Added Tax.
Revenue from long term contracts is recognised by reference to the stage of completion of contract activity at the
balance sheet date. This is normally determined by the proportion that contract costs incurred to date bear to the
estimated total contract costs, except where this would not be representative of the stage of completion. If the
nature of a particular contract means that costs incurred do not accurately reflect the progress of contract activity,
an alternative approach is used such as the achievement of pre-determined contract milestones.
Profit attributable to contract activity is recognised if the final outcome of such contracts can be reliably
assessed. On all contracts, full provision is made for any losses in the year in which they are first foreseen.
Revenue from services provided on a short-term or one-off basis is recognised when the service is complete. |