SCHEDULES

SCHEDULE 8FORM AND CONTENT OF ACCOUNTS PREPARED BY SMALL COMPANIES

PART II ACCOUNTING PRINCIPLES AND RULES

Section B Historical Cost Accounting Rules

Assets included at a fixed amount

F125

(1)

Subject to the following sub-paragraph, assets which fall to be included—

(a)

amongst the fixed assets of a small company under the item “tangible assets”; or

(b)

amongst the current assets of a small company under the item “raw materials and consumables”;

may be included at a fixed quantity and value.

(2)

Sub-paragraph (1) applies to assets of a kind which are constantly being replaced, where—

(a)

their overall value is not material to assessing the company’s state of affairs; and

(b)

their quantity, value and composition are not subject to material variation.