✨ Financial Statements and Accounting Policies
22 AUGUST NEW ZEALAND GAZETTE 2359
CHB POWER
HOLDINGS LIMITED
After Hours Faults ... 06 - 858 8101
Telephone : 06 - 858 8100 PO Box 59, Waipukurau
-3- Facsimile: 06 - 858 7087
The following methods and assumptions were used to value each class of financial instrument:
Accounts receivable are recorded at net expected realisable value. All bad debts are written off during the year and no provision has been made for doubtful debts. Investments (including Short Term Deposits) are recorded at the lower of cost or market value.
All financial instruments, including cash and bank, and accounts payable are recognised at their fair value.
Fixed Assets
The fixed Assets of the “Other” divisions have been recorded at cost less depreciation.
Network assets have been valued using the Optimised Deprival Value as at 31 March 1995. Valuation was carried out by KPMG Peat Marwick, Wellington. The valuation cycle is three years.
Depreciation
Depreciation is charged on a straight line basis so as to write off the cost or valuation of the fixed assets to their estimated residual value over their expected lives. The estimated economic lives are as follows:
Network assets 50 years
Buildings 50 - 100 years
Other 5 years
Taxation
The income tax expense charged against the profit for the year is the estimated liability in respect of that profit and is calculated after allowance for permanent differences and timing differences not expected to reverse in future periods. This is the partial basis for the calculations of deferred taxation.
The company uses the liability method of accounting for deferred taxation. Future tax benefits attributable to tax losses or timing differences are only recognised when there is virtual certainty of realisation.
Next Page →
PDF embedding disabled (Crown copyright)
View this page online at:
VUW Te Waharoa —
NZ Gazette 1995, No 84
NZLII —
NZ Gazette 1995, No 84
✨ LLM interpretation of page content
🏭
Statement of Accounting Policies for CHB Power Holdings Limited
(continued from previous page)
🏭 Trade, Customs & IndustryAccounting policies, Financial statements, Electricity regulations, Network Division, Energy Division, Retail Division, Contracting Division, Servicing Division