✨ Financial Statements Notes
20 JULY
NEW ZEALAND GAZETTE
1927
(d) Depreciation of Fixed Assets: Depreciation is provided on a straight line basis at rates that will write off the cost of assets over their estimated lives.
| % | Cost Price | Depreciation to Date | Book Value | |
|---|---|---|---|---|
| Computer equipment | 30 | $2,671 | $267 | $2,404 |
| Printer | 24 | $1,496 | $120 | $1,376 |
| Total | $4,167 | $387 | $3,780 |
Changes in Accounting Policies
There have been no material changes in accounting policies since the previous annual financial statements. All policies have been applied on a basis consistent with those used in the previous years annual financial statements.
2. Revaluation Reserve
| 1994 $ | 1995 $ | |
|---|---|---|
| Opening balance | 19,894,342 | 19,894,342 |
| Movements in the year | ... | (2,362,500) |
| Closing balance | $19,894,342 | $17,531,842 |
3. Investments
3.1 The trust’s investment in Trust Bank New Zealand is valued at $1.89 per share as at 31 March 1995, this being the market price of the shares. The shares now held in Trust Bank New Zealand Limited comprise 11,250,000 ordinary shares of 50 cents each fully paid.
| Shares at market value as at 31 March 1994 | $23,625,000 |
| Revaluation reserve | ($2,362,500) |
| | $21,262,500 |
3.2 Other investments held by Tower Corporation Holdings Limited comprise—
- Money market deposits: $3,702,554 (1994), $8,159,748 (1995)
- Discounted securities: $4,457,194 (1994), $29,422,248 (1995)
4. Taxation
For taxation purposes the trust is deemed to be a charitable organisation and on this basis its income is not subject to taxation. The charitable status is under review which may affect the future tax status of the trust.
5. Goods and Services Tax
The trust is not registered for goods and services tax purposes. Accordingly these financial statements are stated on a G.S.T. inclusive basis.
6. Reconciliation of Net Profit with Cash Inflow from Operating Activities
| 1994 $ | 1995 $ | |
|---|---|---|
| Net profit | 6,616,238 | 732,350 |
| Add (deduct) non cash items | ||
| Deduction | ||
| Revaluation discounted securities | ... | (14,823) |
| Add (less) movement in current assets/liabilities | ||
| Increase/decrease in creditors | 4,396 | 10,155 |
| Increase/decrease interest receivable | (4,808) | 8,535 |
| Increase/decrease in debtors | ... | (2,278) |
| 734,326 | ||
| Less items classified as investing activities | ||
| Sale of shares | (6,632,750) | |
| Income—Tower | (142,648) | |
| Tower accrued interest | 913 | |
| (21,674) | $592,591 |
Net cash flows from operating activities
7. Off Balance Sheet Item
An additional grant of $25,000 to the Wellington Girls College Foundation has been approved but not uplifted as at 31 March 1995.
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VUW Te Waharoa —
NZ Gazette 1995, No 71
NZLII —
NZ Gazette 1995, No 71
✨ LLM interpretation of page content
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Notes to the Financial Statements for the Year Ended 31 March 1995
(continued from previous page)
💰 Finance & RevenueAccounting policies, Depreciation, Fixed assets, Revaluation reserve, Investments, Taxation, GST, Cash flow reconciliation, Off balance sheet items