M R PRODUCTION WEST END LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE PERIOD ENDED 31 DECEMBER 2020
M R Production West End Limited is a private company limited by shares and registered in England & Wales. The address of its registered office is 124 Finchley Road, London NW3 5JS.
2.
Accounting policies
|
|
Basis of preparation of financial statements
|
The financial statements 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 following principal accounting policies have been applied:
The company meets its day to day working capital requirements through its own resources, loans and third parties who have provided funds specifically to invest in theatrical productions.
At the time of approving these financial statements, government restrictions relating to the coranavirus pandemic have forced all theatres to close in the UK as have restrictions in the US. Although the potential effect of the coravirus can be modelled, it is very difficult to determine the assumptions that will prove to be most appropriate and therefore there is an element of doubt existing that cannot be quantified.
The directors have prepared forecasts and cash flow projections based on current and anticipated future activities and have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The directors therefore continue to adopt the going concern basis in preparing the company's financial statements but with the proviso that a material uncertainty exists over the company's future.
Production costs comprise all costs incurred in the staging of the theatrical production, Moulin Rouge. These costs are capitalised as work in progress and are amortised over the estimated life of the production on an anticipated revenue basis.
Short term debtors are measured at transaction price, less any impairment.
|
|
Cash and cash equivalents
|
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.
Short term creditors are measured at the transaction price.
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other
|