Page 40 - Bouvet årsrapport ENG 2010 ePub

Bouvet annual report 2010 40

Te Group fnancial statements of Bouvet AS for the period ending on 31 December 2010 were approved in a board meeting on 13 April 2011.

Bouvet ASA is a public limited company incorporated in Norway and listed on Oslo Børs. Te Group’s main ofce is located in Sandakerveien 24C, 0513 Oslo, Norway. Te Group delivers consultancy services and training within information technol-ogy. Te Group’s business concept is to cre-ate opportunities and increase the efciency of their customers’ processes by means of new ideas and new technology in close cooperation with the customer.

The basis for the preparation of the financial statements

Bouvet ASA was listed on Oslo Axess on 15 May 2007, and listed on Oslo Børs from 24 November 2010. Te Group’s fnancial statements of Bouvet for the accounting year 2010 have been prepared in accordance with international accounting standards and in-terpretations accepted by the EU, mandatory for the accounting year 2010.

Te fnancial statements are based on the principles of historic cost.

Te Group fnancial statements have been prepared on the basis of uniform ac-counting principles for uniform transac-tions and events under otherwise equal circumstances.

Te Group’s presentation currency is Norwegian Kroner (NOK) and the parent company’s functional currency is NOK. Balance sheet items in subsidiaries with a functional currency other than NOK are

converted to Norwegian kroner by applying the currency rate applicable on the balance sheet date. Currency conversion diferences are booked against other comprehensive income. Income statement items are con-verted by applying the average currency rate for the period.

Consolidation principles

Te Group fnancial statements include Bouvet ASA and companies under the con-trolling interest of Bouvet ASA. Control-ling interest is normally achieved when the Group owns more than 50% of the shares in the company, and the Group is able to exercise actual control over the company.

Te purchase method is applied when accounting for mergers. Companies that are sold or purchased during the year are included in the Group accounts from the date when a controlling interest is achieved and until the control ends.

All other investments in fnancial instru-ments are accounted for in accordance with IAS 39 Financial Instruments: Recogni-tion and Measurement. Note 23 to the accounts include details.

Inter-company transactions and balances, including internal proft and unrealized proft and loss have been eliminated.

The use of estimates in the preparation of the financial statements

Management has used estimates and assumptions that have afected assets, liabilities, revenue, expenses and informa-tion on potential liabilities. Tis particu-larly applies to the revenue recognition of customer projects and pension obligations.

Future events may imply that the estimates change. Estimates and the underlying as-sumptions are considered on a continuous basis. Changes in accounting estimates are recognised in the period the changes arise. In the event that the changes also apply for future periods, the efect is distributed over current and future periods. Ref. note 3.

Currency

Transactions in foreign currency are translated at the rate applicable on the transaction date. Monetary items in foreign currency are converted to Norwegian kro-ner by applying the rate applicable on the balance sheet date. Non-monetary items valued at historic rate denominated in foreign currency are translated to Norwe-gian kroner by applying the rate applicable at the transaction date. Non-monetary items assessed at real value denominated in foreign currency are translated at the rate applicable on the balance sheet date. Exchange rate changes are recognized in the income statement as they occur during the accounting period

Revenue recognition

Bouvet sells services and products. Revenue is recognised when it is probable that transac-tions will generate future fnancial benefts for the Group and the size of the amount can be reliably estimated. Sales revenue is presented net of value added tax and discounts.

Revenue from the sale of products is recog-nised when the signifcant risks and rewards of ownership of the products have passed to the buyer.

Revenue from the sale of services is rec-ognised after a signed contract is received and in line with the deliveries. Customer

Note 1: Accounting principles

NOTES

The Bouvet Group