KW LIVESTOCK TRADING LIMITED
NOTES TO THE STATUTORY ACCOUNTS
FOR THE YEAR ENDED 30 SEPTEMBER 2019
KW Livestock Trading Limited is a private company, limited by shares, incorporated in England and Wales with registration number 10998292. The registered office is Estate Office, Hoo Farm Hoo Lane, Offley, Hitchin, Hertfordshire, SG5 3ED.
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Accounting policies
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Basis of preparation of statutory accounts
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The statutory accounts have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Section 1A of Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The Directors have carefully reviewed the future prospects of the company and its future cash flows, including an assessment of the potential impact of the COVID-19 pandemic. The full impact of the COVID-19 pandemic on our business remains uncertain and as a result unquantifiable at this stage. Nevertheless, having assessed this the Directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the forseeable future being at least the next 12 months from the signing of these statutory accounts.
For this reason the directors continue to adopt the going concern basis for the preparation of the statutory accounts. Accordingly, these statutory accounts do not include any adjustments to the carrying amount or classification of assets and liabilities that would result if the company was unable to continue as a going concern.
Turnover is derived from the sale of cattle and sheep and related farming income. Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.
Stock is valued at the lower of cost and net realisable value. Where accurate cost figures are not available, the deemed cost of production has been used on the following bases:
Cows - 60% of market value
Ewes and rams - 75% of market value.
Financial assets and financial liabilities are recognised on the balance sheet when the company becomes a party to the contractual provisions of the instrument.
Trade and other debtors and creditors are classified as basic financial instruments and are measured at transaction price. A provision is established when there is objective evidence that the company will not be able to collect all amounts due.
Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank.
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