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DAPV Limited
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Notes to the financial statements - continued
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for the year ended 31 May 2026
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2
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Accounting policies - continued
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Intangible assets
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Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.
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Amortisation is provided at the following annual rates in order to write off each asset over its estimated useful life.
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Development costs – bespoke software platform
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-
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Intangible assets, including capitalised development expenditure relating to the company’s proprietary software platform, are measured at cost less accumulated amortisation and impairment. Development costs are capitalised where the recognition criteria under FRS 102 are met and are amortised on a straight-line basis over their estimated useful economic lives. The company’s platform is developed using an iterative model, with functionality released and enhanced on an ongoing basis. Capitalised expenditure therefore relates to modules and infrastructure that continue to be subject to significant enhancement and refinement. Management has concluded that the assets recognised in the current period are not yet fully available for their intended use and amortisation has therefore not commenced. Amortisation will begin once the relevant functionality is considered available for use and capable of generating economic benefits on a consistent basis. At that point the assets will be amortised over an estimated useful economic life of ten years. Intangible assets are reviewed for impairment where events or changes in circumstances indicate that the carrying amount may not be recoverable.
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Tangible fixed assets
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Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
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Plant and machinery etc.:
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Fixtures & fittings
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-
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25% reducing balance
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Motor vehicles
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-
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25% reducing balance
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Computer equipment
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-
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33.33% reducing balance
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Stocks
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Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.
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4
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