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| 2. |
Summary of Significant Accounting Policies |
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The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company's financial statements. |
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Statement of compliance |
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The financial statements of the company for the financial year ended 30 November 2025 have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland (FRS 102) issued by the Financial Reporting Council and in accordance with the Companies Act 2006. |
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Basis of preparation |
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The financial statements have been prepared on the going concern basis and in accordance with the historical cost convention except for certain properties and financial instruments that are measured at revalued amounts or fair values, as explained in the accounting policies below. Historical cost is generally based on the fair value of the consideration given in exchange for assets. |
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Cash flow statement |
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The company has availed of the exemption in FRS 102 from the requirement to prepare a Statement of Cash Flows because it is classified as a small company. |
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Revenue |
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Revenue comprises the invoice value of goods supplied by the company, exclusive of trade discounts and value added tax. |
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Intangible assets |
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Patents |
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Patents are valued at cost less accumulated amortisation. |
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Amortisation is calculated to write off the cost in equal annual instalments over the estimated useful life of 10 years. |
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Property, plant and equipment and depreciation |
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Land and buildings freehold |
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4% Straight line |
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Plant and machinery |
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10% Straight line |
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Fixtures, fittings and equipment |
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20% Straight line |
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The carrying values of tangible fixed assets are reviewed annually for impairment in periods if events or changes in circumstances indicate the carrying value may not be recoverable. |
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Trade and other receivables |
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Trade and other receivables are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts. |
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Provisions |
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Provisions are recognised when the company has a present legal or constructive obligation arising as a result of a past event, it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate can be made. Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the same value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as interest expense. |
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Trade and other payables |
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Trade and other payables are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost. |
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Taxation and deferred taxation |
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Current tax represents the amount expected to be paid or recovered in respect of taxable profits for the financial year and is calculated using the tax rates and laws that have been enacted or substantially enacted at the Statement of Financial Position date. 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 tax in the future, or a right to pay less tax in the future. Timing differences are temporary differences between the company's taxable profits and its results as stated in the financial statements. Deferred tax is measured on an undiscounted basis at the tax rates that are anticipated to apply in the periods in which the timing differences are expected to reverse, based on tax rates and laws that have been enacted or substantively enacted by the Statement of Financial Position date. |
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Foreign currencies |
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Monetary assets and liabilities denominated in foreign currencies are translated at the rates of exchange ruling at the Statement of Financial Position date. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated at the rates of exchange ruling at the date of the transaction. Non-monetary items that are measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value was determined. The resulting exchange differences are dealt with in the Income Statement. |
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Ordinary share capital |
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The ordinary share capital of the company is presented as equity. |
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| 5. |
Tax on profit |
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2025 |
2024 |
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£ |
£ |
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(a) Analysis of charge in the financial year |
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Current tax: |
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Corporation tax at 24.27% (2024 - 24.29%) (Note 5 (b)) |
20,396 |
20,603 |
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Deferred tax: |
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Origination and reversal of timing differences |
1,805 |
- |
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Total deferred tax |
1,805 |
- |
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Tax on profit (Note 5 (b)) |
22,201 |
20,603 |
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(b) Factors affecting tax charge for the financial year |
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The tax assessed for the financial year differs from the standard rate of corporation tax in the United Kingdom 24.27% (2024 - 24.29%). The differences are explained below: |
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2025 |
2024 |
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£ |
£ |
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Profit taxable at 24.27% |
84,273 |
72,582 |
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Profit before tax |
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multiplied by the standard rate of corporation tax |
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in the United Kingdom at 24.27% (2024 - 24.29%) |
20,453 |
17,630 |
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Effects of: |
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Expenses not deductible for tax purposes |
368 |
1,967 |
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Capital allowances for period in excess of depreciation |
(425) |
1,006 |
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Deferred tax |
1,805 |
- |
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Total tax charge for the financial year (Note 5 (a)) |
22,201 |
20,603 |
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