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AVOCADO ROAD FILMS LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2025
Avocado Road Films Ltd is a private company limited by shares incorporated in the United Kingdom and registered in England and Wales. The address of its registered office is 9 Perseverance Works, Kingsland Road, London, E2 8DD.
The comparative figures cover the period from 1 April 2024 to 31 August 2024.
2.Accounting policies
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Basis of preparation of financial statements
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The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The following principal accounting policies have been applied:
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Foreign currency translation
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Functional and presentation currency
The company's functional and presentational currency is GBP.
Transactions and balances
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.
At each period end foreign currency monetary items are translated using the closing rate.
Turnover represents production income receivable and is recognised in the Statement of comprehensive income in the period it is contractually due.
Production costs incurred in producing a film are recognised in the Statement of comprehensive income as cost of sales in the period in which they are incurred.
The tax credit represents the sum of the tax currently recoverable.
The company is eligible to claim a Tax Credit on film production costs; the Tax Credit comprises relief based on total net costs and an additional deduction for enhanceable expenditure. The company claims a payment based on the amount of enhanced expenditure and carries losses arising from total net costs forward against future profits.
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