ANNUAL REPORT 2005 - British Aerosol Manufacturers' Association

More documents

Recommendations

Info

18 FINANCIAL STATEMENTS Notes to the Financial Statements for the Year Ended 31 December 2005 1 ACCOUNTING POLICIES 2 TURNOVER Accounting convention The financial statements have been prepared under the historical cost convention and in accordance with the Financial Reporting Standard for Smaller Entities (effective January 2005). The turnover and surplus before taxation are attributable to the one principal activity of the Association. 3 OPERATING SURPLUS Turnover Turnover represents net sales of goods and services, excluding Value Added Tax. Tangible fixed assets 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. Short term leasehold – 100% on cost Office & general equipment – office and computer equipment 33.3% on cost, furniture 20% on cost Deferred tax Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. Foreign currencies Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. Hire purchase and leasing commitments Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. The operating surplus is stated after charging/(crediting): 31.12.05 31.12.04 £ £ Depreciation – owned assets 3,615 4,961 Depreciation – assets on hire purchase contracts or finance leases – 2,404 Surplus on disposal of fixed assets – (2,299) Auditors' remuneration 3,950 3,500 Pension costs 31,808 35,717 4 TAXATION Analysis of the tax charge The tax charge on the surplus on ordinary activities for the year was as follows: 31.12.05 31.12.04 £ £ Current tax: UK corporation tax 5,263 5,162 Tax on surplus on ordinary activities 5,263 5,162 Factors that may affect future tax charges Losses of £35,912 (2004 - £43,279) are available for corporation tax purposes. The interest element of these obligations is charged to the income and expenditure account over the relevant period. The capital element of the future payments is treated as a liability. Pensions The Association operates a defined contribution pension scheme. Contributions payable for the year are charged in the income and expenditure account. International Aerosols Congress and Exhibition 2007 In September 2007 the Association is to host an international congress and exhibition in Manchester on behalf of the European Aerosol Federation (FEA). Deposits are already being received from exhibitors and expenditure is being incurred. These items are to be carried forward until the accounting period in which the event takes place, when they will be credited/charged to income and expenditure account.
FINANCIAL STATEMENTS 19 5 TANGIBLE FIXED ASSETS Short Office & term general leasehold equipment Totals £ £ £ COST At 1 January 2005 23,821 81,721 105,542 Additions – 3,976 3,976 Disposals (23,821) (7,758) (31,579) At 31 December 2005 – 77,939 77,939 DEPRECIATION At 1 January 2005 23,820 77,941 101,761 Charge for year 1 3,614 3,615 Eliminated on disposals (23,821) (7,758) (31,579) At 31 December 2005 – 73,797 73,797 7 CREDITORS Amounts falling due within one year 31.12.05 31.12.04 £ £ Trade creditors 55,331 41,631 Prepayments received – 4,525 Hire purchase & leasing 2,757 1,555 Deposits receivable - Manchester 2007 55,284 – Corporation tax 5,263 5,162 Other creditors & accruals 37,158 16,565 155,793 69,438 8 CREDITORS Amounts falling due after more than one year 31.12.05 31.12.04 £ £ Leases – 2,757 NET BOOK VALUE At 31 December 2005 – 4,142 4,142 At 31 December 2004 1 3,780 3,781 As the original term of the leasehold has expired, the residual cost and depreciation have been written out. Fixed assets, included in the above, which are held under hire purchase contracts or finance leases are as follows: Office & general equipment £ COST At 1 January 2005 and 31 December 2005 7,210 DEPRECIATION At 1 January 2005 and 31 December 2005 7,210 NET BOOK VALUE At 31 December 2005 – 9 PENSION COMMITMENTS In the past the Association utilised the services of employees of the Chemical Industries Association (CIA) whose employment contracts provided for retirement benefits based on final pensionable pay. On 31 May 2002 this ‘defined benefits’ scheme ceased and was replaced by a defined contribution scheme. There is a Minimum Funding Requirement deficit on the defined benefits scheme which is due to be eliminated by June 2012. The Association is currently contributing £1,048 per month to make good the proportion of this deficit that relates to these employees, but future contributions cannot be calculated accurately at this time. The amount charged to income and expenditure account during the year in respect of the defined benefits scheme was £12,576 (2004 - £16,076). The Association now contributes to a defined contribution scheme, managed by Scottish Equitable, for all staff. The Association is invoiced by CIA in respect of staff pension contributions, and these are charged to income and expenditure account as invoiced. The amount charged to income and expenditure account during the year in respect of the defined contribution scheme was £19,232 (2004 - £19,641). At the balance sheet date the amount provided in respect of unpaid contributions was £2,907 (2004 - £2,536). 10 OTHER FINANCIAL COMMITMENTS 6 DEBTORS Amounts falling due within one year 31.12.05 31.12.04 £ £ Trade debtors 29,413 3,639 Prepayments – Manchester 2007 102,511 30,506 Other debtors & prepayments 13,321 30,816 145,245 64,961 The Association occupies premises under a lease with fiveyearly rent reviews; the commitment is for five years from February 2002. Current annual charges are: Rent £44,000, Service Charge £7,000 and Management Charge £16,000. The Association is committed to hosting the International Aerosols Congress and Exhibition on behalf of the European Aerosol Association (FEA), to be held at the Manchester International Convention Centre in September 2007. The cost of the venue is £305,060 of which £91,518 had been paid by the balance sheet date. The balance is to be paid in full by September 2006. The Association is also committed to a consultancy agreement with Axiom Communications at a cost of £28,000 for 2006.
Page 1 and 2: ANNUAL REPORT 2005
Page 3 and 4: British Aerosol Manufacturers’ As
Page 5 and 6: DIRECTOR’S REPORT: SUE ROGERS 3 T
Page 7 and 8: DIRECTOR’S REPORT: SUE ROGERS 5 B
Page 9 and 10: COMMERCIAL & PLANNING COMMITTEE REP
Page 11 and 12: VSA COMMITTEE REPORT 9 VSA COMMITTE
Page 13 and 14: ENVIRONMENT COMMITTEE REPORT 11 Car
Page 15 and 16: PACKAGING & CONTENTS COMMITTEE REPO
Page 17 and 18: FINANCIAL REPORT AND STATEMENTS 15
Page 19: FINANCIAL STATEMENTS 17 Balance She
Page 23 and 24: MEMBERS’ LISTING 21 Members’ Li
Page 25 and 26: MEMBERS’ LISTING 23 Members’ Li
Page 27 and 28: 0VERSEAS ASSOCIATIONS Overseas Asso

ANNUAL REPORT 2005 - British Aerosol Manufacturers' Association

Create successful ePaper yourself

Delete template?

Save as template?